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FINANCIAL STATEMENTS
6
CONSOLIDATED FINANCIAL STATEMENTS
NOTE 1
GENERAL INFORMATION
The Assystem Group (hereinafter also referred to as the “Group”) is an
international leader in the field of engineering.
The Group’s parent company is Assystem (hereinafter also referred to as
the “Company”) – a French public limited company (
société anonyme
)
whose registered office is located at 70, boulevard de Courcelles,
75017 Paris, France.
The consolidated financial statements for the year ended 31 December
2015, as well as the accompanying notes, were approved by
Assystem’s Board of Directors on 9 March 2016. However, these
financial statements will only be considered definitive after approval by
the Company’s shareholders at the Annual General Meeting scheduled
to be held on 24 May 2016.
The consolidated financial statements reflect the accounting position of
Assystem and its subsidiaries. They are presented in millions of euros,
rounded to the nearest hundred thousand.
NOTE 2
SIGNIFICANT EVENTS OF THE YEAR
The following significant event took place in 2015:
Acquisition of Radicon Gulf Consult (Radicon)
On 15 January 2015, the Group completed the acquisition of 75% of the
share capital of the Saudi engineering company Radicon Gulf Consult
(Radicon) – a leading company in the field of design, engineering
and services in Saudi Arabia – for €17.9 million. In connection with
this acquisition, the Group granted Radicon a shareholder’s loan of
€11.9 million, taking over an existing shareholder’s loan granted by
the seller. Ali K. Al-Harbi – Radicon’s founder – still holds a 25% interest
in Radicon and is still the creditor of a €4.2 million shareholder’s loan.
The disclosures relating to this acquisition that are required under IFRS 3R
are set out in Note 7 below – Business combinations.
NOTE 3
BASIS OF PREPARATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Basis of preparation
In accordance with Regulation 1606/2002/EC of the European
Parliament and Council dated 19 July 2002, the consolidated financial
statements of the Assystem Group for the year ended 31 December
2015 have been prepared in accordance with International Financial
Reporting Standards (IFRSs) and related interpretations as adopted by
the European Union at that date. These financial statements present
two years of data.
IFRSs as adopted by the European Union differ in certain respects from
IFRSs as issued by the IASB. The Group nevertheless ensured that the
financial information for the reported periods would not have been
substantially different had it applied IFRSs as issued by the IASB.
New standards and interpretations effective
from 1 January 2015
The only new standard or interpretation which was effective from
1 January 2015 and had an impact on the Group’s financial statements
was IFRIC 21, “Levies”. IFRIC 21 provides guidance on when to
recognise a liability to pay a levy imposed by a government that is
accounted for in accordance with IAS 37, “Provisions, Contingent
Liabilities and Contingent Assets”. It notably clarifies when such liabilities
should be recognised, with recognition based on the obligating event
and the obligating event defined as the activity that triggers the payment
of the levy in accordance with the relevant legislation. However,
IFRIC 21 does not deal with how to account for costs arising from the
recognition of a liability to pay a levy.
The main impact on the consolidated financial statements of applying
IFRIC 21 is the effect for each interim reporting period of a change in the
timing of the recognition of levies in the income statement. The principal
levy concerned is the
contribution sociale de solidarité des sociétés
applicable in France (“C3S”). The application of IFRIC 21 therefore
had no impact on the Group’s annual results or the consolidated income
statement for 2014, and its impact on the consolidated statement of
financial position at 31 December 2014 was not material (an increase
in consolidated reserves of approximately €0.6 million after tax).
ASSYSTEM
FINANCIAL REPORT
2015
79