SOMFY - Annual Financial Report 2020

05 CONSOLIDATED FINANCIAL STATEMENTS

Other operating income Note 4.1.2

Other operating income totalled €24.6 million in 2020 compared with €20.1 million in 2019. This includes refundable tax credits, other miscellaneous rebillings and insurance income receivable.

OTHER NON-CURRENT OPERATING INCOME AND EXPENSES NOTE 4.2

Current operating result is defined as the difference between: operating result including all revenues and charges, except those generated from finance activities, equity-accounted companies, – discontinued operations, operations held for disposal or income tax; and other non-current operating income and expenses. – Other non-current operating income and expenses relate to factors that are unusual, abnormal, infrequent and particularly significant, which could mislead the understanding of the Group’s consolidated performance. These notably include the capital gains and losses on asset disposals, restructuring costs and provisions of a nature liable to affect the understanding of the current operating result. Current operating result reflects company performance. The amortisation of intangible assets allocated as part of business combinations is included in current operating result.

€ thousands

31/12/20

31/12/19

Charge to/reversal of non-current provisions

1,091 -1,198

-466

Other non-recurring items Non-current income – Non-current expenses –

-2,040

96

156

-1,294

-2,197

Net gain/(loss) on disposal of non-current assets

-104 -211 -711

-9

OTHER NON-CURRENT OPERATING INCOME AND EXPENSES

-2,515

GOODWILL IMPAIRMENT

-717

Both at 31 December 2020 and 2019, the revision of the iHome business plan led to the recognition of goodwill impairment of €0.7 million. Goodwill related to iHome is now fully written down. Other non-current operating income and expenses were not material in 2020. It should be noted that in 2019 other non-current operating income and expenses included the cost of closing down small distribution entities (€1.5 million) and additional expenditure incurred in shutting down the project in China (€0.3 million).

ALTERNATIVE PERFORMANCE MEASURES NOTE 4.3

Change N/N-1 on a like-for-like basis Note 4.3.1

The N/N-1 change on a like-for-like basis is calculated by applying the N-1 accounting and consolidation methods and exchange rates to the periods compared and using the N-1 scope for both financial years. The N/N-1 change at actual accounting methods, exchange rates and consolidation scope – or change in real terms – corresponds to the change based on actual accounting and consolidation methods, exchange rates and consolidation scope.

Sales

Current operating result

At 31/12/20

N/N-1 CHANGE ON A LIKE-FOR-LIKE BASIS

6.1% -1.4%

31.3% -4.0%

Forex impact Scope impact

– –

– –

Change in accounting method impact

N/N-1 CHANGE AT ACTUAL ACCOUNTING METHODS, EXCHANGE RATES AND CONSOLIDATION SCOPE

4.7%

27.3%

117

SOMFY – ANNUAL FINANCIAL REPORT 2020