PERNOD-RICARD - URD 2021-22 EN

Annual consolidated financial statements Notes to the consolidated financial statements

Notes to the balance sheet Note 4

Note 4.1 Intangible assets and goodwill

Intangible assets are measured at cost on initial recognition. With the exception of assets with indefinite useful lives, they are amortised on a straight-line basis over their period of use, which is generally less than five years, and are written down when their recoverable amount is less than their net carrying amount. Amortisation of intangible assets is recognised within operating profit in the income statement. In the context of the Group’s activities, and in accordance with IAS 38 “Intangible assets”, research and development costs are recognised as expenses in the financial year during which they are incurred, except for certain development costs which meet the capitalisation criteria described by the standard.

Movements of the period

Foreign currency gains and losses

Other movements 30.06.2021

30.06.2020 Acquisitions Allowances Disposals

€ million

Goodwill

5,747

15 13 73

- - - - -

-

(139) (346)

19

5,642

Brands

13,230

(8)

6

12,894

Other intangible assets

471

(42) (50)

(2)

42 67 (0) (0) (1) (1)

541

Gross value

19,448

100

(488)

19,077

Goodwill

(136)

- - - -

-

(1)

(137)

Brands

(2,398)

(72) (43) (114)

7

95

(2,369)

Other intangible assets

(338)

40 46

2

(341)

Amortisation/impairment

(2,872)

95

(2,847)

Intangible assets, net

16,576

100

(114)

(4)

(393)

66

16,230

Movements of the period

6.

Foreign currency gains and losses

Other movements 30.06.2022

30.06.2021 Acquisitions Allowances Disposals

€ million

Goodwill

5,642

224

- - - - -

0

418

0 0

6,284

Brands

12,894

58 73

2

985

13,935

Other intangible assets

541

94 95

31

14 15

565

Gross value

19,076

354

1,434

20,784

Goodwill

(137)

- - - -

-

(2)

(0)

(139)

Brands

(2,369)

(10) (42) (52)

(1)

(256)

-

(2,634)

Other intangible assets

(340)

(93) (94)

(20)

(45) (45)

(354)

Amortisation/impairment

(2,847)

(278)

(3,127)

Intangible assets, net

16,230

354

(52)

1

1,156

(30)

17,657

215

Pernod Ricard Universal Registration Document 2021-2022