Major components of tax expense (income) [abstract]

Total income taxes for the years ended December 31, 2024, 2023 and 2022 are allocated as follows:


	2024			2023			2022
Current:
- Domestic		(6	)		(1,065	)		(838	)
- Foreign		(865	)		(659	)		(1,582	)
Total (a)		(871	)		(1,724	)		(2,420	)
Deferred:
- Domestic		—			—			—
- Foreign		187			634			147
Total (b)		187			634			147
Total (a + b)		(684	)		(1,090	)		(2,273	)

Reconciliation of Income Tax Expense

The effective income taxes differ from the expected income tax expense (computed by applying the IRES state tax to profit before income taxes and non-controlling interests) as follows:


	2024			2023			2022
Expected tax benefit (expense) at statutory tax rates		3,527			3,617			(855	)
Effect of:
- Tax exempt income		1,657			4,530			2,618
- Aggregate effect of different tax rates in foreign jurisdictions		(254	)		(481	)		(79	)
- Italian regional tax		(11	)		(8	)		(28	)
- Non-deductible expenses		(3,140	)		(5,675	)		(1,635	)
- Tax effect on unremitted earnings		—			—			(755	)
- Chinese withholding tax on income not recoverable		—			(1,100	)		—
- Effect of net change in deferred tax assets unrecognised		(2,463	)		(1,973	)		(1,539	)
Actual tax charge		(684	)		(1,090	)		(2,273	)

Summary of Movements in deferred Tax Balances

Movements in deferred tax balances occurred during 2022, 2023 and 2024 are analysed as follows:


	Deferred tax assets			Deferred tax liabilities			Total
Balance as at December 31, 2021		1,295			(1,405	)		(110	)
Recognised in profit or loss		670			(524	)		146
Recognised in OCI		—			—			—
Recognised directly in equity		—			—			—
Balance as at December 31, 2022		1,965			(1,929	)		36
Recognised in profit or loss		10			623			633
Recognised in OCI		—			—			—
Recognised directly in equity		—			—			—
Balance as at December 31, 2023		1,975			(1,306	)		669
Recognised in profit or loss		(121	)		308			187
Recognised in OCI		(201	)		—			(201	)
Recognised directly in equity		—			—			—
Balance as at December 31, 2024		1,653			(998	)		655

Summary of Unrecognised Deferred Tax Assets

As at December 31, 2024 and 2023 deferred tax assets have not been recognised in respect of the following items, because it is not probable that future taxable profit will be available against which the Group can use the benefits therefrom.


Unrecognised deferred tax assets	31/12/24				31/12/23
	Gross Amount		Tax effect		Gross Amount		Tax effect
Tax loss carry-forwards		378,307		93,266		367,620		90,025
Provision for contingent liabilities		4,892		1,396		6,588		1,893
Inventory obsolescence		10,989		2,272		7,803		2,197
Allowance for doubtful accounts		3,218		772		3,744		899
Intercompany profit on inventories		7,644		2,203		7,890		2,274
Provision for warranties		1,929		556		2,613		753
Impairment of non-financial assets		3,051		587		2,613		591
Other temporary differences		17,799		3,921		16,141		3,503
Total unrecognised deferred tax assets		427,829		104,973		415,012		102,135