SOMFY // 2022 Annual Report

06 PARENT COMPANY FINANCIAL STATEMENTS

ACCOUNTS RECEIVABLE FROM EQUITY INVESTMENTS, BONDS RECEIVABLE AND OTHER RECEIVABLES

Allocations are valued based on the first in, first out method. Shares bought and sold to ensure the liquidity and to stimulate the secondary market and shares purchased to be retained and subsequently exchanged are valued at the lower of the average purchase price of all these shares or the average quoted stock exchange price over the month of December 2022. Disposals are valued based on the first in, first out method. At 31 December 2022, no more stock option plans existed. During 2020, the Management Board of SOMFY SA agreed on the following allocations of SOMFY SA performance shares: – at its meeting of 31 August 2020, allocation of SOMFY performance shares to 52 beneficiaries. The vesting of these performance shares was subject to the condition that they must remain employed by the Group. Final vesting took place on 15 September 2022. The shares vested were available from 16 September 2022 and were not subject to a retention obligation; – at its meeting of 25 November 2020, allocation of SOMFY performance shares to 3 beneficiaries. The vesting of these performance shares was subject to the condition that they must remain employed by the Group. Final vesting took place on 28 November 2022. The shares vested were available from 29 November 2022 and were not subject to a retention obligation. During 2021, the Board of Directors of SOMFY SA agreed on the following allocations of SOMFY SA performance shares: – at its meeting of 28 June 2021, allocation of SOMFY performance shares to 69 beneficiaries. The vesting of these performance shares is subject to the condition that they must remain employed by the Group. Final vesting will take place on 30 June 2023. The shares vested will be available from 1 July 2023 and will not be subject to a retention obligation; – at its meeting of 28 June 2021, allocation of SOMFY performance shares to 122 beneficiaries. The vesting of these performance shares is subject to the condition that they must remain employed by the Group. Final vesting will take place on 30 June 2024. The shares vested will be available from 1 July 2024 and will not be subject to a retention obligation; – at its meeting of 7 December 2021, allocation of SOMFY performance shares to 4 beneficiaries. The vesting of these performance shares is subject to the condition that they must remain employed by the Group. Final vesting will take place on 30 June 2023. The shares vested will be unavailable until midnight, 11 December 2023, since they will be subject to a retention obligation; – at its meeting of 7 December 2021, allocation of SOMFY performance shares to 4 beneficiaries. The vesting of these performance shares is subject to the condition that they must remain employed by the Group. Final vesting will take place on 30 June 2024. The shares vested will be available from 1 July 2024 and will not be subject to a retention obligation. During 2022, the Board of Directors of SOMFY SA agreed on the following allocation of SOMFY SA performance shares: – at its meeting of 1 June 2022, allocation of SOMFY performance shares to 111 beneficiaries. The vesting of these performance shares is subject to the condition that they must remain employed by the Group. Final vesting will take place on 30 June 2025. The shares vested will be available from 1 July 2025 and will not be subject to a retention obligation. SOMFY SA STOCK OPTION AND FREE SHARE ALLOCATION PLANS

Receivables are carried at their nominal value. A provision for impairment is recorded when their estimated realisable value falls below carrying value and based upon the probability of their recovery. When the equity of investments becomes negative, a provision for impairment is recorded with reference to the above estimated realisable value. FOREIGN CURRENCY DENOMINATED TRANSACTIONS Foreign currency denominated income and expenses are recorded at their equivalent value at the transaction date. Foreign currency denominated debts, receivables and cash are recognised in the balance sheet at their exchange rate on the balance sheet date. The difference resulting from the translation of foreign currency debts and receivables at the balance sheet date exchange rate is recognised in the balance sheet as a “Translation adjustment”. At 31 December 2022, “Asset” and “Liability” translation adjustments of €934 thousand and €99 thousand respectively, were classified under “Other receivables and accruals” and “Other liabilities and accruals”, respectively. Unrealised foreign exchange losses resulting from the net exchange position by currency recorded on assets and liabilities at the balance sheet date are recorded as a provision for foreign exchange losses. BORROWINGS AND DEBTS FROM CREDIT INSTITUTIONS Borrowings and debts from credit institutions are recorded on the balance sheet at their net value. Accrued interest is recorded on the balance sheet with the related borrowings. In relation with the setting up of the syndicated loan (see Significant events of the financial year), credit lines made available by the banks are subject to SOMFY SA commitment to comply with a financial covenant based on its ability to repay (net financial debt/EBITDA). This financial covenant will be tested for the first SOMFY SA has been applying the new ANC 2015-05 regulation relating to forward financial instruments and hedging transactions since 1 January 2017. In the context of relationships qualifying as hedges, the company recognises the impacts of the hedging instrument on the income statement on a symmetric basis, together with the income or expense related to the hedged item, irrespective of the market in which the hedging instruments are traded. In the case of isolated open positions, the company records changes in the value of derivatives on the balance sheet and provisions are recognised forunrealised losses on these derivatives. At 31 December 2022, all financial instruments entered into by the A provision for retirement benefits is recognised in the parent company financial statements of SOMFY SA in accordance with the terms set out in ANC recommendation 2013-02, which allow for the application of rules laid down in IAS 19, “Employee benefits”. The company is bound by the national collective bargaining agreement for the metallurgical industry. Similarly, in accordance with the possibilities offered by the ANC, the company decided to apply the decision of the IFRS Interpretations Committee (IFRS-IC) clarifying periods of service to which an entity should attribute defined benefitswhen: time on 31 December 2023. HEDGING TRANSACTIONS company qualified as hedging instruments. PROVISIONS FOR RETIREMENT BENEFITS

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SOMFY – ANNUAL REPORT 2022