NATIXIS - Universal registration document and financial report 2019

5 FINANCIAL DATA

Consolidated financial statements and notes

Net cash flow statement The balance of cash and cash equivalents consists of the net balances of cash and amounts due from central banks, as well as on-demand deposits with and loans from credit institutions. Changes in cash generated by operating activities consist of cash flows generated by Group activities, with the exception of those related to held-to-maturity financial assets and investment property.

Changes in cash related to investment operations result from cash flows related to acquisitions and disposals of investments in consolidated and non-consolidated associates, tangible and intangible fixed assets, and acquisitions and disposals of investment property, property provided under operating leases and financial assets held to maturity.

(in millions of euros)

31/12/2018

31/12/2019

Pre-tax profit

2,945

2,661

+/- Net charge to depreciation and amortization of property, plant and equipment and intangible assets

454

341

+/- Writedown of goodwill and other non-current assets

(2)

(6)

+/- Net charge to other provisions (including insurance companies’ technical reserves)

8,455

5,778

+/- Share in income of associates

(21)

(29)

+/- Net loss/(gain) on investing activities +/- Net loss/(gain) on financing activities

(885)

(308)

88

86

+/- Other activity

3,171

(365)

= Total non-cash items included in pre-tax profit and other adjustments

11,260

5,496

+/- Decrease/(increase) in interbank and money market items

(13,129) (6,927) (1,808)

(982)

+/- Decrease/(increase) in customer items

(9,490)

+/- Decrease/(increase) in financial assets or liabilities

(775)

+/- Decrease/(increase) in non-financial assets or liabilities (d)

1,349

(2,536)

- Income taxes paid

(630)

(461)

= Net decrease/(increase) in operating assets and liabilities

(21,145)

(14,243)

Net cash provided/(used) by operating activities

(6,940)

(6,085)

+/- Decrease/(increase) in financial assets and equity interests (a)

2,652

620 129

+/- Decrease/(increase) in investment property

(80)

+/- Decrease/(increase) in property, plant and equipment and intangible assets

(204)

(361)

Net cash provided/(used) by investing operations

2,368

388

+/- Cash received from/(paid to) shareholders (b)

(2,752)

(1,329)

+/- Other cash provided/(used) by financing operations (c)

(175)

(142)

Net cash provided/(used) by financing operations

(2,928)

(1,471)

Cash flow on assets and liabilities held for sale

(350)

Impact of exchange rate fluctuations on cash and cash equivalents

164

373

Net increase/(decrease) in cash and cash equivalents Net cash provided/(used) by operating activities Net cash provided/(used) by investing activities Net cash provided/(used) by financing activities Cash flow on assets and liabilities held for sale

(7,336)

(7,145)

(6,940)

(6,085)

2,368

388

(2,928)

(1,471)

(350)

Impact of exchange rate fluctuations on cash and cash equivalents

164

373

Cash and cash equivalents at beginning of period

23,423

30,568 36,901 (6,333) 23,423

Cash and balances with central banks

24,280

Interbank balances

(857)

Cash and cash equivalents at end of period

16,087

Cash and balances with central banks

21,014

24,280

Interbank balances

(4,927)

(857)

CHANGE IN CASH AND CASH EQUIVALENTS

(7,336)

(7,145)

The decrease/(increase) in financial assets and investments in associates included: (a) - cash flows related to investments in consolidated associates for +€2,631 million, consisting of: the acquisition of a 98% stake in Massena Partners (-€54 million), 52% of Azure Capital (-€10.7 million), 100% of Titres Cadeaux (-€11.5 million), an additional consideration for MV Crédit (-€6.3 million) and for Vermilion (-€1.3 million), the buyout of Caspian PE LLC minority interests (-€3.1 million) and those of Mirova Natural Capital (-€8.3 million), the acquisition of another 9% stake in Coficiné (-€2.4 million), 13% in Natixis Partners (-€11.6 million), 5% in Natixis Partners España (-€1.6 million), 11% in Payplug (-€4.4 million), 5% in Dorval Finance (-€12.3 million), 10% in Darius Capital Partners (-€1.1 million), +€12 million in cash acquired (of which +€10 million on Natixis Investment Managers’ acquisitions and +€2 million on Azure Capital), and the disposals of the SFS division’s retail banking entities to BPCE (+€2,705 million) and of Natixis Brasil (+€43 million); - cash flows related to investments in non-consolidated associates for -€395 million, including -€253.1 million related to the stake acquired in WCM Investment Managers and -€85.3 million related to Fiera Capital; - cash flows related to assets held to maturity (+€416 million). Cash flows received from/(paid to) shareholders included dividends paid to BPCE in the amount of -€1,737 million and dividends paid to non-Group entities of -€1,105 million. (b) Cash flows from financing activities can be broken down as follows: (c) - interest paid on subordinated notes for -€85 million; - interest paid on deeply subordinated notes recorded in equity for -€90 million. Including cash flows in relation to lease liabilities, amounting to -€231.8 million at December 31, 2019. (d)

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NATIXIS UNIVERSAL REGISTRATION DOCUMENT 2019