TELEPERFORMANCE_Registration_document_2017

CONSOLIDATED FINANCIAL STATEMENTS

7.6 Notes to the consolidated financial statements

of investors, creditors and the market, and to support future business development. The Group therefore pays close attention to its net indebtedness and the debt/equity ratio. The gearing ratio is determined as follows:

From time to time, the Group may buy back its own shares on the market. Oddo Corporate Finance has acted on its behalf under a liquidity agreement since Januaryb8 th , 2007. The agreement complies with the Code of Conduct established by the AFEI (French Association of Investment Firms) as approved by the AMF, the French stock exchange regulator. The amount of funds committed to this arrangement is €3.0bmillion. The number of treasury shares held at the end of the year is set out in note F.1 Share Capital.

12/31/2017

b

12/31/2016

Net debt

1,326 1,922

1,667 1,921

Equity

GEARING RATIO

0.69

0.87

NOTE G.8 Exposure to exchange risk from translation of the financial statements of foreign subsidiaries on consolidation In order to indicate the exposure of the Group to exchange risk from translation of the financial statements of foreign subsidiaries on consolidation, an analysis of Group revenues by principal currency in 2017band 2016bis set out in the following schedule:

2017

2016

Revenues

Amount

%

Amount

%

Euro

919

22.0% 45.2%

856

23.5% 44.5%

US dollar

1,888

1,624

Brazilian real Mexican peso

243

5.8% 2.3% 7.0% 3.9% 2.3%

185

5.1% 2.3% 8.0% 3.4% 2.5%

95

85

£ sterling

293 165

291 124

Colombian peso

Yuan

96

92

Autres TOTAL

481

11.5% 100%

392

10.7%

4,180 100% Sensitivity of profit before tax and equity to a change of 1% in the exchange rate of the euro against other currencies The Group estimates that an increase or decrease of 1% in the exchange rate of the euro against other currencies would have impacted 2017bprofit before tax and equity by approximately €2.7bmillion and €9.5bmillion, respectively. Effect of changes in exchange rates The effect of changes in exchange rates on statement of income line items is as follows: 3,649

7

2017 4,180

b

2016 at 2017brates

2016 3,649

Revenues

3,577

Operating profit Financial result

355 -50 314 312

329 -34 213 209

339 -39 217 214

NET PROFIT

Net profitb–bGroup share

At Decemberb31 st , 2017, the Group’s exposure to exchange risk may be summarized as follows:

12/31/2017

12/31/2016

Net position after hedging Assets Liabilities

Net position before hedging

Net position after hedging

Net position before hedging

b

Assets Liabilities 626 1,876

Euro USD

-1,250 2,443

-1,250 668 2,156

-1,488 2,695

-1,505 2,684

2,844

401

2,441 3,311 77 110 107 128 139 188 71 103 63 129

616

BRL

114 127 176

37 19 37 27 41

77

27 38 33 31 39 93

83 90

82 87

MXN GBP COP PHP

108 139

155

156

98

71 61

72 90

72 84

102 394

Other

119

275

274

355

262

261

TOTAL

4,481 2,557

1,924

1,922 4,992 3,033

1,959

1,921

199

Teleperformance bb - bb Registration documentbb 2017