2018 interim financial statements - Financial statements
Half-year consolidated financial statements
- Key figures
- Consolidated income statement for the period
- Consolidated comprehensive income statement for the period
- Consolidated balance sheet
- Consolidated cash flow statement
Key figures
| (in € millions) | First half 2018 | First half 2017 | Change first half 2018/2017 | Full year 2017 |
|---|---|---|---|---|
| Revenue (*) | 19,758 | 18,513 | 6.7 % | 40,248 |
| Revenue generated in France (*) | 11,480 | 10,974 | 4.6 % | 23,680 |
| % of revenue (*) | 58.1 % | 59.3 % | 58.8 % | |
| Revenue generated outside France (*) | 8,278 | 7,539 | 9.8 % | 16,568 |
| % of revenue (*) | 41.9 % | 40.7 % | 41.2 % | |
| Operating income from ordinary activities | 2,099 | 1,883 | 11.4 % | 4,607 |
| % of revenue (*) | 10.6 % | 10.2 % | 11.4 % | |
| Recurring operating income | 2,154 | 1,853 | 16.2 % | 4,592 |
| Operating income | 2,171 | 1,846 | 17.6 % | 4,550 |
| Net income attributable to owners of the parent | 1,300 | 1,030 | 26.2 % | 2,747 |
| % of revenue (*) | 6.6 % | 5.6 % | 6.8 % | |
| Diluted earnings per share (in €) | 2.32 | 1.84 | 26.1 % | 4.91 |
| Net income attributable to owners of the parent excluding non-recurring tax effects (**) | 1,300 | 1,030 | 26.2 % | 2,737 |
| Diluted earnings per share excluding non-recurring tax effects (in €) (**) | 2.32 | 1.84 | 26.1 % | 4.89 |
| Dividend per share (in €) | 0.75 (***) | 0.69 | 8.7 % | 2.45 |
| Cash flows from operations before tax and financing costs | 2,937 | 2,806 | 4.7 % | 6,500 |
| Operating investments (net of disposals) | (476) | (313) | 52.2 % | (745) |
| Growth investments in concessions and PPPs | (463) | (557) | -16.8 % | (1,010) |
| Free cash flow (after investments and excluding non-recurring tax effects) (**) | (136) | (128) | 6.3 % | 2,725 |
| Equity including non-controlling interests | 18,333 | 16,859 | 1,473 | 18,383 |
| Net financial debt | (16,674) | (15,541) | (1,133) | (14,001) |
(*) Excluding concession subsidiaries' revenue derived from works carried out by non-Group companies.
(**) In 2017, net non-recurring tax effects on net income attributable to owners of the parent had a positive impact of €10 million. Those effects resulted from the following tax measures adopted in France’s 2018 Finance Act and 2017 Amended Finance Act: the surtax equal to 30% of corporate income tax, the annulment of the 3% dividend tax and the gradual decrease in the corporate income tax rate in France from 33.33% to 25% in 2022, leading to a revaluation of the Group’s deferred tax. At 30 June 2018, deferred tax was valued using the same assumptions.
(***) Interim dividend to be paid on 8 November 2018.
From 1 January 2018, the Group has applied IFRS 15 “Revenue from contracts with customers” and IFRS 9 “Financial instruments” according to the “simplified retrospective” approach, recognising the cumulative effects of first-time adoption on opening equity at 1 January 2018. As a result, the 2017 figures presented for comparison purposes have not been adjusted. The impacts of this first-time adoption are presented in Note A.4. of the 2018 half-year financial report.
Consolidated income statement for the period
| (in € millions) | First half 2018 | First half 2017 | Full year 2017 |
|---|---|---|---|
| Revenue (*) | 19,758 | 18,513 | 40,248 |
| Concession subsidiaries’ revenue derived from works carried out by non-Group companies | 286 | 325 | 629 |
| Total revenue | 20,043 | 18,838 | 40,876 |
| Revenue from ancillary activities | 108 | 101 | 200 |
| Operating expenses | (18,052) | (17,055) | (36,468) |
| Operating income from ordinary activities | 2,099 | 1,883 | 4,607 |
| Share-based payments (IFRS 2) | (79) | (57) | (163) |
| Profit/(loss) of companies accounted for under the equity method | 81 | 34 | 146 |
| Other recurring operating items | 53 | (7) | - |
| Recurring operating income | 2,154 | 1,853 | 4,592 |
| Non-recurring operating items | 18 | (7) | (41) |
| Operating income | 2,171 | 1,846 | 4,550 |
| Cost of gross financial debt | (249) | (279) | (537) |
| Financial income from cash investments | 13 | 45 | 56 |
| Cost of net financial debt | (236) | (234) | (481) |
| Other financial income and expense | 19 | 18 | 40 |
| Income tax expense | (629) | (575) | (1,271) |
| of which non-recurring tax effects (**) | - | - | 44 |
| Net income | 1,326 | 1,055 | 2,837 |
| Net income attributable to non-controlling interests | 26 | 25 | 90 |
| Net income attributable to owners of the parent (**) | 1,300 | 1,030 | 2,747 |
| Basic earnings per share (in €) (**) | 2.34 | 1.86 | 4.95 |
| Diluted earnings per share (in €) (**) | 2.32 | 1.84 | 4.91 |
| Net income attributable to owners of the parent excluding non-recurring tax effects in deferred tax (**) | 1,300 | 1,030 | 2,737 |
| Diluted earnings per share excluding non-recurring tax effects (in €) (**) | 2.32 | 1.84 | 4.89 |
(*) Excluding concession subsidiaries' revenue derived from works carried out by non-Group companies.
(**) In 2017, the net impact of non-recurring tax effects was limited: a €44 million positive effect on the consolidated tax charge and a €10 million positive impact on net income attributable to owners of the parent. That impact resulted from the following tax measures adopted in France’s 2018 Finance Act and 2017 Amended Finance Act: the surtax equal to 30% of corporate income tax, the annulment of the 3% dividend tax and the gradual decrease in the corporate income tax rate in France from 33.33% to 25% in 2022, leading to a revaluation of the Group’s deferred tax. At 30 June 2018, deferred tax was valued using the same assumptions.
Consolidated comprehensive income statement for the period
| First half 2018 | First half 2017 | Full year 2017 | |||||||
|---|---|---|---|---|---|---|---|---|---|
| (in € millions) | Attributable to owners of the parent | Attributable to non- controlling interests | Total | Attributable to owners of the parent | Attributable to non- controlling interests | Total | Attributable to owners of the parent | Attributable to non- controlling interests | Total |
| Net income | 1,300 | 26 | 1,326 | 1,030 | 25 | 1,055 | 2,747 | 90 | 2,837 |
| Changes in fair value of cash flow and net investment hedging instruments (*) | (19) | - | (19) | 51 | 1 | 52 | 137 | 1 | 137 |
| Hedging costs | 3 | - | 3 | - | - | - | - | - | - |
| Tax (**) | (4) | - | (4) | (17) | - | (17) | (47) | - | (47) |
| Currency translation differences | 17 | 2 | 19 | (147) | (9) | (156) | (335) | (11) | (346) |
| Share in net income of companies accounted for under the equity method | 32 | - | 32 | 49 | - | 49 | 57 | - | 57 |
| Other comprehensive income that may be recycled subsequently to net income | 29 | 2 | 31 | (64) | (8) | (73) | (188) | (11) | (199) |
| Equity instruments | 1 | - | 1 | - | - | - | - | - | - |
| Actuarial gains and losses on retirement benefit obligations | (23) | - | (23) | 33 | - | 33 | 137 | 1 | 138 |
| Tax | 6 | - | 6 | (18) | - | (18) | (31) | - | (31) |
| Share in net income of companies accounted for under the equity method | (1) | - | (1) | (1) | - | (1) | (1) | - | (1) |
| Other comprehensive income that may not be recycled subsequently to net income | (16) | - | (16) | 14 | - | 14 | 105 | 1 | 106 |
| Total other comprehensive income recognised directly in equity | 13 | 2 | 15 | (51) | (8) | (59) | (83) | (10) | (93) |
| Total comprehensive income | 1,314 | 28 | 1,341 | 979 | 17 | 996 | 2,664 | 80 | 2,744 |
(*) Changes in the fair value of cash flow hedges are recognised in equity for the effective portion. Cumulative gains and losses in equity are taken to profit or loss at the time when the cash flow affects profit or loss.
(**) Tax effects relating to changes in the fair value of cash flow hedging financial instruments (effective portion) and hedging costs.
Consolidated balance sheet
Assets
| (in € millions) | 30/06/2018 | 30/06/2017 | 31/12/2017 |
|---|---|---|---|
| Non-current assets | |||
| Concession intangible assets | 26,647 | 26,463 | 26,539 |
| Goodwill | 9,406 | 8,193 | 8,600 |
| Other intangible assets | 431 | 413 | 417 |
| Property, plant and equipment | 4,658 | 4,359 | 4,421 |
| Investments in companies accounted for under the equity method | 1,552 | 1,500 | 1,573 |
| Other non-current financial assets | 1,263 | 1,146 | 1,102 |
| Derivative financial instruments - non-current assets | 550 | 660 | 621 |
| Deferred tax assets | 257 | 237 | 255 |
| Total non-current assets | 44,763 | 42,972 | 43,527 |
| Current assets | |||
| Inventories and work in progress | 1,139 | 946 | 1,056 |
| Trade and other receivables | 12,868 | 11,638 | 12,432 |
| Other current operating assets | 5,349 | 4,823 | 5,035 |
| Other current non-operating assets | 46 | 49 | 58 |
| Current tax assets | 259 | 268 | 406 |
| Other current financial assets | 34 | 29 | 38 |
| Derivative financial instruments - current assets | 232 | 265 | 261 |
| Cash management financial assets | 174 | 153 | 184 |
| Cash and cash equivalents | 5,997 | 4,784 | 6,807 |
| Total current assets | 26,098 | 22,954 | 26,276 |
| Total assets | 70,861 | 65,925 | 69,803 |
Equity and liabilities
| (in € millions) | 30/06/2018 | 30/06/2017 | 31/12/2017 |
|---|---|---|---|
| Equity | |||
| Share capital | 1,491 | 1,483 | 1,478 |
| Share premium | 10,253 | 9,660 | 9,886 |
| Treasury shares | (2,161) | (1,893) | (1,751) |
| Consolidated reserves | 7,886 | 7,046 | 6,509 |
| Currency translation reserves | (215) | (72) | (276) |
| Net income attributable to owners of the parent | 1,300 | 1,030 | 2,747 |
| Amounts recognised directly in equity | (817) | (924) | (782) |
| Equity attributable to owners of the parent | 17,737 | 16,329 | 17,812 |
| Non-controlling interests | 596 | 531 | 572 |
| Total equity | 18,333 | 16,859 | 18,383 |
| Non-current liabilities | |||
| Non-current provisions | 1,065 | 982 | 1,053 |
| Provisions for employee benefits | 1,519 | 1,628 | 1,481 |
| Bonds | 14,529 | 13,428 | 14,130 |
| Other loans and borrowings | 2,907 | 2,657 | 2,512 |
| Derivative financial instruments - non-current liabilities | 276 | 253 | 288 |
| Other non-current liabilities | 269 | 133 | 192 |
| Deferred tax liabilities | 1,648 | 1,879 | 1,735 |
| Total non-current liabilities | 22,214 | 20,959 | 21,391 |
| Current liabilities | |||
| Current provisions | 4,181 | 4,065 | 4,322 |
| Trade payables | 7,707 | 7,345 | 8,198 |
| Other current operating liabilities | 11,855 | 11,014 | 11,852 |
| Other current non-operating liabilities | 416 | 395 | 487 |
| Current tax liabilities | 241 | 221 | 225 |
| Derivative financial instruments - current liabilities | 77 | 169 | 114 |
| Current borrowings | 5,838 | 4,897 | 4,830 |
| Total current liabilities | 30,314 | 28,106 | 30,029 |
| Total equity and liabilities | 70,861 | 65,925 | 69,803 |