Corporación de Ferias y Exposiciones S A Usuario Operador de Zona Franca : Consolidated financial statements - September 2023

CORPORACIÓN DE FERIAS Y EXPOSICIONES S.A. USUARIO OPERADOR DE ZONA FRANCA BENEFICIO E INTERES COLECTIVO AND SUBORDINATED

Condensed Consolidated Interim Financial Statements

As of Septiembre30, 2023, and December 31, 2022

Report of the Statutory Auditor on the Review of the Interim Financial Statements

To the Shareholders

Corporación de Ferias y Exposiciones S.A. Usuario Operador de Zona Franca Beneficio e Interés Colectivo

Introduction

I have reviewed consolidated condensed interim statements of financial information that is attached as of Sepotember 30, 2023, of Corporación de Ferias y Exposiciones S.A. Usuario Operador de Zona Franca Beneficio e Interés Colectivo and subordinate, which comprise:

• The consolidated condensed interim statements of financial position at September a 30, 2023;
• The consolidated condensed interim statements of comprehensive income, nine- and three- months period ended Septrember 30, 2023.
• The consolidated condensed interim statements of changes in equity for the period of nine months ended September 30, 2023.
• The condensed interim consolidated cash flow statement for the period of nine - months ending on Sep´tember 30, 2023; and
• The notes to the interim financial statements.

The management of Corporación de Ferias y Exposiciones S.A. Usuario Operador de Zona Franca Bneficio e Interes Colectivo is responsible for the adequate preparation and presentation of these consolidated condensed interim statements of financial information, in accordance with the International Accounting Standard 34 (IAS 34) - Interim Financial Information contained in financial information accounting standards accepted in Colombia. My responsibility consists of expressing a conclusion of these interim consolidated financial statements based on my review.

Scope of the review

I have made my review in accordance with the International Standard on Review Engagements 2410 "Review of financial information performed by the independent auditor of the entity", in included in the standards for Information Assurance accepted in Colombia. A review of interim financial information consists of making enquiries, with persons responsible for financial and accounting matters, and the application of analytical procedures and other review procedures. A review of interim financial information is substantially smaller in scope than an audit made in accordance with international standards, and therefore, does not allow me to obtain the certainty of having had knowledge of all significant matters which could have been identified by an audit. I therefore do not express an audit opinion.

Conclusion

Based on my review, nothing has called my attention to make me suppose that the interim consolidated financial information does not present, in all material aspects, its financial situation September 30, 2023, which is attached, in accordance with the International Standard of Accounting 34 (IAS 34) - Intermediate Financial Information contained in the Accounting and Financial Information Standards accepted in Colombia.

(Original in spanish signed)

Diego Alejandro Corredor Ortiz

Deputy Statutory Auditor

Corporación de Ferias y Exposiciones S.A. Usuario Operador de Zona Franca Beneficio e Interés Colectivo

License TP 199078-T Member of KPMG S.A.S November 14, 2023

Report of the Statutory Auditor of Reporting in Extensible Business Reporting Language

(XBRL)

To the Shareholders

Corporación de Ferias y Exposiciones S.A. Usuario Operador de Zona Franca Beneficio e Interés Colectivo:

Introduction

I have reviewed the report in consolidated Extensible Business Reporting Language (XBRL) as of September 30, 2023, which include the condensed interim statements of financial information of Corporación de Ferias y Exposiciones S.A. Usuario Operador de Zona Franca Beneficio e Interes Colectivo and subordinate, which comprise:

• The consolidated condensed interim statements of financial position at September a 30, 2023;
• The consolidated condensed interim statements of comprehensive income, nine - and- three- months period ended September 30, 2023.
• The consolidated condensed interim statements of changes in equity for the period of nine months ended September 30, 2023.
• The condensed interim consolidated cash flow statement for the period of nine months ending on September 30, 2023; and
• The notes to the interim financial statements.

The management is responsible for the adequate preparation and presentation of these in Extensible Business Reporting Language (XBRL) that incorporates interim consolidated statements of financial information, in accordance with the International Accounting Standard 34 (IAS 34) - Interim Financial Information contained in financial information and accounting standards accepted in Colombia and presentation the Extensible Business Reporting Language (XBRL) as instructed by the Colombian Financial Superintendency (Superintendencia Financiera de Colombia) . My responsibility consists of expressing a conclusion of Extensible Business Reporting Language (XBRL) that incorporates financial information interim consolidate, based on my review.

Scope of the review

I have made my review in accordance with the International Standard on Review Engagements 2410 "Review of financial information performed by the independent auditor of the entity", in included in the standards for Information Assurance accepted in Colombia. A review of interim financial information consists of making enquiries, with persons responsible for financial and accounting matters, and the application of analytical procedures and other review procedures. A review of interim financial information is substantially smaller in scope than an audit made in accordance with international standards, and therefore, does not allow me to obtain the certainty of having had knowledge of all significant matters which could have been identified by an audit. I therefore do not express an audit opinion.

Conclusion

Based on my review, nothing has called my attention to make me suppose that Extensible Business Reporting Language (XBRL), that incorporate report of the interim consolidated financial information of Corporación de Ferias y Exposiciones S.A. Usuario Operador de Zona Franca Beneficio e Interés Colectivo and subordinate, does not present, in all material aspects, its financial situation September 30, 2023, in accordance with the International Accounting Standard 34 (IAS 34) - Interim Financial Information contained in financial information accounting standards accepted in Colombia and as instructed by the Colombian Financial Superintendency (Superintendencia Financiera de Colombia).

(Original in spanish signed)

Diego Alejandro Corredor Ortiz

Deputy Statutory Auditor

Corporación de Ferias y Exposiciones S.A. Usuario Operador de Zona Franca Beneficio e Interés Colectivo

License TP 199078-T Member of KPMG S.A.S November 14, 2023

CORPORACIÓN DE FERIAS Y EXPOSICIONES S.A. USUARIO OPERADOR DE ZONA FRANCA BENEFICIO E INTERES COLECTIVO AND SUBSIDIARIES

Consolidated Interim Condensed Statements of Financial Position

At september 30,2023 and December 31, 2022 (Figures in thousands of Colombian pesos )

	Note		september 30, 2023		December 31, 2022
ASSETS
Current assets
Cash and cash equivalent	3	$	68.866.125	59.696.625
Accounts receivable	5 and 19		39.372.740	32.470.518
Tax assets	6		12.426.553	9.345.367
Inventories			1.439.702	2.732.599
Other non-financial assets	7		5.450.959		548.282
Total current assets			127.556.079	104.793.391
Non-current assets
Joint venture investments	4		1.704.535	2.756.316
Other financial assets			5.040.547	5.025.629
Investments in associates	8		77.060.240	78.630.735
Intangibles	9		9.008.589	10.480.699
Property and equipment	10		477.463.752	473.532.897
Investment properties			75.987.774	75.987.774
Deferred tax asset			116.840		-
Total non-current assets			646.382.277	646.414.050
Total assets		$	773.938.356	751.207.441
LIABILITIES

Current liabilities
Financial debt	11 and 19
Accounts payable	12 and 19
Other non-financial liabilities	13
Income received in advance
Total current liabilities
Non-current liabilities
Financial debt	11
Employee benefits
Other provisions
Deferred tax liability, net
Total non-current liabilities
Total liabilities	$
EQUITY
Capital
Share Placement Premium
Reserves	14
Accumulated profit	15
Other equity interests in equity
Result for the period
Total equity	$
Total liabilities and equity	$

See the Notes that form part of the Condensed Interim Consolidated Financial Statements.

(Original in spanish signed)	(Original in spanish signed)
Andrés López Valderrama	Diana Milena Vargas Arcila
Legal Representative	Chief Accountant
	T.P. 133072 - T

30.605.401	26.775.034
51.219.626	50.354.952
434.101	392.548
41.597.418			21.708.134
123.856.546			99.230.668
110.053.636	126.939.442
1.529.664	1.529.664
4.585.119	4.809.793
54.560.084			54.794.757
170.728.503			188.073.656
294.585.049		287.304.324
1.673.920	1.673.920
43.451.721	43.451.721
155.282.541	142.210.054
268.839.803	268.719.943
(9.035.078)	(9.035.078)
19.140.400			16.882.557
479.353.307		463.903.117
773.938.356		751.207.441

(Original in spanish signed) Diego Alejandro Corredor Ortiz Statutory Auditor

Corporación de Ferias y Exposiciones S.A. Usuario Operador de Zona Franca Beneficio e Interes Colectivo

T.P. 199078 - T

Member of KPMG S.A.S.

(See my Report of November 14, 2023 )

CORPORACIÓN DE FERIAS Y EXPOSICIONES S.A. USUARIO OPERADOR DE ZONA FRANCA BENEFICIO E INTERES COLECTIVO AND SUBSIDIARIES

Consolidated condensed interim statements of comprehensive income

For nine months period ended september 30, 2023 and 2022

(Figures in thousands of Colombian pesos)

	Note
Income from ordinary activities	16a)	$
Overhead	17a)
Selling expenses	17b)
Impairment of receivable	5
Recoveries of receivables	5
Other income
Cost of sales	18
Other expenses
Result on operating activities
Financial income	16b)
Financial expenses	17c)
Financial cost, net
Entity loss for the period	17e)
Result before tax
Recovery income tax	17d)
Result for the period		$
Other Comprehensive Income
Result for the period and other comprehensive income		$

See the Notes that form part of the Condensed Interim Consolidated Financial Statements.

1 January to		1 January to		1 July to September		1 July to September
September 30, 2023		September 30, 2022	30, 2023	30, 2022
158.641.318	112.457.510	78.179.410	52.366.183
					-
43.674.053	35.916.826	15.901.933	11.657.870
81.799.471	55.059.035	41.216.520	23.905.331
532.099	1.218.362	363.261	130.124
241.340	558.379	1.333	19.226
887.387	1.171.939	90.830	11.176
2.863.283	1.885.695	1.241.005	748.299
268.903	575.549	83.797	171.080
30.632.236		19.532.361		19.465.057		15.783.881
5.479.287	2.331.935	1.972.964	1.169.491
19.487.941		12.340.321		6.473.861		5.009.923
(14.008.654)		(10.008.386)		(4.500.897)		(3.840.432)
3.021.239		(443.371)		1.003.897		(265.469)
19.644.821		9.080.604		15.968.057		11.677.980
(504.421)	(1.504.018)	(457.284)	(172.140)
19.140.400		7.576.586		15.510.773		11.505.840
-		-		-		-
19.140.400		7.576.586		15.510.773		11.505.840

(Original in spanish signed)	(Original in spanish signed)	(Original in spanish signed)
Andrés López Valderrama	Diana Milena Vargas Arcila	Diego Alejandro Corredor Ortiz
Legal Representative	Chief Accountant	Statutory Auditor
	T.P. 133072 - T	Corporación de Ferias y Exposiciones S.A.
		Usuario Operador de Zona Franca
		Beneficio e Interes Colectivo
		T.P. 199078 - T
		Member of KPMG S.A.S.
		(See my Report of November 14, 2023 )

CORPORACIÓN DE FERIAS Y EXPOSICIONES S.A. USUARIO OPERADOR DE ZONA FRANCA BENEFICIO E INTERES COLECTIVO AND SUBSIDIARIES

Consolidated condensed interim statements of changes in equity

For Nine months period ended september 30, 2023 and 2022

(Figures in thousands of Colombian pesos)

			Subscribed	Share
			and paid	Placement		Accumulated	Other equity	Result for	Total
	Note		Capital	Premium	Reserves	profits	interests in equity	the period	equity
Initial as of January 1, 2022		$	1.673.920	43.451.721	142.210.054	283.088.341	(7.919.607)	(3.321.186)	459.183.243
Appropriated to mandatory and occasional reserves			-	-	-	(3.321.186)	-	3.321.186	-
Result for the period			-	-	-	-	-	7.576.586	7.576.586
Balance as of september 30, 2022
	$	1.673.920	43.451.721	142.210.054	279.767.155	(7.919.607)	7.576.586	466.759.829
Initial as of January 1, 2023		$	1.673.920	43.451.721	142.210.054	268.719.943	(9.035.078)	16.882.557	463.903.117
Appropriated to mandatory and occasional reserves			-	-	-	16.882.557	-	(16.882.557)	-
Cash dividends of $19.54 per share
over 167,287,797 subscribed and paid shares;
payable in April and November 2023	15		-	-	-	(3.268.804)	-	-	(3.268.804)
Legal and occasional reserve appropriation	14		-	-	13.072.487	(13.072.487)	-	-	-
Variation in other equity items by the equity method	15					(421.406)			(421.406)
Result for the period			-	-	-	-	-	19.140.400	19.140.400
Balance as of september 30, 2023
	$	1.673.920	43.451.721	155.282.541	268.839.803	(9.035.078)	19.140.400	479.353.307

See the Notes that form part of the Condensed Interim Consolidated Financial Statements.

(Original in spanish signed)	(Original in spanish signed)	(Original in spanish signed)
Andrés López Valderrama	Diana Milena Vargas Arcila	Diego Alejandro Corredor Ortiz
Legal Representative	Chief Accountant	Statutory Auditor
	T.P. 133072 - T	Corporación de Ferias y Exposiciones S.A.
		Usuario Operador de Zona Franca
		Beneficio e Interes Colectivo
		T.P. 199078 - T
		Member of KPMG S.A.S.
		(See my Report of November 14, 2023 )

CORPORACIÓN DE FERIAS Y EXPOSICIONES S.A. USUARIO OPERADOR DE ZONA FRANCA BENEFICIO E INTERÉS COLECTIVO Y SUBORDINADA

Condensed interim statements of cash flows

For nine months period ended September 30, 2023 and 2022

(Figures expresssed in thousands of Colombian pesos)

	Note		1 January to		1 January to
			September 30, 2023		September 30, 2022
Result for the period		$	19.140.400	7.576.586
Adjustments to reconciliation between the profit for the period and net cash provide in
operating activities:
Depreciations property and equipment	17a)		5.543.038	5.959.472
Amortization intangibles	17a)		2.230.219	2.733.691
Impairment accounts receivable	5		532.099	1.218.362
Recoveries of receivables	5		(241.340)	(558.379)
Impairment of investments in other financial assets			39.025	32.757
Interest accrued financial obligations	11		16.827.611	11.204.021,00
Recovery of provision for accounts payable			(249.185)	(991.448)
(Profit) loss equity method	17e)		(3.021.239)	443.371
Gain on valuation of investments in other financial assets	17c)		(72.973)	(75.303)
Implied interest contractual liability	16b)		41.553	4.353
Income tax expense, net	17d)		504.421	1.504.018
Effect of changes in foreign exchange difference on cash held for cash equivalents			(368.665)		(166.844)
			40.904.964	28.884.657
Changes in assets and liabilities:
Accounts receivable			(7.671.139)	(13.167.773)
Inventories			1.292.897	(735.571)
Other non-financial assets			(4.902.677)	(1.420.023)
Net tax			1.809.247	142.334
Accounts payable			(1.822.522)	2.672.305
Employee benefits			-	18.000
Income received in advance			19.889.284	14.876.641
Provision			(224.674)	(33.944)
Interest paid financial obligations			(12.864.653)	(7.054.742)
Payment of income tax	11		(5.746.367)		(3.825.530)
NET CASH PROVIDE IN OPERATING ACTIVITIES			30.664.360	20.356.354
CASH FLOWS FROM INVESTMENT ACTIVITIES
Redemptions of investments in other financial assets			19.029	28.720
Dividends received in cash from investments in other financial assets			478.158	-
Loans to subordinated companies			3.792.643	-
			1.429.467	-
Purchase of intangibles			(758.109)	(1.317.259)
Purchase of property and equipment			(9.473.893)		(232.318)
NET CASH USED IN INVESTING ACTIVITIES			(4.512.705)	(1.520.857)
CASH FLOWS FROM FINANCING ACTIVITIES
Capital payments of financial obligations	11		(17.018.397)	(6.188.515)
Dividends paid in cash	12		(332.423)		-
NET CASH USED IN FINANCING ACTIVITIES			(17.350.820)	(6.188.515)
INCREASE NET, IN CASH AND CASH EQUIVALENTS			8.800.835	12.646.982
CASH AND CASH EQUIVALENTS AT BEGINNING OF PERIODO			59.696.625	36.592.626
Effect of changes in foreign exchange difference on cash held			368.665		166.844
CASH AND CASH EQUIVALENTS AT END OF PERIOD		$	68.866.125	49.406.452
See the notes that form an integral part of the condensed interim financial statements.

(Original in spanish signed)	(Original in spanish signed)	(Original in spanish signed)
Andrés López Valderrama	Diana Milena Vargas Arcila	Diego Alejandro Corredor Ortiz
Representante Legal	Contador Público	Statutory Auditor
	T.P. 133072 - T	Corporación de Ferias y Exposiciones S.A.
		Usuario Operador de Zona Franca
		Beneficio e Interes Colectivo
		T. P. 199078 - T
		Member of KPMG S.A.S.
		(See my Report of November 14, 2023)

CORPORACIÓN DE FERIAS Y EXPOSICIONES S.A. USUARIO OPERADOR DE

ZONA FRANCA BENEFICIO E INTERES COLECTIVO Y SUBORDINADA Notes to the Condensed Consolidated Interim Financial Statements

As of September 30, 2023, with comparative figures as of September 30 and December 31, 2022

(Figures expressed in thousands of pesos)

1. Reporting entity

The Corporación de Ferias y Exposiciones S.A. Usuario Operador de Zona Franca Beneficio e Interes Colectivo (now the parent Company) is a public limited company incorporated by Public Deed No. 3640 of July 18, 1955, of the Second Notary (2nd) of Bogotá DC, with a duration until July 2099. The consolidated financial statements as of September 30, 2023, includes the parent company and its subordinate. The corporate purpose of the Parent Company is to promote industrial and commercial development in the region, national and international level and to strengthen Colombia's ties of friendship and cooperation with friendly nations, to organize trade shows, national and international exhibitions of an industrial, commercial, agricultural or scientist inside or outside their facilities, at home or abroad; as well as promoting and organizing the participation of Colombia in trade shows and exhibitions held abroad, directly or through the subordinate Corferias Inversiones S.A.S.

The Parent Company is subordinate to the Bogotá Chamber of Commerce, which has a 79.74% participation in the share capital.

Corporación de Ferias y Exposiciones S.A. Usuario Operador de Zona Franca Beneficio e Interes

Colectivo user was declared Special Permanent Free Zone Operator User through Resolution No. 5425 of June 20, 2008. According to Public Deed No. 2931 of July 25, 2008, of Notary 48 of Bogotá DC, registered on 28 July 2008 under number 01231243 of book IX, the company changed its name from Corporación de Ferias y Exposiciones SA, to Corporación de Ferias y Exposiciones SA Usuario Operador de Zona Franca. Its main address is in Bogotá city at Carrera 37 N ° 24-67. Bogotá, Cundinamarca. With Resolution No. 1213 of August 4, 2022, the Corporation goes from being a Special Permanent Free Zone to being a Permanent Free Zone.

The Corporation, as Permanent Free Trade Zone Operator, controls the entry of exhibitors' merchandise through the COMEX platform and once the fair is over, the merchandise exit document is completed.

The Corporación de Ferias y Exposiciones S.A. Usuario Operador de Zona Franca modified his business name by Public Deed No. 604 of May 6, 2021, at Notary 23 of Bogotá DC, registration made under number 02704569 of Book IX on May 12, 2021. The company changed its name to Corporación de Ferias y Exposiciones S.A. Usuario Operador de Zona Franca to Corporación de Ferias y Exposiciones S.A. Usuario Operador de Zona Franca Beneficio e Interes Colectivo. Its main address is in Bogotá city at Carrera 37 N ° 24-67. Bogotá, Cundinamarca.

Corferias Inversiones S.A.S., (hereinafter the subordinate) it is a company incorporated by private document dated April 30, 2012; with an indefinite term duration, it began to develop economic activities in June 2012. Its economic activity is the performance of any lawful activity both in Colombia and abroad, that allow to facilitate or develop commerce or the industry of society. Currently, the activity that it carries out is the administration of the parking lots of the buildings called Torre parking, Avenida Américas and Green Parking. Likewise, it is the operator of the "Puerta de Oro" fairground in Barranquilla, where it organizes trade shows and exhibitions of a commercial and agricultural nature, events for the population and visitors to the Colombian Caribbean.

Corferias Inversiones S.A.S. It is located in Bogotá city at Carrera 37 No. 24-67 and in Barranquilla at Calle 77B No. 57-103. The Corporación de Ferias y Exposiciones S.A. Usuario Operador de Zona

CORPORACIÓN DE FERIAS Y EXPOSICIONES S.A. USUARIO OPERADOR DE ZONA FRANCA

BENEFICIO E INTERES COLECTIVO AND SUBORDINATED

Notes to the Condensed Consolidated Interim Financial Statements

Franca Beneficio e Interes Colectivo owns 100% of the stake in Corferias Inversiones S.A.S. Likewise, it could direct accounting, administrative and financial policies.

The financial information of the subordinated company as of September 30, 2023, and December 31, 2022, is presented below:

September 30, 2023

Company	% held	Assets	Liabilities	Equity	Income
Corferias Inversiones SAS	100%	$ 23.936.343	16.672.155	7.264.188	18.979.421

December 31, 2022

Company	%		Asset	Liabilities	Wealth	Income
participation
Corferias Inversiones S.A.S		100%	$ 19.215.200	15.851.197	3.364.003	3.905.269

The interim consolidated financial statements include the Corporación de Ferias y Exposiciones S.A. Free Zone Operator User Benefit and Collective interest and Corferias Inversiones S.A.S.

2. Basis of preparation of the condensed consolidated interim financial statements

1. Regulatory Technical Framework

The condensed consolidated interim financial information has been prepared in accordance with International Accounting Standard 34 (IAS 34) - Interim Financial Reporting, contained in the Accounting and Financial Reporting Standards accepted in Colombia (NCIF) established in Law 1314 of 2009, regulated by the Sole Regulatory Decree 2420 of 2015, as amended by Decrees 2496 of 2015, 2131 of 2016, 2170 of 2017, 2483 of 2018, 2270 of 2019, 1432 of 2020, 938 of 2021 and 1611 of 2022. The NCIF are based on the International Financial Reporting Standards (IFRS), together with their interpretations, issued by the International Accounting Standards Board (IASB).

The condensed consolidated interim financial statements for the interim period do not include all the information and disclosures required for an annual financial statement, for this reason it is necessary to read them in conjunction with the consolidated annual financial statements as of December 31, 2022, published on the website www.corferias.com in the Shareholders section. In accordance with IAS 34, the accounting policies used for interim periods are the same as those applied in the preparation of the annual financial statements.

(b) Basis of measurement

The condensed consolidated interim financial statements have been prepared on the historical cost basis, except for the following important items included in the statement of financial position:

• Financial instruments at fair value through profit or loss and other comprehensive income are measured at fair value.
• Investment properties are measured at fair value.