QUADIENT // 2021 Universal Registration Document

FINANCIAL STATEMENTS Quadient S.A. statements of financial position

For financial year 2021, a tax benefit coming from the tax consolidation is recorded for 6.0 million euros (6.3 million euros for 2020), and a tax charge resulting from the Group tax result for 0.5 million euros.

Losses carried forward amount to 54.0 million euros as of 31 January 2022. As of 31 January 2022, the Group tax result submitted to ordinary tax rate is a profit. Net income amounts to 103.7 million euros (29.6 million euros as of 31 January 2021).

Income before tax

Theoretical tax

Net income

Current income

97.9

3.2

101.1

Extraordinary Income (loss)

0.3

(0.1)

0.2

Sub-total

98.2

3.1

101.3

Tax credits offsetting

-

1.3

1.3

Effect of tax consolidation

-

1.1

1.1

TOTAL

98.2

5.5

103.7

INFORMATION ON ASSOCIATED COMPANIES NOTE 12

Figures for associated companies break down as shown below:

Associated companies

31 January 2022

Majority stake

Minority stake

Financial assets

1,119.3

1,196.8

2.5

6

Receivables

377.0

377.0

-

Financial debts

0.6

0.6

-

Financial expenses

19.9

19.9

-

Financial income (interests)

20.2

20.2

-

Financial income (dividends)

104.8

104.8

RISK MANAGEMENT AND FINANCIAL INSTRUMENTS NOTE 13

The foreign exchange forward contracts and options outstanding as at 31 January are reassessed at that date. Unrealized gains or losses resulting from this reassessment are: accounted for in compensation of unrealized gains or ● losses on assets or liabilities hedged by these instruments; deferred if these instruments have been allocated to ● operations related to the following year.

Concerning the hedging of loans and advances on the current accounts in foreign currencies, the deferral/ offset of forward purchases and sales is recognized on a pro rata temporis basis in the financial result of the company. The effects of interest rate hedges (swaps, forward rate agreements, caps, etc. ) are calculated using a pro rata temporis over the contract’s length, and accounted for in interest expenses for the year.

Liquidity risk 13-1:

its debt, given the current level of business. However, this ability will depend on the Group’s future performance, which is partly related to the economic cycle, which the Group cannot control. No guarantee can therefore be given regarding the Group’s ability to cover its financial

The Group’s cash requirement and the debt servicing account form a significant proportion of its cash flow. The Group believes that its cash flow (defined in the needs. consolidated cash flow statement) will enable it to service

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UNIVERSAL REGISTRATION DOCUMENT 2021