EDF_REGISTRATION_DOCUMENT_2017

THE GROUP'S PERFORMANCE IN 2017 AND FINANCIAL OUTLOOK Operating and financial review

ANALYSIS OF THE BUSINESS AND THE CONSOLIDATED INCOME STATEMENTS FOR 2016 AND 2017 Presentation and analysis of the consolidated income statements for 2016 and 2017 Generation and supply activities, France - Regulated activities, United Kingdom, is shown at two levels of analysis for Sales and EBITDA: a first focusing on the Italy, Other international and Other activities). EBIT (operating profit) and net income Group, then a second reporting on the different business segments (France - are analysed from a more general standpoint. 5.1.4

2017

2016

(in millions of euros)

Sales

69,632 (37,641) (8,739) (12,456) (3,541)

71,203 (36,050) (8,902) (12,543) (3,656)

Fuel and energy purchases Other external purchases

Personnel expenses

Taxes other than income taxes

Other operating income and expenses

6,487

6,362

Operating profit before depreciation and amortisation (EBITDA)

13,742

16,414

Net changes in fair value on Energy and Commodity derivatives, excluding trading activities

(355)

(262)

Net depreciation and amortisation

(8,537)

(7,966)

5.

Net increases in provisions for renewal of property, plant and equipment operated under concessions

(58)

(41)

(Impairment)/reversals

(518) 1,363 5,637

(639)

Other income and expenses Operating profit (EBIT)

8

7,514

Cost of gross financial indebtedness

(1,778) (2,959)

(1,827) (3,417)

Discount effect

Other financial income and expenses

2,501

1,911

Financial result

(2,236)

(3,333)

Income before taxes of consolidated companies

3,401 (147)

4,181

Income taxes

(1,388)

Share in net income of associates and joint ventures

35

218

GROUP NET INCOME

3,289 3,173

3,011 2,851

EDF net income

Net income attributable to non-controlling interests EARNINGS PER SHARE (EDF SHARE) IN EUROS Earnings per share

116

160

0.98 0.98

1.15 1.15

Diluted earnings per share

Sales 5.1.4.1 Consolidated sales were down by 2.2% while showing an organic decline of 1.0%.

Change in Group sales 5.1.4.1.1

Organic growth (%) (excluding the sales tariff adjustment)

Variation (%)

Organic growth (%)

2017

2016 Variation

(in millions of euros)

Sales

69,632

71,203

(1,571)

-2.2

-1.0

+0.4

Sales amounted to €69,632 million in 2017, down by €1,571 million (-2.2%) from 2016. Excluding the effects of exchange rates (-€567 million), principally the pound sterling’s decline against the Euro and changes in the scope of consolidation

(-€279 million), and eliminating the impact of the regulated sales tariff adjustment for the period 1 August 2014 to 31 July 2015 which took place in 2016, sales show an organic increase of +0.4%.

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EDF I Reference Document 2017