HERMÈS - 2020 Universal registration document

5

CONSOLIDATED FINANCIAL STATEMENTS NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

PROPERTY, PLANT AND EQUIPMENT

NOTE 15

Exchange rate impact

Increases 1

31/12/2019

Decreases

Other

31/12/2020

In millions of euros

Land

164.0 955.8 363.4

3.7

-

(3.8)

7.7

171.6

Buildings

47.3 24.5 94.9 35.6

(17.2)

(14.7)

39.8 47.6 29.6 11.6

1,011.0

Industrial machinery, plant and equipment

(8.6)

(2.6)

424.3

Store fixtures and furnishings

1,013.3

(43.2)

(50.5)

1,044.2

Other property, plant and equipment assets

407.5 135.9

(6.6) (0.8)

(4.9) (3.6)

443.3 175.6

Fixed assets under construction

133.7 339.8

(89.6)

TOTAL GROSS VALUES Depreciation of buildings

3,039.9

(76.4) (17.0)

(80.0)

46.7

3,270.1

372.7

38.5

(6.5)

7.6

395.3

Depreciation of machinery, plant, and equipment assets

214.6 548.2

28.1 98.1

(8.3)

(1.3)

23.9 (4.9)

257.1 574.5

Depreciation of store fixtures and furnishings

(43.0)

(23.9)

Depreciation of other property, plant and equipment

254.1 108.5

38.5 15.8

(5.9) (0.4)

(3.4) (2.5)

(4.9) (2.6) 19.1 27.6

278.3 118.7

Impairment losses 2

TOTAL DEPRECIATION AND IMPAIRMENT

1,498.1 1,541.8

219.1 120.8

(74.6)

(37.7) (42.3)

1,623.9 1,646.1

TOTAL NET VALUES

(1.8)

Investments made in 2020 concern mainly the opening and renovation of stores and capital expenditure to expand production capacity. (1) Impairment losses relate to production lines and stores deemed not to be sufficiently profitable. It is noted that the cash-generating units on which impairment losses (2) have been recognised are not individually material when compared with the Group’s overall business.

No item of property, plant or equipment were pledged as collateral to secure financial liabilities. Furthermore, the amount of property, plant and equipment assets in temporary use is not material when compared with their total value. In 2019, changes in property, plant and equipment were as follows:

Exchange rate impact

Increases 1

31/12/2018

Decreases

Other

31/12/2019

In millions of euros

Land

155.3 854.1 335.7 887.7 374.5

2.7

-

3.5 9.5 2.5

2.6 6.8

164.0 955.8 363.4

Buildings

93.3 27.2

(7.8)

Industrial machinery, plant and equipment

(13.2) (33.4) (10.9)

11.2 39.0 11.6

Store fixtures and furnishings

106.4

13.6

1,013.3

Other property, plant and equipment assets

30.8

1.5

407.5 135.9

Fixed assets under construction

94.7

123.0 383.4

(0.1)

1.3 (83.1) 31.9 (11.9)

TOTAL GROSS VALUES Depreciation of buildings

2,701.9

(65.3)

3,039.9

334.8

38.1

(4.8)

4.0

0.5

372.7

Depreciation of machinery, plant and equipment

197.5 490.3

23.9 90.8

(12.4) (33.2)

1.1 7.0

4.4

214.6 548.2

Depreciation of store fixtures and furnishings

(6.7)

Depreciation of other property, plant and equipment assets

235.9

34.7 17.1

(10.8)

0.9 1.2

(6.6) (3.6)

254.1 108.5

Impairment losses 2

98.0

(4.2)

TOTAL DEPRECIATION AND IMPAIRMENT

1,356.5 1,345.4

204.7 178.7

(65.4)

14.2 (12.0)

1,498.1 1,541.8

TOTAL NET VALUES

0.0

17.7

0.1

Investments made in 2019 concern mainly the opening and renovation of stores and capital expenditure to expand production capacity. (1) Impairment losses relate to production lines and stores deemed not to be sufficiently profitable. It is noted that the cash-generating units on which impairment losses (2) have been recognised are not individually material when compared with the Group’s overall business.

376 2020 UNIVERSAL REGISTRATION DOCUMENT HERMÈS INTERNATIONAL