QUADIENT // 2021 Universal Registration Document

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FINANCIAL STATEMENTS Consolidated financial statements

SHAREHOLDERS’ EQUITY AND EARNINGS PER SHARE NOTE 13

Shareholders’ equity 13-1:

13-1-1: SHARE CAPITAL

exchange rate for balance sheet items and at average rate over the period for income statement and cash-flow items. The resulting translation difference is recognized in the translation adjustment under shareholders’ equity. Cumulative translation adjustments as of 31 January 2022 amounted to 6.2 million euros compared with (33.1) million euros as of 31 January 2021. Parent company retained earnings before appropriation of 2021 net income amounted to 326.8 million euros as of 31 January 2022 compared with 314.2 million euros as of 31 January 2021. A dividend of 0.55 euros should be paid, subject to the 16 June 2022 General Meeting’s approval in relation to the 2021 financial results. If approved, the dividend will be paid in cash and in one instalment. The dividend distributed in relation to the 2020 financial results was 0.50 euro, paid in cash and in one instalment. 13-1-5: DIVIDEND PER SHARE

At 31 January 2022, the parent company share capital totalled 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.

13-1-2: ADDITIONAL PAID-IN CAPITAL

Additional paid-in capital represents the net amount received by the Company in excess of the par value on issuance, fully distributable. As of 31 January 2022, additional paid-in capital amounted to 52.9 million euros, unchanged from 31 January 2021.

13-1-3: RESERVES AND RETAINED EARNINGS

This item mainly comprises cumulative net income over each financial year, as well as dividend payments and the delivery of free shares.

13-1-4: CUMULATIVE TRANSLATION ADJUSTMENTS

Financial statements of subsidiaries established in local currencies are translated into euros at the year-end

13-1-6: LIQUIDITY CONTRACT AND SHARE BUYBACK PROGRAM

Equity instruments acquired by the Company are deducted from shareholders’ equity. No gain or loss is recognized in the income statement on the purchase, sale, issue or cancellation of instruments representing Group shareholders’ equity.

Under the liquidity contract, shares cannot be sold freely by Quadient unless the contract is cancelled. This contract was signed in accordance with the French association of investment companies (AFEI) code of ethics, with Exane BNP Paribas.

31 January 2021

Free shares delivery

31 January 2022

Number of shares

Bought

Sold

Liquidity contract

153,863 644,293 (633,897)

-

164,259

Share-based payments

19,504 100,000

-

(23,700)

95,804

13-1-8: INFORMATION ON INVESTORS

As of 31 January 2022, the Group held 164,259 shares within the framework of the liquidity contact and 95,804 shares for the purposes of fulfilling the commitments on the stock-option and free share allocation programs reserved for employees and Group executives. This compares with 153,863 and 19,504 respectively as of 31 January 2021.

Quadient carried out an analysis of its shareholder base as of 31 January 2022. No shareholder holding more than 3 of share capital has significant business dealings of any kind with Quadient.

Equity instruments 13-2:

13-1-7: EQUITY MANAGEMENT

On 16 June 2015, Quadient S.A. issued a senior unsecured net share settled undated bond convertible into new shares and/or exchangeable for existing shares (ODIRNANE) for a notional amount of 265 million euros representing 4,587,156 shares with a nominal value of 57.77 euros. This bond is traded on the open market Freiverkehr of the Frankfurt stock exchange.

In terms of equity management, the Group’s objective is to maintain business continuity in order to generate a return for shareholders and to optimize the cost of capital. The Group manages its capital structure in relation to economic conditions and can adjust the amount of dividends and share buybacks accordingly.

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UNIVERSAL REGISTRATION DOCUMENT 2021