TELEPERFORMANCE_Registration_document_2017

CONSOLIDATED FINANCIAL STATEMENTS

7.6 Notes to the consolidated financial statements

NOTE C.10 Income

Revenues

Revenues from services rendered are measured at the fair value of the consideration received or receivable taking into account trade rebates and other discounts granted by the Group. Consideration is received in the form of cash or cash equivalents, and income arising in the course of ordinary activities is determined as the amount of cash or cash equivalents received or receivable. These revenues are recognized in the statement of income in proportion to the stage of completion of the transaction at the reporting date.

When contract billings are based on time spent, revenues are estimated using the actual billable time. When contract billings are based on call volumes handled, or the number of workstations or staff allocated, revenues are estimated using billable volumes. For certain contracts, our service is rendered through the sale of our customers’ products (e.g. insurance, bank cards.) The related revenues are recognized only when definitively acquired. Revenues subject to quantitative targets are recognized only when these have been met.

€ millions

4,180

+282 *

+321

3,649

-72

3,577

2016

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2017

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* Relates to LanguageLine Solutions LLC, acquired in the second half of 2016.

Group revenues amounted to €4,180.4bmillion in 2017, representing an increase (on the basis of published figures) of 14.6% compared to 2016. At constant scope and exchange rates, the increase was 9.0%.

Other revenues

7

Other revenues mainly consist of government grants that are recognized in the statement of financial position under Other receivables when there is reasonable assurance that they will be received and that the Group will comply with the conditions attached to them. Grants that compensate the Group for costs incurred are recognized in the statement of income in the period in which the expenses are incurred. Grants that cover all or part of the cost of an asset are recognized in the statement of income over the useful life of the asset.

Following the introduction in 2012bof the French tax credit for competitiveness and employment (C rédit d’impôt pour la compétitivité et l’emploib– CICE ), the Group opted to recognize it under Other revenues. In 2017, grants amounted to €7.7bmillion compared with €5.2bmillion in 2016, including €2.8bmillion for the CICE in each year.

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Teleperformance bb - bb Registration documentbb 2017