Euronext - 2020 Universal Registration Document

Financial Statements

Notes to the Consolidated Financial Statements

NOTE 44 FINANCIAL INCOME AND EXPENSES

2020

2019 5,784 10,067 (10,944)

In thousands of euros

Income from equity investments

–

Interest and similar income

18,202

Interest and similar expenses

(16,089) (32,312) (30,199)

Exchange differences

576

TOTAL

5,483

Interest and similar expenses increased, following a tap-on Bond on Senior Unsecured Note #2 issued in June 2020. In 2019, the Senior Unsecured Note #2 was issued in June 2019 (see Note 29 of the Consolidated Financial Statements). In 2020, the exchange differences are mainly triggered by revaluations of the related party loans to Euronext Nordics Holding AS, Oslo Børs VPS, Euronext UK Holdings Ltd., and Euronext US Inc. (see Note 46).

In 2019, Income from equity investments contains the dividend received from Euroclear S.A./N.V. Interest and similar income contains the income of €4.9 million (2019: €5.0 million) from interest rate swaps entered into by the Group (see Note 23 of the Consolidated Financial Statements) and the interest income on related party loans for €13.2 million in 2020 (2019: €0.9 million). This increase of the interest income is mainly attributable to the full year interest impact of the related party loan to Euronext Nordics Holding AS, as it was issued on 23 December 2019.

NOTE 45 TAX

2020

2019

In thousands of euros

Result before tax

(46,849)

(14,913)

Corporate income tax current financial year Corporate income tax previous financial years

7,498

1,446

–

–

1,446

TOTAL

7,498

The effective tax rate mainly deviates from the applicable tax rate as a result of the non-deductible expenses. For the year 2020, the statutory corporate income tax rate was 25%. For the year 2021, the Netherlands have withdrawn the rate decrease to 21.7% announced

in 2019, and the corporate income tax rate in the Netherlands will remain at 25%. Reference is made to Notes 15 and 19 of the Consolidated Financial Statements for more information on the tax rate changes.

2020

2019

Effective tax rate

16% 25%

10% 25%

8

Applicable tax rate

289

2020 UNIVERSAL REGISTRATION DOCUMENT