Risk Development

Risk Assessment & Risks

The Company’s activities expose it to a variety of risks, including market risks (currency risk and interest rate risk) credit risk, and liquidity risk. Financial instruments held are accounted for under Assets (Loans and Receivables) and Equity (Convertible Bonds). The risks are monitored on a recurring basis at a Management Board level, applying input received from Management in the individual geographical areas, with whom the Management Board has contact on regular basis.

The risk analysis focuses predominantly on business risks that result in managerial decisions, in particular with respect to:

- Span of control, i.e. oversight
- Commercial dependency of our partners
- Our churnrate and retention rate
- Downtime of datacenters
- Legal aspects
- Financial Disclosure
- Acquisitions
- Entering new markets

Financing and funding decisions are made at Management Board level, guaranteeing that management is  aware of any changes and developments. Individual debtors with collectability issues are discussed on an item-by-item basis. The Company neither holds nor issues financial instruments for trading or hedging purposes.

For more information on our risks, read our Annual Report.
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