AXWAY_REGISTRATION_DOCUMENT_2017
AXWAY GROUP AND ITS BUSINESS ACTIVITIES
CORPORATE RESPONSIBILITY
CORPORATE GOVERNANCE
CONSOLIDATED FINANCIAL STATEMENTS
2017 ANNUAL FINANCIAL STATEMENTS
CAPITAL AND AXWAY SOFTWARE STOCK
INFORMATIONS ADMINISTRATIVES ETbJURIDIQUES
COMBINED GENERAL MEETING OFb6bJUNEb2018
Notes to the financial statements
The carrying amount of the Axway CGU is the amount of its consolidated shareholders’ equity at 31Ǿ December i.e. €344.5Ǿmillion. Based on the above, the recoverable amount is higher than the carrying amount, and it was therefore unnecessary to recognize any impairment of the goodwill allocated to the Axway cash-generating unit at 31ǾDecember 2017. For fiscal yearǾ2016, application of this same approach resulted in maintenance of the value of goodwill, the market capitalization less selling costs, being determined at €630.4Ǿmillion for an amount of consolidated shareholders’ equity of €374.8Ǿmillion. a. Assets purchased These relate to software packages recorded at cost as well as software packages, customer relations and distributor relations recognized at fair value in connection with the allocation of the purchase prices of entities acquired in business combinations. These assets are amortized using the straight-line method over 5 to 15Ǿyears, depending on their estimated useful lives. 8.3 Other intangible assets
● the technical feasibility of completing development of the intangible asset so that it will be available for use or sale, ● the intention of completing development of the intangible asset and of using or selling it, ● the manner in which the intangible asset will generate probable future economic benefits, ● the availability of adequate technical, financial and other resources to complete the development and to use or sell the intangible asset, ● the ability to measure reliably the expenditure attributable to the intangible asset during its development. None of the development expenses for software packages are recognized under intangible assets if one of the conditions described above has not been met. In view of the specific nature of the software development business, the determinant criteria concern the technical feasibility necessary for completion and the manner in which the asset will generate probable future economic benefits. The risks and uncertainties inherent in software development do not allow the technical feasibility of a product to be demonstrated before a demo version that can be shown to a prospective customer is available. The differences between a demo version and the final version are generally minor, which means that the costs incurred in this phase of development, which may be capitalized, are not significant. ● the ability to use or sell the intangible asset,
b. Assets generated internally In application of IASǾ38 Intangible assets:
● all research expenses are recognized as charges in the year they are incurred; ● software package development costs are capitalized if the six following conditions are satisfied:
4
Depreciation andbamortization
Gross value
Net
(in thousands of euros) 31ǾDecember 2015
75,770 15,344
34,860
40,909 15,344
Changes in scope of consolidation
Acquisitions
794
794
Disposals
-5
-5
-0
Other movements
-
Foreign exchange gains and losses
2,151
903
1,248 -8,530 49,765 12,376
Depreciation
8,530
31ǾDecember 2016
94,053 13,478
44,287
Changes in scope of consolidation
1,102
Acquisitions
817 -81 -12
-
817
Disposals
-81 -12
- -
Other movements
Foreign exchange gains and losses
-7,874
-3,281 9,448 51,465
-4,592 -9,448 48,917
Depreciation
-
31ǾDecember 2017
100,382
145
AXWAY - 2017 REGISTRATION DOCUMENT
Made with FlippingBook Learn more on our blog