Assystem - 2018 Register document

BUSINESS REVIEW AND FINANCIAL STATEMENTS

CONSOLIDATED FINANCIAL STATEMENTS

Cash flows related to acquisitions of shares were as follows in 2008 and 2017:

2018

2017 (20.6) (17.0)

In millions of euros

Expleo Group acquisitions (formerly Assystem Technologies Groupe)

-

E&I acquisitions* Purchased goodwill

(4.1) (0.7)

-

Acquisition of a 5% interest in Framatome

-

(124.1)

Acquisitions of shares (161.7) * The cash flows relating to E&I acquisitions include €2.5 million for the acquisition of shares in Assystem Care Holding, which was recognised under “Liabilities related to share acquisitions” in the consolidated statement of financial position at 31 December 2017. (4.8)

3.3

Goodwill

In accordance with IFRS 3R, goodwill is not amortised but is tested for impairment at least once a year. For the purpose of impairment testing, goodwill is allocated to cash-generating units (CGUs) or groups of CGUs. A CGU corresponds to the smallest identifiable Group of assets that generates cash inflows that are largely independent of the cash inflows from other assets or groups of assets. The level of CGU used for goodwill impairment tests depends on the characteristics of the business or market of each operation. The Group carries out impairment tests at each year-end and whenever there is an indication of impairment in order to estimate the CGU’s recoverable amount. Recoverable amount corresponds to the higher of the CGU’s fair value less costs of disposal and its value in use (the present value of the future cash flows expected to be derived from the CGU). An impairment loss is recognised at the level of a CGU if its recoverable value is lower than its net book value and should firstly be allocated to the goodwill of the CGU. If a subsidiary or assets are sold, the goodwill allocated to that subsidiary or assets is taken into account in determining the proceeds of the sale. Goodwill related to companies accounted for using the equity method is presented in the lines of the statement of financial position concerning equity-accounted investees.

5

The Group’s operating segments are as follows: Energy & Infrastructure (complex infrastructure engineering) and Staffing (worldwide assignment of consultants specialised in Oil & Gas and Industry). These segments correspond to the cash-generating units (CGUs) used by the Group at 31 December 2018, which comply with the IFRS definition of CGUs.

Energy and Infrastructure

Staffing

Total

In millions of euros

Carrying amount at 1 January 2018 Increases related to business combinations*

75.4

6.1

81.5

4.4

- -

4.4

Currency translation differences

(3.1) 76.7

(3.1) 82.8 (14.0)

Carrying amount at 31 December 2018 Accumulated impairment losses at 31 December 2018

6.1

-

(14.0)

* Including €2.4 million following the completion of the initial accounting for net assets acquired prior to 1 January 2018.

The impacts of changes in scope of consolidation are described in Note 3.2 – Business combinations.

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ASSYSTEM

REGISTRATION DOCUMENT 2018