| FINANCIAL INSTRUMENTS | FINANCIAL INSTRUMENTS 29.1 - Categories of financial instruments As of December 31, 2023 FVTPL FVTOCI Amortized cost Financial assets Cash and cash equivalents — — 307,223 Investments Mutual funds 13,570 — — Commercial Papers 2,500 — — Contribution to funds — — 1,833 Trade receivables — — 499,283 Other assets — — 35,841 Other receivables — — 17,474 Other financial assets Convertible notes 9,110 — — Foreign exchange forward contracts 2,330 8,078 — Equity instruments — 29,354 — Interest rate SWAP 852 — — Equity forward contract — 558 — As of December 31, 2023 FVTPL FVTOCI Amortized cost Financial liabilities Trade payables — — 119,477 Borrowings — — 159,107 Other financial liabilities (1) Other financial liabilities related to business combinations 95,216 — 72,287 Foreign exchange forward contracts 308 3 — Equity forward contract — 1,167 — Others — — 28 Lease liabilities — — 118,736 Other liabilities — — 896 (1) The Company recognized a put option liability for 75,813 (see note 3.13.3) related to the minority interest of GUT. Changes in the measurement of the redemption amount are recognized in the statements of changes in equity . As of December 31, 2022 FVTPL FVTOCI Amortized cost Financial assets Cash and cash equivalents — — 292,457 Investments Mutual funds 47,009 — — Contribution to funds — — 1,513 Bills issued by the Treasury Department of the U.S. ("T-Bills") — 1,399 — Trade receivables — — 424,810 Other assets — — 25,854 Other receivables — — 12,122 Other financial assets Convertible notes 6,684 — — Foreign exchange forward contracts 552 2,957 — Equity instruments — 27,892 — Interest rate SWAP 3,416 — — Others — — 6 Financial liabilities Trade payables — — 91,313 Borrowings — — 3,699 Other financial liabilities Foreign exchange forward contracts 2,004 1,571 — Other financial liabilities related to business combinations 54,667 — 65,857 Put option on minority interest of Walmeric — 9,386 Equity forward contract — 3,886 — Lease liabilities — — 135,138 Other liabilities — — 808 29.2 - Market risk The Company is exposed to a variety of risks: market risk, including the effects of changes in foreign currency exchange rates and interest rates, and liquidity risk. The Company's overall risk management program focuses on the unpredictability of financial markets and seeks to minimize potential adverse effects on the Company's financial performance. The Company does not use derivative instruments to hedge its exposure to risks, apart from those mentioned in note 29.10 and 29.11. 29.3 - Foreign currency risk management The Company undertakes transactions denominated in foreign currencies; consequently, exposures to exchange rate fluctuations arise. Except for the subsidiaries that have its local currency as functional currency, the functional currency of the Company and its subsidiaries is the U.S. dollar. In 2023, 72.27% of the Company's revenues are denominated in U.S. dollars. Because the majority of its personnel are located in Latin America, the Company incurs the majority of its operating expenses and capital expenditures in non-U.S. dollar currencies, primarily the Colombian peso, Mexican peso, Chilean peso, Peruvian sol, Uruguayan peso and Brazilian real. Operating expenses are also significantly incurred in Indian Rupee, Great Britain Pound and European Union Euros. Foreign exchange sensitivity analysis The Company is mainly exposed to Argentine pesos, Australian Dollar, Chilean pesos, Colombian pesos, Danish Krone, Indian rupees, European Union euros, Mexican pesos, Pounds sterling and Uruguayan pesos. The following tables illustrate the Company's sensitivity to increases and decreases in the U.S. dollar against the relevant foreign currency. The following sensitivity analysis includes outstanding foreign currency denominated monetary items at December 31, 2023 and adjusts their translation at the year-end for changes in U.S. dollars against the relevant foreign currency. Gain/(loss) Account Currency Amount % Increase Amount % Decrease Amount Net balances Argentine pesos 6,573 30 % (1,517) 10 % 730 Australian Dollar (16,018) 10 % 1,456 10 % (1,780) Chilean pesos (191) 10 % 17 10 % (21) Colombian pesos (49,959) 10 % 4,542 10 % (5,551) Danish Krone (11,052) 10 % 1,005 10 % (1,228) Indian Rupees (21,514) 10 % 1,956 10 % (2,390) European Union euros 6,705 10 % (610) 10 % 745 Mexican pesos (4,403) 10 % 400 10 % (489) Pound sterling (4,662) 10 % 424 10 % (518) Uruguayan pesos (10,131) 10 % 921 10 % (1,126) TOTAL (104,652) 8,594 (11,628) As explained in note 29.10, the subsidiaries in Argentina, Colombia, United States, Mexico, Chile and Uruguay entered into foreign exchange forward and future contracts in order to mitigate the risk of fluctuations in the foreign exchange rate and reduce the impact in the financial statements. The effect in equity of the U.S. dollar fluctuation against the relevant foreign currency as of December 31, 2023, is not material. Depreciation of the Argentine Peso During 2023, the Argentine peso experienced a 355.7% devaluation from 177.06 Argentine peso per U.S dollar to 806.95 Argentine peso per U.S dollar. During 2022, the Argentine peso experienced a 72.5% devaluation from 102.62 Argentine peso per U.S dollar to 177.06 Argentine peso per U.S dollar. 29.4 - Interest rate risk management The Company's exposure to market risk for changes in interest rates relates primarily to its cash and bank balances and its credit facilities. The Company's credit line in the U.S. bear interest at a fixed rate between 1.25% or 1.88% depending on the amount borrowed. During the beginning of 2021 the Company chose to discontinue the hedge accounting of the remaining interest rate swap acquired during 2020, since the hedged future cash flows were no longer expected to occur. As of December 31, 2022 and 2021, the Company has recognized a loss of 255 and a gain of 132 included in the line item "Other comprehensive income", respectively. As of December 31, 2023, 2022 and 2021 the Company has recognized a net gain of 356, 3,701 and 837, respectively, through results of profit and loss. Interest rate swap assets and liabilities are presented in the line item "Other financial assets" and "Other financial liabilities" within the statements of financial position, respectively. Interest rate swap contracts outstanding as of December 31, 2023 and 2022: Floating rate Fixed rate Fair value Maturity Date Notional receivable payable assets / (liabilities) Instruments for which hedge accounting has been discontinued Current March 11, 2024 15,000 SOFR 0.647 % 181 March 12, 2024 20,000 SOFR 0.566 % 245 April 30, 2024 25,000 SOFR 0.355 % 426 Fair value as of December 31, 2023 852 Instruments for which hedge accounting has been discontinued March 31, 2023 15,000 1month LIBOR 0.511 % 155 March 11, 2024 15,000 1month LIBOR 0.647 % 771 March 12, 2024 20,000 1month LIBOR 0.566 % 1,045 April 30, 2024 25,000 1month LIBOR 0.355 % 1,445 Fair value as of December 31, 2022 3,416 29.5 – Liquidity risk management The Company's primary sources of liquidity are cash flows from operating activities and borrowings under credit facilities. See note 21. Management monitors rolling forecasts of the Company's liquidity position on the basis of expected cash flow. The table below analyzes financial liabilities into relevant maturity groups based on the remaining period at the balance sheet date to the contractual maturity date. The amounts disclosed in the table are the contractual undiscounted cash flows. Expected Maturity Date 2024 2025 2026 Thereafter Total Trade payables 124,545 1,585 686 710 127,526 Borrowings 157,654 738 715 — 159,107 Lease liabilities 48,389 35,102 24,037 66,392 173,920 Other financial liabilities (*) 80,170 90,383 42,051 30,411 243,015 TOTAL 410,758 127,808 67,489 97,513 703,568 (*) The amounts disclosed in the line of other financial liabilities do not include foreign exchange forward contracts, equity forward contracts and 57,849 related to business combinations payments through subscription agreements. 29.6 - Concentration of credit risk The Company derives revenues from clients in the U.S. (approximately 58%) and clients related from diverse industries. For the years ended December 31, 2023, 2022 and 2021, the Company's top five clients accounted for 22.9%, 25.6% and 26.7% of its revenues, respectively. One single customer accounted for 8.7%, 10.7% and 10.9% of revenues for the years ended December 31, 2023, 2022 and 2021. Credit risk from trade receivables is considered to be low because the Company minimize the risk by setting credit limits for its customers, which are mainly large and renowned companies. Cash and cash equivalents and derivative financial instruments are considered to have low credit risk because these assets are held with widely renowned financial institutions (see note 13) . 29.7 - Fair value of financial instruments that are not measured at fair value Except as detailed in the following table, the carrying amounts of financial assets and liabilities included in the consolidated statement of financial position as of December 31, 2023 and 2022, are a reasonable approximation of fair value due to the short time of realization. As of December 31, 2023 As of December 31, 2022 Carrying amount Fair value Carrying amount Fair value Non-current assets Other receivables Guarantee deposits 7,558 6,447 5,942 5,686 Other assets 4,088 3,486 10,657 9,780 Non-current liabilities Trade payables 2,981 2,779 5,445 5,053 Borrowings 2,191 1,907 861 645 29.8 - Fair value measurements recognized in the consolidated statement of financial position The following table provides an analysis of financial instruments that are measured subsequent to initial recognition at fair value, grouped into a three-level fair value hierarchy as mandated by IFRS 13, as follows: Level 1 fair value measurements are those derived from quoted market prices (unadjusted) in active markets for identical assets or liabilities. Level 2 fair value measurements are those derived from inputs other than quoted prices included within Level 1, that are observable for the asset or liability, either directly (i.e., as prices) or indirectly (i.e., derived from prices). Level 3 fair value measurements are those derived from unobservable inputs for the assets or liabilities. As of December 31, 2023 Level 1 Level 2 Level 3 Total Financial assets Mutual funds (1) — 13,570 — 13,570 Commercial Papers 2,500 — — 2,500 Foreign exchange forward contracts — 10,408 — 10,408 Convertibles notes — — 9,110 9,110 Equity instrument — — 29,354 29,354 Interest rate SWAP — 852 — 852 Equity forward contract — 558 — 558 Financial liabilities Contingent consideration — — 95,216 95,216 Foreign exchange forward contracts — 311 — 311 Equity forward contract — 1,167 — 1,167 As of December 31, 2022 Level 1 Level 2 Level 3 Total Financial assets Mutual funds (1) — 47,009 — 47,009 Bills issued by the Treasury Department of the U.S. ("T-Bills") 1,399 — — 1,399 Foreign exchange forward contracts — 3,509 — 3,509 Convertibles notes — — 6,684 6,684 Equity instrument — — 27,892 27,892 Interest rate SWAP — 3,416 — 3,416 Financial liabilities Contingent consideration — — 54,667 54,667 Foreign exchange forward contracts — 3,575 — 3,575 Equity forward contract — 3,886 — 3,886 (1) Mutual funds are measured at fair value through profit or loss, based on the changes of the fund's net asset value. There were no transfers of financial assets and liabilities between Level 1, Level 2 and Level 3 during the period. The Company has applied the market approach technique in order to estimate the price at which an orderly transaction to sell the asset or to transfer the liability would take place between market participants at the measurement date under current market conditions. The market approach uses prices and other relevant information generated by market transactions involving identical or comparable (i.e., similar) assets, liabilities or a group of assets and liabilities. When the inputs required by the market approach are not available, the Company applies the income approach technique. The income approach technique estimates the fair value of an asset or a liability by converting future amounts (e.g. cash flows or income and expenses) to a single current (i.e. discounted) amount. When the income approach is used, the fair value measurement reflects current market expectations about those future amounts. 29.9 Level 3 29.9.1 Contingent consideration As described in note 26.1, certain acquisitions included contingent consideration agreements which are payable on a deferred basis and which will be subject to the occurrence of certain events relating to the acquired company's financial performance like revenue, gross margin and operating margin. The actual amounts to be paid under the contingent consideration arrangements may be increased proportionally to the target's achievements and are not subject to any maximum amount. The fair values of the contingent consideration arrangements are estimated by using a probabilistic framework such as Montecarlo simulation where each iteration was discounted to present value using a discount rate. In other cases the contingent consideration was estimated by discounting to present value using a risk-adjusted discount rate. The Company also performed an estimation of the potential minimum amount of all future payments that could be required to be made under the agreements. As of December 31, 2023 the nominal value, minimum amount and fair value amounted to 107,920, 64,083, and 95,216, respectively. As of December 31, 2022 the nominal value, minimum amount and fair value amounted to 69,005, 61,683, and 54,667, respectively. During 2023 the Company paid the aggregate consideration of 24,086 related to the target achievements during the year 2022. As of December 31, 2023, 2022, and 2021 the results from remeasurement of the contingent considerations resulted in a net gain of 4,227, 967, and a net loss of 4,322, respectively. During 2023 it mainly includes a loss of 5,555 related to eWave and Genexus acquisition, and a gain of 9,665 related to Experience IT, Walmeric and KTBO acquisition. The following table summarizes the quantitative information about the significant unobservable inputs used in level 3 fair value measurements: Description Fair Value at December 31, 2023 Unobservable inputs Range of inputs Relationship of unobservable inputs to Fair Value Contingent consideration 95,216 Risk adjusted discount rate Between 3.70% and 13.3% An increase in the discount rates by 1% would increase the fair value by $3,298 and a decrease in the discount rates by 1% would increase the fair value by $3,689 Contingent consideration 95,216 Expected revenues Between 9,559 and 51,671 An increase in the expected revenues by 10% would increase the fair value by $13,134 and a decrease in the expected revenues by 10% would decrease the fair value by $8,754 Contingent consideration 95,216 Expected operating margin Between 27.90% and 63.00% An increase in the expected operating margin by 10% would increase the fair value by $2,825 and a increase in the expected operating margin by 10% would decrease the fair value by $1,879 29.9.2 Convertible notes As described in note 3.12.8, the Company entered into several convertible notes that include the right to convert the outstanding amount into equity shares of the invested companies. The fair value of such convertible notes was estimated using unobservable inputs. The amounts of gains and losses for the period related to changes in the fair value of the convertible notes were not material. 29.9.3. Reconciliation of recurring fair value measurements categorized within Level 3 The following table shows the reconciliation of recurring fair value measurements categorized within Level 3 of the fair value hierarchy: Financial Assets Financial liabilities Convertible notes Equity instrument Contingent consideration December 31, 2021 3,875 22,088 58,180 Fair value remeasurement (1) — 285 (967) Acquisition of business (1) — — 32,992 Acquisition of investment (3) 2,667 5,519 — Payments (2) — — (28,717) Interests (1) 146 — 1,484 Reclassifications (1) — — (5,060) Foreign exchange difference (1) (4) — (1,528) Translation (1) — — (890) Others (1) — — (827) December 31, 2022 6,684 27,892 54,667 Financial Assets Financial liabilities Convertible notes Equity instrument Contingent consideration December 31, 2022 6,684 27,892 54,667 Fair value remeasurement (1) — (286) (4,227) Acquisition of business (1) — — 59,062 Acquisition of investment (3) 2,367 1,748 — Payments (2) — — (24,086) Interests (1) 59 — 3,641 Reclassifications (1) — — 5,736 Foreign exchange difference (1) — — 1,153 Translation (1) — — 823 Others (1) — — (1,553) December 31, 2023 9,110 29,354 95,216 ( 1) Non-cash transactions. (2) Cash transactions included in investing activities, except for remeasurement of contingent considerations which are in operating activities, in the Consolidated Statement of Cash Flows. (3) As of December 31, 2023 and 2022 the amount of 1,748 and 5,148, respectively were Cash transactions included in investing activities in the consolidated statement of cash flows. 29.10 Foreign exchange futures and forward contracts During 2023 and 2022, certain subsidiaries from Argentina, Uruguay, Chile, Colombia and Mexico acquired foreign exchange forward contracts with certain banks in U.S. dollars, with the purpose of hedging the possible decrease of assets' value held in the local currencies from each country, due to the risk of exposure to fluctuations in those foreign currencies and a subsidiary in the United States of America has also acquired foreign exchange forward contracts with certain banks, with the purpose of h edging the exposure in currencies different than U.S dollar. Those contracts were recognized, according to IFRS 9, as financial assets at fair value through profit or loss. For the years ended December 31, 2023 and 2022, the Company recognized a net gain of 13,045 and a net loss of 13,727, respectivel y. As of December 31, 2023 and 2022, the foreign exchange forward contracts that were recognized as financial assets and liabilities at fair value through profit or loss were as follows: Currency Foreign currency Notional foreign Fair value assets / Settlement date from contracts rate from contracts currency rate (liabilities) January 31, 2024 Australian Dollar 1.54 1.46 789 January 31, 2024 Danish Krone 6.82 6.71 172 January 31, 2024 Pound Sterling 0.82 0.78 63 January 31, 2024 Pound Sterling 0.79 0.78 14 January 31, 2024 Uruguayan Peso 39.46 39.21 29 January 31, 2024 Indian Rupee 83.51 83.31 19 January 31, 2024 Indian Rupee 83.44 83.25 17 January 31, 2024 Euro 0.91 0.90 8 January 31, 2024 Colombian Peso 4,006.50 3,846.04 336 January 31, 2024 Colombian Peso 4,005.08 3,846.03 333 January 31, 2024 Colombian Peso 4,004.07 3,846.02 331 February 29, 2024 Colombian Peso 3,898.50 3,868.41 62 February 29, 2024 Colombian Peso 3,907.00 3,866.64 83 February 29, 2024 Colombian Peso 3,901.80 3,865.84 74 Fair value as of December 31, 2023 2,330 January 31, 2023 Argentinian Peso 191.95 192.57 17 January 31, 2023 Mexican Peso 19.87 19.59 71 January 31, 2023 Colombian Peso 4,847.49 4,834.53 21 January 31, 2023 Colombian Peso 4,858.43 4,834.53 38 January 31, 2023 Colombian Peso 4,856.25 4,834.53 35 February 28, 2023 Indian Rupee 83.05 82.98 7 February 28, 2023 Pound Sterling 1.21 1.21 33 February 28, 2023 Chilean Peso 856.55 861.90 76 April 28, 2023 Danish Krone 6.93 6.89 58 April 28, 2023 Australian Dollar 0.67 0.68 196 Fair value as of December 31, 2022 552 Currency Foreign currency Notional foreign Fair value assets / Settlement date from contracts rate from contracts currency rate (liabilities) January 31, 2024 Chilean Peso 876.95 875.93 (10) February 29, 2024 Chilean Peso 890.85 877.33 (120) February 29, 2024 Uruguayan Peso 39.36 39.37 (1) February 29, 2024 Australian Dollar 1.46 1.46 (89) April 3, 2024 Danish Krone 6.67 6.72 (88) Fair value as of December 31, 2023 (308) January 31, 2023 Chilean Peso 920.50 858.02 (557) January 31, 2023 Chilean Peso 919.60 858.02 (550) January 31, 2023 Chilean Peso 920.20 858.02 (555) January 31, 2023 Colombian Peso 4,774.65 4,831.78 (111) January 31, 2023 Indian Rupee 81.92 82.85 (111) February 28, 2023 Colombian Peso 4,810.50 4,860.91 (97) February 28, 2023 Mexican Peso 19.63 19.69 (23) Fair value as of December 31, 2022 (2,004) The most frequently applied valuation techniques include forward pricing models. The models incorporate various inputs including: foreign exchange spot, interest rates curves of the respective currencies and the term of the contract. 29.11 Hedge accounting During the year ended December 31, 2023, the Argentine subsidiary, Sistemas Globales S.A. acquired foreign exchange futures contracts through SBS Sociedad de Bolsa S.A. (SBS) in U.S. dollars, with the purpose of hedging the possible decrease of revenues' expected in Argentine Pesos. The Company designated those futures as hedging instruments in respect of foreign currency risk in cash flow hedges. These futures contracts have daily settlements, in which the futures value changes daily. Sistemas Globales S.A. recognize daily variations in SBS primary accounts, and the gains or losses generated by each daily position through other comprehensive income. Thus, at the closing of each day, according to the future price of the exchange rate U.S. Dollar – Argentine peso, the companies perceive a gain or loss for the difference. As of December 31, 2023, the accrued valuation of the last day of the month will be settled with the bank in the first day of the next month, so the value recognize in the financial statements is the amount pending to settle with the bank for the last day valuation. As of December 31, 2023 the Company maintained one foreign exchange futures contracts with a matu rity date of December 29, 2023 and 1 recognized as Other financial liabilities in the balance sheet. As of December 31, 2023, the Company has recognized a net loss 38 included in Revenues. Pursuant to these contracts, Sistemas Globales S.A. is required to maintain collaterals in an amount equal to a percentage of the notional amounts purchased until settlement of the contracts. Sistemas Globales maintained collaterals in Mutual funds in SBS primary account. This ensures minimal funding, in case SBS has to transfer funds to "Mercado a Término de Rosario S.A" (ROFEX) if losses are generated by daily settlements. This amount must also remain restricted during the term of the contracts. As of December 31, 2023, collaterals regarding the transactions are restricted assets for an amount of 218 in Mutual funds included as investments. As of December 31, 2022, the Company did not maintain any futures contracts. During 2022, certain subsidiaries from Chile, Colombia, India, Brazil, Peru and the United States of America entered into foreign exchange forward and future contracts to manage the foreign currency risk associated with the salaries payable in the local currency of each country. During 2023 the subsidiaries from Chile, Colombia, India, Brazil, Uruguay, United States of America and Mexico entered into foreign exchange forward contracts to manage the foreign currency risk associated with the salaries payable in the local currency of each country The Company designated those derivatives as hedging instruments in respect of foreign currency risk in cash flow hedges. Hedges of foreign exchange risk on firm commitments are accounted for as cash flow hedges. The effective portion of changes in the fair value of derivatives and other qualifying hedging instruments that are designated and qualify as cash flow hedges are recognized in other comprehensive income and accumulated under the heading of cash flow hedging reserve, limited to the cumulative change in fair value of the hedged item from inception of the hedge. The gain or loss relating to the ineffective portion is recognized immediately in profit or loss, and is included in the ‘finance income’ or ‘finance expense’ line items. Amounts previously recognized in other comprehensive income and accumulated in equity are reclassified to profit or loss in the periods when the hedged item affects profit or loss, in the same line as the recognized hedged item (i.e. Salaries, employee benefits and social security taxes). As of December 31, 2023, the Company has recognized a net gain of 21,997 and during the years ended December 31, 2022 and 2021, the Company has recognized a net loss of 2,332 and 136, respectively, included in Salaries, employee benefits and social security taxes and a net gain of 6,604, gain of 1,305 and a net loss of 131, respectively, included in other comprehensive income. During 2020, Globant, LLC entered into four interest rate swap transactions with the purpose of hedging the exposure to variable interest rate related to the Amended and Restated Credit Agreement with certain financial institutions. By the end of that year the Company chose to discontinue three of the four interest rate swap transaction. During the year ended December 31, 2021, the Company chose to discontinue the remaining interest rate swap since the hedged future cash flows were no longer expected to occur. As of December 31, 2022 and 2021, the Company recognized a loss of 255 and a gain of 132, respectively, included in the line item "Other comprehensive income". The Company designated those derivatives as hedging instruments in respect of interest rate risk in cash flow hedges. Hedges of interest rate risk on recognized liabilities are accounted for as cash flow hedges. Foreign currency forward contract and interest rate swap assets and liabilities are presented in the line ‘Other financial assets’ and ‘Other financial liabilities’ within the statement of financial position. The following table detail the foreign currency forward contracts outstanding as of December 31, 2023: Hedging instruments - Outstanding contracts Currency Foreign currency Notional foreign Fair value assets / Settlement date from contracts rate from contracts currency rate (liabilities) January 25, 2024 Indian Rupee 83.53 83.29 9 January 25, 2024 Indian Rupee 83.53 83.29 6 January 31, 2024 Uruguayan Peso 40.55 39.22 127 January 31, 2024 Mexican Peso 18.30 17.05 504 January 31, 2024 Colombian Peso 4,314.50 3,849.10 1,129 January 31, 2024 Colombian Peso 4,445.50 3,850.40 1,366 January 31, 2024 Chilean Peso 923.00 876.27 263 January 31, 2024 Brazilian Real 5.18 4.87 187 February 27, 2024 Indian Rupee 83.64 83.39 9 February 27, 2024 Indian Rupee 83.64 83.39 6 February 29, 2024 Uruguayan Peso 40.30 39.61 87 February 29, 2024 Mexican Peso 18.78 17.16 639 February 29, 2024 Colombian Peso 4,415.71 3,875.77 800 February 29, 2024 Chilean Peso 924.70 877.77 264 February 29, 2024 Colombian Peso 4,074.90 3,869.88 263 February 29, 2024 Colombian Peso 4,177.65 3,871.87 479 February 29, 2024 Brazilian Real 5.21 4.89 197 March 26, 2024 Indian Rupee 83.55 83.47 3 March 26, 2024 Indian Rupee 83.54 83.47 2 March 27, 2024 Mexican Peso 18.83 17.24 625 March 27, 2024 Colombian Peso 4,440.00 3,901.25 794 March 27, 2024 Chilean Peso 935.50 879.35 312 April 25, 2024 Indian Rupee 83.70 83.62 3 April 25, 2024 Indian Rupee 83.70 83.62 2 April 25, 2024 Indian Rupee 83.72 83.62 2 Fair value as of December 31, 2023 8,078 January 31, 2023 Brazilian Real 5.36 5.25 55 January 31, 2023 Chilean Peso 995.20 858.02 789 March 31, 2023 Chilean Peso 994.25 866.45 685 April 28, 2023 Colombian Peso 5,161.25 4,919.18 283 April 28, 2023 Colombian Peso 5,160.00 4,918.15 388 February 28, 2023 Chilean Peso 992.20 861.47 708 January 31, 2023 Indian Rupee 83.66 83.15 42 February 23, 2023 Indian Rupee 83.15 82.98 6 February 23, 2023 Indian Rupee 83.01 82.98 1 Fair value as of December 31, 2022 2,957 Currency Foreign currency Notional foreign Fair value assets / Settlement date from contracts rate from contracts currency rate (liabilities) January 25, 2024 Argentine Peso 560.00 808.48 (1) January 25, 2024 Indian Rupee 83.21 83.28 (2) Fair value as of December 31, 2023 (3) Currency Foreign currency Notional foreign Fair value assets / Settlement date from contracts rate from contracts currency rate (liabilities) January 31, 2023 Colombian Peso 4,667.50 4,834.53 (486) January 31, 2023 Indian Rupee 82.54 82.85 (26) February 23, 2023 Indian Rupee 82.03 82.98 (11) February 28, 2023 Colombian Peso 4,659.50 4,860.91 (580) March 30, 2023 Colombian Peso 4,729.00 4,888.69 (452) April 26, 2023 Indian Rupee 83.04 83.30 (9) April 26, 2023 Indian Rupee 83.01 83.30 (7) Fair value as of December 31, 2022 (1,571) During the year ended December 31, 2022, Globant LLC entered into equity forward contracts to manage the risk associated with the volatility of the Company's market share price use to determine the cash-settled shared based plan. The Company designated those derivatives as hedging instruments in respect of market share price risk in cash flow hedges. Hedges of cash-settled share base payment risk on firm commitments are accounted for as cash flow hedges. Since the Company separates the forward element and the spot element of the forward contract and designates as the hedging instrument only the change in the value of the spot element of the forward contract, the effective portion of changes in the fair value of derivatives and other qualifying hedging instruments that are designated and qualify as cash flow hedges is recognized in other comprehensive income and accumulated under the heading of cash flow hedging reserve, limited to the cumulative change in fair value of the hedged item from inception of the hedge, except for the portion that affects comprehensive income for the granted shares in which the rendering of services over time lapse has already occur to the date of report. The gain or loss relating to the ineffective portion is recognized immediately in profit or loss, and is included in the "other financial results, net" line item. Amounts previously recognized in other comprehensive income and accumulated in equity are reclassified to profit or loss in the periods when the hedged item affects profit or loss, in the same line as the recognized hedged item (i.e., Sharebased compensation expense). As of December 31, 2023 and 2022, the Company recognized a gain of 575 and a loss of 1,341, respectively, included in the line item "Share-based compensation expense - Cash settle", a gain of 2,362 and a loss of 2,528, respectively, included in the line item "Gains and losses on cash flow hedges", from other comprehensive income and as of December 31, 2023 and 2022 a financial loss of 492 and 17, respectively, included in the line item "Net loss arising from financial assets measured at fair value through OCI". Currency Forward Fair value assets / Settlement date from contracts Price (liabilities) June 3, 2024 US dollars 198.85 188 June 2, 2025 US dollars 208.72 189 June 1, 2026 US dollars 219.34 181 Fair value as of December 31, 2023 558 Currency Forward Fair value assets / Settlement date from contracts Price (liabilities) June 3, 2024 US dollars 289.90 (393) June 2, 2025 US dollars 302.36 (383) June 1, 2026 US dollars 315.09 (391) Fair value as of December 31, 2023 (1,167) Currency Forward Fair value Settlement date from contracts Price assets / (liabilities) June 1, 2023 US dollars 278.24 (910) June 1, 2023 US dollars 188.83 (71) June 3, 2024 US dollars 289.9 (886) June 3, 2024 US dollars 198.85 (70) June 2, 2025 US dollars 302.36 (890) June 2, 2025 US dollars 208.72 (75) June 1, 2026 US dollars 315.09 (901) June 1, 2026 US dollars 219.34 (83) Fair value as of December 31, 2022 (3,886) |
