technicolor - 2019 Universal registration document

FINANCIAL STATEMENTS INFORMATION ON OPERATIONS

PRODUCTION SERVICES Technicolor provides high-end services to content creators, including Visual Effects/Animation and video Post Production Services. DVD SERVICES The DVD Services segment replicates, packages and distributes video, game and music CD, DVD and Blu-ray™ discs. CONNECTED HOME Connected Home segment offers a complete portfolio of Broadband and Video Customer Premise Equipment (“CPE”) to Pay-TV operators and Network Service Providers (NSPs), including broadband modems and gateways, digital Set-Top Box, and Internet of Things (IoT) connected devices.

CORPORATE & OTHER This segment includes:

Trademark Licensing business, which monetizes valuable brands such • RCA © and Thomson © which were operated by the Group when it was a leading stakeholder in the Consumer Electronics business; Patent Licences, which have not been sold to InterDigital and which • monetizes valuable patents; Post-disposal service operations and commitments related to former • consumer electronics operations, mainly pension and legal costs; Unallocated Corporate functions, which comprise the operation and • management of the Group’s Head Office, together with various Group functions centrally performed, such as Human Resources, IT, Finance, Marketing and Communication, Corporate Legal Operations and Real Estate Management, and that cannot be strictly assigned to a particular business within the three operating segments.

STATEMENT OF OPERATIONS

Year ended December 31, 2019

Production Services

DVD Services

Connected Home

Corporate & Other

Total

(in million euros)

Revenues

893

882

1,983

43

3,800

Intersegment sales

-

-

-

-

-

Earnings before Interest & Tax (EBIT) from continuing operations Of which: Amortization of purchase accounting items

3

(94)

(24)

(6)

(121)

(8) (2)

(10) (60)

(36)

- -

(54) (63) (31) (15)

Net impairment losses on non-current operating assets

(1)

Restructuring costs

(12)

(7)

(10)

(2) (1) (2)

Other income (expenses)

(2) 28

(10)

(1) 23

Adjusted EBITA

(6)

42

Of which: Depreciation & amortization (excl. PPA items) IT capacity use for rendering in Production Services

(105)

(87)

(72)

(3)

(267)

(31)

- -

-

- -

(31)

6

Other non-cash items (1)

-

16

16

Adjusted EBITDA

164

81

79

1

324

Statements of financial position items Segment assets

685

710

1,327

277

2,999

Unallocated assets

211

TOTAL CONSOLIDATED ASSETS

3,210 1,804 1,370 3,173

Segment liabilities Unallocated liabilities

232

253

904

415

TOTAL CONSOLIDATED LIABILITIES

Other information Net capital expenditures

(62)

(36)

(68)

(3)

(169)

Capital employed

411

187

43

212

853

Mainly variation of provisions for risks, litigations and warranties. (1)

213

TECHNICOLOR UNIVERSAL REGISTRATION DOCUMENT 2019