HERMES_REGISTRATION_DOCUMENT_2017

5 Consolidated financial statements AFR

MESSAGE from the Executive Management

191 192

5 6

Consolidated statement of profit or loss for 2017 Consolidated statement of other comprehensive income Consolidated statement of financial position as at 31 December 2017 Consolidated statement of changes in equity as at 31 December 2017 Consolidated statement of cash flows for 2017 Notes to the consolidated financial statements Statutory Auditors’ report on the consolidated financial statements

5.1 5.2

Highlights for 2017

193

5.3

194

1 Overview of the Group

9

5.4

Stages of the Group’s history: six generations of craftsmen

1.1

196 198 200

11 15 17 25 31 34 34 35

5.5 5.6 5.7

Key figures

1.2 1.3 1.4 1.5 1.6 1.7 1.8 1.9

Activity by sector AFR

Activity by geographic area

241

Simplified Group organisational chart

Property

6 Parent company financial statements AFR

Fondation d’entreprise

247 248

Risk factors AFR

Statement of profit or loss for 2017 Statement of financial position as at 31 December 2017

6.1 6.2

Internal control and risk management procedures relating to the preparation and processing of accounting and financial information

249 250 251 252

45

Changes in equity in 2017

6.3 6.4 6.5 6.6

Statement of cash flows for 2017 Note to the financial statements

2 Corporate social responsibility AFR

49 51 55 61 74 81

List of investments in subsidiaries and associates as at 31 December 2017

Introduction Savoir-Faire

2.1 2.2 2.3 2.4 2.5 2.6

266

Table of subsidiaries and associates as at 31 December 2017

6.7

People

268 272 274

Raw Materials Environment

Information on due dates

6.8 6.9

Table of results over the last five financial years

Suppliers and Partners

100 105

6.10 Statutory Auditors’ report on the financial statements

2.7 Stakeholders and local integration

275

Report by one of the Statutory Auditors, appointed as an independent third party, on the consolidated human resources, environmental and social information included in the management report

2.8

7 Information on the Company and its share capital

281

111

Presentation of Hermès International and Émile Hermès SARL

7.1

283 294 313 314 318

Information on share capital and shareholders AFR

7.2 7.3 7.4 7.5

3 Corporate Governance AFR

115

Dividend policy

Supervisory Board’s report on corporate governance

3.1

Stock-market information update

117 176

Shareholder information

Ethics – Compliance

3.2 3.3

Other information from Executive Management’s report

8 Combined General Meeting of 5 June 2018 321 8.1 Agenda 322 8.2 Purpose and draft resolutions 323 8.3 Supervisory Board’s report to the Combined General Meeting of 5 June 2018 338 8.4 Statutory Auditors’ reports 340

180

4 Comments on the financial year and outlook AFR

183

Comments on the consolidated statement of profit or loss Comments on the summary consolidated statement of profit or loss

4.1

184

9 Additional information

347

4.2

Persons responsible for the registration document AFR Statutory Auditors and their fees Regulatory Information consultation Information incorporated by reference

9.1

185 186 186

348 349 350 351 352 360

Creation of value Exceptional events

4.3 4.4 4.5

9.2 9.3 9.4 9.5 9.6

Information on the parent company financial statements, on accounts payable due dates, subsidiaries and associates

Cross-reference table

187 189

Glossary

Outlook

4.6

The sections of the Annual Financial Report are identified in the contents with the AFR pictogram.