NEOPOST - 2018 Registration document

6

Financial statements

Neopost S.A. statements of financial position

Treasury shares The number of treasury shares at 31 January 2019 is 160,491 of which 152,142 are held for the liquidity contract and 8,349 with the aim of fulfilling the obligations of the stock-option and free share plans attributed to employees and directors of the Group. Under the liquidity contract, shares cannot be sold freely except if the contract is cancelled. This contract was signed

with Exane BNP Paribas on 2 November 2005 for one year and is renewable by tacit agreement. The amount allocated to this contract was initially 8 million euros. The purpose is to reduce excessive volatility of the Neopost share and to improve liquidity.

Transactions in 2018 are the following:

31 January 2018

Bought

Sold

Transferred

31 January 2019

Number Amount Number Amount

Number Amount Number Amount

Number Amount

Liquidity contract

153,027

4.3 504,779

12.2 (505,664)

(12.3)

-

- 152,142

4.2

Coverage of obligations

10,761

0.4

-

-

-

-

(2,412)

(0.1)

8,349

0.3

TOTAL

163,788

4.7 504,779 12.2 (505,664) (12.3) (2,412) (0.1) 160,491

4.5

Note 7

Transactions in foreign currencies

A translation adjustment is determined for each asset or liability denominated in a foreign currency, at the closing exchange rate. Translation differences are offset between

assets and liabilities denominated in one currency and

having the same maturity.

Assets and liabilities translation differences are offset between the translation adjustment liability at 30.3 million euros. A hedging financial instruments (exchange rate futures) and the provision equivalent to the amount of translation adjustment appropriate receivables and payables. This offset amounted to asset is recorded.

20.9 million euros at 31 January 2019. After offset, the translation adjustment asset came out at 3.3 million euros and

Note 8

Shareholders’ equity

Capital 8-1: At 31 January 2019, the share capital totaled 34.6 million euros divided into 34,562,912 ordinary shares with a par value of 1 euro each, the share capital is fully released. There was no change during financial year 2018. 8-2: Additional paid-in capital represents the net amount received by the Company in excess of the par value on issuance, fully distributable. At 31 January 2019, additional paid-in capital amounts to 52.9 million euros. There was no change during 2018 fiscal year. Additional paid-in capital

Reserves and retained earnings 8-3: This item mainly comprises cumulated net income over the years and dividend payments. 8-4: Retained earnings before appropriation of 2018 net income amount to 294.8 million euros as at 31 January 2019 compared with 246.9 million euros as at 31 January 2018. The Group has decided to set its annual pay-out ratio at a minimum of 20% of the Group attribuable net income with the minimum annual dividend set at an absolute floor of 0.50 euro per share. Dividend will be paid in cash and in one installment. Dividend per share

The dividend relative to 2017 fiscal year was 1.70 euro.

189

REGISTRATION DOCUMENT 2018 / NEOPOST