Note 25 - Current allowances and provisions

12 Months Ended

Dec. 31, 2024

Note 25 - Current allowances and provisions

Note 25 - Current allowances and provisions

25 Current allowances and provisions

(i) Deducted from assets

Year ended December 31, 2024	Allowance for doubtful accounts - Trade receivables		Allowance for other doubtful accounts - Other receivables		Allowance for inventory obsolescence
Values at the beginning of the year	(49,046	)	(3,439	)	(209,110	)
Translation differences	194		324		897
Changes due to business combinations^(*)	(1,151	)	-		(3,676	)
(Additional) / reversal allowances	1,095		(546	)	(41,240	)
Used and other movements	783		567		49,955
At December 31, 2024	(48,125	)	(3,094	)	(203,174	)

^(*)For the year 2024, related to Mattr’s pipe coating business unit acquisition. For more information see note 34.

Year ended December 31, 2023	Allowance for doubtful accounts - Trade receivables		Allowance for other doubtful accounts - Other receivables		Allowance for inventory obsolescence
Values at the beginning of the year	(45,495	)	(3,479	)	(222,666	)
Translation differences	(128	)	(88	)	(452	)
Increase due to business combinations^(**)	(899	)	-		(9,179	)
(Additional) allowances	(3,590	)	(107	)	(13,581	)
Used	1,066		235		36,768
At December 31, 2023	(49,046	)	(3,439	)	(209,110	)

^(**)For the year 2023, related to the GPC, Isoplus anticorrosion coating division and Mattr’s pipe coating business unit acquisitions.

(ii) Liabilities

Year ended December 31, 2024	Sales risks		Other claims and contingencies ^(*)		Total
Values at the beginning of the year	19,940		16,019		35,959
Translation differences	(1,301	)	(18,978	)	(20,279	)
Changes due to business combinations^(**)	-		722		722
Additional provisions	21,296		106,198		127,494
Reclassifications	-		9,839		9,839
Used	(23,564	)	(10,827	)	(34,391	)
At December 31, 2024	16,371		102,973		119,344

Year ended December 31, 2023	Sales risks		Other claims and contingencies ^(*)		Total
Values at the beginning of the year	3,186		7,999		11,185
Translation differences	285		(208	)	77
Increase due to business combinations ^(**)	-		5,317		5,317
Additional provisions	30,057		6,941		36,998
Reclassifications	-		164		164
Used	(13,588	)	(4,194	)	(17,782	)
At December 31, 2023	19,940		16,019		35,959

^(*)Other claims and contingencies mainly include lawsuits and other legal proceedings, including employee, tax and environmental-related claims.

For the year 2024, includes $89.4 million related the ongoing litigation related to the acquisition of participation in Usiminas. For more information see note 27 (i).

^(**)For the years 2024 and 2023, related to Mattr’s pipe coating business unit acquisition. For more information see note 34.