SOMFY // 2022 Annual Report

05 CONSOLIDATED FINANCIAL STATEMENTS

Detailed information Note 2.3.2

The financial impact of the acquisition of Teleco Automation (see Highlights) is broken down as follows:

Fair value recognised at the allocation date

€ thousands

Goodwill

72,935 105,429 92,400 40,859 14,549 16,533 -51,726 -26,123 -12,685 8,144

Other non-current assets

– of which Allocated intangible assets (brand, customer base and patents)

Current assets

– of which Inventories

– of which Trade receivables

– of which Cash and cash equivalents

Non-current liabilities excluding put option-related liability

– of which Deferred tax liabilities

Current liabilities

-2,128

– of which Financial liabilities Put option-related liability

-68,890 40,054

Impact of the put option on shareholder’s equity Shareholders’ equity of residual minority interests

-278

Purchase price paid

125,697 -16,526 109,171

Cash acquired

ACQUISITION-RELATED CASH FLOW NET OF CASH ACQUIRED cash outflow. (+) Goodwill on the acquisition, calculated on the percentage interest acquired ( i.e. using the partial goodwill method), came to €72.9 million after recognising assets and liabilities at fair value, mainly consisting of a brand measured at €24.6 million, a customer base measured at €52.8 million amortisable over an average of 18 years, and patents measured at €15 million amortisable over an average of 12 years. This goodwill has been allocated on a provisional basis; the allocation will become final when the 12-month measurement period ends on 30 June 2023. The put option-related liability was determined using a discount rate of 10.5%. A variation of +/-150 basis points in this rate leads to a variation of +/-€2.3 million. ASSETS HELD FOR SALE Pursuant to IFRS 5 – Non-current assets held for sale, a non-current asset or asset group must be classified in the balance sheet as held for sale if its book value will be recovered principally through a sale transaction rather than through continuing use. Within the meaning of the standard, “sale” includes sales, distributions and exchanges against other assets. The non-current asset or asset group held for sale must be available for immediate sale in their present condition subject only to terms that are usual and customary for sales of such assets and their sale must be highly probable. For a sale to be regarded as highly probable, the following criteria must be met: – the appropriate level of Management must be committed to a disposal plan; OPERATIONS TREATED IN ACCORDANCE NOTE 2.4 WITH IFRS 5

– an active programme to locate a buyer and complete the plan must have been initiated; – the asset must be actively marketed for sale at a price that is reasonable in relation to its current fair value; – the disposal must be reliably expected to be completed within 12 months from the reclassification of the assets as held for disposal or exchange; – the actions required to complete the plan must indicate that it is unlikely that significant changes will be made or that the plan will be withdrawn. Prior to their reclassification as “Assets held for sale”, the non-current asset or assets and liabilities of the disposal group are measured in accordance with their respective applicable standards. Following their reclassification as “Assets held for sale”, the non-current asset or group of assets is measured at the lower of its net book value and its fair value less costs to sell, an impairment loss being recognised where relevant. On reclassification of a non-current asset as held for sale, the depreciation/amortisationof this asset ceases. In the case of a disposal resulting in a loss of control, the assets and liabilities of the entire subsidiary are classified as assets and liabilities “held for sale” in the “Assets held for sale” and “Liabilities related to assets held for sale” balance sheet items, as soon as the disposal meets the classification criteria of IFRS 5. Pursuant to the application of IFRS 5: – in the case of balance sheet items reclassified as assets and liabilities held for sale, no adjustments are made to comparative figures for prior periods; – income statement and cash flow statement items relating to the individual assets held for sale are not restated.

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SOMFY – ANNUAL REPORT 2022