Econocom - 2020 annual report

06 consolidated financial statements

notes to the consolidated financial statements

Main impacts of the Covid-19 pandemic 2.5. As covered in chapter 1 of the Management Report, the Econocom group managed to limit the fall in its revenue to 12.2% (11.3% organic). The Digital Services & Solutions business line even managed to contain the decline in revenue to 5.9%, recording growth of 4.7% in the fourth quarterof 2020.

All these costs are presented under “Other non-current operating expenses” as referred to in note 5. “Other non-current operating income andexpenses”. The impairment tests on goodwill and other long term assets (using methods and assumptions described in 9.3.) had no impact on the other non-current operating expenses. In terms of net cash at bank and net book debt, the measures taken to reduce the working capital requirement as well as the disposal of non-strategic assets enabled the Group: do without states’ guaranteed loans; and, • finally achieve its debt reduction target by • 31 December 2020, despite the crisis.

Group costs in 2020 were €5.6 million, of which €2.5 million in additional costs (purchases of masks, hand gel etc.) and €2.7 million from idle human resources (net of subsidies granted by governments of countries where we are active). In addition, losses on receivables that have become irrecoverable due to the crisis linked to the Covid-19 pandemic represented an insignificant amount at the end of December 2020.

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2020 annual report