Value creation

The creation of value has always been the CIR group’s chief goal. Our holding company is historically a long-term investor and does not limit itself to the results of single years. 

Generating value means adopting initiatives and behaviors that allow the group and its subsidiaries to work with success in their various markets, achieving results that are sustainable over time. This approach to entrepreneurship guides the strategies and operational management of KOS and Sogefi.

Economic value generated and distributed

The Economic Value prospectus is a reclassification of our Consolidated Income Statement and represents the wealth produced and distributed by the CIR group. In particular, the prospectus presents the economic performance of operations and the wealth distributed to subjects considered bearers of interest, therefore the group’s capacity to create value for its stakeholders. To determine the formation of Economic Value, we were inspired by the methodology prepared by the Gruppo di studio per il Bilancio Sociale (GBS).

Operating revenue comprises revenue from the products sold by the group in its various sectors of activity; together with other income, net of depreciation, amortisation, impairment and changes in inventories.

The results of financial management comprise income/expense from dividends, security trading, interest income on bank current and deposit accounts, and income/expense from equity-accounted investees.

The above elements comprise the Economic Value generated directly which in 2021 amounted to € 1,827.3 million, with an increase of 4.9% compared with 2020. Even though the economic value has increased compared with the previous period, it is still influenced by the effects of the pandemic, being lower than the economic value that the Group will be able to express once the impacts of the pandemic have been overcome.

The Economic Value distributed, comprises remuneration of suppliers, personnel, lenders, third parties, Public administration, amounted to € 1,809.3 million in 2020, an increase of 4.9% compared with 2020.

Prospectus of Economic Value of the CIR group

(€ millions)

Operating revenue1,652.52,039.1
Results of financial management (1)27.132.1
Profit (loss) from discontinued operations 61.1(24.5)
Total Economic Value generated directly1,740.61,827.3
Remuneration of suppliers1,080.61,141.8
Remuneration of personnel 563.9596.9
Remuneration of lenders 65.452.9
Remuneration of third parties5.14.6
Remuneration of Public Administration 9.313.1
Total Economic Value distributed1,724.31,809.3
Profit (loss) attributable to the owners of the parent16.318.0
Total Economic Value retained16.318.0


(1) This amount does not include financial charges that, for the sake of consistency, are presented in other captions.