Cap Gemini - Registration Document 2016

4

FINANCIAL INFORMATION

4.2 Consolidated financial statements

Accounting basis Note 1 The consolidated financial statements for the year ended December 31, 2016 and the notes thereto were adopted by the Board of Directors on February 15, 2017. The consolidated financial statements will be approved by the Combined Shareholders’ Meeting, scheduled for May 10, 2017. standards (IFRS, International Financial Reporting Standards) as issued by the International Accounting Standards Board (IASB) and endorsed by the European Union (EU). Pursuant to European Commission Regulation no. 1606/2002 of July 19, 2002, the 2016 consolidated financial statements have been prepared in accordance with international accounting The Group also takes account of the positions adopted by Syntec Numérique, an organization representing major consulting and computer services companies in France, regarding the application of certain IFRSs. The main accounting policies are presented at the beginning of each note to the consolidated financial statements. mandatory application (published by the IASB, endorsed by the EU, entered into effect on January 1, 2016) New standards, amendments and interpretations of a) The accounting policies applied by the Group are unchanged on those applied for the preparation of the 2015 consolidated financial statements, with the exception of new standards, amendments and interpretations which entered into effect on January 1, 2016 and which had no material impact on the Group financial statements. IFRS standards-base A) New standards and interpretations applicable in 2016 B)

New standards, amendments and interpretations not b) adopted early (published by the IASB, endorsed by

the EU, not yet in effect at January 1, 2016)

The potential impacts of the application of new standards, amendments and interpretations on the Group consolidated financial statements will not be material. The Group worked together with international sector players and within Syntec Numérique in France on identifying application issues relating to IFRS 15, Revenue from contracts with being finalized. customers. At the same time, the Group launched a project to analyze, for a sample of contracts, any differences between accounting policies currently applied and IFRS 15. The conclusions of this analysis and the potential impacts are currently New standards, amendments and interpretations not c) yet endorsed (published by the IASB, not yet endorsed by the EU, not yet in effect at January 1, 2016) The Group did not elect to adopt early the standards, amendments, and interpretations published by the IASB but not yet endorsed by the European Union at December 31, 2016 or in effect at January 1, 2016. Use of estimates C) use of estimates and assumptions which may have an impact on the reported values of assets and liabilities at the period end or on certain items of either net profit or the income and expenses The preparation of consolidated financial statements involves the recognized directly in equity for the year. Estimates are based on economic data and assumptions which are likely to vary over time and are subject to a degree of uncertainty. They mainly concern revenue recognition on fixed-price contracts accounted for on a percentage-of-completion basis, recognition of deferred tax assets, measurement of the recoverable amount of assets, provisions for pensions and other post-employment benefits, the fair value of derivatives, and provisions.

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Registration Document 2016 — Capgemini