Worldline - Registration Document 2016

Worldline

2016 Registration Document

Operation and financial review

Overview 9.1 80 Introduction 9.1.1 80 Principal Factors Affecting the Group’s 9.1.2 Revenue and Profitability 80 Statement Line Items Summary Description of Principal Income 9.1.3 86 Segment Reporting 9.1.4 87 Critical accounting policies under IFRS 9.2 88 Significant event of the year 9.3 88 Transaction with Equens and Paysquare 9.3.1. 88 Acquisition of Komercni banka (KB 9.3.2. Smartpay) 88 Executive Summary 9.4 89 Statutory to constant scope and foreign 9.5 exchange rates reconciliation 90 Revenue profile evolution 9.6 91 Performance by Global Business Line 9.7 92 Merchant Services & Terminals 9.7.1 92 Processing & Software Licensing”) Financial Services (former “Financial 9.7.2 93 Mobility & e-Transactional Services 9.7.3 94 Performance by geography 9.8 95 Commercial activity 9.9 96 Main signatures 9.9.1 96 Backlog and commercial perspectives 9.9.2 97 Human Resources 9.10 97 Headcount evolution 9.10.1 97 Attrition 9.10.2 99 External subcontractors 9.10.3 99 Financial Review 9.11 99 Income Statement 9.11.1 99 Cash Flow 9.11.2 102 Financing Policy 9.11.3 103 Worldline SA five years financial summary 9.11.4 (from Parent company financial statements) 104 Non-IFRS financial measures 9.12 105 OMDA 9.12.1 105 Free Cash Flow 9.12.2 105 EBITDA 9.12.3 106

“Financial Information Concerning the Group’s Assets and Liabilities, Financial Condition and Results”.

This management’s discussion and analysis provides a review of the results of operations, financial condition and liquidity

audited consolidated financial statements as of and for the years ended December

31, 2016 and 2015, and the related notes

thereto, prepared in accordance with IFRS and included elsewhere in this Registration Document, as well as the information

and capital resources of the Company and its subsidiaries and outlines the factors that have affected recent earnings, as well

as factors that may affect future earnings. The following discussion is based on and should be read together with the Group’s

included in Chapter

3, “Selected Financial Information and Other Data”, Chapter

12, “Trend Information”, and Chapter

20,