PARIS--(BUSINESS WIRE)--Regulatory News:
The Board of Directors of Teleperformance (Paris:RCF), the worldwide leader in outsourced omnichannel customer experience management, met today and reviewed the consolidated and parent company financial statements for the year ended December 31, 2016. The Group also announced its financial results for the year.
GROWTH IN RESULTS AND MARGINS IN 2016
- Revenue: |
€3,649 million | |||
up + 7.4% as reported |
||||
up + 7.4% like-for-like* |
||||
- EBITA before non-recurring items: |
€408 million | |||
- EBITA margin before non-recurring items: |
11.2% versus 10.3% in 2015 | |||
- Diluted earnings per share: |
€3.67, versus €3.45 in 2015 | |||
- Dividend per share: |
€1.30**, versus €1.20 in 2015 | |||
- Net free cash flow: |
€236 million, up + 16.8% on 2015 |
SIGNIFICANTLY STRONGER GLOBAL MARKET LEADERSHIP
- Unique global presence in 74 countries
- Continued expansion of the Group's worldwide footprint with the addition of more than 20 000 new workstations, notably in Asia, Latin America and Europe
ACQUISITION OF LANGUAGELINE SOLUTIONS (LLS)
- Consolidation in the third quarter 2016 of LanguageLine Solutions, the US market leader in online interpreting solutions
- Strong growth in revenue and EBITA margin before non-recurring items for LLS, in line with the Group's expectations
- Creation of a new family of Teleperformance services: the “Specialized services” account for 15% of consolidated revenue***, generating an EBITA margin before non-recurring items of 30%***, and grouping together interpreting services, visa application management services, analytics solutions, and debt collection programs
2017 OBJECTIVES: CONTINUED PROFITABLE GROWTH
- Like-for-like revenue growth above + 6%
- EBITA margin before non-recurring items of at least 13%
- Ongoing strong net free cash flow generation.
*at constant exchange rates and scope of consolidation
**submitted
to shareholder approval at the annual general meeting on June 23, 2017
***
2016 pro forma figure with LanguageLine Solutions consolidated over 12
months
2016 FINANCIAL HIGHLIGHTS
€ millions | 2016 | 2015 | % change | |||
€1=US$1.11 | €1=US$1.11 | |||||
Revenue | 3 649 | 3 398 | + 7.4% | |||
Like-for-like growth | + 7.4% | |||||
EBITDA before non-recurring items | 559 | 492 | + 13.6% | |||
% of revenue | 15.3% | 14.5% | ||||
EBITA before non-recurring items(1) | 408 | 351 | + 16.3% | |||
% of revenue | 11.2% | 10.3% | ||||
Operating profit | 339 | 308 | + 10.1% | |||
Net profit - Group share | 214 | 200 | + 6.8% | |||
Diluted earnings per share (€) | 3,67 | 3,45 | + 6.4% | |||
Dividend per share (€) | 1.30* | 1,20 | ||||
Net free cash flow | 236 | 202 | + 16.8% |
(1)Operating profit before amortization of
acquisition-related intangibles, loss of goodwill value and excluding
non-recurring items
*submitted to shareholder approval at the
annual general meeting on June 23, 2017
Daniel Julien, Executive Chairman, and Paulo César Salles Vasques, Chief Executive Officer, Teleperformance Group, expressed their thoughts on the occasion:
"2016 was an exceptional year for Teleperformance, not only for its very good financial performance in line with its annual objectives, with a + 7.4% growth in its business and a significant increase in its operating margin, but also and especially for the very successful transformational operation carried out last September, namely the acquisition in September 2016 of LanguageLine Solutions, the leading provider of online interpretation solutions in the United States.
This acquisition definitely reflects the Group’s strategic decision to develop high value-added specialized services, which combine a dynamic growth profile with high profitability levels. Via its targeted acquisitions, the Teleperformance Group has gradually positioned itself as a world-renowned high-end player in Business Process Outsourcing (BPO).
For 2017, Teleperformance expects to enjoy continued growth in its market and gains in market share thanks to its worldwide leadership position, backed by the ongoing expansion of its global footprint, notably with new contact centers in Asia. The Group will also benefit from the consolidation of LanguageLine Solutions over 12 months. Thus the Group targets like-for-like revenue growth above + 6%, significant improvement in the EBITA margin before non-recurring items to at least 13.0% and ongoing strong cash flow generation.
In the longer term, we reaffirm with enthusiasm, conviction and passion what we announced at our Investor day on January 19th. The growth potential of our two business families in customer experience, core-services activities and high-value specialized services, our differentiating assets combining leadership, people, client centric culture, brain and technology and further targeted acquisitions, allows us to be confident to achieve in 2020 a turnover at least equal to 5 billion euros and a current EBITA margin at least equal to 14%. We thank all our teams who have worked for the success of the group so far and for continuing to contribute to our exciting, value-creating journey."
CONSOLIDATED REVENUE
Consolidated revenue amounted to €3,649 million, representing a + 7.4% increase as reported vs 2015. Reported growth includes the aggregate €114 million positive contribution from LanguageLine Solutions, consolidated since September 19, 2016, as well as a €106 million negative currency effect arising from the decrease against the euro of certain currencies, primarily Latin American currencies such as the Argentine, Mexican, and Colombian pesos, and the pound sterling.
On a like-for-like basis (at constant exchange rates and scope of consolidation), revenue climbed to + 7.4% year-on-year.
REVENUE BY REGION
The geographic breakdown continued to reflect Teleperformance's unique global leadership position. The English-speaking market & Asia-Pacific region accounted for 47% of consolidated revenue, LanguageLine Solutions – which operates mainly in North America – 3%, the Ibero-LATAM region 24% and Continental Europe & MEA 26%.
Throughout 2016, all of the operating regions reported satisfactory like-for-like growth, above the global market average.
ANNUAL REVENUE BY REGION
2016 | % total | 2015 | % total | % change | ||||||||
€ millions | Reported | Like-for-like | ||||||||||
English-speaking market & Asia-Pacific | 1,716 | 47% | 1,688 | 50% | + 1.7% | + 4.5% | ||||||
Ibero-LATAM | 884 | 24% | 834 | 25% | + 5.9% | +11.3% | ||||||
Continental Europe & MEA | 935 | 26% | 876 | 25% | + 6.8% | + 9.5% | ||||||
LanguageLine Solutions | 114 | 3% | - | - | ||||||||
TOTAL | 3,649 | 100% | 3,398 | 100% | + 7.4% | + 7.4% |
- English-speaking market & Asia-Pacific
Revenue in the English-speaking market & Asia-Pacific region rose by + 4.5% like-for-like over the full year. On a reported basis, growth amounted to + 1.7%, notably reflecting the significant decline in the pound sterling against the euro in the second half of 2016.
Regional business was particularly sustained in the healthcare, retail and transportation sectors. Growth was also satisfactory in the financial services and consumer electronics sectors. Teleperformance thus continued to diversify its client portfolio, reducing its dependence on the telecommunications sector (including pay-TV), which currently accounts for less than 30% of the region's revenue stream.
In the Asia-Pacific region, Teleperformance continued to enjoy robust business growth in China, both with locally based North American multinationals and, most recently, with major Chinese companies in high-growth sectors. Teleperformance opened a new multilingual facility in Kunming in the south of the country, which leverages substantial linguistic resources. The Group now operates out of four strategic locations in China: Beijing, Xi’an, Nanning and Kunming. Business was also strong in India, particularly with large multinationals in a range of sectors.
- Ibero-LATAM
Operations in the Ibero-LATAM region expanded at a sustained pace, advancing + 11.3% like-for-like and + 5.9% as reported. The difference was mainly due to an unfavorable exchange rate environment shaped by the decrease in certain Latin American currencies, mainly the Brazilian real and the Mexican, Colombian and Argentine pesos.
The region’s strong growth was driven primarily by a solid performance from operations in Portugal, fuelled by the success of the Lisbon-based multilingual hubs serving major multinationals. This performance also reflected the ramp-up of numerous major contracts signed recently in a variety of industries, such as the sharing economy, retail, IT, leisure, online travel agencies and financial services.
Growth was also sustained in Colombia, particularly in the transportation and Internet services sectors, as well as in El Salvador and the Dominican Republic in the healthcare, hospitality and pay-TV sectors.
Business in Mexico expanded at a satisfactory pace over the full year, with a rebound occurring in the second half. The transportation, financial services, consumer electronics and retail sectors made the biggest gains.
The Group continued to weather the unfavorable economic conditions in Brazil. The transportation, financial services and insurance sectors as well as the consumer electronics sector reported steady growth.
- Continental Europe & MEA
Regional revenue rose by + 9.5% like-for-like and by + 6.8% as reported.
This robust growth reflects an ongoing network effect with global clients in several markets, in sectors ranging from consumer electronics and Internet services to retail and financial services.
The rapid expansion of subsidiary TLScontact, which specializes in face-to-face services, also had a very positive impact on the region's growth.
The strongest performances were observed in the Middle East – particularly in Egypt and Dubai – where recently opened centers serve major companies in the Internet services and consumer electronics sectors, in Greece, where clients are served by premium multilingual hubs based in Athens, and in Eastern Europe – particularly in Russia, Poland and Romania.
While their markets remained challenging, Germany and Italy also benefited from a network effect with the Group's global accounts.
- LanguageLine Solutions
For the first time, the Group's revenue includes a €114 million contribution from LanguageLine Solutions. Acquired on September 19, 2016, LanguageLine Solutions is the US market leader in over-the-phone and video interpretation solutions provided to a wide range of organizations in the healthcare, insurance, financial services and government sectors.
The acquisition reinforces and boosts Teleperformance's global leadership as a provider of high-end value-added services, as well as the Group's growth and profitability profile. The company had revenue of US$388 million in 2015.
RESULTS
EBITDA before non-recurring items amounted to €559 million in 2016, up + 13.6% year-on-year. EBITDA margin before non-recurring items stood at 15.3%, versus 14.5% in 2015.
EBITA before non-recurring items rose by + 16.3% to €408 million from €351 million in 2015, while EBITA margin before non-recurring items widened by 90 basis points to 11.2% from 10.3% in 2015.
This performance demonstrates the effectiveness of the Group's strategic development decisions, particularly the development of the high-value specialized services business, which combines dynamic growth momentum and high profitability. In 2016, the improvement in Group margin reflected in particular:
- Strong growth in outsourced visa application management services (TLScontact), which generated an EBITA margin before non-recurring items above the Group average.
- The integration since September 19, 2016 of LanguageLine Solutions, which delivered an EBITA margin before non-recurring items of 36.3% in 2016.
EBITA BEFORE NON-RECURRING ITEMS BY REGION – EXCLUDING HOLDING COMPANIES
€ millions | 2016 | 2015 | ||
English-speaking market & Asia-Pacific |
158 |
170 |
||
% of revenue | 9.2% | 10.1% | ||
Ibero-LATAM |
109 |
105 |
||
% of revenue |
12.3% |
12.6% | ||
Continental Europe & MEA |
69 |
43 |
||
% of revenue | 7.3% | 5.0% | ||
LanguageLine Solutions |
41 |
- |
||
% of revenue | 36.3% | - | ||
Total – including holding companies |
408 |
351 |
||
% of revenue | 11.2% | 10.3% |
The English-speaking market & Asia-Pacific region achieved EBITA before non-recurring items of €158 million in 2016, compared with €170 million the previous year. The corresponding margin narrowed to 9.2% from 10.1% in 2015, mainly due to i) an unfavorable basis of comparison in the first quarter stemming from a temporary decline in volume with a major client in the US telecommunications sector, ii) an unfavorable geographical mix effect resulting from significant growth in domestic operations in the United States, particularly in the financial services sector, iii) the gradually increasing contribution of new facilities recently opened in Australia and China, and iv) the ongoing commitment to security spending, initiated in 2015 and spread over two years.
The impact of these challenges was felt chiefly in the first half of the year, while in the second half, the Group reported a better trend, benefiting from a more favorable basis of comparison and the recently opened facilities becoming fully operational.
The Ibero-LATAM region recorded EBITA before non-recurring items of €109 million in 2016, compared with €105 million the previous year. EBITA margin before non-recurring items remained high at 12.3% versus 12.6% in 2015. Although economic conditions in Brazil remained challenging, the Group enjoyed the positive impact of profitable business momentum in Portugal and Columbia, coupled with favorable currency trends for offshore business in Mexico serving the US market.
In the Continental Europe & MEA region, Teleperformance remained on the steady upward trend in profitability that began in 2012. EBITA before non-recurring items rose to €69 million from €43 million in 2015, for a margin of 7.3% and 5.0%, respectively. The improvement reflects the ongoing margin recovery in the French-speaking market and Nordic countries, as well as profitable growth in operations in a number of fast-growth markets in Southern and Eastern Europe, such as Greece, Egypt and Poland.
The increased profitability of TLScontact's outsourced visa application management services also helped to support good performance in the region.
EBITA before non-recurring items for LanguageLine Solutions, which was acquired on September 19, 2016, amounted to €41 million, representing a 36.3% margin, in line with the Group's expectations.
Operating profit rose to €339 million, versus €308 million in 2015. This included:
- Amortization of intangible assets on acquisitions in an amount of €41 million, up from the previous year due to the acquisition of LanguageLine Solutions;
- €22 million in accounting expenses on the performance share plans set up in 2013;
- €6 million in other non-recurring expenses, mainly corresponding to the cost of acquiring LanguageLine Solutions.
The financial result represented a net expense of €39 million, versus €27 million in 2015.
Income tax expense amounted to €83 million, corresponding to an effective tax rate of 27.6%, unchanged from the prior year.
Net profit attributable to minority interests represented €3 million.
Net profit - Group share stood at €214 million for the year, up + 6.8% from the €200 million reported in 2015. Diluted earnings per share rose to €3.67, compared with €3.45 in 2015.
The Board of Directors will recommend that shareholders at the annual general meeting on June 23, 2017 approve an increase in the 2016 dividend to €1.30 per share from the €1.20 paid in respect of 2015. This would correspond to a payout ratio of 35%, unchanged from the prior year.
CASH FLOWS AND FINANCIAL STRUCTURE
Cash flow before interest paid and after tax amounted to €442 million in 2016, versus €400 million the year before.
The change in consolidated working capital requirement was an inflow of €17 million in 2016 compared with an outflow of €9 million in 2015. The Group applied steady, disciplined management of working capital requirement throughout the year. The growth in business outstripped the increase in working capital requirement.
Net capital expenditure rose to €190 million from €172 million in the previous year, corresponding to 5.2% versus 5.0% in 2015. These investments were committed to create or expand contact centers serving key markets in the Group's three regions.
Consolidated net free cash flow improved significantly to €236 million from €202 million in 2015, despite the rise in interest paid. This solid performance reflects growth in both revenue and margins. Net free cash flow divided by EBITDA before non-recurring items stood at 42% (41% in 2015).
After the payment of €68 million in dividends and €1,380 million in financial investments, reflecting the acquisition of LanguageLine Services in September 2016, net debt stood at €1,667 million at December 31, 2016, versus €363 million recorded at the previous year-end. The net debt-to-equity ratio amounted to 87% and the net debt-to-EBITDA ratio represented 2.6 on a restated pro forma basis.
SIGNIFICANTLY STRONGER GLOBAL MARKET LEADERSHIP
- Extending and creating new facilities in 2016
To support the rapid expansion of its business, in 2016 the Group continued to enhance both its offshore capacity and its presence in fast-growth markets by extending and opening facilities across the three linguistic regions.
In all, 24 new contact centers were opened*, and the number of workstations was increased at a number of existing sites, for a total of more than 20,000 additional workstations*.
The breakdown by region was as follows:
- In Continental Europe & MEA, several new centers were opened,
including: in Madagascar where the Group established a presence for the
first time to serve the French market, and in Germany, the Netherlands,
Greece, Turkey, Russia, Poland and the Czech Republic. The Group also
increased capacity at existing sites, notably in Egypt, Dubai (UAE),
Romania, Albania, Turkey, Lithuania, Russia, Morocco and Italy;
-
In the English-speaking market, the Group opened two new contact centers
in the United States and seven across the Asia-Pacific region, in
Australia, China, India, Philippines and Malaysia). Given the strong
momentum in the Asia-Pacific region, the Group is planning to continue
opening new facilities throughout 2017, particularly in China;
- In
the Ibero-LATAM region, six new facilities were opened in Portugal,
Brazil, Colombia, Mexico, the Dominican Republic and El Salvador.
- Development strategy and 2020 objectives
The outsourcing market continues to offer attractive growth prospects in many regions throughout the world as well as strong potential for consolidation. The positive trend is being reinforced by an increasingly complex digital environment where interaction with the customer is constantly changing.
The acquisition of LanguageLine Solutions in September 2016 reflects the Group's strategic decision to develop, high-value specialized services. Through targeted acquisitions, Teleperformance has gradually transformed the Group into a premium provider of Business Process Outsourcing (BPO) with an international scope.
The Group therefore decided to disclose a new organization of its operations**, with the ”Core Services” now covering customer care, technical support and customer acquisition, and “Specialized Services” bringing together the recently acquired interpreting services provided by LanguageLine Solutions, the visa application management services for governments provided by TLScontact, analytics solutions, and debt collection programs. Specialized services delivered an EBITA margin of approximately 30% in 2016 and have the potential to generate revenue growth of at least + 6% per year over the next three years.
Teleperformance expects to maintain like-for-like growth above the market average, to achieve revenue of €5 billion in 2020. At the same time, management will continue to make targeted acquisitions, particularly in specialized, high added-value services. As a result of the positive impact on margin of the higher contribution from specialized services, which are expected to account for 20% of revenue, coupled with the gains generated by specific initiatives to improve profitability, the Group aims to achieve an EBITA margin before non-recurring items of at least 14% in 2020.
* excluding LanguageLine Solutions
** 2016 pro forma data
disclosed in the appendices
2017 OUTLOOK
Teleperformance expects to enjoy continued growth in its market in 2017, backed by the ongoing expansion of its global footprint, notably with new contact centers in Asia and multilingual hubs in Portugal, as well as the consolidation of LanguageLine Solutions over 12 months. Its integration is strengthening Teleperformance's global leadership as a provider of high-end value-added services, as well as the Group's growth and profitability profile.
Teleperformance expects to deliver another year of growth in 2017, with the following full-year targets:
- Like-for-like revenue growth above + 6%, outpacing growth in the
worldwide outsourced customer experience management market;
-
Significant improvement in the EBITA margin before non-recurring items
to at least 13.0%;
- Strong cash flow generation.
DISCLAIMER
The consolidated financial statements have been audited and the auditors have issued their corresponding report.
All forward-looking statements are based on Teleperformance management’s present expectations of future events and are subject to a number of factors and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements. For a detailed description of these factors and uncertainties, please refer to the “Risk Factors” section of our Registration Document, available at www.teleperformance.com. Teleperformance undertakes no obligation to publicly update or revise any of these forward-looking statements.
ANALYST AND INVESTOR INFORMATION MEETING
Date: Wednesday, March 1, 2017 at 9:00 AM CET
The
meeting, which will be held in Paris, will be simultaneously webcast on www.teleperformance.com.
The related presentation may also be downloaded from the site.
The webcast will be available live or for delayed viewing at:
http://teleperformance.webcast.ldvproduction.com/webcastlist.aspx?eid=150
The annual financial report and related presentation will be available
after the conference call on www.teleperformance.com
at:
https://www.teleperformance.com/en-us/investor-relations/press-releases-and-documentation/annual-and-half-yearly-information
INVESTOR CALENDAR
First-quarter 2017 revenue: | April 27, 2017 | |||
Annual general meeting: | June 23, 2017 | |||
First-half 2017 results: | July 25, 2017 | |||
Third-quarter 2017 revenue: | November 13, 2017 |
ABOUT TELEPERFORMANCE
Teleperformance (RCF - ISIN: FR0000051807 - Reuters: ROCH.PA – Bloomberg: RCF FP), the worldwide leader in outsourced omnichannel customer experience management, serves companies and administrations around the world, with customer care, technical support, customer acquisition (Core Services), as well as with online interpreting solutions, visa application management services, data analysis and debt collection programs (Specialized Services). In 2016, Teleperformance reported consolidated revenue of €3,649 million (US$4,050 million, based on €1 = $1.11).
The Group operates 163,000 computerized workstations, with 217,000 employees across 340 contact centers in 74 countries and serving 160 markets. It manages programs in 265 languages and dialects on behalf of major international companies operating in a wide variety of industries.
Teleperformance shares are traded on the Euronext Paris market, Compartment A, and are eligible for the deferred settlement service. They are included in the following indices: STOXX 600, SBF 120, Next 150, CAC Mid 60 and CAC Support Services. They also have been included in the Euronext Vigeo Eurozone 120 index since December 2015, with regard to the Group’s performance in corporate responsibility.
For more information: www.teleperformance.com
Follow
us: Twitter @teleperformance
APPENDICES
REVENUE BY REGION
€ millions | 2016 | 2015 | % change | |||||
Reported | Like-for-like | |||||||
FOURTH QUARTER | ||||||||
English-speaking market & Asia-Pacific | 454 | 451 | + 0.7% | + 3.3% | ||||
Ibero-LATAM | 255 | 218 | + 17.2% | + 10.6% | ||||
Continental Europe & MEA | 244 | 233 | + 4.5% | + 7.9% | ||||
LanguageLine Solutions | 97 | - | ||||||
TOTAL | 1,050 | 902 | + 16.4% | + 6.3% | ||||
THIRD QUARTER | ||||||||
English-speaking market & Asia-Pacific | 433 | 422 | + 2.7% | + 6.2% | ||||
Ibero-LATAM | 229 | 194 | + 17.8% | + 20.8% | ||||
Continental Europe & MEA | 232 | 222 | + 4.6% | + 6.7% | ||||
LanguageLine Solutions | 16 | |||||||
TOTAL | 910 | 838 | + 8.7% | + 9.7% | ||||
SECOND QUARTER | ||||||||
English-speaking market & Asia-Pacific | 404 | 399 | + 1.3% | + 5.9% | ||||
Ibero-LATAM | 210 | 214 | - 2.0% | + 9.8% | ||||
Continental Europe & MEA | 231 | 214 | + 7.8% | + 10.8% | ||||
TOTAL | 845 | 827 | + 2.1% | + 8.2% | ||||
FIRST QUARTER | ||||||||
English-speaking market & Asia-Pacific | 425 | 416 | + 2.1% | + 2.6% | ||||
Ibero-LATAM | 190 | 209 | - 8.7% | + 4.0% | ||||
Continental Europe & MEA | 229 | 206 | + 10.9% | + 12.9% | ||||
TOTAL | 844 | 831 | + 1.6% | + 5.5% |
2016 PRO FORMA REVENUE AND EBITA BEFORE NON-RECURRING ITEMS*:
NEW
PRESENTATION
€ millions | Revenue |
EBITA
before non- |
||||
as a % of revenue | ||||||
CORE-SERVICES | 3,314 | 322 | 9.7% | |||
English-speaking market & Asia-Pacific | 1,628 | 150 | 9.2% | |||
Ibero-LATAM | 884 | 109 | 12.3% | |||
Continental Europe & MEA | 802 | 31 | 3.8% | |||
Holdings** | - | 32 | - | |||
SPECIALIZED SERVICES | 596 | 178 | 29.9% | |||
TOTAL | 3,910 | 500 | 12.8% |
*LanguageLine Solutions consolidated over 12 months
**Mainly
related to core-services in 2016
CONSOLIDATED INCOME STATEMENT
€ millions
2016 | 2015 | |||
Revenues | 3,649 | 3,398 | ||
Other operating revenues | 5 | 6 | ||
Personnel | (2,435) | (2,269) | ||
External expenses | (642) | (626) | ||
Taxes other than income taxes | (19) | (17) | ||
Depreciation and amortization | (150) | (141) | ||
Amortization of intangible assets acquired as part of a business combination | (41) | (23) | ||
Share-based payments | (22) | (17) | ||
Other operating income and expenses | (6) | (3) | ||
Operating profit | 339 | 308 | ||
Income from cash and cash equivalents | 1 | 1 | ||
Interest on financial liabilities | (35) | (23) | ||
Net financing costs | (34) | (22) | ||
Other financial net expenses | (5) | (5) | ||
Financial result | (39) | (27) | ||
Profit before taxes | 300 | 281 | ||
Income tax | (83) | (78) | ||
Net profit | 217 | 203 | ||
Net profit - Group share | 214 | 200 | ||
Net profit attributable to non-controlling interests | 3 | 3 | ||
Basic earnings per share (in €) | 3.73 | 3.51 | ||
Diluted earnings per share (in €) | 3.67 | 3.45 |
CONSOLIDATED BALANCE SHEET
€ millions
ASSETS | 12.31.2016 | 12.31.2015 | ||
Non-current assets | ||||
Goodwill | 1,952 | 1,123 | ||
Other intangible assets | 1,175 | 281 | ||
Property, plant and equipment | 476 | 428 | ||
Financial assets | 55 | 34 | ||
Deferred tax assets | 30 | 36 | ||
Total non-current assets | 3,688 | 1,902 | ||
Current assets | ||||
Current income tax receivable | 46 | 36 | ||
Accounts receivable – Trade | 871 | 754 | ||
Other current assets | 100 | 107 | ||
Other financial assets | 24 | 43 | ||
Cash and cash equivalents | 282 | 257 | ||
Total current assets | 1,323 | 1,197 | ||
Total assets | 5,011 | 3,099 | ||
EQUITY AND LIABILITIES | 12.31.2016 | 12.31.2015 | ||
Shareholders' equity | ||||
Share capital | 144 | 143 | ||
Share premium | 575 | 575 | ||
Translation reserve | 100 | 69 | ||
Other reserves | 1,093 | 971 | ||
Equity attributable to owners of the company | 1,912 | 1,758 | ||
Non-controlling interests | 10 | 7 | ||
Total shareholder's equity | 1,922 | 1,765 | ||
Non-current liabilities | ||||
Provisions | 13 | 10 | ||
Financial liabilities | 1,688 | 469 | ||
Deferred tax liabilities | 464 | 110 | ||
Total non-current liabilities | 2,165 | 589 | ||
Current liabilities | ||||
Provisions | 34 | 70 | ||
Current income tax | 61 | 46 | ||
Accounts payable - Trade | 126 | 117 | ||
Other current liabilities | 442 | 361 | ||
Other financial liabilities | 261 | 151 | ||
Total current liabilities | 924 | 745 | ||
Total equity and liabilities | 5,011 | 3,099 |
CONSOLIDATED CASH FLOW STATEMENT
€ millions
Cash flows from operating activities | 2016 | 2015 | ||
Net profit - Group share | 214 | 200 | ||
Net profit attributable to non-controlling interests | 3 | 3 | ||
Income tax expense | 83 | 78 | ||
Net financial expense | 29 | 17 | ||
Expense (income) without effect on cash | 196 | 183 | ||
Income tax paid | (83) | (81) | ||
Internally generated funds from operations | 442 | 400 | ||
Change in working capital | 17 | (9) | ||
Net cash flow from operating activities | 459 | 391 | ||
Cash flows from investing activities | ||||
Acquisition of intangible assets and property, plant and equipment | (192) | (174) | ||
Loans made | (10) | |||
Proceeds from disposals of intangible assets and property, plant and equipment | 2 | 2 | ||
Repayment of loans | 1 | 10 | ||
Investments in subsidiaries | (1,380) | |||
Net cash flow from investing activities | (1,579) | (162) | ||
Cash flows from financing activities | ||||
Acquisition/disposal of treasury shares | (17) | (5) | ||
Change in ownership interest in controlled entities | (33) | (5) | ||
Dividends paid to parent company shareholders | (68) | (53) | ||
Financial income/expense | (33) | (17) | ||
Increase in financial liabilities | 2,696 | 749 | ||
Repayment of financial liabilities | (1,355) | (806) | ||
Net cash flow from financing activities | 1,190 | (137) | ||
Change in cash and cash equivalents | 70 | 92 | ||
Effect of exchange rates on cash held - | (45) | (52) | ||
Net cash at January 1st | 254 | 214 | ||
Net cash at December 31st | 279 | 254 |
GLOSSARY
EBITDA before non-recurring items (Earnings before Interest, Taxes,
Depreciation and Amortizations):
Operating profit before
depreciation & amortization, amortization of intangible assets acquired
as part of a business combination, goodwill impairment charges and
non-recurring items.
EBITA before non-recurring items (Earnings before Interest, Taxes and
Amortizations):
Operating profit before amortization of intangible
assets acquired as part of a business combination, goodwill impairment
charges and non-recurring items.
Non-recurring items:
Principally comprises restructuring costs,
incentive share award plan expense, costs of closure of subsidiary
companies, transaction costs for the acquisition of companies, and all
other expenses that are unusual by reason of their nature or amount.
Net free cash flow:
Cash flow generated by the business -
acquisitions of intangible assets and property, plant and equipment net
of disposals - financial income/expenses.
Net debt:
Current and non-current financial liabilities - cash and
cash equivalents
Change in like-for-like revenue:
Change in revenue at constant
exchange rates and scope of consolidation, corresponding to current year
revenue - last year revenue at current year rates - revenue from
acquisitions at current year rates / last year revenue at current year
rates.
Diluted earnings per share (net profit attributable to shareholders
divided by the number of diluted shares and adjusted):
Diluted
earnings per share is determined by adjusting the net profit
attributable to ordinary shareholders and the weighted average number of
ordinary shares outstanding by the effects of all potentially diluting
ordinary shares. These include convertible bonds, stock options and
incentive share awards granted to employees when the required
performance conditions have been met at the end of the financial year.
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NB: The consolidated financial statements have been audited and certified /15
Teleperformance SE is a European Company (Societas Europaea).
Share capital of 144.450.000 €.
21-25 rue Balzac, 75406 Paris Cedex
08 France. 301 292 702 RCS Paris. Siret 301 292 702 00059. Code APE
6420Z.