### ENABLING GLOBAL TRADE,
### LEADING POSITIVE CHANGE.
2021 ANNUAL REPORT
2021 highlights
Revenue* Underlying profit before Reported profit before Dividend per share
taxation*^ taxation
## £443.3m £69.4m £69.1m 84p
2020: £358.2m 2020: £44.7m 2020: £16.4m loss 2020: 79p
* Classed as a key performance indicator. Refer to page 28 for more
information.
^ Classed as an alternative performance measure. See below for
further details.
Contents

| Overview | Financial statements |
| --- | --- |
| At a glance IFC | Consolidated income statement 156 |
| Our purpose at Clarksons 1 | Consolidated statement of comprehensive income 156 |
| Roundtable: Bringing everyone together | Consolidated balance sheet 157 |
| to drive the green transition 2 | Consolidated statement of changes in equity 158 |

Consolidated cash flow statement 159

| Strategic Report | Notes to the consolidated financial statements 160 |
| --- | --- |
| Chair’s review 22 | Parent Company balance sheet 198 |
| Chief Executive Ocer’s review 24 | Parent Company statement of changes in equity 199 |
| Financial review 26 | Parent Company cash flow statement 200 |
| Key performance indicators 28 | Notes to the Parent Company financial statements 201 |

Business review, including:

| – Broking 30 | Other information |
| --- | --- |
| – Financial 40 | Alternative performance measures 218 |
| – Support 44 | Glossary 220 |
| – Research 46 | Five-year financial summary 223 |
| Our markets 50 | Principal trading oces 224 |

Our strategy 56
Our business model 58 Forward-looking statements
Certain statements in this Annual Report are forward-looking. Although
Our stakeholders 64
the Group believes that the expectations reflected in these forward-looking
Section 172 statement 66 statements are reasonable, it can give no assurance that these expectations
Our impact: will prove to have been correct. Because these statements involve risks and
uncertainties, actual results may dier materially from those expressed or
– Environmental 70
implied by these forward-looking statements. The Group undertakes no
– Task Force on Climate-Related Financial Disclosures 72 obligation to update any forward-looking statements whether as a result of
– Social (our people and our communities) 76 new information, future events or otherwise.
– Governance 84
Alternative performance measures (‘APMs’)
Risk management 87
Clarksons uses APMs as key financial indicators to assess the underlying
performance of the Group. Management considers the APMs used by the
Corporate Governance Report Group to better reflect business performance and provide useful information.
Our APMs include underlying profit before taxation and underlying earnings
Governance at a glance 96
per share. See pages 218 and 219 for further information on APMs.
Chair’s introduction to Corporate Governance Report 97
Code compliance 98 Employees, oces and countries
Board of Directors 99 Information related to employees, oces and countries where we operate is at
31 December 2021 unless otherwise stated.
Corporate Governance Report 104
Nomination Committee Report 110
Audit and Risk Committee Report 118
The Strategic Report on pages 22 to 95 was
Directors’ Remuneration Report 126
approved by the Board and signed on its behalf by:
Directors’ Report 143
Directors’ Responsibilities Statement 147
Independent Auditors’ Report 148
Je Woyda
Chief Financial Ocer & Chief Operating Ocer
4 March 2022
At a glance
Areas of operation
Where we operate
Broking Financial
Our broking services are unrivalled – in terms of the From full investment banking services to project
number and calibre of our brokers, our breadth of finance and the arrangement of dedicated finance
market coverage, geographical spread and depth of solutions for the shipping, oshore and natural
intelligence resources. resources markets, we help our clients fund
transactions and conclude deals that would often be
impossible via other more traditional routes.
Share of revenue Share of revenue
### £340.0m £56.0m
### 77% 12%

| Services | Number of employees | Services | Number of employees |
| --- | --- | --- | --- |
| – Dry cargo |  | – Securities |  |
|  | 1,197 |  | 103 |
| – Containers |  | – Project finance |  |
| – Tankers |  | – Structured asset finance |  |

– Specialised products
– Gas
– LNG
– Sale and purchase
– Oshore
– Renewables
– Futures
Key facts and figures
## 1 23
culture countries
## 52 1,693
oces employees
Support Research
Our teams provide the highest levels of support with Clarksons Research is the market leader in providing
24/7 attendance at a wide range of strategically located timely and authoritative intelligence on all aspects of
ports in the UK and Egypt, oering port services shipping. We provide data on over 160,000 vessels,
support, agency, freight forwarding, supplies and tools 30,000 machinery models, 47,000 companies and 900
for the marine and oshore industries. shipyards, as well as extensive trade and commercial
data and over 200,000 time series.
Share of revenue Share of revenue
### £29.6m £17.7m
### 7% 4%

| Services | Number of employees | Services | Number of employees |
| --- | --- | --- | --- |
| – Gibb Group |  | – Digital |  |
|  | 270 |  | 123 |
| – Stevedoring |  | – Services |  |

– Short sea broking
– Agency and freight
forwarding/customs
clearance
– Egypt agency
Our purpose at
Clarksons
Overview
Corporate Governance Financial statementsStrategic Report Other information
## Enabling global trade,
## leading positive change.
## We enable smarter, cleaner global
## trade by empowering our clients
## and our people to make better
## informed decisions using our
## market-leading technology and
## intelligence; and in doing so, meet
## the demands of the world’s rapidly
## evolving maritime, oshore, trade
## and energy markets.
1 Clarkson PLC | 2021 Annual Report
Bringing everyone together
to drive the green transition
Andi Case,
Chief Executive Ocer
“Together with our clients
we’re leaning into the green
transition. Collaboration
is at the heart of achieving
low carbon solutions in
our industry.”
Page 4
Christoer Svärd,
Chief Commercial Ocer,
Sea/ by Maritech
“Data insights help our
clients identify and evaluate
opportunities to drive a low
carbon shipping industry.”
Page 18 Our roundtable discussion brought
together expertise from across
the Group.
Kenneth Tveter,
Head of Green Transition
“I really believe we can work
with our stakeholders in the
industry to deliver more ecient
shipping by bringing together
our data, people and scale in
a strategy that changes the
maritime industry.”
Page 6
2 Clarkson PLC | 2021 Annual Report
Overview
Corporate Governance Financial statementsStrategic Report Other information
## Bringing everyone together
## to drive the green transition.
## Progress is never
Andi Case,
Chief Executive Ocer
## straightforward/ Page 4
## We’ve set o on our green
Kenneth Tveter,
Head of Green Transition
## transition journey/ Page 6
## Carbon broking provides
Duncan Lyall,
Head of Carbon Broking
## an immediate impact/ Page 8
## Strong tailwinds in oshore
Frederik Colban-Andersen,
Managing Director, Renewables
## wind this year/ Page 14
Christoer Svärd,
CCO at Sea/ by Maritech
## Near real-time data is here/ Page 18
3 Clarkson PLC | 2021 Annual Report
Bringing everyone together
to drive the green transition
continued
### “ Progress is never straightforward…
The drive towards a net zero economy is fundamentally
reshaping the way we operate, the way our industry works
and the way global trade happens. This green transition is
being driven by digital technologies that unlock data for
decision-making and by the renewable energy sources that
decarbonise our ships. We at Clarksons work closely with
our clients to lean into this transition, because I believe
there’s opportunity for everyone.
Due to constantly changing regulation in this space,
I’ve noticed that it’s easy to do nothing and wait for more
clarity, especially in the face of the countless options and
the global nature of the challenge. Progress is never
straightforward. We have charted our course by setting
up our Green Transition team in 2021. We are encouraging
action, ensuring that our research services and strategic
advice help our clients make the most of the opportunities
of the green transition, whilst taking seriously our
responsibility as a large player in the market.
4 Clarkson PLC | 2021 Annual Report
Overview
“We have to consider every opportunity to
lead positive change in our industry, and
enable global trade. Ensuring our Group-wide
expertise and data is readily available to our
clients will enable the industry to reach
sustainable solutions faster.”
Andi Case,
Chief Executive Ocer
Corporate Governance Financial statementsStrategic Report Other information
### …but the time for action is now.”
As we’re entering the decade of delivery, we are
encouraging everyone to take a positive step forward,
small or large. The time for action is now and waiting for
the perfect solution is the enemy of progress. For this,
as an industry, we need a stable and fair investment
climate, supported by targeted regulation. At Clarksons,
we consider every opportunity to enable global trade and
lead positive change. Ensuring our Group-wide expertise
and data is readily available to our clients will enable the
industry to reach sustainable solutions faster.
At the heart of our green transition journey sit innovation
and collaboration, both internally and externally. We want
to keep moving: try out every potential solution to make
global trade safer, cleaner and greener. This is part of our
culture, but we cannot do this alone. Bringing everyone
together around the table – as we have done here at this
roundtable – will enable us, our clients, our partners and
our people to accelerate the green transition.
5 Clarkson PLC | 2021 Annual Report
Bringing everyone together
to drive the green transition
continued
### “ We’ve set o on our green
### transition journey…
We launched Clarksons’ Green Transition team in 2021,
bringing together all the strands of activity around the
Group that contribute to helping our clients and industry
become more sustainable. Last year was also a bumper
year of regulatory announcements around the green
transition. Most importantly, from 2023, the European
Union has legislated to include every journey that starts or
ends in an EU port in its Emissions Trading System (‘ETS’).
And the International Maritime Organization launched
its mandatory Energy Eciency Existing Ship Index and
Carbon Intensity Indicator (‘CII’) rating scheme to reach
its target of 40% reduction in carbon emissions from
shipping by 2030. The CII particularly will have a
hugeimpact.
Despite moving more and more cargo every year,
the overall carbon footprint of the industry has actually
reduced by 14% since 2008. At Clarksons, we’ve set o
on our green transition journey and we are encouraged
to see initiatives being deployed across our peers and
industry. We’re certain that the regulatory changes
announced in 2021 will accelerate this pathway. But more
importantly, they create a fair and level playing field which
encourages investment in low carbon solutions for the
industry through collaboration and innovation.
6 Clarkson PLC | 2021 Annual Report
Overview
“Regulation is accelerating the green transition.
Importantly, this provides a fair and level
investment playing field for all players to step
up their environmental performance.”
Kenneth Tveter,
Head of Green Transition
Corporate Governance Financial statementsStrategic Report Other information
### …but we have some way to go
### before we arrive safely in port.”
Financing and operating the next generation of low
carbon vessels to facilitate global trade sits at the heart
of our green transition mission, and we see a growing
proportion of vessels using dual fuel propulsion to limit
their impact on the environment. There is also lots of
testing of newer, greener fuels such as ammonia and
methanol that could prove instrumental in the future
to fully decarbonise maritime activity.
Beyond the transition to greener fuels, we at Clarksons
are also working closely with our clients to use digital
technology to deliver a more sustainable industry:
for instance, by using emissions data to facilitate more
ecient transport logistics or deliver carbon osets.
We’re also excited about the growing opportunity to
accelerate the energy transition through providing
expertise around better and greener ways of building
and supporting oshore wind. As part of the shift to
renewable energy, we think that there is huge potential
in energy storage to create the low carbon economy
of the future.
7 Clarkson PLC | 2021 Annual Report
Bringing everyone together
to drive the green transition
continued
### “ Carbon broking provides an
### immediate impact…
Together with my team, I spent 2021 focused on ensuring
that ‘forewarned is forearmed’ for our clients and partners.
That’s because shipping is shifting from a strictly
voluntary approach to a statutory regime on carbon
emissions in the EU by 2023. We launched the carbon
broking team to support our clients in preparing for its
phased introduction. This is happening against the
backdrop of similar global developments and the push
for a global, voluntary market to tackle climate change.
We strongly believe that anyone getting ready now will
have a head start in a few years.
At a time of rising prices and complexity in the market,
we advise our clients on all the variables around the
carbon markets – but the most important is the carbon
exposure. With that in hand, we’ve seen that it is
increasingly important in 2021 for our clients to find
osets that have a wider impact, both on climate change
and on local communities. Because that’s what we’re all
after: making an immediate contribution to tackling
climate change.
8 Clarkson PLC | 2021 Annual Report
Overview
“As an industry, forewarned is forearmed
when it comes to carbon markets. In the
future, carbon broking can help accelerate
the green transition.”
Duncan Lyall,
Head of Carbon Broking
Corporate Governance Financial statementsStrategic Report Other information
### …and sets the stage for huge
### environmental transformation.”
In 2021, the EU carbon price almost tripled as
energy prices soared and the global political focus
on climate change action intensified. The voluntary
markets mirrored this rise. We think this will have
a huge impact on driving further environmental
action. We already see clients using the carbon
price to evaluate the additional costs of transport
options, both by including the costs of emissions
compliance but also by reflecting the carbon
osetting costs of individual cargo.
We also think that all of this will lead to a gradual
mindset shift inside our industry, with the principle
of the ‘polluter pays’ spurring environmental action
across the supply chain. We’re excited about the
opportunity to advise our clients on both managing
their carbon exposure and also the zero carbon
solutions available to them. We think there’s scope
for a huge environmental transformation, where
for the first time the polluter truly pays and is
spurred on to find ways of avoiding their
expensive emissions.
9 Clarkson PLC | 2021 Annual Report
Bringing everyone together
to drive the green transition
continued
### The past decade has
### seen seven of the
### warmest years on
### record and in 2021
### levels of atmospheric
### CO reached an
2
### all-time high.
Stephen Gordon
Managing Director, Clarksons Research
The need to transition to a green and sustainable
economy is an urgent priority for society and the
shipping industry must play its role in drastically reducing
greenhouse gas emissions whilst also managing changes
in oshore energy production and seaborne energy
trade. I believe the data and intelligence that we have,
developed over many years at Clarksons, will help frame
the critical decisions that stakeholders across maritime
will need to make to facilitate the vital green transition.
We are just at the start of a huge fuel transition, with
a fleet renewal programme that will require massive
investment, technology change and innovation. Just 4%
of tonnage on the water is alternative fuelled but already
the figure is 36% for the newbuilding programme.
The energy transition itself will also impact trends in
maritime trade, with nearly 40% of seaborne trade,
equivalent to 4.3bn tonnes, energy transportation.
Oshore wind has reached 0.3% of global energy supply,
compared to 17% for oshore oil and gas, but has begun
an exciting growth phase and has the potential to play
a vital role in energy transition.
10 Clarkson PLC | 2021 Annual Report
Overview
“Our digital platforms, including World
Fleet Register and Renewables Intelligence
Network, provide millions of data points
around the progress and complexities of
the green transition for maritime.”
Stephen Gordon,
Managing Director, Clarksons Research
Corporate Governance Financial statementsStrategic Report Other information
11 Clarkson PLC | 2021 Annual Report
Bringing everyone together
to drive the green transition
continued
### Our comprehensive
### range of port agency
### services allows us to
### oer a ‘one stop shop’
### for oshore energy
### industries.
Mobilisation of concrete silo for a grouting
operation at an oshore wind farm
The port services team is pleased to have
supported N-Sea Group during their campaign
on Galloper Oshore Wind Farm. N-Sea needed
to stabilise Subsea Cable Protection Systems on
20 live cable locations using a ROV (Remotely
Operated Vessel) based solution and rock bags.
We provided the necessary vessels, logistics,
and port agency requirements to help our client
achieve its goals.
12 Clarkson PLC | 2021 Annual Report
Overview
Corporate Governance Financial statementsStrategic Report Other information
13 Clarkson PLC | 2021 Annual Report
Bringing everyone together
to drive the green transition
continued
### “ Strong tailwinds in oshore
### wind this year…
We continue to see strong overall yields and confidence in
wind energy. The market in 2021 saw unprecedented levels
of investment, with China coming out in front as the largest
producer. We can see that the additional renewable energy
capacity that is needed as part of the energy transition is in
place, in progress or ready to be developed. At Clarksons,
we’re excited to work at the heart of this fast-moving space.
We work closely with our clients to make the most of
the opportunity in oshore wind energy. Our expertise
supporting oshore wind during its development and
operational phase is built on our extensive track record in
Northern and Western Europe. We are using that insight
to advise our global client base as they consider their
investment in renewables. That includes, for example,
advising on new and greener vessel types, which are being
developed to meet the specific needs of oshore wind.
That way we’re minimising the environmental impact of
creating more renewable capacity.
14 Clarkson PLC | 2021 Annual Report
Overview
“Supporting the growing oshore
wind industry helps us drive the
green transition.”
Frederik Colban-Andersen,
Managing Director, Renewables
Corporate Governance Financial statementsStrategic Report Other information
### …create growth opportunities in
### the green transition for everyone.”
All of this points to a larger opportunity in the green
transition for us as more renewable capacity becomes
available; its main drawback is that it’s intermittent
(i.e. only when it’s windy). On days we have surplus
capacity, it’s important that we find ways of storing the
additional energy we produce, so that we can draw on
it later. At the moment, this is predominantly done in
battery energy storage.
It’s at the forefront of renewable energy that we see
great opportunities, especially in exploring the ‘Power-2-X’.
For us, this means supporting the development of new
technologies, such as hydrogen, to store excess renewable
energy. The main advantage of these is that energy is
stored in a way that can be easily transported. This is an
example where working together with our clients can make
an exciting contribution to the green transition.
15 Clarkson PLC | 2021 Annual Report
Bringing everyone together
to drive the green transition
continued
16 Clarkson PLC | 2021 Annual Report
Overview
### The US wind market is
### poised to reach 20 GW
### by 2030. That’s 150
### turbines installed each
### year for the next nine
### years, and the renewables Corporate Governance Financial statementsStrategic Report Other information
### team is perfectly placed
### to support this massive
### growth market.
Frederik Colban-Andersen,
Managing Director, Renewables
Sometimes the brokers are fortunate enough to be
invited to see the finished product of the services they
render, as illustrated here when Frederik Colban-
Andersen, Managing Director, Renewables, had the
opportunity to go oshore to visit the Dominion Test
Oshore wind farm, Virginia, USA. Clarksons acted as
broker to the EPCI contractor involving resources across
our Hamburg, Oslo and Houston teams.
17 Clarkson PLC | 2021 Annual Report
Bringing everyone together
to drive the green transition
continued
### “ Near real-time data is here…
The adoption of digital tools in the shipping industry
received a shot in the arm from the rapid regulatory
changes of 2021. Already widely in place to facilitate
eciency at sea and in port, it has now become essential
for us and for our clients to be able to foresee, monitor
and minimise environmental impacts accurately. In 2021
we integrated the ability for near real-time emissions data
capture and analysis into our Sea/ platform. We focused
on working with our clients to fully understand their
challenges and what data they needed to help drive
cleaner decisions.
Digital technologies are driving better decision-making
around greener, cleaner and safer journeys, whether it’s
about analysing ship speed to minimise environmental
impact or avoiding emissions through enhanced voyage
analysis combining propriety data sources with client
data. Handling data eectively is now increasingly
important for the entire industry, not just from a
regulatory compliance point of view but also in terms
of extracting insights and learnings to create a greener
industry. We’re helping our clients get on top of this
rapidly developing field by making this data available
within the day-to-day digital tools that they utilise for
chartering and fixture management.
18 Clarkson PLC | 2021 Annual Report
Overview
“Data and digital technology are at
the heart of the green transition of
the shipping industry.”
Christoer Svärd,
Chief Commercial Ocer
Sea/ by Maritech
Corporate Governance Financial statementsStrategic Report Other information
### …and it will drive sustainable
### behavioural change.”
Whereas the focus in the short term is on data
management, the longer-term focus is on using data
and data technologies to drive behavioural change
across the industry. Although data can’t directly impact
emissions, it gives us the necessary tools to influence
and change people’s decisions and behaviours. This
starts with ensuring that real-time mapping drives
decisions both on- and o-shore by embedding
a data-fluent culture.
With continued investment and evolution of our tool
set, we can expand data beyond the usual suspects and
look into other greenhouse gases like methane. This is
the future: purposeful data shared between parties to
drive further positive outcomes for our industry,
reducing fuel and emissions and avoiding delays
and congestion.
19 Clarkson PLC | 2021 Annual Report
Bringing everyone together
to drive the green transition
continued
20 Clarkson PLC | 2021 Annual Report
Overview
### Tracking CO across the
2
### globe to help reduce
### emissions
Corporate Governance Financial statementsStrategic Report Other information
In 2021 we launched SeaCarbon/, a complete
CO 2 shipping toolkit.
So far we’ve tracked:*
## 1,500+
voyages
## 11 million
nautical miles
## 5.59 million
tonnes of CO 2
* Data as at 22 February 2022.
21 Clarkson PLC | 2021 Annual Report