Boskalis Annual Report 2018

ANNUAL REPORT 2018 – BOSKALIS 138 To: the Shareholders and the Supervisory Board of Royal Boskalis Westminster N.V. REPORT ON THE AUDIT OF THE FINANCIAL STATEMENTS 2018 INCLUDED IN THE ANNUAL REPORT OUR OPINION We have audited the fnancial statements 2018 of Royal Boskalis Westminster N.V., based in Sliedrecht, the Netherlands. The fnancial statements include the consolidated fnancial statements and the company fnancial statements. In our opinion: ‚ ‚ The accompanying consolidated financial statements give a true and fair view of the financial position of Royal Boskalis Westminster N.V. as at 31 December 2018, and of its result and its cash flows for 2018 in accordance with International Financial Reporting Standards as adopted by the European Union (EU-IFRS) and with Part 9 of Book 2 of the Dutch Civil Code. ‚ ‚ The accompanying company financial statements give a true and fair view of the financial position of Royal Boskalis Westminster N.V. as at 31 December 2018, and of its result for 2018 in accordance with Part 9 of Book 2 of the Dutch Civil Code. The consolidated fnancial statements comprise: ‚ ‚ The consolidated statement of financial position as at 31 December 2018 ‚ ‚ The following statements for 2018: the consolidated statement of profit or loss, the consolidated statement of other comprehensive income, the consolidated statement of cash flows and the consolidated statement of changes in equity ‚ ‚ The notes comprising a summary of the significant accounting policies and other explanatory information The company fnancial statements comprise: ‚ ‚ The company statement of financial position as at 31 December 2018 ‚ ‚ The company statement of profit or loss and the statement of changes in shareholders’ equity for 2018 ‚ ‚ The notes comprising a summary of the accounting policies and other explanatory information BASIS OF OUR OPINION We conducted our audit in accordance with Dutch law, including the Dutch Standards on Auditing. Our responsibilities under those standards are further described in the “Our responsibilities for the audit of the fnancial statements” section of our report. We are independent of Royal Boskalis Westminster N.V. in accordance with the EU Regulation on specifc requirements regarding statutory audit of public-interest entities, the Wet toezicht accountantsorganisaties (Wta, Audit frms supervision act), the

INDEPENDENT AUDITOR’S REPORT

Verordening inzake de onafhankelijkheid van accountants bij assurance-opdrachten (ViO, Code of Ethics for Professional Accountants, a regulation with respect to independence) and other relevant independence regulations in the Netherlands. Furthermore we have complied with the Verordening gedrags- en beroepsregels accountants (VGBA, Dutch Code of Ethics).

We believe the audit evidence we have obtained is suffcient and appropriate to provide a basis for our opinion.

MATERIALITY

MATERIALITY

EUR 18.0 million (2017: EUR 18.0 million)

BENCHMARK APPLIED

0.75% of revenue

Based on our professional judgment we consider an activity based measure as the most appropriate basis to determine materiality. Given the current market conditions we consider revenue a stable and appropriate measure to determine materiality. We applied a percentage of 0.75%, which is the mid-end of an acceptable range.

EXPLANATION

We have also taken into account misstatements and/or possible misstatements that in our opinion are material for the users of the fnancial statements for qualitative reasons. We agreed with the Supervisory Board that misstatements in excess of EUR 0.9 million, which are identifed during the audit, would be reported to them, as well as smaller misstatements that in our view must be reported on qualitative grounds. SCOPE OF THE GROUP AUDIT Royal Boskalis Westminster N.V. is at the head of a group of entities. The fnancial information of this group is included in the consolidated fnancial statements of Royal Boskalis Westminster N.V. Our group audit mainly focused on signifcant group entities and joint ventures in terms of size and/or risk, within the operating segments Dredging & Inland Infra, Offshore Energy and Towage & Salvage. We performed most of the audit procedures at those segments ourselves. For the audit work in amongst others Australia, Mexico, Singapore, Germany, Finland and the UK, we used other EY network frms. We have used the work of other non-EY frms when auditing a number of group entities, especially in the Middle East and UK, which represented approximately 6% of the net turnover. Also certain joint ventures were audited by non-EY frms.