HERMES_REGISTRATION_DOCUMENT_2017
5
CONSOLIDATED FINANCIAL STATEMENTS NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
19.2 Change in working capital requirements related to the activity
Change in working capital requirements related to the activity
Impact of revaluation of financial and hedging instruments
Other cash flows
Exchange rate impact
31/12/2016
Other
31/12/2017
In millions of euros
Inventories and work-in-progress Trade and other receivables
915.1 307.2 198.4
26.7
- - - -
(29.0) (10.2)
-
(16.6)
896.2 255.9 253.0
(16.2)
(23.2)
(1.8) (2.3)
Other current assets
62.4 (0.2)
(5.1) (0.0)
(0.4)
Other non-current assets
9.0
-
-
8.8
Available-for-sale securities (excluding liquidity contract and forward financial investments)
0.7
0.4 3.0
- - -
-
- - -
0.0 0.5
1.1
Loans and deposits Deferred tax assets
61.9
(4.2)
61.1
264.5
(1.3)
(14.0)
(1.4)
247.9
Trade payables (excluding debt on fixed assets) Other liabilities and miscellaneous (excluding current tax expense)
(423.0)
(19.5)
-
11.2
5.5
0.5 (425.4)
(575.9)
(94.8)
- -
20.2
(0.4) 97.2
17.5 (633.3)
Net financial derivatives
(13.3)
4.7
0.1
(6.5)
82.3
Change in working capital requirements related to the activity
744.6
(34.7)
-
(31.0)
78.7
(10.0)
747.6
EQUITY
NOTE 20
The Group’s objectives, policies and procedures in the area of capi- tal management are in keeping with sound management principles designed to ensure that operations are well-balanced financially and to minimise the use of debt. As its surplus cash position gives it some flexi- bility, the Group does not use prudential ratios such as “return on equity” in its capital management. During the current year, the Group made no change in its capital management policy and objectives. Lastly, the parent company, Hermès International, is governed by French laws on capital requirements. Equity must be greater than or equal to at least half of the share capital. If it drops below this level, an Extraordinary General Meeting must be called to approve the measures required to remedy this situation. Hermès International has never been in this posi- tion and has always met this requirement. 20.1 Dividends An ordinary dividend of €3.75 per share was paid, representing a total amount of €392.0 million, after having been approved by the sharehol- ders at the General Meeting held on 6 June 2017 called to approve the financial statements for the year ended 31 December 2016.
Asat31December2017,HermèsInternational’ssharecapitalconsisted of 105,569,412 fully paid shares with a par value of €0.51 each, of which 1,415,702 treasury shares. In financial year 2017, the following treasury sharemovements occurred: s buyback of 433,242 shares for €187.5million, excludingmovements under the liquidity contract; s purchase and sale of shares as part of the liquidity agreement, with zero change for the financial year; s deliveryof97,200bonussharesallottedtoHermèsGroupemployees. It is specified that no shares are reserved for issuance under put options or agreements to sell shares. For management purposes, theHermès Group uses the notion of “equity attributable to owners of the parent” as shown in the consolidated sta- tement of changes in equity. More specifically, equity includes the part of financial instruments that has been transferred to equity as well as actuarial gains and losses, as defined in Notes 1.9 and 1.17.
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2017 REGISTRATION DOCUMENT HERMÈS INTERNATIONAL
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