Accor — Management Reports 2019

Jun 20, 2019

J u n e 2 0 , 2 0 1 9

Key changes vs. previous reporting

IFRS 16	IFRS 5	Booster
Implementation of IFRS 16 as of st, 2019 January 1	Orbis assets reported as « Held for sale »	AccorInvest deconsolidated since June 1st, 2018
No distinction between operating & finance leases anymore, all recognized on balance sheet	Asset-light strategy pursued through disposal of the owned and leased assets	AccorInvest deconsolidation st, 2018 restated since January 1

Proforma main impacts on FY 2018 P&L

En millions d'euros	FY18 reported	IFRS 5	FY18 Restated	IFRS 16 *	Booster **	FY18 Proforma
Revenue	3,610	(328)	3,282	-	207	3,490
EBITDA	712	(87)	626	93	-	719
Depreciation & Amortisation	(162)	42	(120)	(82)	-	(203)
EBIT	550	(45)	505	11	-	516
Share of profit of associates	80	-	80	-	-	80
Net financial expenses	(66)	4	(62)	(11)	-	(73)
Other income and expenses	(401)	(31)	(432)	-	-	(432)
Income tax expenses	(119)	10	(109)	-	-	(109)
Minority interests	(52)	30	(22)	-	-	(22)
Net Profit before discontinued operations	(8)	(33)	(41)	-	-	(41)
Profit from discontinued operations	2,241	33	2,274	-	-	2,274
Net Profit attributable to shareholders	2,233	-	2,233	-	-	2,233

* Simplified approach for illustrative purposes (split to depreciation & interests based on estimated pro rata)

** 5 months revenue adjustements: Intercos (€177m) and Procurement rebates (€30m)

Restated Net Debt as of January 1st, 2019

2500

Axis Title

Proforma main impacts on Recurring FCF

En millions d'euros	FY18 reported	IFRS 5	FY18 restated	IFRS 16 *	FY18 proforma
EBITDA	712	(87)	626	93	719
Cost of net debt	(53)	3	(50)	(11)	(61)
Income tax (cash)	(130)	9	(121)	-	(121)
Reimbursment of lease liabilities	-	-	-	(82)	(82)
Others	89	-	89	-	89
FUNDS FROM OPERATIONS	617	(74)	543	-	543
Recurring investment	(124)	18	(106)	-	(106)
Working capital and contract assets/liabilities	36	(22)	14	-	14
RECURRING FREE CASH FLOW	529	(78)	451	-	451
Cash conversion **	83%	79%	83%	-	83%

* Simplified approach for illustrative purposes

** Cash conversion defined as (EBITDA – Recurring investment – Reimbursement of lease liability) / (EBITDA – Reimbursement of lease liability)

FY 2018 Proforma

En millions d'euros		Hotel Services	New Businesses	Hotel Assets & Other	Holding & Intercos
	Revenue		70	225	(20)	1,507
H1 2018	EBITDA	326	(11)	29	(55)	288
H2 2018	Revenue	1,413	78	526	(34)	1,983
	EBITDA	398	(10)	125	(83)	431
FY 2018	Revenue	2,644	149	751	(54)	3,490
	EBITDA	724	(20)	154	(139)	719

FY 2018 Proforma HotelServices

En millions d'euros		Management & Franchise	Services To Owners	HotelServices
	Revenue	458	773	1,231
H1 2018	EBITDA	311	15	326
H2 2018	Revenue	532	881	1,413
	EBITDA	356	42	398
FY 2018	Revenue	990	1,654	2,644
	EBITDA	667	57	724

FY 2018 Proforma Management & Franchise

En millions d'euros		Europe	ASPAC	MEA	NCAC	South America
	Revenue	242	97	38	59	21	458
H1 2018	EBITDA	180	58	29	35	7	311
H2 2018	Revenue	277	115	42	74	23	532
	EBITDA	209	72	23	43	10	356
FY 2018	Revenue	519	212	81	133	44	990
	EBITDA	390	130	52	79	17	667

FY 2018 Proforma Revenue by segment

		2018
En millions d'euros	Q1	Q2	Q3	Q4	FY	Q1 *
HotelServices	569	663	679	733	2,644	645
New Businesses	31	40	40	38	149	37
Hotel Assets & Other	92	134	244	282	751	259
Holding & Intercos	(19)	(1)	(18)	(16)	(54)	(17)
Accor	672	835	945	1,037	3,490	925

* Restated for IFRS 5

FY 2018 Proforma M&F Revenue by region

	2019
Q1	Q2	Q3	Q4	FY	Q1
101	141	139	138	519	102
50	47	50	66	212	56
19	19	18	25	81	24
30	30	34	40	133	31
10	11	11	12	44	11
211	248	251	281	990	225
			2018