Worldline - 2019 Universal Registration Document

E

FINANCIALS Consolidated financial statements

CHANGE IN NET CASH/(DEBT) OVER THE PERIOD

As at December 31, 2019

As at December 31, 2018

(In € million)

-35.0

Opening net cash/(debt)

309.1

-1,050.9

New borrowings: convertibles bonds & bonds

-0.6

-63.0 117.6

Other borrowings Contingent liability

-117.6

9.2

Repayment of long and medium-term borrowings Variance in net cash and cash equivalents

15.8

378.8

-236.7

0.0 

New finance leases

-2.4 -2.4

2.1

Impact of exchange rate fluctuations on net long and medium-term debt

Closing net cash/(debt)

-641.3

-35.0

NET CASH/(DEBT)

As at December 31, 2019

As at December 31, 2018

(In € million)

500.6

Cash and cash equivalents

212.8 -120.3 -127.5 -35.0

-1,054.2

Borrowings

-87.7

Current portion of borrowings

Total

-641.3

Income tax Note 7

Accounting policies/principles Current and deferred taxes

The income tax charge includes current and deferred tax expenses. Deferred tax is calculated wherever temporary differences occur between the tax base and the consolidated base of assets and liabilities, using the liability method. The deferred tax is valued using the enacted tax rate at the closing date that will be in force when the temporary differences reverse. In case of change in tax rate, the deferred tax assets and liabilities are adjusted counterpart the income statement except if those change related to items recognized in other comprehensive income or in equity. The deferred tax assets and liabilities are netted off at the taxable entity, when there is a legal right to offset. Deferred tax assets corresponding to temporary differences and tax losses carried over forward are recognized when they are considered to be recoverable during their validity period, based on historical and forecast information. Deferred tax liabilities for taxable temporary differences relating to goodwill are recognized, to the extent they do not arise from the initial recognition of goodwill. Deferred tax assets are tested for impairment at least annually at the closing date, based on December actuals, business plans and impairment test data. Measurement of recognized tax loss carry-forwards Deferred tax assets are recognized on tax loss carry-forwards when it is probable that taxable profit will be available against which the tax loss carry-forwards can be utilized. Estimates of taxable profits and utilizations of tax loss carry-forwards were prepared on the basis of profit and loss forecasts as included in the 3-year business plans (other durations may apply due to local specificities). IFRIC 23 The Group applied IFRIC 23 on the accounting for income tax when there is uncertainty over tax treatments by using the retrospective approach. The Group reviewed its income tax treatment and concluded that no material impact was to be considered, so no adjustment on retained earnings were made. A liability is recognized in the consolidated statement of financial position when a tax risk arising from positions taken by the Group, or one of its subsidiaries, is considered as probable, assuming that the tax authorities have full knowledge of all relevant information when making their examination.

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Universal Registration Document 2019