SOPRA_STERIA_REGISTRATION_DOCUMENT_2017

2017 CONSOLIDATED FINANCIAL STATEMENTS Notes to the consolidated financial statements

31/12/2017

31/12/2016

(in millions of euros)

Operating profit on business activity

329.8

301.1

Depreciation, amortisation and provisions (excluding allocated intangible assets)

19.6

42.9

EBITDA

349.4

344.0

Non-cash items

1.3

-1.5

Tax paid

-63.9

-72.0

Impairment of current assets Change in operating WCR

-2.9

0.6

-12.4 -29.6 241.9 -62.3 -62.3 -10.3 -21.0 148.4 -96.0 -

-17.0 -29.6 224.5 -46.8

Reorganisation and restructuring costs Net cash from operating activities

Payments relating to investments in tangible and intangible fixed assets Receipts relating to disposals of tangible and intangible fixed assets

0.1

Net change from investment activities involving tangible and intangible fixed assets

-46.7

Net interest

-6.2

Additional contributions related to defined-benefit pension plans

-21.0 150.6 -120.6

Free cash flow

Impact of changes in scope

Impact of payments relating to non-current financial assets Impact of receipts relating to non-current financial assets

-5.2

-0.4

2.3

1.8

Dividends paid

-44.5

-34.4

Dividends received Capital increases

2.8 0.1

3.1 2.3

Purchase and sale of treasury shares

-1.3

10.3 -0.2 12.5 12.3 24.8 217.5 -437.8 -310.5 -530.8 261.7 -402.6 -365.1 -506.0

Other cash flows relating to investing activities

-

Net cash flow

6.6

Impact of changes in foreign exchange rates CHANGE IN NET FINANCIAL DEBT Cash and cash equivalents – beginning of period Non-current financial debt – beginning of period Current financial debt – beginning of period Net financial debt at the beginning of the period Cash and cash equivalents – end of period Non-current financial debt – end of period Current financial debt – end of period Net financial debt at the end of the period

-10.7

-4.1

261.7 -402.6 -365.1 -506.0 155.9 -398.9 -267.1 -510.1

CHANGE IN NET FINANCIAL DEBT

-4.1

24.8

Free cash flow amounted to an inflow of €111.4 million, excluding the sale of trade accounts receivable for a value of €37.0 million, in a deconsolidated transaction resulting in the derecognition of the assigned receivables (see Note 7.2), thus corresponding to total Free cash flow of €148.4 million, slightly lower than the level the previous year (€150.6 million), when it included a non-recurring positive impact of around €20 million. This change is mainly due to a weaker than anticipated improvement in the average client payment term and this despite a slight improvement in EBITDA , a decrease in tax-related

outflows and stable reorganisation and restructuring costs. It is also worth noting that the adverse impact of the postponed migration for an SSCL client is estimated at €15 million for the year and made a negative contribution to the change in operating WCR. Net financial debt at 31 December 2017 was nearly stable compared with its level a year earlier, amounting to €510.1 million, which equates to 1.44x 2017 pro forma EBITDA, versus 1.47x at 31 December 2016 (see Note 11.5.1).

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SOPRA STERIA REGISTRATION DOCUMENT 2017