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obligations. Any asset resulting from this calcu-
lation is only capitalized up to an amount not
exceeding benefits from future contribution
reductions or refunds.
In the case of defined contribution plans,
the contributions are recognized as expense in
the period in which they incurred.
1.18 Share-based payments
Share-based payments to members of the Board
of Directors, the Executive Board and senior
management are measured at fair value at the
grant date, and recognized in the income
statement over the vesting period. The fair
value is assessed based on the current market
price and taking into account a discount
for dividends that will not be collected by the
beneficiary because the transfer of the
shares is deferred. For share-based payments
that are settled with equity instruments, a
corresponding increase in equity is recognized.
1.19 Revenue recognition
Revenue comprises the fair value of the
consideration received or receivable for the
sale of goods and rendering of services in
the ordinary course of the Group’s activities.
Revenue is shown net of value-added tax,
returns, rebates and discounts and after elimi-
nating sales within the Group. The Group
bases its estimates on historical results, taking
into consideration the type of customer, the
type of transaction and the specifics of each
arrangement. The Group recognizes revenue
when the amount of revenue can be reliably
measured, it is probable that future eco-
nomic benefits will flow to the entity and spe-
cific criteria have been met for each of the
Group’s activities as described below.
Sales of goods: Revenue from the sale of
goods is recognized when the significant risks
and rewards of ownership of the goods have
passed to the buyer, usually on delivery of the
goods. Goods include mainly produced compo-
nents and systems for optimal protection against
noise and heat sold to customers. Revenue is
recorded based on the price specified in the sales
contracts, net of estimated discounts, sales tax
or value-added tax as well as credit notes for
goods returned. Accumulated experience is used
to estimate and provide for the discounts
and returns.
Rendering of services: The Group is in-
volved in the design phase of new models and in
the further development of existing vehicles
and therefore performs simulations and tests for
its customers. Revenue from rendering of ser
vices is recognized in the accounting period in
which the services are rendered. For fixed-
price contracts, revenue is recognized based on
the actual service provided to the end of the
reporting period as a proportion of the total ser-
vices to be provided. Estimates of revenues,
costs or extent of progress toward completion
are revised if circumstances change. Any re
sulting increases or decreases in estimated reve-
nues or costs are reflected in profit or loss
in the period in which the circumstances that
give rise to the revision become known by
management.
1.20 Financing costs
Borrowing costs that are directly attributable
to the acquisition, construction or production
of a qualified asset are capitalized as a part
of the acquisition costs of the qualified asset.
All other financing costs are recognized
directly in the income statement.
1.21 Definition of non-GAAP measures
EBIT as a subtotal includes all operating
income and expenses before addition/deduc-
tion of financial income, financial expenses
and income taxes.
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Autoneum
Financial Report 2016
Consolidated Financial Statements