WORLDLINE_REGISTRATION_DOCUMENT_2017

E

Financials Consolidated financial statements

Revenue arising from transactional activities Note ‘Accounting rules and policies – Revenue recognition’ of consolidated financial statements Key Audit Matter Our audit approach

Regarding the revenue arising from transactional activities, in particular those in relation with payments, the transactions are recognized over the period during which the treatment has been completed. Those activities are relying upon numerous and complex IT applications which are collecting and processing high volume of data in order to calculate and record the revenue. Also the accounting treatment of the revenue is dependent upon the nature of each transaction and the contractual agreements with the merchants, the banks and the card schemes. We have considered the revenue arising from transactional activities as a key audit matter due to the reliance upon a highly complex IT environment, the high number of transactions processed through those IT applications, and the necessary manual inputs to process the invoices.

We have tested the internal controls in relation with the transactional activities internal processes in order to ensure the validity and completeness of the revenue recorded in the financial statements. Our IT specialists have assisted us in order to perform the following procedures: We have tested the general IT controls of the main IT ● applications supporting transactional activities revenue streams ; We have also tested the operating effectiveness of the ● manual or automated controls securing the completeness and the validity of the accounting records. Moreover, we have performed substantive testing on manual journal entries impacting transactional revenue in order to ensure the validity of the accounting entries booked in the financial statements. We have reviewed the accounting treatment of each revenue streams in order to ensure the consistency of the accounting treatment with the contractual arrangements of the company with the merchants, the banks and the card schemes.

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Worldline 2017 Registration Document