technicolor - 2019 Universal registration document

OPERATING AND FINANCIAL REVIEW AND PROSPECTS LIQUIDITY AND CAPITAL RESOURCES

committed credit lines: at December 31, 2019 the Group had two • confirmed credit lines with maturity greater than 1 year for a total amount of €361 million. One of the credit lines for an amount of €111 million is secured by trade receivables and the availability of this

line varies depending on the amount of receivables. For more information about the Group’s credit lines please refer to note 8.2.3

to the Group’s consolidated financial statements.

Cash flow 2.3.2

2019, excl. IFRS 16

2019

2018

(in million euros)

2

Cash and cash equivalents at January 1

291

291

319

Net operating cash generated from continuing activities (I) Net investing cash used in continuing activities (II) Net financing cash used in continuing activities (III) Net decrease in cash and cash equivalents (I+II+III+IV) Exchange gains (losses) on cash and cash equivalents CASH AND CASH EQUIVALENTS AT DECEMBER 31 Net cash used from discontinued activities (IV)

70

6

118

(171) (91) (33)

(172) (26)

(156) (96)

(33)

105

(226)

(226)

(29)

0

0

1

65

65

291

NET CASH GENERATED FROMOPERATING ACTIVITIES Continuing operations

Net Income from continuing operations was a loss of €195 million in 2019 compared to a loss of €224 million in 2018. Net operating cash generated from continuing operations amounted to €6 million in 2019, compared to €118 million generated in 2018. The variations between 2018 and 2019 are analyzed in the table below:

2019, excl. IFRS 16

2019 (208)

2018 Variation (1)

Comments on variations

(in million euros)

Profit (Loss) from continuing operations

(195)

(224)

29

Mainly due to higher impairment and non recurring expenses in 2018 Higher impairment in 2018

Summary adjustments to reconcile profit from continuing operations to cash generated from continuing operations: non-cash depreciation, amortization • and impairment of assets profit from continuing operations • before depreciation, amortization and impairment of assets Cash payments of the period related to provisions Non-cash P&L impact of the provisions of the period

385

311

325

(14)

177

116

101

15

(89)

(93)

(105)

12

Mainly less restructuring and warranty spending Mainly related to lower restructuring provision in 2019 Mainly coming from change in working capital

41

42

89

(47)

Other various adjustments

17

(3)

87

(90)

Operating Cash generated from continuing operations Net interest paid and received

146

62

171

(109)

(64) (12)

(44) (12)

(39) (14)

(5)

Income tax paid

2

NET OPERATING CASH GENERATED FROM CONTINUING ACTIVITIES Change at current currency, excluding IFRS 16. (1)

70

6

118

(112)

41

TECHNICOLOR UNIVERSAL REGISTRATION DOCUMENT 2019