Hermès // 2022 UNIVERSAL REGISTRATION DOCUMENT

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CONSOLIDATED FINANCIAL STATEMENTS NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

7.2.2 PROPERTY, PLANT AND EQUIPMENT Property, plant and equipment changed as follows during the last financial year:

Exchange rate impact

31/12/2021

Increases

Decreases

Other 31/12/2022

In millions of euros

Land

199

-

-

(8) (3)

-

191

Buildings

1,130

56 36

(9)

101 (36) 128

1,275

Industrial machinery, plant and equipment

471

(14) (47) (16)

0

457

Store fixtures and furnishings

1,225

108

19

1,433

Other property, plant and equipment assets

502 248

43

1 5

31

561 209

Fixed assets under construction

172 414

(6)

(210)

TOTAL GROSS VALUES Depreciation of buildings

3,775

(91)

14 (4)

14

4,127

467 289 664 309 165

45 29

(6)

4

507 281 787 344 201

Depreciation of machinery, plant, and equipment assets Depreciation of store fixtures and furnishings Depreciation of other property, plant and equipment

(13) (46) (16)

0

(25)

139

10

20

45 38

0 2 9 5

6

Impairment losses

(1)

(2)

TOTAL DEPRECIATION AND IMPAIRMENT

1,894 1,881

296 118

(82)

3

2,119 2,007

TOTAL NET VALUES

(8)

11

Over financial year 2021, changes in property, plant and equipment were as follows:

Exchange rate impact

31/12/2020

Increases

Decreases

Other 31/12/2021

In millions of euros

Land

172

2

-

(2) 12

27 86 26 81 19

199

Buildings

1,011

25 26 94 44

(4) (9)

1,130

Industrial machinery, plant and equipment assets

424

4

471

Store fixtures and furnishings

1,044

(52)

57

1,225

Other property, plant and equipment Fixed assets under construction

443 176

(9) (0)

4 6

502 248

214 405

(148)

TOTAL GROSS VALUES Depreciation of buildings

3,270

(73)

82

91 28

3,775

395 257 574 278 119

42 33

(2) (8)

3 2

467 289 664 309 165

Depreciation of machinery, plant, and equipment assets Depreciation of store fixtures and furnishings Depreciation of other property, plant and equipment

6 2

107

(51)

32

41 49

(8) (2)

3 3

(5) (4) 27 65

Impairment losses

TOTAL DEPRECIATION AND IMPAIRMENT

1,624 1,646

272 133

(71)

42 40

1,894 1,881

TOTAL NET VALUES

(2)

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 in temporary use is not material when compared with their total value.

Investments made in the 2022 and 2021 financial years concern mainly the opening and renovation of stores and capital expenditure to expand production capacity. 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 have been recognised are not individually

2022 UNIVERSAL REGISTRATION DOCUMENT HERMÈS INTERNATIONAL

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