Compagnie des Alpes // 2021 Universal Registration Document

5 FINANCIAL INFORMATION

Activity and results of S.A. Compagnie des Alpes

5.2 Activity and results of S.A. Compagnie des Alpes

5.2.1 ROLE OF COMPAGNIE DES ALPES WITHIN THE GROUP The role of Compagnie des Alpes S.A. is to hold investments, monitor, manage, and control Group development, and manage the main senior executives. The Company places resources and services at the disposal of its subsidiaries, especially with a view to making management more efficient, and undertakes specific projects aimed at developing the business internationally and generating synergies between the business segments.

market listing. It also manages the Group’s procurement functions (assistance in managing energy suppliers, travel policy, grouped equipment purchases, etc.), as well as its insurance and financing policy. CDA SA also centralises certain marketing and sales teams as well as the “product development and quality” team. And through its matrix organisation, it offers the services needed to steer the Group (legal, financial, IT, technical, HRM, strategic and operational marketing, and the process of digitalisation). The average number of permanent employees at CDA SA decreased from 130 to 126 full-time equivalents (FTEs).

To this end, Compagnie des Alpes S.A. assumes responsibility for certain functions for the entire Group such as the preparation of consolidated financial statements, and the financial and institutional disclosure of all Group business with particular regard to its stock

5.2.2 BUSINESS ACTIVITY AND RESULTS

Impairment of securities and receivables reached -€64.9 million in 2020/2021 and essentially concern consolidated subsidiaries. Exceptional income came to -€0.01 million, compared to -€0.02 million the previous financial year. After taking into account a tax income of €3.79 million at tax consolidation level for the exceptional carry-back relating to income at 30 September 2020, net income amounted to -€79.2 million compared to -€32.4 million the previous financial year.

In 2020/2021, Compagnie des Alpes continued the internal re- invoicing policy as it did in 2019/2020. These items show a negative operating income of -€17.3 million (compared with -€12.5 million the previous year) mainly due to fees and commissions related to the capital increase operation carried out in June 2021. Net financial income of - €65.9 million was recorded, compared to - €27.3 million the previous financial year. Dividends received from subsidiaries amounted to €1.1 million compared to €55.4 million in 2019/2020. The cost of financing decreased by -€6.9 million to -€6.7 million.

5.2.3 KEY FIGURES OF THE COMPANY

The Company’s key figures are as follows:

30/09/2021

30/09/2017 30/09/2018 30/09/2019 30/09/2020

(in millions of euros)

Net financial assets Shareholders’ equity

839.3

832.6 548.8 275.1

883.0 547.5 328.0

820.2 498.1 309.8 -32.4

816.5 669.8 143.4 -79.2

544

289.2

Net debt (1) Net income Net dividend

2.5

17

14.6 15.9

12.2

12.2

-

-

(1) Borrowings less cash and cash equivalents in the statement of financial position.

5.2.4 DIVIDEND POLICY

The dividend is set each year by the Board of Directors at its December meeting. Compagnie des Alpes dividends paid out for the last three fiscal years (which allow individual shareholders domiciled in France to take a tax deduction) were as follows: l financial year 2017/2018: dividend per share of €0.65 paid in cash on 14 March 2019;

l financial year 2018/2019: dividend per share of €0.70 paid in cash on 12 March 2020; l financial year 2019/2020: none. For the 2020/2021 financial year, the Board of Directors proposes to the Shareholders’ Meeting not to pay any dividends to the shareholders.

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Compagnie des Alpes I 2021 Universal registration document