MRM - 2018 Registration document

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General information on the issuer and its capital Management report for the year ended 31 December 2018

1.7.4 Monitoring the effectiveness of the internal control and risk management systems The Audit Committee questions the Chief Financial Officer and the Statutory Auditors on the internal procedures used to collect, record, report and review the information necessary to prepare the corporate and consolidated financial statements or to prepare the press releases issued to the market. The Committee evaluates the methods used to ensure permanent improvement, reliability and review of the application of these procedures. It reports annually to the Board of directors on the evaluation of these procedures. It is kept informed of the Chief Financial Officer’s work schedule. The financial loss was €1,230 thousand, compared with a profit of €1,188 thousand in 2017. Net income amounted to a loss of €1,845 thousand, compared with a loss of €6,587 thousand as at 31 December 2017. At year-end total assets stood at €92,047 thousand mostly made up of equity securities from directly or indirectly wholly owned subsidiaries, of current accounts between the Company and its subsidiaries, and of the Company’s cash assets. A table showing the Company’s results for the last five years is appended to this report in Appendix 1 in accordance with Article R.225-102 of the French Commercial Code. 2.2 Consolidated financial statements Pursuant to Regulation (EC) 1606/2002 of 19 July 2002, the M.R.M. Group’s consolidated financial statements as of 31 December 2018 were prepared in accordance with the standards and interpretations applicable on that date published by the International Accounting Standards Board (IASB), adopted by the European Union and in force at the date of issue of the financial statements by the Board of directors. Standards, amendments and interpretations applicable as of 1 January 2018 Standards, amendments to standards and interpretations published by the IASB and presented below are applicable for financial years beginning as of 1 January 2018: • IFRS 9 – Financial Instruments (recognition and measurement of financial assets and liabilities); • IFRS 15 - Revenue from Contracts with Customers;

The Chairman of the Board of directors, the Chief Financial Officer, the Audit Committee and the Board of directors are responsible for the preparation and monitoring of the accounting and financial information provided to the shareholders, in collaboration with the chartered accountants and under the supervision of the Statutory Auditors. Regular meetings are organised between the Chief Executive Officer, the Chief Financial Officer and the chartered accountants in the context of the preparation of financial information.

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Presentation of the annual financial statements – Earnings for the past year

2.1 Corporate financial statements The annual financial statements for the year ended 31 December 2018, which we submit to you for approval (provided in Appendix 3 of this report), were drawn up according to the format and using the valuation methods prescribed by the rules and regulations in force. Presentation and valuation rules used were the same as for the previous financial year. M.R.M.’s business over the period was that of a holding company. Its 2018 earnings reflect: • revenue of €293 thousand (compared with €252 thousand in 2017); • reversals of provisions and transfers of expenses totalled €1,072 thousand, of which reversals of provisions on current accounts granted to subsidiaries for €753 thousand and on trade receivables in the amount of €315 thousand; • other purchases and external expenses of €646 thousand (compared with €684 thousand in 2017); • taxes of €58 thousand (compared with €116 thousand in 2017); • payroll expenses of €894 thousand (compared with €1,037 thousand in 2017); • provision for current accounts granted to subsidiaries of €32 thousand; • other expenses in the amount of €377 thousand of which €347 thousand in bad debt losses; • financial income of €969 thousand corresponding to financial income related to investments (current account income); • financial expenses of €2,200 thousand, of which €2,170 thousand, in provisions for equity securities.

M.R.M. 2018 REGISTRATION DOCUMENT

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