Plastic Omnium - 2018 Registration Document

4 2018 CONSOLIDATED FINANCIAL STATEMENTS Consolidated financial statements at December 31, 2018 www.plasticomnium.com PLASTIC OMNIUM 2018 REGISTRATION DOCUMENT 136 INCOME STATEMENT 4.2.2 In thousands of euros Notes 2018 % 2017 restated (1) % CONSOLIDATED SALES (REVENUE) 3.1.1 – 3.1.4.1 – 3.1.4.2 7,244,636 100.0% 6,433,001 100.0% Cost of goods and services sold 4.2 (6,184,457) -85.4% (5,405,888) -84.0% GROSS PROFIT 1,060,179 14.6% 1,027,113 16.0% Net Research and Development costs 4.1 – 4.2 (204,319) -2.8% (167,961) -2.6% Selling costs 4.2 (37,433) -0.5% (40,876) -0.6% Administrative expenses 4.2 (241,761) -3.3% (245,020) -3.8% OPERATING MARGIN BEFORE AMORTIZATION OF INTANGIBLE ASSETS ACQUIRED IN BUSINESS COMBINATIONS AND BEFORE SHARE OF PROFIT OF ASSOCIATES AND JOINT VENTURES 3.1.1 576,666 8.0% 573,256 8.9% Amortization of intangible assets acquired in business combinations (2) 3.1.1 – 4.4 (18,454) -0.3% (20,264) -0.3% Share of profit/loss of associates and joint ventures (3) 3.1.1 – 4.5 51,888 0.7% 61,746 1.0% OPERATING MARGIN 3.1.1 610,100 8.4% 614,738 9.6% Other operating income 3.1.1 – 4.6 279,872 3.9% 34,394 0.5% Other operating expenses 3.1.1 – 4.6 (165,490) -2.3% (91,663) -1.4% Financing costs, net 3.1.1 – 4.7 (69,116) -1.0% (63,225) -1.0% Other financial income and expenses, net 3.1.1 – 4.7 (1,088) -0.0% (2,462) -0.0% PROFIT FROM CONTINUING OPERATIONS BEFORE INCOME TAX AND AFTER SHARE OF PROFITS OF ASSOCIATES AND JOINT VENTURES 3.1.1 654,278 9.0% 491,782 7.6% Income tax 3.1.1 – 4.8 (112,996) -1.6% (81,302) -1.3% NET INCOME AFTER TAX FROM CONTINUING OPERATIONS 541,283 7.5% 410,480 6.4% Net income after income tax from discontinued activities (4) 3.1.1 1,494 0.0% 20,006 0.3% NET INCOME 3.1.1 542,777 7.5% 430,487 6.7% Net profit attributable to non-controlling interests 4.8 9,481 0.1% 5,310 0.1% NET PROFIT ATTRIBUTABLE TO OWNERS OF THE PARENT COMPANY 533,296 7.4% 425,177 6.6% Earnings per share attributable to owners of the parent company 4.9 Basic earnings per share (in euros) (5) ● 3.63 2.88 Diluted earnings per share (in euros) (6) ● 3.61 2.86 The 2017 financial statements have been restated to reflect IFRS 5’s application to the assets and liabilities of the Environment business which has been sold in (1) December 2018. Intangible assets acquired in business combinations, mainly contractual customer relationships. (2) See in “Significant Events of the period”, Note 2.3.1 related to the acquisition of a 33.33% equity stake in HBPO from Mahle-Behr on June 26, 2018. (3) See Note 2.6.1 in “Significant events of the period” on the sale of the Environment business. (4) Basic earnings per share are calculated using the weighted average number of ordinary shares outstanding, less the average number of shares held in treasury (5) stock. Diluted earnings per share take into consideration the average number of treasury shares deducted from equity and shares which might be issued under stock (6) option programs.