QUADIENT - 2020 Universal Registration Document

FINANCIAL STATEMENTS Consolidated financial statements

As at 31 January 2021, the provisions variation mainly relates to added charges on assets depreciation for an amount of 5.3 million euros and to reversals on provisions presented in liabilities for (1.8) million euros. As at 31 January 2020, the provision variation mainly related to net reversals on assets depreciation for an amount of 1.1 million euros and to reversals on provisions presented in liabilities for 3.8 million euros.

As at 31 January 2021, the line “Other” mainly includes the reclassification of the expenses related to the changes in scope in investing activities cash-flow and the research tax credit for (1.8) million euros. As at 31 January 2020, the line “Other” mainly included the depreciation of ProShip assets classified as assets held for sale for 3.1 million euros and the research tax credit for (2.2) million euros.

Changes in working capital 9-2:

31 January 2021

31 January 2020

Inventories variation

(2.6)

(6.8)

Trade accounts receivable variation

(15.5)

(2.1)

Deferred income variation

(4.3)

5.6

Trade payables variation

(1.0)

2.2

Other current assets and liabilities variation

25.6

(6.1)

TOTAL

2.2

(7.2)

Changes in the other current assets and liabilities is mainly explained by (i) timing differences on prepayments and (ii) postponment of VAT and other taxes payments in some countries where the Group operates.

Impact of changes in scope 9-3:

New borrowings and repayment 9-4: of borrowings

6

As at 31 January 2021, the acquisition of YayPay has generated a net cash out of 20.5 million euros. The effective divestment of ProShip, realized on 28 February 2020, has generated a net cash collection of 10.5 million euros. The divestment of Quadient Oceania has generated a net cash collection of 1.1 million euros. As at 31 January 2020, Quadient Data Netherlands BV (former Human Inference) divestment generated a cash collection of 1.2 million euros. The tax paid on Quadient Data USA (former Satori) sale triggered a cash out of 12.5 millions euros in tax in the United States.

In February 2020, Quadient issued a Schuldschein private placement under German law for 13.0 million United States dollars and 30.5 million euros with different maturities. In February 2020, Quadient repaid at maturity a Schuldschein private placement under German law for 30.0 million United States dollars and 17.0 million euros. Quadient also bought back 15.0 million euros of the bond 2.50 maturing in June 2021 reducing the outstanding amount to 163.2 million of euros. In June 2020, Quadient repaid at maturity 5.0 million United States dollars of the United States private placement. In September 2020, Quadient repaid at maturity 30.0 million United States dollars of the United States private placement and repaid 85.0 million United States dollars of the United States private placement maturing in 2021 and 2022.

Reconciliation of the liabilities flows coming from financing activities 9-5:

Cash-flow movements

Non-cash changes

31 January

Translation difference

31 January 2021

2020 New debt

Repayment

Other *

Non-current financial debt

993.9

46.6

(151.8)

(88.2)

(33.4)

767.1

Current financial debt

86.7

1.8

(2.1)

94.2

(0.0)

180.6

FINANCIAL DEBT

1,080.6

48.4

(153.9)

6.0

(33.4)

947.7

The column “Other” mainly includes reclassifications and the variation of accrued interests not yet due. *

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UNIVERSAL REGISTRATION DOCUMENT 2020