Sopra Steria - 2018 Registration document

2018 CONSOLIDATED FINANCIAL STATEMENTS Notes to the consolidated financial statements

Property, plant and equipment essentially consists of land and buildings, fixtures and fittings, office furniture and equipment, and IT equipment. Property, plant and equipment is measured at acquisition cost (excluding any borrowing costs) less accumulated depreciation and any impairment losses. No amounts have been remeasured.

Depreciation is calculated using the straight-line method over the expected useful lives of each of the following fixed asset categories:

p buildings: 25 to 30 years;

p fixtures and fittings: 4 to 10 years; p IT hardware and equipment: 3 to 8 years;

vehicles: 4 to 5 years;

p

p office furniture and equipment: 4 to 10 years.

Depreciation is applied against assets’ acquisition cost after deducting any residual value. Assets’ residual values and expected useful lives are reviewed at each balance sheet date.

Finance leases relating to IT investments are presented in the balance sheet in the following amounts:

31/12/2018

31/12/2017

(in millions of euros)

Gross value Depreciation NET VALUE

41.9 -26.7 15.2

36.9 -22.9 14.0

Leases Leases of property, plant and equipment under which the Group takes on substantially all the risks and rewards incidental to ownership of the assets are treated as finance leases. They are recognised at the lower of the leased asset’s fair value and the present value of the minimum lease payments. Assets acquired under finance leases are depreciated over the shorter of their estimated useful lives or the applicable lease terms:

p property leases: Built assets are depreciated on a straight-line basis over twenty-five years; p IT equipment leases: Hardware is depreciated on a straight-line basis over four years, the most common lease term. In contrast, leases under which the lessor retains substantially all the risks and rewards incidental to ownership are treated as operating leases. Payments under such leases are expensed on a straight-line basis over the lease term, and no fixed asset is recognised.

NOTE 9 EQUITY-ACCOUNTED INVESTMENTS

9.1. Net profit from associates

% held at 31/12/2018

% held at 31/12/2017

31/12/2018

31/12/2017

(in millions of euros)

32.57%

32.59% 40.00%

Share of net profit of Axway Software

3.6

1.4 0.2 1.7

-

Share of net profit of Diamis

-

TOTAL

3.6

148

SOPRA STERIA REGISTRATION DOCUMENT 2018

Made with FlippingBook Learn more on our blog