Investor Presentation • May 30, 2017
Investor Presentation
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"The year of 2017 began well for Sonae. In a challenging quarter in year-on-year comparison, we grew in all businesses ensuring a profitability in line with our expectations. On a consolidated basis, turnover increased 6% and the underlying EBITDA grew 12.7%, highlighting the positive evolution in specialised retail.
Along with our positive operating performance, we moved ahead along our strategic growth avenues, concluding the acquisition of Brio, which will afford greater dimension and strengthen competencies in the dynamic area of healthy food. In the same way, in the Sports Fashion sector, we signed an agreement with JD Sprinter to create the 2nd Iberian sports player which, combining the assets and competencies that both Groups enjoy in the sector, will foment redoubled ambition in size and profitability.
We continue to benefit from a solid capital structure, with greater maturity on debt and lower financing costs, thus maintaining favorable conditions for the fulfilment of our growth ambitions and continuous improvement of the value propositions we present our customers."
Ângelo Paupério, Sonae Co-CEO
| Million euros | 1Q16 | 1Q17 | y.o.y. |
|---|---|---|---|
| Turnover | |||
| Sonae Retail | 1,201 | 1,257 | 4.7% |
| Sonae Sierra (1) | 51 | 54 | 4.4% |
| NOS (1) | 370 | 381 | 2.9% |
| Sonae IM | 27 | 33 | 24.0% |
| Sonae FS | 4 | 5 | 28.8% |
| Underlying EBITDA | |||
| Sonae Retail | 51 | 55 | 6.4% |
| Sonae Sierra (1) | 26 | 25 | -1.5% |
| NOS (1) | 138 | 144 | 4.2% |
| Sonae IM | 0.5 | 0.7 | 29.2% |
| Sonae FS | -1.2 | 0.7 | - |
(1) Consolidated in statutory accounts usingthe equity method.
| Million euros | 1Q16 | 1Q17 | y.o.y. |
|---|---|---|---|
| Turnover | 1,206 | 1,278 | 6.0% |
| Underlying EBITDA | 44 | 49 | 12.7% |
| Underlying EBITDA margin | 3.6% | 3.8% | 0.2 p.p. |
| Equity method results (1) | 13 | 14 | 12.2% |
| o.w. S. Sierra (direct results) | 7 | 8 | 2.0% |
| o.w. NOS | 5 | 7 | 46.7% |
| Non-recurrent items | 62 | -1 | - |
| EBITDA | 119 | 62 | -47.7% |
| EBITDA margin | 9.8% | 4.9% | -5.0 p.p. |
| D&A (2) | -50 | -48 | 3.0% |
| EBIT | 69 | 14 | -79.9% |
| Net financial activity | -14 | -8 | 44.7% |
| EBT | 55 | 6 | -88.8% |
| Taxes | -11 | 2 | - |
| Direct results (3) | 43 | 9 | -80.3% |
| Indirect results | -15 | 0 | - |
| Net income | 29 | 9 | -70.1% |
| Non-controlling interests | 1 | 0 | - |
| Net income group share | 30 | 8 | -72.1% |
(1) Equity method results: includes direct income related to investments consolidated by the equity method (mainly SonaeSierra and NOS); (2) Depreciations & amortisations includingprovisions & impairments;
(3) Direct results before non-controlling interests.
| Million euros | 1Q16 | 1Q17 | y.o.y. |
|---|---|---|---|
| Net invested capital | 3,127 | 3,375 | 7.9% |
| Sonae shareholders funds | 1,818 | 1,995 | 9.7% |
| Sonae net debt (1) | 1,309 | 1,380 | 5.4% |
| Net debt / Invested capital | 41.9% | 40.9% | -1.0 p.p. |
(1) Financial net debt + net shareholder loans.
From a statutory standpoint, Sonae consolidated turnover amounted to €1,278 M in 1Q17, posting an increase of 6.0% when compared to 1Q16, with all businesses contributing positively to this evolution.
Sonae underlying EBITDA increased by 12.7%, to €49 M, driven by Retail and by Sonae FS. Sonae underlying EBITDA margin reached 3.8%, representing an increase of 20bps y.o.y..
Sonae EBITDA totalled €62 M, corresponding to an EBITDA margin of 4.9%, down from 9.8% in 1Q16 due to the positive impact, last year, of non-recurrent items (benefiting mostly from the capital gains related to the sale and leaseback transactions completed by Sonae RP in 1Q16), notwithstanding the higher underlying EBITDA and Equity method results in 1Q17.
Sonae net financial activity stood at negative €8 M, improving by €6 M when compared to 1Q16, driven by the y.o.y. decrease in the cost of outstanding debt. The average interest rate of outstanding debt stood at 1.3% on March 31st 2017, maintaining the level registered at the end of 2016, albeit decreasing significantly when compared to 2.0% registered one year ago. It should be noted that Sonae financial results exclude Sonae Sierra and NOS businesses.
Sonae direct results amounted to €9 M, decreasing by €34 M when compared to the 1Q16, driven by non-recurrent items, as underlying EBITDA, Equity method results, D&A, net financial activity and taxes posted a favourable evolution. Sonae indirect results improved by €15 M. It should be noted that indirect results line included the negative effect of NOS mark-to-market in 1Q16.
Sonae continued to reinforce its capital structure. Sonae shareholders' funds stood at €1,995 M in 1Q17, €177 M above 1Q16 and, importantly, net debt to invested capital decreased by 100bps y.o.y., to 40.9%.
Sonae net debt totalled €1,380 M, increasing 5.4% comparing to 1Q16, mostly driven by investment acceleration.
Capital Structure
Net debt to EBITDA - Retail
Capital Structure
Loan-to-value (%) - Holding
| Million euros | 1Q16 | 1Q17 | % of Turnover |
|---|---|---|---|
| Capex | 58 | 54 | 4.2% |
| Sonae Retail | 57 | 51 | 4.0% |
| Sonae MC | 35 | 28 | 3.3% |
| Worten | 6 | 6 | 2.8% |
| Sports and Fashion | 7 | 8 | 5.3% |
| Sonae RP | 9 | 8 | 36.9% |
| Maxmat | 0.1 | 0.3 | 2.1% |
| Sonae IM | 2 | 3 | 7.4% |
| Sonae FS | 0.03 | 0.03 | 0.6% |
Average gearing at book value reached 0.7x, slightly decreasing in comparison with 1Q16. Average gearing at market value stood at 0.8x, increasing by 0.2x y.o.y. driven by Sonae's share price decrease (from €1.059, at the end of 1Q16, to €0.948, at the end of 1Q17, after recovering from a minimum of €0.630 in July 2016), notwithstanding the slightly lower average net debt.
Sonae continues to focus on presenting a robust capital structure, optimising funding costs whilst maintaining sufficient back up liquidity and an improved maturity profile. Sonae continued to fulfil its practice of being fully financed for the coming 18 months and at the same time improving its general funding conditions. As of 1Q17, the average maturity profile remained above 4 years.
Retail net financial debt reached €857 M in 1Q17, €217 M above 1Q16, mostly due to the absence, this year, of cash-in related to sale and leaseback transactions, as well as the acceleration of investment and the cash-out related to the acquisition of 50% of Salsa, coupled with the consolidation of Salsa's debt. Retail net debt to EBITDA stood at 2.6x, driven mostly by Retail net debt evolution.
Holding net debt totalled €521 M, decreasing 21.6% y.o.y. and benefiting from the sale of the direct participation at NOS, which took place in June 2016. Loan-to-value ratio of the Holding stood at 11%, benefiting from the lower Holding net debt.
Sonae Capex decreased by €4 M when compared to 1Q16, to €54 M. Sonae Retail, which decreased Capex y.o.y. by 10.5%, to €51 M, contributed significantly for this evolution, namely through Sonae MC, as the remaining divisions kept their investment levels broadly stable.
| Million euros | 1Q16 | 1Q17 | y.o.y |
|---|---|---|---|
| Turnover | 1,201 | 1,257 | 4.7% |
| Sonae MC | 830 | 855 | 3.0% |
| Worten | 216 | 218 | 0.6% |
| Sports & Fashion | 115 | 144 | 25.9% |
| Sonae RP | 24 | 23 | -6.0% |
| Maxmat | 15 | 17 | 10.6% |
| Underlying EBITDA | 51 | 55 | 6.4% |
| Sonae MC | 32 | 30 | -3.4% |
| Worten | 2 | 3 | 18.0% |
| Sports & Fashion | -4 | 1 | - |
| Sonae RP | 21 | 20 | -7.0% |
| Maxmat | 0 | 1 | 89.4% |
| Underlying EBITDA margin (%) | 4.3% | 4.3% | 0.1 p.p. |
Sonae retail turnover grew by 4.7% in 1Q17, reaching €1,257 M. This was driven by all businesses except for Sonae RP, which was impacted by a lower level of freehold. Most importantly, retail turnover was able to post a positive performance, despite the negative calendar effect in 1Q17 (no Easter, one weekend less and the leap year), which has a strong influence in the sector's performance.
Sonae retail underlying EBITDA increased from €51 M to €55 M, +6.4% y.o.y.. This evolution benefited from Worten, Sports & Fashion and Maxmat, which together more than off-set Sonae MC smaller contribution in the amount of €2 M, together with Sonae RP lower underlying EBITDA.
Sonae MC turnover increased by 3.0% in 1Q17, reaching €855 M and continuing to further increase its market share, which has been growing consistently over the last 6 quarters. The LfL sales growth stood at negative 1.2%, driven by the previously mentioned calendar effects. Most importantly, we can say with certainty that the LfL sales growth as of April 2017 year-to-date (annulling Easter calendar effect and partially annulling the weekend effect) was positive.
Sonae MC underlying EBITDA margin reached 3.6%, decreasing 20bps when compared to 1Q16. This reflected the still demanding competitive environment, marked by intense promotional activity, Sonae MC continuous investment in improving its value proposition – in which a considerable effort in price perception is included – as well as the store network expansion through convenience formats. It should be noted that the calendar effect has also had a negative effect in profitability evolution.
Already in 2Q17, Sonae reached an agreement to acquire 100% of BRIO's share capital. BRIO is the first organic supermarket chain launched in Portugal and includes 6 stores with convenience locations in Lisbon area. This acquisition represents a further step in Sonae MC strategic aim of growing its presence in the Health and Wellness segment and follows the agreement for the acquisition of a 51% stake in Go Natural restaurants and the opening of the first supermarket entirely dedicated to healthy food, both in December 2016. Following this transaction, Sonae MC will complete a network of 7 stores in this segment.
Worten turnover amounted to €218 M in 1Q17, increasing by 0.6% y.o.y., impacted by negative calendar effect, and corresponding to a neutral LfL sales growth performance. Particularly in Portugal, Worten continued to reinforce its leadership with market share gains, both in offline and especially in the online channel. We would like to add that Worten LfL sales growth as of April year-to-date (annulling Easter calendar effect and partially annulling the weekend effect) grew more than 3%.
Regarding its store network, Worten continues to work on square metres optimisation, which also encompasses the opening of new stores. It is worth highlighting the very positive performance of the e-commerce operation, both in Portugal and Spain, driven by the recently renewed e-commerce platforms. Importantly, the Portuguese e-commerce operation grew by 62% and the Spanish operation grew more than 30% y.o.y. in 1Q17.
Underlying EBITDA performance increased by 18.0% when compared with 1Q16, reaching €3 M in 1Q17, backed by a material improvement in Spain.
In the Sports & Fashion division, turnover increased by 25.9% in 1Q17, to €144 M, despite the negative calendar effects, particularly Easter, which affects all the brands, especially Zippy. The top line performance benefited both from the original portfolio, as well as from the contribution of recent acquisitions. Most importantly, the division continued to register a positive trend in sales per sqm.
In the original portfolio, LfL sales growth as of April year-todate (annulling Easter calendar effect and partially annulling the weekend effect) was clearly positive. Also considering the performance as of April year-to-date, it is worth noting the performances of MO, which increased LfL sales by 10%, and of Zippy, which increased LfL sales by 8% in Iberia.
The Sports & Fashion underlying EBITDA increased €5 M when compared to the same period of 2016, reaching €1 M and benefiting from the positive evolution of all the businesses included in the portfolio, notwithstanding the greater contribution of recent acquisitions.
Turnover and Underlying EBITDA evolution
RP Portfolio
as % of Gross Book Value
Sonae RP is responsible for the management of Sonae's retail real estate portfolio. As of March 31st 2017, its portfolio presented a gross book value amounting to €1,319 M, equivalent to a net book value of €914 M and included 21 Continente stores, 62 Continente Modelo stores and 26 Continente Bom Dia stores.
In the last few years, Sonae RP implemented an asset monetisation strategy to reduce freehold levels. Particularly in 1Q16, 3 sale and leaseback transactions in the amount of €230 M were accomplished, equivalent to a capital gain of €64 M (which had a positive impact in non-recurrent items line). In 1Q17, Sonae RP did not complete any sale and leaseback transaction. Accordingly, Sonae MC's freehold stood at 50%, keeping the target reached at the end of 2016. In the specialised retail (Worten and Sports & Fashion), the freehold stood at 21%.
Sonae RP turnover totalled €23 M, less €1 M when compared to the 1Q16, posting a small reduction driven mostly from the freehold reduction between the two periods.
The underlying EBITDA stood at €20 M, corresponding to an underlying EBITDA margin of 87.0%.
| 1Q16 | 1Q17 | y.o.y. | |
|---|---|---|---|
| Footfall (million visitors) | 103 | 101 | -2.0% |
| Europe & New Markets | 78 | 78 | -0.4% |
| Brazil | 25 | 23 | -7.2% |
| Occupancy rate (%) | 95.0% | 96.3% | 1.3 p.p. |
| Europe | 96.0% | 97.0% | 1.0 p.p. |
| Brazil | 92.2% | 94.3% | 2.1 p.p. |
| Like-for-Like (LfL) tenant sales | |||
| Europe | 5.3% | 0.1% | - |
| Brazil (local currency) | -0.1% | 4.6% | - |
| Tenant sales (million euros) | 963 | 1,058 | 9.8% |
| Europe (million euros) | 710 | 736 | 3.6% |
| Brazil (million euros) | 253 | 322 | 27.3% |
| Brazil (million reais) | 1,087 | 1,077 | -0.9% |
| Nº of shopping centres owned and/or managed (EOP) |
68 | 64 | -4 |
| Europe | 57 | 54 | -3 |
| Brazil | 11 | 10 | -1 |
| Nº of shopping centres owned/co owned (EOP) |
44 | 46 | 2 |
| Europe | 35 | 37 | 2 |
| Brazil | 9 | 9 | 0 |
| GLA under Management ('000 sqm) | 2,333 | 2,293 | -1.7% |
| Europe & New Markets | 1,828 | 1,811 | -0.9% |
| Brazil | 505 | 481 | -4.7% |
| Million euros | 1Q16 | 1Q17 | y.o.y. |
|---|---|---|---|
| Turnover | 51 | 54 | 4.4% |
| EBIT | 25 | 25 | -1.3% |
| EBIT margin | 49.4% | 46.7% | -2.7 p.p. |
| Direct results | 15 | 15 | 1.7% |
| Indirect results | 2 | 1 | -53.1% |
| Net results | 17 | 16 | -4.2% |
| … attributable to Sonae | 8 | 8 | -4.2% |
Sonae Sierra continued its development activity, having in pipeline the following projects: Nuremberg (Germany), Málaga McArthurGlen Designer Outlet (Spain), NorteShopping Expansion (Portugal), Colombo Expansion (Portugal), Jardín Plaza Cucuta (Colombia) and Zenata (Morocco). ORES Socimi, the property investment vehicle recently launched with Bankinter, began trading and made its first acquisitions in Iberia. Accordingly, in March 31st 2017, the Investment and Development Properties attributable to Sonae Sierra reached €2,110 M, €12 M above 2016 year-end, driven by the on-going investments, the latest acquisitions and the positive exchange rate effect in the Brazilian real.
In operational terms, Europe and Brazil continued to deliver a positive performance. In Europe, despite the adverse seasonal effect of Easter, tenant sales grew by 3.6%, corresponding to a LfL tenant sales of 0.1%, and in Brazil, -0.9% and 4.6% respectively. The occupancy rate improved in both regions, leading to a growth in global occupancy rate to 96.3% by the end of March 2017, a value that compares with 95.0% on March 31st 2016.
We would like to highlight that 1Q17 was an important period for Sonae Sierra's refinancing activity. The company refinanced more than €230 M in credit lines (corresponding to 2 shopping centres in Portugal) and improved overall credit conditions.
Sonae Sierra turnover totalled €54 M, an increase of 4.4% when compared to the same period of 2016. The EBIT performance was nearly flat, reaching €25 M in 1Q17, mostly due to the positive impact of ParkLake, which partially compensates the 2016 assets disposals, corresponding to an EBIT margin of 46.7%. Direct results reached €15 M, posting a neutral performance when compared with 1Q16. Indirect results stood at €1 M in 1Q17. Since Sonae Sierra only values its assets on a semi-annual basis, the indirect results were not impacted by real estate valuations.
NAV reached €1,441 M at the end of 1Q17, almost €23 M above December 2016, reflecting the net result of the period and the positive impact of the Brazilian Real appreciation. Loan-to-value stood at 28%, in line with 2016 year-end.
| Million euros | 1Q16 | 1Q17 | y.o.y. |
|---|---|---|---|
| Operating revenues | 370 | 381 | 2.9% |
| EBITDA | 138 | 144 | 4.2% |
| EBITDA margin | 37.2% | 37.7% | 0.5 p.p |
| Net results | 24 | 31 | 28.7% |
| Capex | 95 | 87 | -8.4% |
| ('000) | 1Q16 | 1Q17 | y.o.y. |
|---|---|---|---|
| Total RGUs (Net adds) | 130 | 78 | - |
| Convergent RGUs (Net adds) | 134 | 111 | - |
| Mobile (Net adds) | 50 | 31 | - |
| Pay TV (Net adds) | 18 | 8 | - |
| Total RGUs | 8,595 | 9,155 | 6.5% |
| Convergent RGUs | 2,988 | 3,498 | 17.1% |
| Convergent customers | 615 | 697 | 13.5% |
| ARPU/Unique subscriber with fixed access (euros) |
44 | 45 | 2.2% |
NOS published its results on April 27th 2017, which are available at www.nos.pt.
NOS continued to present a solid growth in the main areas of the business.
Operating revenues increased by €11 M in 1Q17, to €381 M, sustaining the positive top line performance across all segments.
EBITDA amounted to €144 M in 1Q17, improving by 4.2% versus 1Q16 and corresponding to an EBITDA margin of 37.7%.
Net results registered a significant increase, improving by 28.7% when compared to the same period of 2016, to €31 M.
NOS continued to grow its customer base and the number of RGUs, which increased by 6.5%, to 9,155 thousand, as a result of growth in all segments. Convergent RGUs increased to 3,498 thousand, + 17.1% y.o.y..
NOS Free Cash Flow reached €58 M in 1Q17, performing a considerable increase when compared to €10 M generated in 1Q16 (and €6 M in 4Q16). This was the result of a stronger Operating Cash Flow, coupled with the positive effect of the sale of Optimus FttH network to Vodafone in the amount of €24 M.
During the 1Q17, NOS market capitalisation decreased by 9.4%, corresponding to a share price decrease from €5.64 to €5.11.
The PSI-20, the main Portuguese index, increased its market capitalisation by 7.0% in the same period.
Portfolio
| Controlling stakes | Minority stakes |
|---|---|
| WeDo Technologies S21Sec Saphety Bizdirect InovRetail Bright Pixel |
AVP Funds Stylesage Movvo |
| Million euros | 1Q16 | 1Q17 | y.o.y. |
|---|---|---|---|
| Production | 151 | 180 | 19.2% |
| Turnover | 4 | 5 | 28.8% |
| Underlying EBITDA | -1.2 | 0.7 | - |
| Underlying EBITDA margin | -27.9% | 12.2% | 40.1 p.p. |
Sonae IM has been implementing an active portfolio strategy, with the clear objective of building and managing a portfolio of tech-based companies linked to retail and telecommunications, leveraging the strong Group's expertise in these two verticals and aiming to develop innovative solutions, with an international focus.
Sonae IM's core areas of interest include business analytics solutions, mobility solutions for retail, in-store technologies, fraud assurance and cybersecurity solutions.
Turnover increased by 24.0%, to €33 M, in 1Q17. Underlying EBITDA increased by €0.2 M, to €0.7 M, reaching an underlying EBITDA margin of 2.1%.
Sonae FS was created at the end of 2015 with the objective of fostering financial services in Sonae retail. Sonae FS offer includes: Credit, mostly through the Universo credit card, with special payment options at Sonae stores while having global acceptance across the Mastercard network. Additionally, Universo grants access to the several loyalty cards of Sonae retail banners. Credit offer also includes personal loans, store credit to customers and products sale at Universo online store; pre-paid cards (Cartões Dá), with B2B and B2C offers; Continente Money Transfer, a reliable service for money transfers across the globe; and insurance, presently focused on credit insurance. Sonae FS also includes MDS (which will be accounted for using the equity method), a global insurance & reinsurance brokerage and associated risk consulting services with direct operations in Iberia, Brazil and Portuguese speaking countries in Africa. MDS is the largest broker in Portugal and the largest independent broker in Brasil.
Sonae FS turnover increased by 28.8%, to €5 M, in 1Q17. Underlying EBITDA reached €0.7 M, representing an EBITDA margin of 12.2%.
In a period of slightly more than one year after its launching, Universo card operation has been growing considerably major key performance indicators such as the number of subscribers, which increased by 83.0%, surpassing 455 thousand subscribers, and the total production, which stood at €124 M, increasing by 45.3% y.o.y..
Sonae agreed with JD Sports Fashion Plc (JD Group), and JD Sprinter Holdings (JD Sprinter), a Memorandum of Understanding (MoU) which would see the combination of the JD Group's existing businesses in Iberia and JD Sprinter, with Sport Zone's business.
This MoU establishes the key parameters for the creation of an Iberian Sports Retail Group that will have as shareholders the JD Group, Sonae and the family shareholder of JD Sprinter, with shareholdings of approximately 50%, 30% and 20%, respectively.
Sonae Sierra and Bankinter launched their recently created Socimi on the Alternative Stock market. This listed real estate investment company was created in December 2016 on a 50:50 basis, and its major investment focus is on hypermarkets and supermarkets, retail parks and high street retail. Shopping centres will not be included in the asset portfolio.
Sonae announced that it reached an agreement with the shareholders of BRIO – Produtos de Agricultura Biológica, S.A. (BRIO) for the acquisition of 100% of BRIO's share capital. BRIO is the first organic supermarket chain launched in Portugal and operates six supermarkets specialised in organic food, all of them with convenient locations in the Lisbon area.
In the Annual General Assembly, which took place on April 28th 2017, the company's shareholders approved, amongst other items, the distribution of a gross dividend per share, relative to the 2016 financial year, in the amount of 0.04 euros. This dividend, which was paid on May 15th 2017, corresponded to a dividend yield of 4.6%, based on the closing price as at December 31st 2016, and to a payout ratio of 54% of the consolidated direct income attributable to equity holders of Sonae.
Sonae announced to the market Magallanes Value Investors' qualified shareholding amounting to 2.03% of Sonae's share capital.
The consolidated financial information contained in this report was prepared in accordance with International Financial Reporting Standards (IFRS), as adopted by the European Union. The financial information regarding quarterly and semi-annual figures was not subject to audit procedures.
| Capex | Investments in tangible and intangible assets and investments in acquisitions. |
|---|---|
| Direct results | Results before non-controlling interests excluding contributions to indirect results. |
| (Direct) EBIT | Direct EBT - financial results. |
| EBITDA | Underlying EBITDA + equity method results (mainly Sonae Sierra direct results and ZOPT net results) + non-recurrent items. |
| (Direct) EBT | Direct results before non-controlling interests and taxes. |
| EBITDA margin | EBITDA / turnover. |
| EoP | End of period. |
| Financial net debt | Total net debt excluding shareholders' loans. |
| Gearing (book value) | Average of the last four quarters considering, for each quarter, total net debt (EoP) / total shareholders' funds (EoP). |
| Gearing (market value) | Average of the last four quarters considering, for each quarter, total net debt (EoP) / equity value considering the closing price of Sonae shares on the last day of each quarter. |
| GLA | Gross Lettable Area: equivalent to the total area available to be rented in the shopping centres. |
| Indirect results | Includes Sonae Sierra's results, net of taxes, arising from: (i) investment property valuations; (ii) capital gains (losses) on the sale of financial investments, joint ventures or associates; (iii) impairment losses of non-current assets (including goodwill) and (iv) provision for assets at risk. Additionally and concerning Sonae's portfolio, it incorporates: (i) impairments in retail real estate properties; (ii) reductions in goodwill; (iii) provisions (net of taxes) for possible future liabilities and impairments related with non core financial investments, businesses, assets that were discontinued (or in the process of being discontinued/repositioned); (iv) results from mark to market methodology of other current investments that will be sold or exchanged in the near future; and (v) other non-relevant issues. |
| Investment properties | Shopping centres in operation owned and co-owned by Sonae Sierra. |
| Liquidity | Cash & equivalents + current investments. |
| Like for Like sales (LfL) | Sales made by stores that operated in both periods under the same conditions. Excludes stores opened, closed or which suffered major upgrade works in one of the periods. |
| Loan to value (LTV) - Holding |
Holding net debt / investment portfolio gross asset value; gross asset value based on market multiples, real estate NAV and market capitalisation for listed companies. |
| Loan to value (LTV) - Shopping Centres |
Net debt / (investment properties + properties under development). |
| Net asset value (NAV) | Open market value attributable to Sonae Sierra - net debt - minorities + deferred tax liabilities. |
| SONAE – 1Q17 RESULTS | |
|---|---|
| Net debt | Bonds + bank loans + other loans + financial leases + shareholder loans - cash, bank deposits, current investments, and other long-term financial applications. |
| Net invested capital | Total net debt + total shareholders' funds. |
| Open market value (OMV) |
Fair value of properties in operation and under development (100%), provided by independent international entities. |
| Other income | Dividends. |
| Others + E&A (Eliminations & adjustments) |
Intra-groups + consolidation adjustments + contributions from other companies not included in the identified segments. |
| Other loans | Bonds, leasing and derivatives. |
| RGU | Revenue generating unit. |
| Technical investment | Tangible assets + intangible assets + other fixed assets - depreciations and amortisations. |
| Underlying EBITDA | Recurrent EBITDA from the businesses consolidated using the full consolidation method. |
Note: Sonae implemented, this quarter, the following changes in its reporting structure: (i) MDS will start to be consolidated through the Equity Method and included in Sonae FS after the formalisation of a single share transaction; (ii) Maxmat is reported under "Sonae Retail", together with Sonae MC, Worten, Sports & Fashion and Sonae RP; and (iii) Media and Tlantic are reported under "Others + E&A". In order to assure comparability, the 'Profit and Loss Statement' historical figures were restated accordingly.
| Million euros | 1Q16 | 1Q17 | y.o.y. |
|---|---|---|---|
| TOTAL ASSETS | 5,072 | 5,489 | 8.2% |
| Non current assets | 3,742 | 4,037 | 7.9% |
| Tangible and intangible assets | 1,791 | 1,969 | 10.0% |
| Goodwill | 601 | 624 | 3.8% |
| Investment properties | 1 | 0 | - |
| Other investments | 1,252 | 1,357 | 8.4% |
| Deferred tax assets | 66 | 68 | 3.8% |
| Others | 33 | 19 | -41.6% |
| Current assets | 1,330 | 1,453 | 9.2% |
| Stocks | 617 | 693 | 12.3% |
| Trade debtors | 102 | 118 | 15.6% |
| Liquidity | 269 | 286 | 6.2% |
| Others | 343 | 357 | 4.2%- |
| SHAREHOLDERS' FUNDS | 1,818 | 1,995 | 9.7% |
| Equity holders | 1,686 | 1,825 | 8.2% |
| Attributable to minority interests | 132 | 170 | 29.0% |
| LIABILITIES | 3,254 | 3,494 | 7.4% |
| Non-current liabilities | 1,430 | 1,580 | 10.5% |
| Bank loans | 576 | 723 | 25.6% |
| Other loans | 706 | 703 | -0.5% |
| Deferred tax liabilities | 72 | 111 | 55.0% |
| Provisions | 39 | 21 | -45.4% |
| Others | 37 | 22 | -42.1% |
| Current liabilities | 1,824 | 1,914 | 5.0% |
| Bank loans | 249 | 239 | -4.1% |
| Other loans | 56 | 11 | -80.6% |
| Trade creditors | 985 | 1,027 | 4.3% |
| Others | 534 | 638 | 19.5% |
| SHAREHOLDERS' FUNDS + LIABILITIES |
5,072 | 5,489 | 8.2% |
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Condensed consolidated financial statements
CONDENSED CONSOLIDATED STATEMENT OF FINANCIAL POSITION AT 31 MARCH 2017 AND 2016 AND 31 DECEMBER 2016
(Translation of consolidated financial statements originally issued in Portuguese. In case of discrepancy the Portuguese version prevails.)
| 31 Mar 2016 | ||||
|---|---|---|---|---|
| ASSETS | Notes | 31 Mar 2017 | Restated Note 3 |
31 Dec 2016 |
| NON-CURRENT ASSETS: | ||||
| Tangible assets | 5 | 1,610,093,787 | 1,521,501,596 | 1,612,469,478 |
| Intangible assets | 6 | 358,811,411 | 244,353,129 | 373,509,488 |
| Investment properties | - | 896,874 | 879,263 | |
| Goodwill | 7 | 623,592,149 | 619,577,718 | 653,752,668 |
| Investments in joint ventures and associates | 8 | 1,344,167,461 | 1,221,647,622 | 1,362,270,890 |
| Other investments | 9 | 12,734,203 | 29,881,803 | 20,784,450 |
| Deferred tax assets | 12 | 68,234,654 | 65,539,005 | 61,360,744 |
| Other non-current assets | 10 | 19,001,445 | 32,537,991 | 19,226,166 |
| Total Non-Current Assets | 4,036,635,110 | 3,735,935,738 | 4,104,253,147 | |
| CURRENT ASSETS: | ||||
| Inventories | 692,668,545 | 616,934,131 | 696,297,968 | |
| Trade account receivables and other debtors | 11 | 402,196,721 | 378,682,893 | 347,402,443 |
| Investments | 9 | 732,331 | 65,323,999 | 4,369,022 |
| Cash and cash equivalents | 13 | 284,832,538 | 268,286,125 | 340,920,458 |
| Total Current Assets | 1,380,430,135 | 1,329,227,148 | 1,388,989,891 | |
| Assets available for sale | 14 | 72,431,356 | - | 19,522,549 |
| TOTAL ASSETS | 5,489,496,601 | 5,065,162,886 | 5,512,765,587 | |
| EQUITY AND LIABILITIES | ||||
| EQUITY: | ||||
| Share capital | 15 | 2,000,000,000 | 2,000,000,000 | 2,000,000,000 |
| Own shares | 15 | (111,459,703) | (116,574,389) | (114,738,086) |
| Reserves and retained earnings | (71,900,015) | (227,086,880) | (206,669,555) | |
| Profit/(Loss) for the period attributable to the equity holders of the Parent Company | 8,379,992 | 30,081,899 | 215,073,949 | |
| Equity attributable to the equity holders of the Parent Company | 1,825,020,274 | 1,686,420,630 | 1,893,666,308 | |
| Equity attributable to non-controlling interests | 16 | 170,119,240 | 131,863,164 | 170,771,866 |
| TOTAL EQUITY | 1,995,139,514 | 1,818,283,794 | 2,064,438,174 | |
| LIABILITIES: | ||||
| NON-CURRENT LIABILITIES: | ||||
| Loans | 17 | 1,425,965,357 | 1,281,960,851 | 1,209,827,633 |
| Other non-current liabilities | 19 | 21,502,777 | 37,163,729 | 21,557,388 |
| Deferred tax liabilities | 12 | 111,197,947 | 65,687,710 | 114,370,917 |
| Provisions | 22 | 21,358,071 | 38,193,127 | 25,848,118 |
| Total Non-Current Liabilities | 1,580,024,152 | 1,423,005,417 | 1,371,604,056 | |
| CURRENT LIABILITIES: | ||||
| Loans | 17 | 249,880,728 | 305,609,310 | 361,212,410 |
| Trade creditors and other liabilities | 21 | 1,619,095,353 | 1,515,214,583 | 1,700,225,496 |
| Provisions | 22 | 3,208,566 | 3,049,782 | 3,558,708 |
| Total Current Liabilities | 1,872,184,647 | 1,823,873,675 | 2,064,996,614 | |
| Liabilities available for sale | 14 | 42,148,288 | - | 11,726,743 |
| TOTAL LIABILITIES | 3,494,357,087 | 3,246,879,092 | 3,448,327,413 | |
| TOTAL EQUITY AND LIABILITIES | 5,489,496,601 | 5,065,162,886 | 5,512,765,587 |
The accompanying notes are part of these condensed consolidated financial statements.
CONSOLIDATED INCOME STATEMENTS FOR THE PERIOD ENDED 31 MARCH 2017 AND 2016
(Translation of consolidated financial statements originally issued in Portuguese. In case of discrepancy the Portuguese version prevails.)
| (Amounts expressed in euro) | Notes | 31 Mar 2017 | 31 Mar 2016 Restated Note 14 |
|---|---|---|---|
| Sales | 4 | 1,235,665,235 | 1,168,928,849 |
| Services rendered | 4 | 42,413,425 | 37,018,426 |
| Gains and losses on investments | - | (30,923) | |
| Investment income investments recorded at fair value through profit | 9 | - | (15,263,369) |
| Financial income | 1,835,442 | 1,363,390 | |
| Other income | 25 | 170,352,048 | 228,554,345 |
| Cost of goods sold and materials consumed | (1,025,076,431) | (979,128,774) | |
| Changes in stocks of finished goods and work in progress | (31,362) | 64,391 | |
| External supplies and services | (172,353,169) | (158,222,170) | |
| Staff costs | (187,211,728) | (174,752,489) | |
| Depreciation and amortisation | 5 and 6 | (48,114,492) | (42,059,926) |
| Provisions and impairment losses | (501,383) | (7,776,368) | |
| Financial expense | (9,554,859) | (15,332,816) | |
| Other expenses | (15,824,607) | (16,660,851) | |
| Share of results of joint ventures and associetad companies | 8.3 | 14,093,368 | 12,934,541 |
| Profit/(Loss) before taxation from continuing operations | 5,691,487 | 39,636,256 | |
| Taxation | 26 | 2,428,976 | (11,491,118) |
| Profit/(Loss) after taxation from continuing operations | 8,120,463 | 28,145,138 | |
| Profit/(Loss) from discontinued operations after taxation | 14 | 510,095 | 744,659 |
| Consolidated profit/(Loss) for the period | 8,630,558 | 28,889,797 | |
| Attributable to equity holders of the Parent Company: Continuing operations |
8,124,434 | 29,709,494 | |
| Discontinued operations | 255,558 | 372,404 | |
| 8,379,992 | 30,081,898 | ||
| Attributable to non-controlling interests | |||
| Continuing operations | (3,971) | (1,564,356) | |
| Discontinued operations | 254,537 | 372,255 | |
| 16 | 250,566 | (1,192,101) | |
| Profit/(Loss) per share From continuing operations |
|||
| Basic | 27 | 0.005485 | 0.016851 |
| Diluted | 27 | 0.005118 | 0.015684 |
| From discontinued operations | |||
| Basic | 27 | 0.000135 | 0.000197 |
| Diluted | 27 | 0.000126 | 0.000184 |
The accompanying notes are part of these condensed consolidated financial statements.
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME FOR THE PERIODS ENDED 31 MARCH 2017 AND 2016
(Translation of consolidated financial statements originally issued in Portuguese. In case of discrepancy the Portuguese version prevails.)
| 31 Mar 2017 | 31 Mar 2016 |
|---|---|
| 8,630,558 | 28,889,797 |
| 100,107 | (4,485,741) |
| (6,176,019) | |
| (2,922,343) | (2,112,050) |
| 619,787 | 515,237 |
| (30,808) | (8,328) |
| 497,877 | (12,266,901) |
| 9,128,435 | 16,622,896 |
| 8,797,231 | 21,134,901 |
| 331,204 | (4,512,005) |
| 2,731,134 |
The accompanying notes are part of these condensed consolidated financial statements.
CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY FOR THE PERIODS ENDED 31 MARCH 2017 AND 2016
(Translation of consolidated financial statements originally issued in Portuguese. In case of discrepancy the Portuguese version prevails.)
| Rese | and d Ea Ret aine rves |
rnin gs |
|||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| (Am ssed in e uro) ts e oun xpre |
Sha re Cap ital |
Ow n Sha res |
Lega l Res erve |
Cur renc y Tran slat ion Rese rve |
Inve stm ents Fair Val ue Rese rve |
Hed ging Res erve |
Opt ion Prem ium Con ible vert ds Bon |
Oth er R ese rves and Ret aine d Earn ings |
Tot al |
Net Prof it/(L oss) |
Tot al |
trol ling Non con Inte rest s (No te 1 6) |
al Tot ity Equ |
| Attr ibut able to |
Equ ity H olde rs o |
f Pa Co rent mpa ny |
|||||||||||
| Bala t 1 J 201 6 nce as a anu ary |
2,00 0,00 0,00 0 |
(123 ) ,493 ,932 |
244 ,211 ,592 |
1,13 5,80 1 |
- | 272 ,950 |
22,3 13,0 00 |
(661 ) ,255 ,246 |
(393 ) ,321 ,903 |
175 ,306 ,228 |
1,65 8,49 0,39 3 |
136 ,303 ,721 |
1,79 4,79 4,11 4 |
| Tot al co sive inc for the iod mpr een ome per |
- | - | - | (2,4 64,7 33) |
- | (1,5 55,2 16) |
- | (4,9 27,0 48) |
(8,9 46,9 97) |
30,0 81,8 98 |
21,1 34,9 01 |
(4,5 12,0 05) |
16,6 22,8 96 |
| n of solid ated fit o f 20 App iatio net 15 ropr con pro |
|||||||||||||
| Tra nsfe lega l res d re tain ed e arni r to erve s an ngs |
- | - | - | - | - | - | - | 175 ,306 ,228 |
175 ,306 ,228 |
(175 ,306 ,228 ) |
- | - | - |
| Divi den ds d istri bute d |
- | - | - | - | - | - | - | - | - | - | - | (87, 285 ) |
(87, 285 ) |
| Obl fulf ield by s hare ribu mpl igat ion att tion to e oye es |
- | - | - | - | - | - | - | (117 ) ,386 |
(117 ) ,386 |
- | (117 ) ,386 |
24,5 36 |
(92, ) 850 |
| h Se ttle d Eq arly tial (No 5) Cas uity Sw term inat ion te 1 ap e par |
- | 6,91 9,54 3 |
- | - | - | - | - | (45, ) 886 |
(45, ) 886 |
- | 6,87 3,65 7 |
- | 6,87 3,65 7 |
| Part ial d ispo sal o uisit ions of a ffilia ted ies r aq com pan |
- | - | - | - | - | - | - | 39,0 65 |
39,0 65 |
- | 39,0 65 |
134 ,197 |
173 ,262 |
| Bala t 31 Ma rch 201 6 nce as a |
2,00 0,00 0,00 0 |
(116 ,574 ,389 ) |
244 ,211 ,592 |
(1,3 28,9 32) |
- | (1,2 82,2 66) |
22,3 13,0 00 |
(491 ,000 ,273 ) |
(227 ,086 ,879 ) |
30,0 81,8 98 |
1,68 6,42 0,63 0 |
131 ,863 ,164 |
1,81 8,28 3,79 4 |
| Bala t 1 J 201 7 nce as a anu ary |
2,00 0,00 0,00 0 |
(114 ,738 ,086 ) |
244 ,211 ,592 |
3,84 5,88 9 |
- | 1,94 8,40 5 |
22,3 13,0 00 |
(478 ,988 ,441 ) |
(206 ,669 ,555 ) |
215 ,073 ,949 |
1,89 3,66 6,30 8 |
170 ,771 ,866 |
2,06 4,43 8,17 4 |
| al co for the iod Tot sive inc mpr een ome per |
- | - | - | (30, ) 690 |
- | (2,2 23) 49,5 |
- | 2,69 7,45 2 |
417 ,239 |
8,37 9,99 2 |
8,79 7,23 1 |
331 ,204 |
9,12 8,43 5 |
| App iatio n of solid ated fit o f 20 16 net ropr con pro |
|||||||||||||
| nsfe lega l res d re ed e Tra r to tain arni erve s an ngs |
- | - | 3,06 5,01 1 |
- | - | - | - | 212 ,008 ,938 |
215 ,073 ,949 |
(215 ) ,073 ,949 |
- | - | - |
| den ds d bute d Divi istri |
- | - | - | - | - | - | - | (80, ) 000 ,000 |
(80, ) 000 ,000 |
- | (80, ) 000 ,000 |
(27, ) 938 |
(80, ) 027 ,938 |
| Obl igat ion fulf ield by s hare ribu tion mpl att to e oye es |
- | - | - | - | - | - | - | 230 ,970 |
230 ,970 |
- | 230 ,970 |
24,1 23 |
255 ,093 |
| ial c ella of C ash led (No 5) Part tion Sett Equ ity S te 1 anc wap |
- | 3,27 8,38 3 |
- | - | - | - | - | (664 ) ,756 |
(664 ) ,756 |
- | 2,61 3,62 7 |
- | 2,61 3,62 7 |
| han bsid Perc ge i iarie enta ge c n su s |
- | - | - | - | - | - | - | (287 ) ,862 |
(287 ) ,862 |
- | (287 ) ,862 |
(980 ) ,015 |
(1,2 77) 67,8 |
| Bala t 31 Ma rch 201 7 nce as a |
2,00 0,00 0,00 0 |
(111 ,459 ,703 ) |
247 ,276 ,603 |
3,81 5,19 9 |
- | (301 ,118 ) |
22,3 13,0 00 |
(345 ,003 ,699 ) |
(71, 900 ,015 ) |
8,37 9,99 2 |
1,82 5,02 0,27 4 |
170 ,119 ,240 |
1,99 5,13 9,51 4 |
The accompanying notes are part of these condensed consolidated financial statements.
CONSOLIDATED STATEMENT OF CASH FLOWS FOR THE PERIOD ENDED 31 MARCH 2017 AND 2016
| (Amounts expressed in euro) | Notes | 31 Mar 2017 | 31 Mar 2016 |
|---|---|---|---|
| OPERATING ACTIVITIES | |||
| Net cash flow from operating activities (1) | (110,353,863) | (167,779,636) | |
| INVESTMENT ACTIVITIES | |||
| Cash receipts arising from: | |||
| Investments | 11 | 21,009,032 | - |
| Tangible and Intangible assets | 5 | 1,373,343 | 229,741,711 |
| Interests and similar income | 481,672 | 514,372 | |
| Loans granted | 600 | - | |
| Dividends | - | 1,614 | |
| Others | 12,468,535 | 1,100,433 | |
| 35,333,182 | 231,358,130 | ||
| Cash Payments arising from: | |||
| Investments | (2,250) | (374,015) | |
| Tangible and Intangible assets | (84,215,434) | (69,472,338) | |
| Loans granted | (487,043) | - | |
| Others | (8,893,714) | (188,880) | |
| (93,598,441) | (70,035,233) | ||
| Net cash used in investment activities (2) | (58,265,259) | 161,322,897 | |
| FINANCING ACTIVITIES | |||
| Cash receipts arising from: | |||
| Investments | 537,500 | 173,261 | |
| Loans obtained | 1,693,542,870 | 1,951,392,532 | |
| Others | - | 5,616 | |
| 1,694,080,370 | 1,951,571,409 | ||
| Cash Payments arising from: | |||
| Investments | (1,370,397) | - | |
| Loans obtained | (1,571,252,631) | (1,946,899,538) | |
| Interests and similar charges | (4,575,323) | (7,579,769) | |
| Others | (303,134) | (502,486) | |
| (1,577,501,485) | (1,954,981,793) | ||
| Net cash used in financing activities (3) | 116,578,885 | (3,410,384) | |
| Net increase in cash and cash equivalents (4) = (1) + (2) + (3) | (52,040,237) | (9,867,123) | |
| Effect of foreign exchange rate | (107,832) | 140,243 | |
| Effect of discontinued operations | 14 | 7,417,521 | - |
| Cash and cash equivalents at the beginning of the period | 13 | 323,190,227 | 270,140,463 |
| Cash and cash equivalents at the end of the period | 13 | 263,840,301 | 260,133,097 |
The accompanying notes are part of these condensed financial statements.
(Translation of consolidated financial statements originally issued in Portuguese. In case of discrepancy the Portuguese version prevails)
(Amounts expressed in euro)
SONAE, SGPS, SA ("Sonae Holding") has its head-office at Lugar do Espido, Via Norte, Apartado 1011, 4470- 909 Maia, Portugal, and is the parent company of a group of companies, as detailed in Notes 31 and 32 the Sonae Group ("Sonae"). Sonae's operations and operating segments are described in Note 4.
The accounting policies adopted are consistent with those described in the file of annual financial statements for the year ended 31 December 2016.
The accompanying consolidated financial statements have been prepared in accordance with International Financial Reporting Standards ("IFRS") as adopted by the European Union, issued by the International Accounting Standards Board ("IASB"), and interpretations issued by the IFRS Interpretations Committee ("IFRIC") or by the previous Standing Interpretations Committee ("SIC"), as adopted by the European Union as from the consolidated financial statements issuance date.
Interim financial statements are presented quarterly, in accordance with IAS 34 – "Interim Financial Reporting".
The accompanying condensed consolidated financial statements have been prepared from the books and accounting records of the company and subsidiaries, adjusted in the consolidation process, on a going concern basis and under the historical cost convention, except for some financial instruments and properties investments which are stated at fair value.
New accounting standards and their impact on the consolidated financial statements:
The following standards, interpretations, amendments and revisions were endorsed by the European Union and have mandatory application in future economic exercises:
With mandatory application after 2017:
accounting rules)
IFRS 9 - Financial instruments (establishes the new requirements regarding the classification and measurement of financial assets and liabilities, the methodology for calculating impairment and for the application of hedge 01 jan 2018
after)
IFRS 15 – Revenue from customer contracts (introduces a principles-based revenue recognition framework based on a template to apply to all contracts with customers) 01 jan 2018
The Group did not proceed to earlier adoption of any of these standards on the financial statements for the period ended on the 31 March 2017, since their application is not yet mandatory. The impacts of the above mentioned standards are being analysed by the Group.
The following standards, interpretations, amendments and revisions haven't been, until the date of approval of these financial statements, endorsed by the European Union:
| Effective date (for | |
|---|---|
| financial years | |
| beginning on or | |
| With mandatory application after 2017: | after) |
| IFRS 14 – (Regulatory deferral accounts) |
01 jan 2016 |
|---|---|
| IFRS 16 – Leases (Principles of recognition and measurement) |
01 jan 2019 |
| IFRS 10 e IAS 28 (amendments) – (Elimination of the inconsistency between the requirements of these standards when dealing with the sale or contribution of assets between an investor and its associate or joint venture) |
To be defined |
| IAS 12 (amendment) - Income taxes (clarifies the conditions for recognition and measurement of tax assets resulting from unrealized losses) |
01 jan 2017 |
| IAS 7 (amendment) - Statement of cash flows (introducing additional disclosures related to cash flows from financing activities) |
01 jan 2017 |
| IFRS 15 (amendment) - Revenue from contracts with customers (various clarifications are introduced in the standard to eliminate the possibility of divergent interpretations of various topics) |
01 jan 2018 |
| IFRS 2 (amendment) - Share-based payments (various clarifications are included in the standard relating to the recording of cash-settled share-based payment transactions, (ii) recording changes to share-based payment transactions (of net settled to equity settlement), (iii) the classification of transactions with net settlement characteristics). |
01 jan 2018 |
|---|---|
| IFRS 4 (amendment) - Insurance contracts (provides guidance on the application of IFRS 4 in together with IFRS 9) |
01 jan 2018 |
| IAS 40 (amendment) - Investment properties (clarifies that the change in classification from or to investment property should only be made when there is evidence of a change in the use of the asset) |
01 jan 2018 |
| Annual Improvements to IFRS (cycle 2014-2016) | 01 jan 2017 e 01 jan 2018 |
| IFRIC 22 - Transactions in foreign currency and advances (establishes the date of the initial recognition of the advance or deferred income as the date of the transaction for determining the exchange rate of the recognition of the revenue) |
01 jan 2018 |
The Group did not proceed with the early implementation of any of these standards in the financial statements for the period ended on 31 March 2017 since their application is not mandatory, lying in the process of analyzing expected effects of those standards that, with exception of IFRS 16 are not expected to reflect significant impacts.
The Losan Group is a multinational group with its the parent company based in Spain, it specializes in the wholesale business of children's wear. This acquisition was aimed to improve skills in the supply chain and to strengthen international capacity expansion of Sonae through wholesale channels. These companies were incorporated in the consolidated financial statements as at 31 December 2015, date from which Sonae began to exercise control over its activities.
Given the proximity of the acquisition to the end of the year 2015, only in 2016 was it possible to complete the fair value allocation exercise and Goodwill calculation. The impact of the restatement in the statement of financial position of the Group as at 31 March 2016 can be analysed as follows:
| 31 Mar 2016 | |||
|---|---|---|---|
| Amounts in thousands of euros | Before the restatement |
Adjustments to fair value |
After the restatement |
| Assets | |||
| Tangible and intagible assets | 1,766,752 | 24,691 | 1,791,443 |
| Goodwill | 619,578 | (18,960) | 600,618 |
| Investments | 1,251,529 | - | 1,251,529 |
| Deferred tax assets | 65,539 | 225 | 65,764 |
| Other non-current assets | 32,538 | - | 32,538 |
| Non-current assets | 3,735,936 | 5,956 | 3,741,892 |
| Current assets | - | ||
| Inventories | 616,934 | - | 616,934 |
| Trade account receivables | 102,209 | (400) | 101,809 |
| Other debtors | 276,474 | 1,417 | 277,891 |
| Investments | 65,324 | - | 65,324 |
| Cash and cash equivalents | 268,286 | - | 268,286 |
| Current assets | 1,329,227 | 1,017 | 1,330,244 |
| Total assets | 5,065,163 | 6,973 | 5,072,136 |
| Liabilities | |||
| Borrowings | 1,281,961 | - | 1,281,961 |
| Other non-current liabilities | 37,164 | - | 37,164 |
| Deferred tax liabilities | 65,688 | 6,073 | 71,761 |
| Provisions | 38,193 | 900 | 39,093 |
| Non-current liabilities | 1,423,005 | 6,973 | 1,429,978 |
| Borrowings | 305,609 | - | 305,609 |
| Trade creditors and other current liabilities | 1,518,264 | - | 1,518,264 |
| Total current liabilities | 1,823,874 | - | 1,823,874 |
| Total liabilities | 3,246,879 | 6,973 | 3,253,852 |
| Shareholders' funds excluding non-controlling interests | 1,686,421 | - | 1,686,421 |
| Non-controlling interests | 131,863 | - | 131,863 |
| Total shareholders' funds | 1,818,284 | - | 1,818,284 |
| Total shareholders' funds and liabilities | 5,065,163 | 6,973 | 5,072,136 |
The fair value was determined through various valuation methodologies for each type of asset or liability, based on the best information available. The main adjustments to fair value made under this process were:
Additionally, as at 31 March 2017, Sonae signed an agreement for the sale of shares of MDS, SGPS, SA and amended the shareholder agreement foreseeing the loss of control of that subsidiary and becoming a joint venture. In view of this fact, the income statement for the period ended 31 March 2016 was restated, with the entire activity of this subsidiary and its subsidiaries being transferred to the heading "Discontinued operations", see impact in Note 14.
Sonae has in its portfolio five main segments: Sonae Retail, Sonae Sierra, Telecommunications (NOS), Sonae IM and the Sonae FS.
• In Sonae Retail, the group has five segments:
Sonae MC is our food retail unit, operating 41 Continente hypermarkets, 129 Continente Modelo supermarkets, 77 convenience stores Bom Dia, 256 stores operated under franchise Meu Super and 200 parapharmacy Well´s;
Worten that is included in the top 3 of Iberian electronic players, counting on a portfolio of 233 physical stores in Iberia;
Sports and Fashion directly operating 377 own stores of sports and clothing products, combined with a franchise network;
Sonae RP is dedicated to optimizing the management of Sonae's retail real estate portfolio;
These operating segments have been identified taking into consideration that each of these segments have separate identifiable revenues and costs, separate financial information is produced, and its operating results are reviewed by management on which it makes decisions.
The list of Group companies and their businesses are detailed in Notes 31 and 32.
The main operating segment information as at 31 March 2017 and 2016 and 31 December 2016 can be detailed as follows:
| 31 Mar 2017 | Turnover | Depreciation and amortisation |
Provisions and impairment losses |
EBIT | Financial results (2) |
Income tax (2) |
|---|---|---|---|---|---|---|
| Sonae MC | 854,715,239 | 23,720,639 | 92,641 | 5,773,815 | - | - |
| Worten | 217,706,859 | 6,529,882 | 185,913 | (5,258,512) | - | - |
| Sports & Fashion | 144,396,413 | 8,368,229 | 350,248 | (8,907,818) | - | - |
| Sonae RP | 22,921,431 | 6,097,838 | - | 13,957,097 | - | - |
| Maxmat | 16,994,235 | 458,239 | - | 188,072 | - | - |
| Retail | 1,256,734,177 | 45,174,827 | 628,802 | 5,752,654 | (11,861,772) | (1,930,505) |
| Sonae Sierra | - | - | - | 7,537,282 | - | - |
| NOS | - | - | - | 7,133,578 | - | - |
| Sonae IM | 32,922,350 | 2,440,507 | 3,586 | (1,923,227) | 164,190 | (246,379) |
| Sonae FS | 5,327,861 | 123,566 | - | 404,792 | (15) | (180,598) |
| Outros, eliminações e ajustamentos | (16,905,728) | 375,592 | (131,005) | (5,031,537) | 3,978,180 | (71,494) |
| Total consolidated | 1,278,078,660 | 48,114,492 | 501,383 | 13,873,542 | (7,719,417) | (2,428,976) |
| 31 Mar 2016 | Turnover | Depreciation and amortisation |
Provisions and impairment losses |
EBIT | Financial results (2) |
Income tax (2) |
|---|---|---|---|---|---|---|
| Sonae MC | 829,682,081 | 21,867,449 | 6,817,234 | 8,258,392 | - | - |
| Worten | 216,493,836 | 6,064,784 | 95,372 | (6,191,099) | - | - |
| Sports & Fashion | 114,727,340 | 5,565,991 | 449,133 | (10,805,131) | - | - |
| Sonae RP | 24,395,643 | 5,889,902 | - | 72,592,989 | - | - |
| Maxmat | 15,367,778 | 503,278 | - | (161,089) | - | - |
| Retail | 1,200,666,678 | 39,891,404 | 7,361,739 | 63,694,062 | (7,233,004) | 11,364,912 |
| Sonae Sierra | - | - | - | 7,387,681 | - | - |
| NOS | - | - | - | 4,863,490 | - | - |
| Sonae IM | 26,558,608 | 1,931,001 | 405,519 | (1,683,227) | (584,301) | (1,022,678) |
| Sonae FS | 4,136,648 | 155,417 | - | (1,385,214) | (633) | (479,604) |
| Outros, eliminações e ajustamentos | (25,414,659) | 82,104 | 9,110 | (3,957,355) | (6,151,488) | 1,628,488 |
| Total consolidated | 1,205,947,275 | 42,059,926 | 7,776,368 | 68,919,437 | (13,969,426) | 11,491,118 |
| Net debt (2) | |||||
|---|---|---|---|---|---|
| 31 Mar 2017 | 31 Dec 2016 | ||||
| Sonae Retalho | 857,148,942 | 675,852,425 | |||
| Sonae IM | 35,954,617 | 38,424,321 | |||
| Sonae FS | - | - | |||
| Holding (1) | 486,426,160 | 500,726,313 | |||
| Total consolidated | 1,379,529,719 | 1,215,003,059 |
1) Includes Sonae separate financial statements;
2) These captions are accompanied by Management in more aggregated form, and not allocated to individual operating segments identified above.
| Investment (CAPEX) | Net invested capital | |||||
|---|---|---|---|---|---|---|
| 31 Mar 2017 | 31 Mar 2016 | 31 Mar 2017 | 31 Dec 2016 | |||
| Sonae Retalho | ||||||
| Sonae MC | 28,292,422 | 34,917,109 | 754,942,027 | 629,840,098 | ||
| Worten | 6,031,500 | 5,672,532 | (25,907,272) | (53,491,326) | ||
| Sports & Fashion | 7,699,229 | 7,144,755 | 380,027,369 | 372,504,176 | ||
| Sonae RP | 8,450,769 | 8,938,718 | 913,901,992 | 930,735,887 | ||
| Maxmat | 349,741 | 105,823 | 34,790,278 | 33,050,597 | ||
| Sonae IM | 2,436,356 | 1,766,677 | 106,845,851 | 108,088,618 | ||
| Sonae FS | 32,904 | 33,101 | 1,989,311 | 3,503,912 | ||
| Other, eliminations and adjustments | 282,686 | (162,262) | 1,208,079,695 | 1,255,209,288 | ||
| Total consolidated | 53,575,607 | 58,416,453 | 3,374,669,251 | 3,279,441,250 |
| Turnover | 31 Mar 2017 Inter-segment |
31 Mar 2016 Inter-segment |
|
|---|---|---|---|
| Sonae Retail | |||
| Sonae MC | (567,175) | (440,435) | |
| Worten | (1,703,558) | (1,066,811) | |
| Sports and Fashion | (10,124,503) | (8,218,044) | |
| Sonae RP | (21,108,226) | (21,791,956) | |
| Maxmat | - | - | |
| Sonae IM | (2,961,077) | (1,825,682) | |
| Sonae FS | - | - | |
| Other, eliminations and adjustments | (102,952) | (379,179) | |
| Total consolidated | (36,567,491) | (33,722,107) | |
| Turnover | EBIT | |||
|---|---|---|---|---|
| 31 Mar 2017 | 31 Mar 2016 | 31 Mar 2017 | 31 Mar 2016 | |
| Inter-segment intra-groups | (36,567,491) | (33,722,107) | - | - |
| Contributions of entities not included in the segments |
19,661,763 | 8,307,448 | (3,585,488) | (1,595,933) |
| Others | - | - | (1,446,048) | (2,361,421) |
| Other, eliminations and adjustments | (16,905,728) | (25,414,659) | (5,031,536) | (3,957,355) |
| Investment | ||||
|---|---|---|---|---|
| Invested capital | ||||
| 31 Mar 2017 | 31 Dec 2016 | 31 mar 2017 | 31 dez 2016 | |
| Inter-segment intra-groups and contributions of entities non individualized entities as segments |
282,686 | (162,262) | 54,514,473 | 31,168,918 |
| Investments in joint ventures and associated companies | - | - | 1,275,240,669 | 1,293,795,248 |
| Other investments | - | - | 9,956,041 | 17,966,231 |
| Cash settled equity swap (3) | - | - | (88,859,076) | (87,721,109) |
| Distributed dividends | - | - | (80,163,511) | - |
| Dividends available | - | - | 37,391,100 | - |
| 282,686 | (162,262) | 1,208,079,696 | 1,255,209,288 |
3) Financial Instrument reported in Note 15.
All performance measures are reconciled to the financial statements in note 28.
Glossary:
Net Invested capital = Total net debt + total shareholder funds
Net debt = Bonds + bank loans + other loans + shareholder loans + financial leases - cash, bank deposits, current investments, excluding the participation of 2.14% in NOS, and other long term financial applications;
Other eliminations and adjustments = Intra-groups + consolidation adjustments + contributions from other companies not included in the disclosed segments as they do not fit in any reportable segment, ie in addition to Sonae SGPS, the companies identified as "Other" in Note 31 are included;
Investments (CAPEX) = Gross investment in tangible and intangible assets and investments in acquisitions.
Regarding the financial information of Sonae Sierra and See details in Note 8.
| Others | Tangible | Total | |||
|---|---|---|---|---|---|
| Land and | Plant and | tangible | assets | tangible | |
| buildings | machinery | assets | in progress | assets | |
| Gross assets: | |||||
| Opening balance as at 1 January 2017 | 1,371,092,975 | 1,438,240,754 | 217,886,293 | 30,984,493 | 3,058,204,515 |
| Transfers to "Discontinued operations" (Note 14) | (489,027) | (2,845,887) | (4,087,435) | (618,694) | (8,041,043) |
| Investment | 673,905 | 765,188 | 583,687 | 39,270,410 | 41,293,190 |
| Disposals | - | (14,324,342) | (1,417,666) | (999,052) | (16,741,060) |
| Exchange rate effect | 14,554 | 11,352 | 15,427 | 2,667 | 44,000 |
| Transfers | 1,955,718 | 32,865,402 | 4,175,654 | (39,977,047) | (980,273) |
| Closing balance as at 31 March 2017 | 1,373,248,125 | 1,454,712,467 | 217,155,960 | 28,662,777 | 3,073,779,329 |
| Accumulated depreciation and impairment losses | |||||
| Opening balance as at 1 January 2017 | 397,973,790 | 881,497,880 | 166,152,543 | 110,824 | 1,445,735,037 |
| Transfers to "Discontinued operations" (Note 14) | (225,509) | (1,716,060) | (3,288,285) | - | (5,229,854) |
| Depreciation of the period | 5,609,894 | 27,474,929 | 4,483,317 | - | 37,568,140 |
| Disposals | - | (13,425,911) | (1,336,257) | - | (14,762,168) |
| Exchange rate effect | 8,142 | 5,009 | 5,305 | - | 18,456 |
| Transfers | 607,689 | (38,772) | (212,986) | - | 355,931 |
| Closing balance as at 31 March 2017 | 403,974,006 | 893,797,075 | 165,803,637 | 110,824 | 1,463,685,542 |
| Carrying amount as at 31 March 2017 | 969,274,119 | 560,915,392 | 51,352,323 | 28,551,953 | 1,610,093,787 |
| Others | Tangible | Total | |||
| Land and | Plant and | tangible | assets | tangible | |
| buildings | machinery | assets | in progress | assets | |
| Gross assets: | |||||
| Opening balance as at 1 January 2016 | 1,340,030,432 | 1,331,776,248 | 195,582,841 | 24,254,854 | 2,891,644,375 |
| Investment | 809,416 | 52,148 | 497,727 | 48,279,135 | 49,638,426 |
| Disposals | (30,748,984) | (11,488,892) | (1,141,045) | (1,902,778) | (45,281,699) |
| Exchange rate effect | 43,427 | 13,276 | 28,783 | 58 | 85,544 |
| Transfers | 6,991,198 | 28,215,771 | 3,755,371 | (38,281,027) | 681,313 |
| Closing balance as at 31 March 2016 | 1,317,125,489 | 1,348,568,551 | 198,723,677 | 32,350,242 | 2,896,767,959 |
| Accumulated depreciation and impairment losses | |||||
| Opening balance as at 1 January 2016 | 367,362,670 | 828,106,124 | 153,060,794 | - | 1,348,529,588 |
| Depreciation of the period | 4,888,514 | 25,722,829 | 4,060,054 | - | 34,671,397 |
| Impairment losses of the period | 6,600,000 | - | - | - | 6,600,000 |
| Disposals | (3,936,186) | (9,478,634) | (1,073,802) | - | (14,488,622) |
| Exchange rate effect | 43,552 | 3,537 | 12,245 | - | 59,334 |
| Transfers | 346,629 | (284,065) | (167,898) | - | (105,334) |
| Closing balance as at 31 March 2016 | 375,305,179 | 844,069,791 | 155,891,393 | - | 1,375,266,363 |
| Carrying amount as at 31 March 2016 | 941,820,310 | 504,498,760 | 42,832,284 | 32,350,242 | 1,521,501,596 |
The investment in the period ended 31 March 2017 and 2016 includes mainly the acquisition of assets of approximately 40.9 million euro (49.5 million euro in 2016), associated with the opening and remodeling of stores of Sonae retail operating segments.
During the period ended 31 March 2017, several sale and leaseback transactions were accounted for by the Group. The accounting values of the disposed assets, approximately, 170.1 million euro, correspond to 16 real estate food retail assets located in Portugal and 3 Worten stores in Spain. These operations resulted in a cash inflow of 230 million euro and generated a net capital gain of approximately, 63.1 million euro (Note 25).
The most significant values under the caption "Tangible assets in progress" refer to the following projects:
| 31 Mar 2017 | 31 Mar 2016 | |
|---|---|---|
| Refurbishment and expansion of stores in the retail businesses located in Portugal |
24,878,161 | 27,278,839 |
| Refurbishment and expansion of stores in the retail businesses located in Spain |
1,131,165 | 437,825 |
| Projects of "Continente" stores for which advance payments were made |
1,196,000 | 2,743,500 |
| Others | 1,346,627 | 1,890,574 |
| 28,551,953 | 32,350,240 |
| Land and buildings |
Plant and machinery |
Others tangible assets |
Total tangible assets |
|
|---|---|---|---|---|
| Impairment losses | ||||
| Opening balance as at 1 january 2017 | 90,436,703 | 28,067,641 | 595,877 | 119,100,221 |
| Disposals | - | (2,592,563) | (31,708) | (2,624,271) |
| Transfers | - | 2,943 | (34,948) | (32,005) |
| Closing balance as at 31 March 2017 (Note 22) | 90,436,703 | 25,478,021 | 529,221 | 116,443,945 |
During the three-month period ended at 31 March 2017 and 2016, the movement occurred in intangible assets and in the corresponding accumulated amortisation and impairment losses, was as follows:
| Patents | Others | Intangible | Total | |
|---|---|---|---|---|
| and other | intangible | assets | intangible | |
| similar rights | assets | in progress | assets | |
| Gross assets: | ||||
| Opening balance as at 1 January 2017 | 181,013,190 | 493,383,747 | 28,060,990 | 702,457,927 |
| Transfers to "Discontinued operations" (Note 14) | (1,991,834) | (36,666,313) | (89,933) | (38,748,080) |
| Investment | 9,740 | 325,402 | 10,043,644 | 10,378,786 |
| Disposals | (92,263) | (7,398) | (383,671) | (483,332) |
| Exchange rate effect | (102,988) | 363,507 | (6,638) | 253,881 |
| Transfers | 78,332 | 4,462,674 | (4,839,779) | (298,773) |
| Closing balance as at 31 March 2017 | 178,914,177 | 461,861,619 | 32,784,613 | 673,560,409 |
| Accumulated depreciation and impairment losses | ||||
| Opening balance as at 1 January 2017 | 40,763,712 | 288,184,727 | - | 328,948,439 |
| Transfers to "Discontinued operations" (Note 14) | (1,056,990) | (24,789,479) | - | (25,846,469) |
| Depreciation of the period | 665,552 | 10,867,982 | - | 11,533,534 |
| Impairment losses of the period | - | 191,070 | - | 191,070 |
| Disposals | (54,663) | (133,595) | - | (188,258) |
| Exchange rate effect | (93,562) | 246,870 | - | 153,308 |
| Transfers | (293,133) | 250,507 | - | (42,626) |
| Closing balance as at 31 March 2017 | 39,930,916 | 274,818,082 | - | 314,748,998 |
| Carrying amount as at 31 March 2017 | 138,983,261 | 187,043,537 | 32,784,613 | 358,811,411 |
| Patents | Others | Intangible | Total | |
|---|---|---|---|---|
| other similar | intangible | assets | intangible | |
| rights | assets | in progress | assets | |
| Gross assets: | ||||
| Opening balance as at 1 January 2016 | 117,792,364 | 381,046,154 | 30,117,801 | 528,956,319 |
| Purchase price allocation (Note 3) | 11,559,000 | 13,132,000 | - | 24,691,000 |
| Opening balance as at 1 January 2016 Restated | 129,351,364 | 394,178,154 | 30,117,801 | 553,647,319 |
| Investment | 52,103 | 346,318 | 8,352,206 | 8,750,627 |
| Disposals | (90,464) | (22,993) | (185,983) | (299,440) |
| Exchange rate effect | (269,918) | 787,120 | (100,228) | 416,974 |
| Transfers | 83,178 | 6,399,059 | (7,019,123) | (536,886) |
| Closing balance as at 31 March 2016 Restated | 129,126,263 | 401,687,658 | 31,164,673 | 561,978,594 |
| Accumulated depreciation and impairment losses | ||||
| Opening balance as at 1 January 2016 | 38,817,721 | 245,688,249 | - | 284,505,970 |
| Purchase price allocation (Note 3) | - | - | - | - |
| Opening balance as at 1 January 2016 Restated | 38,817,721 | 245,688,249 | - | 284,505,970 |
| Depreciation of the period | 347,026 | 7,932,192 | - | 8,279,218 |
| Disposals | (90,464) | (3,676) | - | (94,140) |
| Exchange rate effect | (237,885) | 465,733 | - | 227,848 |
| Transfers | - | 15,569 | - | 15,569 |
| Closing balance as at 31 March 2016 Restated | 38,836,398 | 254,098,067 | - | 292,934,465 |
| Carrying amount as at 31 March 2016 Restated | 90,289,865 | 147,589,591 | 31,164,673 | 269,044,129 |
Goodwill is allocated to each operating segment and within each segment to each of the homogeneous groups of cash generating units as follows:
Sonae Retail - Goodwill is allocated to each operating business segment, Sonae MC, Worten and Sports & Fashion, being afterwards distributed by each homogenous group of cash generating units, namely to each insignia within each segment and country, distributed by country and each of the properties in case of operating segment Sonae RP;
Sonae IM - Goodwill at 31 March 2017 in this segment is related to the Technology business and at 31 December 2016, it also includes the insurance business including amounts generated prior to the adoption of IFRS and supported by the valuation of the customer portfolio (Portugal) as well as the one generated by the subsequent merger operation (Brazil) in 2016, but this business was transferred in the period ended 31 March 2017 to the caption "Non-current assets held for sale" (Note 14).
As at 31 March 2017 and 2016, the caption "Goodwill" was made up as follows by insignia and country:
| 31 Mar 2017 | |||||
|---|---|---|---|---|---|
| Insignia | Portugal | Spain | Brazil | Other countries | Total |
| Sonae Retail | 478,307,362 | - | - | - | 478,307,362 |
| Sonae MC | |||||
| Worten | 65,283,532 | - | - | - | 65,283,532 |
| Sports & Fashion | 63,058,745 | 95,497 | - | - | 63,154,242 |
| Sonae RP | 2,651,846 | - | - | - | 2,651,846 |
| Sonae IM | |||||
| Technology | 2,686,758 | - | 7,090 | 11,501,319 | 14,195,167 |
| MDS | - | - | - | - | - |
| 611,988,243 | 95,497 | 7,090 | 11,501,319 | 623,592,149 | |
| 31 Dec 2016 | |||||
|---|---|---|---|---|---|
| Insignia | Portugal | Spain | Brazil | Other countries | Total |
| Sonae Retail | 478,307,362 | - | - | - | 478,307,362 |
| Sonae MC | |||||
| Worten | 65,283,532 | - | - | - | 65,283,532 |
| Sports & Fashion | 63,058,745 | 95,497 | - | - | 63,154,242 |
| Sonae RP | 2,651,846 | - | - | - | 2,651,846 |
| Sonae IM | |||||
| Technology | 2,686,758 | - | 7,090 | 11,533,124 | 14,226,972 |
| MDS | 8,363,810 | - | 21,764,904 | - | 30,128,714 |
| 620,352,053 | 95,497 | 21,771,994 | 11,533,124 | 653,752,668 |
During the three-month period ended in 31 March 2017 and 2016, movements occurred in Goodwill as well as in the corresponding impairment losses, are as follows:
| 31 Mar 2017 | 31 Mar 2016 Restated |
|
|---|---|---|
| Gross value: | ||
| Opening balance | 669,955,930 | 639,617,793 |
| Purchase price allocation (Note 14) | - | (18,960,060) |
| Opening balance Restated | 669,955,930 | 620,657,733 |
| Transfers to "Non-current assets held for sale" | (36,002,699) | - |
| Other variations | - | (1,141,363) |
| Currency translation | 307,675 | (4,058,476) |
| Closing balance | 634,260,906 | 615,457,894 |
| Accumulated impairment losses: | ||
| Opening balance | 16,203,262 | 15,074,024 |
| Transfers to "Non-current assets held for sale" (Note 14) | (5,528,441) | - |
| Currency translation | (6,064) | (233,644) |
| Closing balance | 10,668,757 | 14,840,380 |
| Carrying amount | 623,592,149 | 600,617,514 |
| COMPANY | 31 Mar 2017 | 31 Dec 2016 | |
|---|---|---|---|
| Sonae Sierra | |||
| Sonae Sierra SGPS, SA (consolidated) | 578,974,014 | 605,762,434 | |
| ZOPT (NOS) | |||
| ZOPT, SGPS, S.A. (consolidated) | 684,016,917 | 676,799,309 | |
| Sonae Retail | |||
| 1) Sohi Meat Solutions - Distribuição de Carnes, SA |
2,782,243 | - | |
| Sonae IM | |||
| Intelligent Big Data, S.L. | - | - | |
| SIRS - Sociedade Independente de Radiodifusão Sonora, S.A. | - | - | |
| Unipress - Centro Gráfico, Lda | 591,820 | 588,925 | |
| Investments in joint ventures | 1,266,364,994 | 1,283,150,668 | |
| Sonae Retail | |||
| APOR - Agência para a Modernização do Porto, S.A. | 1,399,099 | 323,193 | |
| MOVVO, S.A. | 267,518 | 2,793,649 | |
| Sempre a Postos - Produtos Alimentares e Utilidades, Lda | 3,245,071 | 1,338,322 | |
| S2 Mozambique, SA | 2,657,529 | 1,406,710 | |
| Ulabox, S.L. | 1,306,458 | 3,817,381 | |
| Sonae IM | |||
| 2) Brokerslink Management AG |
- | 124,834 | |
| 2) Flexben, Lda |
- | - | |
| 2) Filhet Allard España Correduria de Seguros S.L. |
- | 840,494 | |
| Armilar Venture Partners - Sociedade de Capital de Risco, SA | 64,270 | 1 | |
| Fundo de Capital de Risco Armilar Venture Partners II | 35,151,836 | 35,416,004 | |
| Fundo de Capital de Risco Armilar Venture Partners III | 26,483,392 | 26,173,814 | |
| Fundo de Capital de Risco Espirito Santo Ventures Inovação e Internacionalização |
7,227,294 | 6,885,820 | |
| Investment in associated companies | 77,802,467 | 79,120,222 | |
| Total | 1,344,167,461 | 1,362,270,890 | |
1) A partnership agreement was signed in 2016, which took place in January 2017, and this subsidiary will be accounted for using the equity method, given the loss of control (Note 14);
2) Associates transferred to "Non-current assets held for sale" (Note 14).
Following the announcement made on 5 August 2016, Sonae IM together with a group of investors celebrated a contract with NOVO BANCO, S.A. and his subsidiary, ES TECH VENTURES, SGPS, S.A, for the acquisition to Novo Banco, of participation units in three venture capital funds: Espirito Santo Ventures Innovation and Internationalization ('ESVIINT'); Espírito Santo Ventures II (currently called to Ventures Capital Fund Armilar Venture Partners II, 'Armilar II') and Venture Capital Fund Espírito Santo Ventures III (currently called to Ventures Capital Fund Armilar Venture Partners III, 'Armilar III') and the total capital of Espírito Santo Ventures - Sociedade de Capital de Risco (currently called Armilar Venture Partners – Sociedade de Capital de Risco. S.A. 'Armilar'), held by its subsidiar ES TECH VENTURES, SGPS, S.A.. After
approval by Banco de Portugal, the transaction was completed on 13 December 2016. In the period ended on 31 March 2017, Sonae IM increased its participation in more 0.41% in the Armilar III fund, with a position in the period ended on 31 March 2017 of 42.40% (note 3c).
Armilar II, Armilar III and ESVIINT have the purpose of investing their assets in minority interests, in companies with high potential for growth and appreciation, and which have technological base or innovate business concept subjacent their activity, being privileged projects in phase of start-up, early-stage and expansion in Portugal and internationally. The management of the funds, according to the applicable legislation, is the responsibility of the management company. The management company has autonomy in relation to the management and investment policies of the funds, and this is not a competence of the holders of units. The participation of the subsidiary Sonae IM in the management company is 35%, not exercising control over it, in accordance with the legal framework and, in accordance with the context and specificity of the transaction, a fair value of 1 euro was assumed. As described, under this operation, the acquired participations were classified as "Investments in associated companies".
In the period ended on 31 March 2017, no changes were identified in the allocation of the purchase price of Funds to the allocation assigned in the year ended December 31, 2016. However, the allocation of the acquisition price is still subject to changes until the conclusion of a period of one year from the date of acquisition in accordance with IFRS 3 Business Combinations.
Within the scope of this transaction, the debt of Armilar II and Armilar III funds was also acquired from Espírito Santo Ventures – Sociedade de Capital de Risco (currently called "Armilar Venture Partners"), in the amount of Euro 1,503,660 and Euro 1,274,357, respectively, recorded in the caption "Other non-current assets" (note 10).
IAS 28 contains the option to keep the investments at fair value in situations of investments in associates that are held through venture capital funds. Sonaecom made this option in applying the equity method to Armilar I, Armilar II and ESVIINT funds, and maintained the fair value recognised by the funds in its subsidiaries. Associated companies and companies jointly controlled are included in the consolidation under the equity method.
| 31 Mar 2017 | |||||
|---|---|---|---|---|---|
| Joint ventures | Sonae Sierra SGPS, SA (consolidated) |
ZOPT, SGPS, SA (consolidated) |
Sohimeat, SA | Others | |
| Assets | |||||
| Investment properties | 806,154,769 | 663,000 | - | - | |
| Tangible assets | 1,690,331 | 1,193,151,000 | 15,400,314 | 652,005 | |
| Intangible assets | 2,222,157 | 593,649,327 | 579,704 | - | |
| Goodwill | 4,273,688 | 1,747,005,673 | - | - | |
| Investments in joint ventures and associates | 1,181,483,183 | 197,302,000 | - | - | |
| Other non-current assets | 130,192,345 | 137,279,000 | 131,503 | 97 | |
| Non-current assets | 2,126,016,473 | 3,869,050,000 | 16,111,521 | 652,102 | |
| Cash and cash equivalents | 143,362,477 | 2,981,000 | 5,062,657 | 33,656 | |
| Other current assets | 65,374,717 | 491,592,000 | 44,368,194 | 1,605,566 | |
| Current assets | 208,737,194 | 494,573,000 | 49,430,851 | 1,639,222 | |
| Total assets | 2,334,753,667 | 4,363,623,000 | 65,542,372 | 2,291,324 | |
| Liabilities | |||||
| Loans | 359,745,311 | 1,031,565,000 | - | 12,500 | |
| Other non-current liabilities | 140,705,957 | 270,970,000 | 277,829 | 898,834 | |
| Non-current liabilities | 500,451,268 | 1,302,535,000 | 277,829 | 911,334 | |
| Loans | 53,083,484 | 175,319,000 | - | 26,262 | |
| Other current liabilities | 84,492,798 | 524,159,000 | 60,058,322 | 417,560 | |
| Total current liabilities | 137,576,282 | 699,478,000 | 60,058,322 | 443,822 | |
| Total liabilities | 638,027,550 | 2,002,013,000 | 60,336,151 | 1,355,156 | |
| Equity attributable to the equity holders of the Parent Company | 1,180,616,037 | 1,189,280,000 | 5,206,221 | 936,168 | |
| Non-controlling interests | 516,110,080 | 1,172,330,000 | - | - | |
| Total equity | 1,696,726,117 | 2,361,610,000 | 5,206,221 | 936,168 | |
| Total equity and liabilities | 2,334,753,667 | 4,363,623,000 | 65,542,372 | 2,291,324 |
| 31 Dec 2016 | |||
|---|---|---|---|
| Joint ventures | Sonae Sierra SGPS, SA (consolidated) |
ZOPT, SGPS, SA (consolidated) |
Others |
| Assets | |||
| Investment properties | 805,733,400 | 663,000 | - |
| Tangible assets | 2,009,354 | 1,205,070,385 | 821,056 |
| Intangible assets | 2,000,546 | 601,491,621 | - |
| Goodwill | 4,273,688 | 1,749,001,673 | - |
| Investments in joint ventures and associates | 1,169,527,759 | 194,168,879 | - |
| Other non-current assets | 94,653,928 | 139,012,122 | 97 |
| Non-current assets | 2,078,198,675 | 3,889,407,680 | 821,153 |
| Cash and cash equivalents | 149,628,277 | 7,094,383 | 61,807 |
| Other current assets | 87,289,259 | 527,340,846 | 1,587,807 |
| Current assets | 236,917,536 | 534,435,229 | 1,649,614 |
| Total assets | 2,315,116,211 | 4,423,842,909 | 2,470,767 |
| Liabilities | |||
| Loans | 367,154,873 | 1,035,508,000 | 25,000 |
| Other non-current liabilities | 139,138,153 | 275,899,909 | 1,043,985 |
| Non-current liabilities | 506,293,026 | 1,311,407,909 | 1,068,985 |
| Loans | 52,995,528 | 224,692,000 | 26,262 |
| Other current liabilities | 87,932,125 | 537,188,000 | 445,143 |
| Total current liabilities | 140,927,653 | 761,880,000 | 471,405 |
| Total liabilities | 647,220,679 | 2,073,287,909 | 1,540,390 |
| Equity attributable to the equity holders of the Parent Company | 1,159,410,669 | 1,192,361,000 | 930,377 |
| Non-controlling interests | 508,484,863 | 1,158,194,000 | - |
| Total equity | 1,667,895,532 | 2,350,555,000 | 930,377 |
| Total equity and liabilities | 2,315,116,211 | 4,423,842,909 | 2,470,767 |
| 31 Mar 2017 | |||||
|---|---|---|---|---|---|
| Sonae Sierra SGPS, SA (consolidated) |
ZOPT, SGPS, SA (consolidated) |
Sohimeat, SA | Others | ||
| 48,062,995 | 377,083,000 | 60,555,808 | 663,617 | ||
| 727,941 | 3,915,000 | 7,607,068 | 2,644 | ||
| 48,790,936 | 380,998,000 | 68,162,876 | 666,261 | ||
| (25,728,524) | (44,804,000) | (1,936,361) | (179,539) | ||
| (239,767) | (108,543,000) | (307,018) | (169,050) | ||
| (13,512,990) | (193,941,000) | (65,708,590) | (310,864) | ||
| (39,481,281) | (347,288,000) | (67,951,969) | (659,453) | ||
| 1,616,765 | - | 37 | - | ||
| (3,629,092) | (3,174,000) | - | (733) | ||
| (2,012,327) | (3,174,000) | 37 | (733) | ||
| 18,316,278 | - | - | - | ||
| - | - | - | - | ||
| 25,613,606 | 30,536,000 | - | - | ||
| (2,215,560) | (2,637,000) | (48,174) | (5,983) | ||
| 23,398,046 | 27,899,000 | 162,770 | 92 | ||
| 15,901,224 | 14,328,000 | 162,770 | 92 | ||
| 7,496,822 | 13,571,000 | - | - | ||
| 23,398,046 | 27,899,000 | 162,770 | 92 | ||
| - | |||||
| 28,830,046 | 27,561,004 | 162,770 | 92 | ||
| 5,432,000 | (337,996) | - |
| 31 Mar 2016 | |||
|---|---|---|---|
| Joint ventures | Sonae Sierra SGPS, SA (consolidated) |
ZOPT, SGPS, SA (consolidated) |
Others |
| Turnover | 53,545,898 | 366,175,000 | 995,468 |
| Other operating income | 2,786,095 | 4,128,000 | 6,048 |
| 56,331,993 | 370,303,000 | 1,001,516 | |
| External supplies and services | (27,142,037) | (44,653,000) | (292,787) |
| Amortisation | (284,956) | (100,568,000) | (178,684) |
| Other operating costs | (13,381,267) | (197,998,000) | (468,762) |
| (40,808,260) | (343,219,000) | (940,233) | |
| Financial income | 1,575,075 | - | - |
| Financial expense | (6,542,935) | (5,301,000) | (2,083) |
| Financial results | (4,967,860) | (5,301,000) | (2,083) |
| Results of joint ventures and associated companies | 14,985,859 | 13,000 | - |
| Other income / expense | 7,878,437 | - | - |
| Results before taxation | 33,420,169 | 21,796,000 | 59,200 |
| Income taxation | (3,293,568) | (2,314,000) | (96) |
| Consolidated net income/(loss) for the year | 30,126,601 | 19,482,000 | 59,104 |
| Attributable to: | |||
| Equity holders of the Parent Company | 16,538,376 | 9,727,000 | 59,104 |
| Non-controlling interests | 13,588,225 | 9,755,000 | - |
| 30,126,601 | 19,482,000 | 59,104 | |
| Other comprehensive income for the period | 12,905,361 | 5,636,000 | - |
| Total comprehensive income for the period | 43,031,962 | 25,118,000 | 59,104 |
| 31 Mar 2017 | |||||||||
|---|---|---|---|---|---|---|---|---|---|
| Sonae Retail | Sonae IM | ||||||||
| Associates | Sempre a Postos | Ulabox | S2 Mozambique | Others | Funds | Others | |||
| Non-current assets | 1,100,968 | 1,249,773 | 3,669,342 | 985,923 | 169,176,994 | 573,938 | |||
| Current assets | 10,230,366 | 1,206,126 | 2,615,865 | 3,371,241 | 12,528,216 | 1,477,187 | |||
| Non-current liabilities | - | - | 94,196 | 2,240,946 | 16,250,615 | - | |||
| Current liabilities | 5,734,938 | 1,609,023 | 1,474,007 | 1,007,149 | 10,350,973 | 1,029,834 | |||
| Equity | 5,596,396 | 846,876 | 4,717,004 | 1,109,069 | 155,103,622 | 1,021,291 | |||
| Sonae Retail | 31 Dez 2016 | Sonae IM | |||||||
| Associates | Sempre a Postos | Ulabox | S2 Mozambique | Others | Fundos | Others | |||
| Non-current assets | 1,205,266 | 1,176,547 | 3,517,781 | 986,708 | 168,624,761 | 572,127 | |||
| Current assets | 10,371,548 | 1,662,970 | 1,838,977 | 3,316,322 | 6,338,287 | 1,632,456 | |||
| Non-current liabilities | - | - | - | 2,240,946 | 16,077,280 | - | |||
| Current liabilities | 6,223,527 | 531,941 | 667,722 | 977,842 | 7,672,371 | 1,179,340 | |||
| Equity | 5,353,287 | 2,307,576 | 4,689,036 | 1,084,242 | 151,213,397 | 1,025,243 | |||
| 31 Mar 2017 | |||||||||
| Sonae Retail | Sonae IM | ||||||||
| Associates | Sempre a Postos | Ulabox | S2 Mozambique | Others | Fundos | Others | |||
| Turnover | 12,279,909 | 2,361,562 | 1,783,914 | 216,896 | 825,348 | 384,097 | |||
| Other operating income | 723,466 | 99,522 | 46,364 | 21,697 | - | 5,862 | |||
| Operating costs | (12,690,830) | (3,364,452) | (2,740,915) | (1,115,791) | (1,547,643) | (372,996) | |||
| Financial results | 1,813 | - | 204,866 | (4,994) | 4,692 | 6 | |||
| Taxation | (71,250) | - | (46,530) | - | (61,000) | - | |||
| Net income/(loss) for the year | 243,108 | (903,368) | (752,301) | (882,191) | (778,603) | 16,969 - |
|||
| Other comprehensive income for the period | - | - | - | - | - | - | |||
| Total comprehensive income for the period | 243,108 | (903,368) | (752,301) | (882,191) | (778,603) | 16,969 | |||
| 31 Mar 2016 | |||||||||
| Associates | Sempre a Postos | Ulabox | Others |
|---|---|---|---|
| Turnover | 11,657,044 | 1,639,863 | 10,815 |
| Other operating income | 882,216 | - | - |
| Operating costs | (12,307,530) | (2,468,849) | (89,401) |
| Financial results | 2,991 | - | - |
| Taxation | (53,371) | - | - |
| Net income/(loss) for the year | 181,350 | (828,986) | (78,586) |
| Other comprehensive income for the period | - | - | - |
| Total rendimento integral do exercício | 181,350 | (828,986) | (78,586) |
During the period ended at 31 March 2017 and 2016, movements in investments in joint ventures and associates are as follows:
| 31 Mar 2017 | 31 Mar 2016 | |||||
|---|---|---|---|---|---|---|
| Proportion on equity |
Goodwill | Total investment |
Proportion on equity |
Goodwill | Total investment |
|
| Investments in joint ventures | ||||||
| Initial balance as at 1 January | 716,500,627 | 566,650,040 | 1,283,150,667 | 638,605,623 | 571,752,490 | 1,210,358,113 |
| Change in consolidation method due to loss of control |
2,703,451 | - | 2,703,451 | - | - | - |
| Equity method | ||||||
| Gains or losses in joint controlled and associated companies |
15,165,878 | - | 15,165,878 | 13,168,436 | - | 13,168,436 |
| Distributed dividends | (37,391,100) | - | (37,391,100) | - | - | - |
| Effect in equity capital and non-controlling interests |
2,736,098 | - | 2,736,098 | (6,176,019) | - | (6,176,019) |
| 699,714,954 | 566,650,040 | 1,266,364,994 | 645,598,040 | 571,752,490 | 1,217,350,530 | |
| Investments in associates companies | ||||||
| Initial balance as at 1 January | 75,105,164 | 4,015,059 | 79,120,223 | 2,807,145 | 1,723,842 | 4,530,987 |
| Increases during the period | 727,296 | - | 727,296 | - | - | - |
| Transfer to assets held for sale (Note 14) | (967,578) | - | (967,578) | - | - | - |
| Equity method | ||||||
| Gains or losses in joint controlled and associates | (1,072,510) | - | (1,072,510) | (233,895) | - | (233,895) |
| Effect in equity capital and non-controlling interests |
(4,964) | - | (4,964) | - | - | - |
| 73,787,408 | 4,015,059 | 77,802,467 | 2,573,250 | 1,723,842 | 4,297,092 | |
| Total | 773,502,362 | 570,665,099 | 1,344,167,461 | 648,171,290 | 573,476,332 | 1,221,647,622 |
The effect on equity and non-controlled interests results fundamentally from the exchange rate conversion effect of companies with functional currencies other than the euro.
The amount of distributed dividends related to Investments in Joint Ventures refers to Sonae Sierra.
The value of the "Change in consolidation method for the loss of control" in the amount of 2,703,451 euro refers to Sohi Meat Solutions- Distribuição de Carnes, SA. This company results from the agreement signed on 3 January 2017, the date on which a Joint Venture was formed between Sonae MC and Hilton Food Group PLC through a capital increase of this Group in Sohimeat. Since then, Sohimeat has been consolidated using the equity method (Note 14).
The consolidated financial statements of ZOPT have a significant exposure to the African market, particularly through financial investments that Group holds in associated companies (Finstar, Mistar, Zap Media) operating in the Angolan and Mozambican markets, which are engaged in providing satellite and fiber television services. The book value of these associates in the financial statements of ZOPT on 31 March 2017 amounts to approximately Euro 174 million, included in the caption "Other non-current assets".
The Group made impairment tests for those assets, which are denominated in the currencies of those countries, Kwanzas and Meticals, respectively, considering the business plans (internal valuation using the discounted cash flow method, compared to researches) approved by the Board of Directors for a five years period, which include average growth rates of revenue for that period of 13% (Angola) and 14% (Mozambique). These revenue growth rates reflects: (i) the best estimate for the growth of the customer base, reflecting an expectation of new clients and chum estimated rates, when considered prudent, and (ii) an annual price increase which corresponds, over the period 2017 to 2021, to an average of 75% of the inflation rate, since, considering the nature of the activity carried out by the companies, especially in
Angola and in line with the price increases in previous years, it is not expected that companies will be able to reflect in their prices the total inflation in the country.
The business plans consider yet a growth rate in perpetuity of 7.7% (Angola) and 5.6% (Mozambique) and a discount rate ('wacc') in perpetuity of 17.5% (Angola) and 19.1% (Mozambique). The discount rate, over the period 2017 to 2021 ranged from a maximum of 31.5% to a minimum of 17.5% (in 2021), for Angola, and from a maximum of 30.9% to a minimum of 19.21% (2021) in Mozambique, in line with the most appropriate inflation forecasts (source: The Economist Intelligence Unit (EIU)).
The impairment tests carried out, based on the assumptions above, support the value of the assets, so not result in additional impairments. However, that the current economic conditions of uncertainty in these markets, particularly in the foreign exchange market and the limitation of currency transfer, particularly in Angola, introduces an additional degree of variability to the assumptions, which could significantly impact of the estimates considered, in terms of of the rate of inflation and the ability to reflect the rate in price increases.
As of 31 March 2017, it was understood that the assumptions made in the impairment tests carried out in the year ended December 31, 2016 did not have material variations, therefore, there are no indications of additional impairments.
Other non-current investments, their head offices, percentage of share capital held and book value as at 31 March 2017 and 31 December 2016, are as follows:
| Head office | Direct | Total | Direct | Total | 31 Mar 2017 | 31 Dec 2016 |
|---|---|---|---|---|---|---|
| Lisbon | 14.28% | 14.28% | 14.28% | 14.28% | 9,976 | 9,976 |
| Ponta Delgada | 10.00% | 10.00% | 10.00% | 10.00% | 925,197 | 925,197 |
| London | 6.68% | 3.34% | 6.68% | 3.34% | - | 8,000,000 |
| Lisbon | 1.38% | 1.24% | 1.38% | 1.24% | 75,069 | 75,069 |
| 11,723,961 | 11,774,208 | |||||
| 12,734,203 | 20,784,450 | |||||
| 31 Mar 2017 | Percentage of share capital held 31 Dec 2016 |
Statment of financial position |
The financial investment in Ed Broking LLP was revalued to its fair value as at 31 December 2016 based on EBITDA multiples adjusted by the net debt value and sales multiples by region adjusted by the costs of the central structure after optimization. This valuation led to a reduction in the investment amounting 7.2 million euro corresponding to an impairment in the same amount as at 31 December 2016. The disposal, of the company´s North American operation and the costs associated with the ongoing restructuring significantly affected the valuation of the company taking into account the valuation criteria used. Both valuations correspond to Level 3 of Fair Value, although the multiples used are market benchmarks.
On 31 March 2017, the financial interest in Ed Broking LLP was transferred to non-current assets held for sale (Note 14).
As at 31 March 2017 the caption "Other investments" includes, among others, 9,956,041 euro (9,966,231 euro in 31 December 2016) related to deposited amounts on an Escrow Account which is applied in investment funds with superior rating, which is a guarantee for contractual liabilities assumed in the disposal of a Brazil Retail business and for which provisions were recorded in the applicable situations (Note 22 and 23).
As at 31 March 2017 and 2016, the movements in "Other investments" made up as follows:
| 31 Mar 2017 | 31 Mar 2016 | |||
|---|---|---|---|---|
| Non current | Current | Non current | Current | |
| Other investments | ||||
| Fair value (net of impairment losses) as at 1 January | 20,784,450 | 161,050 | 29,549,661 | 79,924,887 |
| Acquisitions in the period | 11,778 | - | 336,084 | 81,518 |
| Disposals in the period | - | - | - | (49,740) |
| Increase/(Decrease) in fair value | (27,957) | (116,837) | (3,942) | (15,280,600) |
| Transfers to "Non-current assets held for sale" (Note 14) | (8,034,068) | - | - | - |
| Fair value (net of impairment losses) as at 31 March | 12,734,203 | 44,213 | 29,881,803 | 64,676,065 |
| Derivative financial instruments (Note 18) | ||||
| Fair value as at 1 January | - | 4,207,972 | - | 2,506,087 |
| Increase/(Decrease) in fair value | - | (3,519,854) | - | (1,858,153) |
| Fair value as at 31 March | - | 688,118 | - | 647,934 |
| 12,734,203 | 732,331 | 29,881,803 | 65,323,999 |
As at 31 March 2017 the amount of transfers to non-current assets held for sale related to the financial interest in Ed Broking LLP (Note 14).
As at 31 March 2016 the fair value increase / (decrease) in the caption "Other current investments" is mainly associated to the fair value of NOS investment up to the disposal date in the amount of 15,681,846 euro negative. The fair value of this investment was determined based on the NOS market share price and the respective changes were recorded in the consolidated income statement (Note 8.3). This participation was sold in the second quarter of 2016.
The Other non-current financial Investments are recorded at acquisition cost net of impairment losses. It is Sonae understanding that no reliable fair value estimate can be made as there is no market data available for these investments. The heading of "Other non-current Investments" includes 2,778,157 euro (4,639,784 euro in 31 March 2016) of investments recorded at the cost net of impairment losses for the same reasons.
The Other non-current Investments are net of impairment losses amounting to 381,296 euro (370,685 euro in 31 December 2016) (Note 22).
| 31 Mar 2017 | 31 Dec 2016 | |||||
|---|---|---|---|---|---|---|
| Gross Value | Accumulated impairment losses (Note 22) |
Carrying Amount |
Gross Value | Accumulated impairment losses (Note 22) |
Carrying Amount |
|
| Trade accounts receivable and other debtors | ||||||
| Legal deposits | 781,044 | - | 781,044 | 762,246 | - | 762,246 |
| Cautions | 4,938,783 | - | 4,938,783 | 5,043,273 | - | 5,043,273 |
| Special regime for payment of tax and social security debts |
6,213,629 | - | 6,213,629 | 7,247,481 | - | 7,247,481 |
| Financial investments debtors | 40,000 | - | 40,000 | 40,000 | - | 40,000 |
| Debt to receive related to Armilar Funds | 2,778,017 | - | 2,778,017 | 2,778,017 | - | 2,778,017 |
| Amount retained on acquisition of Salsa group | 2,463,875 | - | 2,463,875 | 2,463,875 | - | 2,463,875 |
| Others | 439,455 | - | 439,455 | 305,524 | - | 305,524 |
| 17,654,803 | - | 17,654,803 | 18,640,416 | - | 18,640,416 | |
| Reinsurer's' share of technical provisions | 412,943 | - | 412,943 | 412,943 | - | 412,943 |
| Other non-current assets | 933,699 | - | 933,699 | 172,807 | - | 172,807 |
| 19,001,445 | - | 19,001,445 | 19,226,166 | - | 19,226,166 | |
The amount disclosed as Special Regime for Payment of Tax and Social Security Debts corresponds to taxes paid, voluntarily, related to settlements of income tax on corporate income, which were already in judicial process. The judicial processes are still in progress, however the guarantees provided for the said processes were canceled. It is the Board of Directors understanding that the claims presented will have a favourable end to Sonae, reason why they were not object of provision.
The amounts included in "Reinsurer's' share of technical provisions" refer to a Sonae's subsidiary whose activity is non-life reinsurance. The amount of the provision is related to provisions for claims declared (Note 22).
| 31 Mar 2017 | 31 Dec 2016 | |
|---|---|---|
| Trade accounts receivable | 127,778,007 | 126,276,140 |
| Taxes recoverable | 75,837,029 | 70,525,818 |
| Other debtors | ||
| Trade creditors - debtor balances | 41,140,660 | 40,574,473 |
| Dividends to be received of jointly controlled companies | 37,391,100 | - |
| VAT recoverable on real estate assets and vouchers discounts | 4,427,002 | 3,723,869 |
| Disposal of tangible assets | 2,327,293 | 2,310,866 |
| Vouchers and gift cards | 1,264,453 | 1,924,216 |
| Advances to suppliers | 1,680,345 | 1,122,073 |
| Disposal of financial investments | 40,000 | 21,584,746 |
| Receivables from insurance companies | - | 1,456,925 |
| Other current assets | 17,144,412 | 18,863,035 |
| 105,415,265 | 91,560,203 | |
| Other current assets | ||
| Commercial discounts | 64,369,458 | 35,591,922 |
| Invoices to be issued | 13,942,829 | 11,429,811 |
| External supplies and services | 13,835,492 | 10,156,350 |
| Rents | 6,377,120 | 6,160,370 |
| Insurance indemnities | 1,771,822 | 1,509,212 |
| Other current assets | 10,312,240 | 12,063,651 |
| 110,608,961 | 76,911,316 | |
| Accumulated impairment losses in receivables accounts (Note 22) | (17,442,541) | (17,871,034) |
| 402,196,721 | 347,402,443 |
Deferred tax assets and liabilities as at 31 March 2017 and at 31 December 2016 are as follows, split between the different types of temporary differences:
| Deferred tax assets | Deferred tax liabilities | |||
|---|---|---|---|---|
| 31 Mar 2017 | 31 Dec 2016 | 31 Mar 2017 | 31 Dec 2016 | |
| Difference between fair value and acquisition cost | 4,653,193 | 4,653,193 | 35,921,827 | 39,752,769 |
| Temporary differences on tangible assets and intangible | 1,813,109 | 1,811,359 | 64,349,547 | 62,768,314 |
| Temporary differences on Badwill | - | - | 8,263,418 | 8,263,418 |
| Provisions and impairment losses not accepted for tax purposes | 23,116,518 | 25,168,714 | - | - |
| Write off of tangible and intangible assets | 25,524 | 25,524 | 44,232 | 44,232 |
| Valuation of hedging derivatives | 102,616 | 86,933 | 21,948 | 626,051 |
| Non taxed exchange differences | - | - | 639,053 | 639,053 |
| Revaluation of tangible assets | - | - | 1,011,817 | 1,046,525 |
| Tax losses carried forward | 34,408,876 | 25,442,311 | - | - |
| Reinvested capital gains/(losses) | - | - | 322,855 | 329,611 |
| Tax Benefits | 1,009,123 | 1,037,115 | - | - |
| Others | 3,105,695 | 3,135,595 | 623,250 | 900,944 |
| 68,234,654 | 61,360,744 | 111,197,947 | 114,370,917 |
As at 31 March 2017 and 31 December 2016, and in accordance with the tax statements presented by companies that recorded deferred tax assets arising from tax losses carried forward and using exchange rates effective at that time, tax losses carried forward can be summarized as follows:
| 31 Mar 2017 | 31 Dec 2016 | ||||||
|---|---|---|---|---|---|---|---|
| Tax losses carried forward |
Deferred tax assets |
Time limit | Tax losses carried forward |
Deferred tax assets |
Time limit | ||
| With limited time use | |||||||
| Generated in 2013 | 478,477 | 100,480 | 2018 | 595,877 | 125,646 | 2018 | |
| Generated in 2014 | 1,194,236 | 250,790 | 2026 | 1,194,236 | 250,790 | 2026 | |
| Generated in 2015 | 90,184 | 18,939 | 2027 | 90,184 | 18,939 | 2027 | |
| Generated in 2016 | 4,847,239 | 1,017,920 | 2028 | 4,847,243 | 1,017,920 | 2028 | |
| Generated in 2017 | 41,630,671 | 8,742,442 | 2029 | - | - | ||
| 48,240,807 | 10,130,571 | 6,727,540 | 1,413,295 | ||||
| Without limited time use | 73,658,132 | 18,450,258 | 73,577,733 | 18,428,924 | |||
| With a time limit different from the above mentioned |
16,982,741 | 5,828,047 | 16,406,949 | 5,600,092 | |||
| 138,881,680 | 34,408,876 | 96,712,222 | 25,442,311 | ||||
As at 31 March 2017 and at 31 December 2016, the deferred taxes to be recognized arising from tax losses were evaluated. Deferred tax assets have only been recorded to the extent that future taxable profits will arise which might be offset against available tax losses or against deductible temporary differences. This assessment was based on the business plans of Sonae's companies, which are periodically reviewed and updated.
As at 31 March 2017 deferred tax assets related to tax losses generated in current and previous years, by Modelo Continente Hipermercados, S.A. Spanish Branch of Retail operating segment, amount to 14.1 million euro (14.1 million euro as at 31 December 2016). The mentioned tax losses can be recovered within the Income Tax Group established in Spain, according to Spanish law. Modelo Continente Hipermercados, S.A. Spanish Branch, as at 31 March 2017 and at 31 December 2016, was the dominant entity within the group of companies taxed in accordance with the Spanish regime for taxing groups of companies.
As at 31 March 2017, there are reportable tax losses, whose deferred tax assets are not recorded for prudence purposes and are analysed as follows:
| 31 Mar 2017 | 31 Dec 2016 | ||||
|---|---|---|---|---|---|
| Tax losses carried forward |
Deferred tax credit |
Time limit | Tax losses carried forward |
Deferred tax credit |
Time limit |
| 5,186,959 | 1,089,261 | 2017 | 5,299,518 | 1,112,899 | 2017 |
| 2,888,221 | 606,526 | 2018 | 2,888,221 | 606,526 | 2018 |
| 5,944,511 | 1,248,347 | 2026 | 5,957,222 | 1,251,016 | 2026 |
| 2,841,579 | 596,732 | 2027 | 2,841,579 | 596,732 | 2027 |
| 1,521,293 | 319,472 | 2028 | 1,377,324 | 289,238 | 2028 |
| 508,403 | 106,765 | 2029 | - | - | |
| 18,890,966 | 3,967,103 | 18,363,864 | 3,856,411 | ||
| 324,275,537 | 82,887,762 | 310,309,574 | 79,418,492 | ||
| 80,228,467 | 20,153,244 | 99,994,869 | 25,041,365 | ||
| 423,394,970 | 107,008,109 | 428,668,307 | 108,316,268 | ||
| 31 Mar 2017 | 31 Dec 2016 | |
|---|---|---|
| Cash at hand | 8,850,586 | 9,105,344 |
| Bank deposits | 165,863,906 | 207,343,682 |
| Treasury applications | 110,118,046 | 124,471,432 |
| Cash and cash equivalents on the statement of financial position | 284,832,538 | 340,920,458 |
| Bank overdrafts (Note 17) | (20,992,237) | (17,730,231) |
| Cash and cash equivalents on the statement of cash flows | 263,840,301 | 323,190,227 |
Bank overdrafts are disclosed in the statement of financial position under Current bank loans.
As at 31 March 2017, Sonae signed an agreement for the sale of 1,773 shares of MDS SGPS to IPLF Holding, SA. This transaction also includes a change in the shareholder agreement of the company, causing MDS, SGPS to cease to be controlled by Sonae and Jointly controlled by the Sonae Group and IPLF Holding, SA. This transaction waits for the approval of the ASF - Insurance Supervision Authority to become effective.
As at 31 March 2017, the assets and liabilities related to this segment were transferred to the assets and liabilities items held for sale. The transactions included in the Consolidated Statement of Income were also reclassified to "Discontinued Operations". The detail of these values are as follows:
| Amounts in euros | 31 Mar 2017 |
|---|---|
| Assets | |
| Tangible and intagible assets (Note 5 and 6) | 15,712,800 |
| Goodwill (Nota 7) | 30,474,258 |
| Investments (Note 8 and 9) | 9,001,646 |
| Other non-current assets | 3,370,225 |
| Non-current assets | 58,558,929 |
| Current assets | |
| Trade account receivables and other current assets | 6,454,906 |
| Cash and cash equivalents | 7,417,521 |
| Current assets | 13,872,427 |
| Assets available for sale | 72,431,356 |
| Liabilities | |
| Borrowings | 13,125,000 |
| Other non-current liabilities | 1,043,983 |
| Non-current liabilities | 22,237,497 |
| Borrowings | 9,378,876 |
| Other current liabilities | 10,531,915 |
| Total current liabilities | 19,910,791 |
| Liabilities available for sale | 42,148,288 |
| SONAE – 1Q17 RESULTS | ||
|---|---|---|
| Profit/(Loss) from discontinued operations | 31 Mar 2017 | 31 March 2016 Restated |
| Services rendered | (11,204,213) | (9,416,134) |
| Other income | (99,271) | (142,550) |
| (11,303,484) | (9,558,684) | |
| External supplies and services | 4,083,103 | 3,432,367 |
| Staff costs | 4,838,251 | 3,960,862 |
| Depreciation and amortisation | 992,683 | 896,559 |
| Provisions and impairment losses | 199,725 | 21,658 |
| Other expenses | 450,466 | 151,979 |
| 739,256 | 1,095,259 | |
| Financial expense | 35,736 | 45,562 |
| Financial income | (295,678) | (399,321) |
| Income from Investments | 3,689 | 32,505 |
| 483,003 | 774,005 | |
| Taxation | 27,092 | (29,346) |
| Total | 510,095 | 744,659 |
In 2016 an agreement was reached between the Group and an entity specialized in the processing and packaging of meat with the objective of realizing a joint venture to operate the Meat Processing Center. This partnership was deal in January 2017, which is why as at 31 December, we transferred the related assets and liabilities to the asset and liability items held for sale. The detail of these figures is as follows:
| Amounts in euros | 31 Dec 2016 |
|---|---|
| Assets | |
| Tangible and intagible assets | 17,057,018 |
| Deferred tax assets | 166,792 |
| Inventories | 1,850,977 |
| Trade account receivables and other current assets | 445,762 |
| Cash and cash equivalents | 2,000 |
| Assets available for sale | 19,522,549 |
| Deferred tax liabilities | 284,632 |
| Trade creditors | 2,802,583 |
| Other current liabilities | 8,639,528 |
| Liabilities available for sale | 11,726,743 |
As at 31 March 2017, the share capital, which is fully subscribed and paid for, is made up of 2,000,000,000 ordinary shares, which do not have the right to a fixed dividend, with a nominal value of 1 euro each.
On 15th November 2007, Sonae Holding sold 132,856,072 Sonae Holding shares directly owned by the Company. The shares were sold in a market operation at the unit price of 2.06 euro per share and resulted on a cash inflow (net of brokerage commissions) of 273,398,877 euro.
On the same date, Sonae Investments, BV wholly owned by Sonae Holding entered into a derivative financial instrument - Cash Settled Equity Swap - over a total of 132.800.000 Sonae Holding shares, representative of 6.64% of its capital.
This transaction has strictly financial liquidation, without any duty or right for the Company or any of its associated companies in the purchase of these shares. This transaction allows Sonae Investments BV to totally maintain the economic exposure to the sold shares.
In this context, although legally all the rights and obligations inherent to these shares have been transferred to the buyer. Sonae Holding did not derecognize their own shares, recording a liability in the caption "Other current liabilities" (Note 21). According to the interpretation made by Sonae of the IAS 39, applied by analogy to own equity instruments, the derecognition of own shares is not allowed as the group maintains the risks and rewards arising on the instruments sold.
Consequently, Sonae maintains in its capital acquisition cost of the shares that remain covered by the contract.
In November 2014, was made a renewal for an additional period of one year renewable automatically, keeping the remaining conditions unchanged. During the year of 2016 the Group requested the partial termination of the Cash Settled Equity Swap for 8,322,338 Sonae SGPS shares.
Considering the operations mentioned above, the liability recorded amounts to 88,859,076 euro (Note 21) (87,721,109 euro as at 31 December 2016) reflecting the market value of 107,188,270 Sonae Holding shares (110.341.017 shares as at 31 de December 2016).
The value of these liabilities is adjusted at the end of each month by the effect of Sonae Holding share price variation being recognized a current asset/liability in order to present the right / obligation related to the receipt / financial liquidation that occurs on a monthly basis.
Additionally, the costs related to the "floating amount" based on the Euribor 1 month are recognized in the income statement.
The value to get established on the basis of dividends and reserves distributed by Sonae is credited in equity to offset the charge of the distribution.
Capital Structure
As at 31 March 2017, the following entities held more than 20% of the subscribed share capital:
Company %
Efanor Investimentos, SGPS, SA and subsidiaries 52.48
| 31 Mar 2017 | |||||
|---|---|---|---|---|---|
| Equity | Profit/(Loss) for the period |
Book value of non-controlling interests |
Proportion in income attributable to non-controlling interests |
Dividends attributable to non-controlling interests |
|
| Sonae Retail | |||||
| Real Estate Investment Funds | 128,059,385 | 2,248,028 | 1,678,726 | 29,469 | - |
| IVN - Serviços Partilhados, SA (Consolidated) | 61,048,619 | 676,094 | 30,524,310 | 338,047 | - |
| Others | 9,237,671 | (8,958) | 2,514,513 | 86,885 | - |
| Sonae IM | |||||
| Sonaecom, SGPS, SA (consolidated) | 1,021,133,997 | 4,268,296 | 103,337,650 | 452,177 | - |
| MDS, SGPS, SA (consolidated) | 19,624,325 | (1,251,578) | 11,166,281 | (639,244) | - |
| Others | 41,217,481 | (227,733) | 20,762,504 | (24,742) | - |
| Others | 2,549,583 | 131,805 | 135,256 | 7,974 | (27,938) |
| Total | 1,282,871,061 | 5,835,954 | 170,119,240 | 250,566 | (27,938) |
| 31 Dec 2016 | |||||
| COMPANY | Equity | Profit/(Loss) for the period |
Book value of non-controlling interests |
Proportion in income attributable to non-controlling interests |
Dividends attributable to non-controlling interests |
| Sonae Retail | |||||
| Real Estate Investment Funds | 125,811,358 | 25,529,809 | 2,629,269 | 533,537 | (610,230) |
|---|---|---|---|---|---|
| IVN - Serviços Partilhados, SA (Consolidated) | 60,453,882 | 5,930,459 | 30,226,941 | 2,965,230 | - |
| Others | 9,152,769 | 2,570,584 | 2,404,163 | 793,781 | 21 |
| Sonae IM | |||||
| Sonaecom, SGPS, SA (consolidated) | 1,017,143,618 | 52,755,605 | 102,914,088 | 5,124,109 | (1,809,412) |
| MDS, SGPS, SA (consolidated) | 20,506,341 | (7,145,437) | 11,630,167 | (3,347,778) | (282,387) |
| Others | 41,492,754 | 1,445,220 | 20,812,117 | 821,336 | - |
| - | - | - | |||
| Others | 2,713,521 | 435,461 | 155,121 | 30,133 | (28,703) |
| Total | 1,277,274,243 | 81,521,701 | 170,771,866 | 6,920,348 | (2,730,711) |
Movements in non-controlling interests during the periods ended as at 31 March 2017 and 2016 are as follows:
| 31 March 2017 | ||||||||
|---|---|---|---|---|---|---|---|---|
| Sonae Retail | Sonae IM | Others | ||||||
| Real Estate Investment Funds |
IVN - Serviços Partilhados, SA (Consolidated) |
Others | Sonaecom, SGPS, SA (consolidated) |
MDS, SGPS, SA (consolidated) |
Others | Others | Total | |
| Opening balance as at 1 January | 2,629,269 | 30,226,941 | 2,404,163 | 102,914,088 | 11,630,167 | 20,812,117 | 155,121 | 170,771,866 |
| Distributed dividends | - | - | - | - | - | - | (27,938) | (27,938) |
| Changes of increased shareholding by acquisitions | (980,015) | - | - | - | - | - | - | (980,015) |
| Change in currency translation reserve | - | - | - | (49,427) | 178,666 | 1,556 | - | 130,795 |
| Participation in other comprehensive income (net of tax) related to joint ventures and associated companies included in consolidation by the equity method |
- | - | - | 8,432 | - | - | - | 8,432 |
| Obligation fulfilled by share attribution to employees | - | - | - | - | 14,551 | 9,460 | 112 | 24,123 |
| Changes in hedging reserves | - | (40,611) | 23,465 | - | - | (35,888) | - | (53,034) |
| Others | 3 | (67) | - | 12,380 | (17,859) | 1 | (13) | (5,555) |
| Profit for the period attributable to non-controlling interests | 29,469 | 338,047 | 86,885 | 452,177 | (639,244) | (24,742) | 7,974 | 250,566 |
| Closing balance as at 31 March | 1,678,726 | 30,524,310 | 2,514,513 | 103,337,650 | 11,166,281 | 20,762,504 | 135,256 | 170,119,240 |
| 31 Mar 2016 | ||||||
|---|---|---|---|---|---|---|
| Sonae Retail | Sonae IM | Others | ||||
| Real Estate Investment Funds |
Others | Sonaecom, SGPS, SA (consolidated) |
MDS, SGPS, SA (consolidated) |
Others | Total | |
| Opening balance as at 1 January | 2,691,601 | 21,708,783 | 99,303,284 | 12,599,187 | 868 | 136,303,723 |
| Distributed dividends | - | (57,405) | (29,880) | - | - | (87,285) |
| Changes of increased shareholding by acquisitions | 134,197 | - | - | - | - | 134,197 |
| Change in currency translation reserve | - | 10,092 | 81,586 | (2,012,450) | - | (1,920,772) |
| Participation in other comprehensive income (net of tax) related to joint ventures and associated companies included in consolidation by the equity method |
- | - | (1,249,336) | - | - | (1,249,336) |
| Obligation fulfilled by share attribution to employees | - | 14,926 | - | 9,610 | - | 24,536 |
| Changes in hedging reserves | - | (41,597) | - | - | - | (41,597) |
| Others | - | - | (282,302) | 11,020 | 163,081 | (108,201) |
| Profit for the period attributable to non-controlling interests | 414,988 | 66,633 | (1,554,669) | (119,319) | 266 | (1,192,101) |
| Closing balance as at 31 March | 3,240,786 | 21,701,432 | 96,268,683 | 10,488,048 | 164,215 | 131,863,164 |
17 LOANS
| 31 Mar 2017 31 Dec 2016 Outstanding amount Outstanding amount Current Non current Current Non current Bank loans Sonae, SGPS, SA - commercial paper 107,846,000 145,000,000 162,000,000 Sonae, SGPS, SA - 50,000,000 - Sonae Investimentos, SGPS,SA - commercial paper 100,000,000 300,000,000 148,000,000 Sonae Investimentos affiliated /2014/2020 - 50,000,000 - Sonae Investimentos affiliated /2015/2020 - 55,000,000 - Sonae Investimentos affiliated /2015/2019 5,000,000 35,000,000 5,000,000 Sonae Holding affiliated /2014/2018 - 40,000,000 - Sonae Holding affiliated /2014/2021 - 30,000,000 - 1) MDS, SGPS, SA - commercial paper - - 6,875,000 1) MDS SGPS, SA affiliated / 2011/2016 - - 4,081,000 Others 5,135,270 18,787,758 6,678,849 217,981,270 723,787,758 332,634,849 |
|||
|---|---|---|---|
| 94,000,000 | |||
| 50,000,000 | |||
| 121,000,000 | |||
| 50,000,000 | |||
| 55,000,000 | |||
| 35,000,000 | |||
| 40,000,000 | |||
| 30,000,000 | |||
| 13,125,000 | |||
| - | |||
| 20,540,714 | |||
| 508,665,714 | |||
| Bank overdrafts (Note 13) 20,992,237 - 17,730,231 |
- | ||
| Up-front fees beard with the issuance of borrowings - (712,796) - |
(781,540) | ||
| Bank loans 238,973,507 723,074,962 350,365,080 |
507,884,174 | ||
| Bonds: | |||
| Bonds Sonae SGPS/ 2015/2022 - 100,000,000 - |
100,000,000 | ||
| Bonds Sonae SGPS/ 2016/2023 - 60,000,000 - |
60,000,000 | ||
| Bonds Sonae Investments BV / 2014/2019 - 200,015,658 - |
198,892,884 | ||
| Bonds Sonae Investimentos SGPS/ June 2013/2018 - 50,000,000 - |
50,000,000 | ||
| Bonds Sonae Investimentos / December 2015/2020 - 50,000,000 - |
50,000,000 | ||
| Bonds Sonae Investimentos / May 2015/2020 - 75,000,000 - |
75,000,000 | ||
| Bonds Sonae Investimentos / December 2015/2020 - 30,000,000 - |
30,000,000 | ||
| Bonds Sonae Investimentos / June 2016/2021 - 95,000,000 - |
95,000,000 | ||
| Bonds Sonae Investimentos / September 2016/2021 3,000,000 12,000,000 3,000,000 |
12,000,000 | ||
| Bonds IVN 2016/2023 5,000,000 30,000,000 5,000,000 |
30,000,000 | ||
| Up-front fees beard with the issuance of borrowings (1,483) (4,662,531) (1,483) |
(5,089,605) | ||
| Bonds 7,998,517 697,353,127 7,998,517 |
695,803,279 | ||
| Other loans 1,206,719 4,280,098 1,411,067 |
4,676,660 | ||
| Derivatives (Note 18) 663,832 - 358,117 |
- | ||
| Other loans 1,870,551 4,280,098 1,769,184 |
4,676,660 | ||
| Obligations under finance leases 1,038,153 1,257,170 1,079,629 |
1,463,520 | ||
| 249,880,728 1,425,965,357 361,212,410 |
1,209,827,633 |
1) Amounts transferred to "Non-current liabilities held for sale" (Note 14).
In June 2014, a subsidiary of Sonae SGPS, SA issued bonds which may be convertible (Sonae Investments BV 2014/2019) in Sonae shares already issued and fully subscribed or to be later on issued.
The fair value of the Equity component of this compound instrument was valued at 22,313,000 euro and it was determined by an independent entity from Sonae, taking into consideration the fair value of similar non- convertible financial instruments, having been estimated a market interest rate to establish the amortized cost of this financial liability. The liability component is recorded at the amortized cost based on the market rate, the maturity of the loans includes the option value at amortized cost.
The Bonds were issued at par with a nominal value of 100,000 euro per bond, (2.105 euro per bond) with a maturity of 5 years and with a fixed coupon of 1.625% per year, paid in arrears and semi-annually.
The bonds can be converted at the request of the bondholder when the Sonae SGPS, SA share price, in accordance with the technical data sheet, exceeds 1,656 euro per share. This price is subject to adjustments in accordance with the market practices, in particular when the dividend exceeds 0.0287 euro per share.
It is estimated that the book value of all loans does not differ significantly from its fair value, determined based on discounted cash flows methodology, with the exception the convertible bond loan into shares whose fair value is determined by the market price at the balance sheet date.
Bonds and bank loans bear an average interest rate of 1.27% (1.32% as at 31 December 2016). Most of the bonds and bank loans have variable interest rates indexed to Euribor.
The derivatives are recorded at fair value (Note 18).
The loans face value, maturities and interests are as follows (including obligations under financial leases):
| 31 Mar 2017 | 31 Dec 2016 | |
|---|---|---|
| N+1 a) | 249,218,379 | 360,854,294 |
| N+2 | 230,267,076 | 134,813,933 |
| N+3 | 361,574,218 | 263,494,503 |
| N+4 | 333,135,151 | 334,769,210 |
| N+5 | 289,143,750 | 286,814,675 |
| After N+5 | 227,704,831 | 207,415,055 |
| 1,691,043,405 | 1,588,161,670 |
a) Includes amounts drawn under commercial paper programs when classified as current liabilities.
The maturities above were estimated in accordance with the contractual terms of the loans, and taking into account Sonae's best estimated regarding their reimbursement date.
As at 31 March 2017, Sonae has, as detailed below, cash and cash equivalents in the amount of 285 million euro (341 million euro in 31 December 2016) and available credit lines as follows:
| 31 Mar 2017 | 31 Dec 2016 | ||||
|---|---|---|---|---|---|
| Commitments of less than one year |
Commitments of more than one year |
Commitments of less than one year |
Commitments of more than one year |
||
| Unused credit facilities | 125,417,294 | 273,500,000 | 109,464,259 | 439,250,000 | |
| Agreed credit facilities | 352,955,242 | 760,000,000 | 443,580,242 | 709,625,000 |
Exchange Rate Derivatives
Sonae uses exchange rate derivatives, essentially to hedge future cash flows that will occur in the next 12 months.
Therefore, Sonae entered several exchange rate forwards in order to manage its exchange rate exposure.
The fair value of exchange rate derivatives hedging instruments, calculated based on present market value of equivalent financial instruments of exchange rate, is 663.832 euro as liabilities (358,117 euro as at 31 December 2016) and 688118 euro as assets (4.207.972 euro as at 31 December 2016).
The accounting of the fair value for these financial instruments was made taking into consideration the present value at financial position statement date of the forward settlement amount in the maturity date of the contract. The settlement amount considered in the valuation, is equal to the currency notional amount (foreign currency) multiplied by the difference between the contracted forward exchange rate and the forward exchange market rate at that date as at the valuation date.
Losses in the period arising from changes in the fair value of instruments that do not qualify for hedging accounting treatment were recorded directly in the income statement in the captions "Others Financial income" or "Financial expenses".
Gains and losses for the year associated with the change in market value of derivative instruments are recorded under the caption "Hedging reserve" when considered cash flow hedging and when considered as fair value hedging are recorded under the caption "Financial income" or "Financial expenses". The change in market value of derivative instruments when considered as speculation is recorded in the income statement under the caption "Other expenses".
Sonae does not have any interest rate hedging derivatives recorded as at 31 March 2017.
Interest rate and Exchange rate derivatives
As at 31 March 2017 no contracts existed, related to interest rate and exchange rate derivatives simultaneously.
Fair value of derivatives
The fair value of derivatives is detailed as follows:
| Assets | Liabilities | ||||
|---|---|---|---|---|---|
| 31 Mar 2017 | 31 Dec 2016 | 31 Mar 2017 | 31 Dec 2016 | ||
| Hedging derivatives | |||||
| Exchange rate | 688,118 | 4,207,972 | 663,832 | 358,117 | |
| 688,118 | 4,207,972 | 663,832 | 358,117 |
| 31 Mar 2017 | 31 Dec 2016 | ||
|---|---|---|---|
| Shareholders loans | 433,787 | 415,382 | |
| Fixed assets suppliers | 57,500 | 406,872 | |
| Other non-current liabilities | 1,821,613 | 1,720,153 | |
| Deferral of the disposal of the extended warranties | 15,304,522 | 15,101,455 | |
| Accruals and deferrals | 3,885,355 | 3,913,526 | |
| Other non-current liabilities | 21,502,777 | 21,557,388 |
The carrying amount of "Other non-current liabilities" is estimated to be approximately its fair value.
In 2017 and in previous years, Sonae in accordance with the remuneration policy described in the corporate governance report granted deferred performance bonus to its directors and eligible employees. These are either based on shares to be acquired at nil cost or with discount, three years after they were attributed to the employee, or based on share options with the period price equal to the share price at the grant date, to be exercised three years later. In both cases, the acquisition can be exercised during the period commencing on the third anniversary of the grant date and the end of that year.
As at 31 March 2017, all Sonae Holding share plans responsibilities are accounted in the statement of financial position under "other reserves" and in the Profit and Loss statement under caption "staff costs". They are recognized at the shares fair value on the grant date, concerning the 2017, 2016 and 31 December 2015. Share-based payments costs are recognized on a straight-line basis between the grant and the settlement date.
As at 31 March 2017 and 31 December 2016, the number of attributed shares related to the assumed responsibilities arising from share based payments, which have not yet vested, can be detailed as follows:
| Number of shares | ||||||
|---|---|---|---|---|---|---|
| Grant year | Vesting year | Number of participants |
Share price on date of |
31 Mar 2017 | 31 Dec 2016 | |
| Shares | ||||||
| 2014 | 2017 | 225 | 1.024 | 4,057,442 | 4,340,464 | |
| 2015 | 2018 | 248 | 1.048 | 3,472,441 | 3,619,285 | |
| 2016 | 2019 | 270 | 0.97 | 4,380,421 | 4,964,016 | |
| 2017 | 2020 | 104 | 0.970 | 4,443,440 | - | |
| Total | 16,353,744 | 12,923,765 |
During the period ending 31 March 2017 the movements on the above mentioned share based plans were the following:
| Aggregate number of participants |
Number of shares | |
|---|---|---|
| Balance as at 31 December 2016 | 768 | 12,923,765 |
| Grant | 106 | 3,501,603 |
| Vesting | (2) | (303,888) |
| Excluded from the perimeter of consolidation (1) | (25) | 232,264 |
| Closing balance as at 31 March 2017 | 847 | 16,353,744 |
(1) Corrections are made on the basis of the dividend paid and the changes of share capital and other equity adjustments.
As at 31 March 2017 and 31 December 2016, the fair value of total liabilities on the date of allocation arising from share based payments, which have not yet vested, may be summarized as follows:
| Fair value * | ||||
|---|---|---|---|---|
| Grant year | Vesting year | 31 Mar 2017 | 31 Dec 2016 | |
| 2014 | 2017 | 3,935,719 | 4,210,250 | |
| 2015 | 2018 | 2,526,201 | 2,340,471 | |
| 2016 | 2019 | 2,478,588 | 1,605,032 | |
| 2017 | 2020 | 1,436,712 | - | |
| Total | 10,377,220 | 8,155,753 |
* Share market value as of 31 September 2016 and 31 December 2015.
As at 31 March 2017 and 31 December 2016 the financial statements include the following amounts corresponding to the period elapsed between the date of granting and those dates for each deferred bonus plan, which has not yet vested:
| 31 Mar 2017 | 31 Dec 2016 | |
|---|---|---|
| Recorded in staff costs in the current period | 1,241,875 | 1,785,772 |
| Recorded in previous years | 8,070,996 | 6,825,062 |
| 9,312,871 | 8,610,834 | |
| Recorded in other liabilities | - | - |
| Recorded value in Other reserves | 9,312,871 | 8,610,834 |
| 9,312,871 | 8,610,834 |
| 31 Mar 2017 | 31 Dec 2016 | |
|---|---|---|
| Trade creditors | 1,026,790,209 | 1,136,655,247 |
| Taxes payable | 78,324,868 | 91,929,635 |
| Other creditors | ||
| Fixed asset suppliers | 30,539,793 | 67,208,877 |
| Related undertakings | 80,200,833 | - |
| Other debts | 132,657,118 | 133,431,355 |
| 243,397,744 | 200,640,232 | |
| Other current liabilities | ||
| Holiday pay and bonuses | 122,247,511 | 122,568,080 |
| Other external supplies and services | 30,046,298 | 32,121,742 |
| Deferred Revenue of warranty extension | 45,844,601 | 45,073,283 |
| Responsabilities assumed on sale of real state | 17,433,613 | 17,558,769 |
| Rentals | 8,438,626 | 8,092,102 |
| Marketing expenses | 10,867,817 | 11,807,052 |
| Advance receipts from trade receivables | 8,353,900 | 10,615,437 |
| Interest payable | 4,829,567 | 2,449,632 |
| Expenses on purchases | 5,930,172 | 6,238,536 |
| Insurance payable | 426,352 | 632,982 |
| Others | 16,164,075 | 13,842,767 |
| 270,582,532 | 271,000,382 | |
| 1,619,095,353 | 1,700,225,496 |
The caption "Other debts" includes:
88,859,076 euro (87,721,109 euro as at 31 December 2016) relating to the fair value of the shares covered by Sonae Holding financial derivative referred to in Note 15;
9,373,190 euro (8,344,127 euro as at 31 December 2016) of attributed discounts not yet redeemed related to loyalty card "Cartão Cliente";
13,110,790 euro (15,042,306 euro as at 31 December 2016) related to vouchers, gift cards and discount tickets not yet redeemed;
4,052,641 euro (3,992,919 euro as at 31 December 2016) related to amounts payable to Sonae Distribuição Brasil. S.A. buyer as result of responsibilities assumed with that entity (Note 22);
| Caption | Balance as at 01 Jan 2017 |
Increase | Decrease | Transfers to "Assets and liabilities available for sale" |
Balance as at 31 March 2017 |
|---|---|---|---|---|---|
| Accumulated impairment losses on investments (Note 9) |
9,054,576 | 21,906 | (1,068) | (8,694,118) | 381,296 |
| Impairment losses on fixed tangible assets (Note 5) | 119,100,221 | - | (2,656,276) | - | 116,443,945 |
| Impairment losses on intangible assets | 2,638,761 | 191,070 | (131,088) | (191,070) | 2,507,673 |
| Accumulated impairment losses on trade account receivables and other debtors (Note 11) |
17,871,034 | 597,469 | (1,010,294) | (15,668) | 17,442,541 |
| Non current provisions | 25,848,118 | 297,613 | (611,301) | (4,176,359) | 21,358,071 |
| Current provisions | 3,558,708 | 135,529 | (262,526) | (223,145) | 3,208,566 |
| 178,071,418 | 1,243,587 | (4,672,553) | (13,300,360) | 161,342,092 | |
| Caption | Balance as at 01 Jan 2016 Restated |
Increase | Decrease | Balance as at 31 March 2016 Restated |
|
| Accumulated impairment losses on investments | 1,886,603 | - | - | 1,886,603 | |
| Impairment losses on fixed tangible assets | 133,564,363 | 6,600,000 | (15,194,681) | 124,969,682 | |
| Impairment losses on intangible assets | 1,497,024 | - | - | 1,497,024 | |
| Accumulated impairment losses on trade account receivables and other debtors |
18,285,857 | 979,827 | (803,055) | 18,462,629 | |
| Non current provisions | 39,710,058 | 1,745,501 | (2,362,432) | 39,093,127 | |
| Current provisions | 3,083,990 | - | (34,208) | 3,049,782 | |
| 198,027,895 | 9,325,328 | (18,394,376) | 188,958,847 |
| 31 Mar 2017 | 31 Dec 2016 | |
|---|---|---|
| Technical provisions on reinsurance | 875,614 | 1,061,465 |
| Future liabilities relating to subsidiaries of retail in Brazil sold |
8,648,772 | 8,521,318 |
| Clients guarantees | 1,449,195 | 1,449,195 |
| Judicial claims | 2,040,304 | 2,270,177 |
| Contingent liabilities related to subsidiaries acquired | 5,827,570 | 5,827,750 |
| Others | 5,725,182 | 10,276,921 |
| 24,566,637 | 29,406,826 |
Impairment losses are deducted from the book value of the corresponding asset.
As at 31 March 2017 and 31 December 2016, major contingent liabilities were guarantees given and can be detailed as follows:
- Guarantees and secureties given
| 31 Mar 2017 | 31 Dec 2016 | |
|---|---|---|
| Guarantees given: | ||
| on tax claims | 1,149,513,016 | 1,153,774,789 |
| on judicial claims | 890,504 | 887,275 |
| on municipal claims | 8,378,511 | 8,048,110 |
| contract by proper compliments | 14,464,481 | 21,516,088 |
| other guarantees | 8,001,279 | 9,261,512 |
The main tax claims with bank guarantees given or sureties associated are as follows:
Some retail operating segment subsidiaries of the Company granted guarantees in favor of the Portuguese Tax Administration, associated with tax claims for additional VAT payment amounting to 556.7 million euro (556.7 million euro as at 31 December 2016) related to the period from 2004 to 2013, which the Company has presented, or has the intention of presenting, a tax appeal. Portuguese tax authorities claim that the Company should have invoiced VAT related to promotional discounts invoiced to suppliers which depend on the purchases made by the Group during the year, as it considers that the discounts correspond to services rendered by the company. Tax authorities also claim that the company should not have deducted VAT from discount vouchers used by its non-corporate clients.
The caption guarantees given on tax claims include guarantees granted, in the amount of 142.9 million euro (142.9 million euro as at 31 December 2016), in favor of Tax authorities regarding 2007 up to 2013. Concerning these guarantees, the most significant amount relates to an increase in equity arising on the disposal of own shares to a third party in 2007, as well as to the disregard of the reinvestment concerning capital gains in share disposal, and the fact that demerger operations must be disregarded for income tax purposes. The Company has presented an appeal against this additional tax claim, being the Board of Directors understanding, based on its advisor's assessment, that such appeal will be favourable.
Sureties in the amount of, approximately, 60 million euro as a result of a tax appeal presented by the Company concerning an additional tax assessment by Tax authorities, relating to 31December 2005, following the correction of taxable income for corresponding to a prior cover tax losses accumulated by the subsidiary, which has been brought to the cost of participation, moreover, as is understanding already signed by the Tax Administration itself, and now understood that in this case should not consider the amount of the cost of participation , thus including cover losses upon liquidation of the subsidiary company;
Sureties in the amount of, approximately 50 million euro, following a tax appeal presented by the Company concerning additional tax assessments made by Tax authorities, relating to 31 December 2002, which refer to the non-acceptance by Tax authorities of tax losses arising on the sale and liquidation of a subsidiary of the Group;
Fiscal lawsuit related to rent tax, concerning a subsidiary of the Company in Brazil, in the amount of, approximately, 19.1 million euro (64.6 million Brazilian real), which is being judged by a tax court, for which there were granted guarantees in the amount of 48.4 million euro (163.6 million Brazilian real). The difference between the value of the contingency and the value of the guarantee relates with the update of the related responsibility.
b) Contingent assets and liabilities related to tax claims paid under regularization programs of tax debts
Within the framework of regularization of tax debts to Tax Authorities, (Outstanding Debts Settlement of Tax and Social Security - Decree of Law 151-A/2013 e Decree of Law 248-A), the Group made tax payments in the amount of, approximately, 26.3 million euro, having the respective guarantees been eliminated. The related tax appeals continue in courts, having the maximum contingencies been reduced through the elimination of fines and interests related with these tax assessments.
As permitted by law, the Group maintains the legal proceedings, in order to establish the recovery of those amounts, having recorded as an asset the amounts related with income taxes paid under those plans (Note 13).
Following the disposal of a subsidiary in Brazil, Sonae guaranteed to the buyer of the subsidiary all the losses incurred by that company arising on unfavourably decisions not open for appeal, concerning tax lawsuits on transactions that took place before the sale date (13 December 2005) and that exceed 40 million euro. As at 31 December 2016, the amount claimed by the Brazilian Tax Authorities, concerning the tax lawsuits still in progress, which the company's lawyers assess as having a high probability of loss, plus the amounts already paid (28.5 million euro) related to programs for the Brazilian State of tax recovery, amount to near 32.4 million euro at 31 March 2017 (32.4 million euro at 31 December 2016). Furthermore, there are other tax assessments totalling 60.8 million euro (60.8 million euro as at 31 December 2016) for which the Board of Directors, based on its lawyers' assessment, understands will not imply future losses to the former subsidiary.
No provision has been recorded to face risks arising from events related to guarantees given, as the Board of Directors considers that no liabilities will result for Sonae.
It was not created any provision to cover possible risks related to events/disputes for which guarantees were given for being understanding of the Board of Directors that the resolution of these events / disputes without loss to Sonae.
| Sales and services rendered | Purchases and services obtained | |||
|---|---|---|---|---|
| Transactions | 31 Mar 2017 | 31 Mar 2016 | 31 Mar 2017 | 31 Mar 2016 |
| Parent Company | 46,835 | 58,507 3,264,210 7,699,846 14,022,477 25,045,040 31 Mar 2016 - - - - 31 Dec 2016 25,136 29,377,178 6,583,207 16,965,780 52,951,301 Loans 31 Dec 2016 |
166,848 | 162,718 |
| Jointly controlled companies | 13,444,543 | 68,837,581 | 10,507,008 | |
| Associated companies | 8,070,258 | - | - | |
| Other related parties | 13,037,162 | 4,312,587 | 6,790,014 | |
| 34,598,798 | 73,317,016 | 17,459,740 | ||
| Interest income | Interest expenses | |||
| Transactions | 31 Mar 2017 | 31 Mar 2017 | 31 Mar 2016 | |
| Parent Company | - | - | 111,892 | |
| Jointly controlled companies | 135 | - | - | |
| Other related parties | - | 3,638 | 18,723 | |
| 135 | 3,638 | 130,615 | ||
| Accounts receivable | Accounts payable | |||
| Balances | 31 Mar 2017 | 31 Mar 2017 | 31 Dec 2016 | |
| Parent Company | 39,700 | 42,124,063 | 688,294 | |
| Jointly controlled companies | 51,891,709 | 41,882,108 | 15,192,431 | |
| Associated companies | 5,534,961 | 624,803 | 147,945 | |
| Other related parties | 12,135,497 | 41,735,511 | 10,405,360 | |
| 69,601,867 | 126,366,485 | 26,434,030 | ||
| Obtained | Granted | |||
| Balances | 31 Mar 2017 | 31 Mar 2017 | 31 Dec 2016 | |
| Jointly controlled companies | 1,000 | 1,000 | - | - |
| Associated companies | 755 | - | 191,615 | - |
| Other related parties | 460,669 | 442,382 | 103,569 | 3,570 |
| 462,424 | 443,382 | 295,184 | 3,570 |
| 31 Mar 2017 | 31 Mar 2016 Restated |
|
|---|---|---|
| Supplementary income | 154,181,959 | 145,022,699 |
| Prompt payment discounts obtained | 5,992,590 | 6,404,761 |
| Foreign currency exchange gains | 5,471,817 | 5,935,668 |
| Own work capitalised | 2,707,961 | 2,417,714 |
| Gains on sales of assets | 72,846 | 64,709,554 |
| Impairment losses reversals | 977,731 | 1,681,697 |
| Others | 947,144 | 2,382,252 |
| 170,352,048 | 228,554,345 |
In the caption "Gains on disposal of assets" as at 31 March 2016 are includes gains related to operations Sale and Leaseback in the amount of 63.1 million euro (Note 5).
As at 31 March 2017 and 2016, income tax is made up as follows:
| 31 Mar 2017 | 31 Mar 2016 Restated |
|||
|---|---|---|---|---|
| Current tax | 4,188,688 | 18,843,452 | ||
| Deferred tax | (6,617,664) | (7,352,334) | ||
| (2,428,976) | 11,491,118 |
| 31 Mar 2017 | 31 Mar 2016 | |||
|---|---|---|---|---|
| Continuing Operations |
Discontinued Operations |
Continuing Operations |
Discontinued Operations Restated (Note 14) |
|
| Net profit | ||||
| Net profit taken into consideration to calculate basic earnings per share (consolidated profit for the period) |
8,379,992 | 255,558 | 29,709,494 | 372,404 |
| Effect of dilutive potential shares | - | - | - | - |
| Interest related to convertible bonds (net of tax) | 1,968,533 | - | 1,919,941 | - |
| Net profit taken into consideration to calculate diluted earnings per share | 10,348,525 | 255,558 | 31,629,435 | 372,404 |
| Number of shares | ||||
| Weighted average number of shares used to calculate basic earnings per share | 1,886,718,512 | 1,886,718,512 | 1,877,002,993 | 1,887,410,072 |
| Effect of dilutive potential ordinary shares from convertible bonds | 127,113,527 | 127,113,527 | 127,113,527 | 127,113,527 |
| Outstanding shares related with share based payments | 16,353,744 | 16,353,744 | 17,086,314 | 17,086,314 |
| Shares related to performance bonus that can be bought at market price | (8,310,732) | (8,310,732) | (4,536,021) | (4,536,021) |
| Weighted average number of shares used to calculate diluted earnings per share |
2,021,875,050 | 2,021,875,051 | 2,016,666,813 | 2,027,073,892 |
| Earnings per share | ||||
| Basic | 0.005485 | 0.000135 | 0.016851 | 0.000197 |
| Diluted | 0.005118 | 0.000126 | 0.015684 | 0.000184 |
In the Management Report, and for the purposes of calculating financial indicators as EBIT, EBITDA and underlying EBITDA the consolidated income statement is divided between Direct Income and Indirect Income.
The Indirect Income includes the contribution of Sonae Sierra, net of taxes that result from: (i) valuation of investment properties; (ii) gains (losses) with the sale of financial investments, joint ventures or associates; (iii) impairment losses relating to non-current assets (including Goodwill) and (iv) provisions for assets at risk. Additionally and with regard to the portfolio of Sonae, it includes: (i) impairment of real estate assets
for retail, (ii) decreases in Goodwill, (iii) negative Goodwill (net of taxes) related to acquisitions in the financial year, (iv) provisions (net of tax) for possible future liabilities, and impairments related to noncore investments, businesses and discontinued assets (or to be discontinued / repositioned), (v) valuation results based on the methodology "mark-to-market" of other current investments that will be sold or traded in the near future and (vi) other irrelevant issues.
The value of EBITDA and EBIT are calculated in the direct income component, i.e. excluding the indirect contributions.
The reconciliation between the two presentation formats for the consolidated income statement for the periods ended 31 March 2017 and 2016 can be summarized as follows:
| 31 Mar 2017 | 31 Mar 2016 Restated | ||||||
|---|---|---|---|---|---|---|---|
| Consolidated | Indirect Income |
Direct Income |
Consolidated | Indirect Income |
Direct Income |
||
| Turnover | 1,278,078,660 | - | 1,278,078,660 | 1,205,947,275 | - | 1,205,947,275 | |
| Investment income | |||||||
| Dividends | - | - | - | (30,923) | - | (30,923) | |
| Impairment losses | - | - | - | - | - | - | |
| Others | - | - | - | - | - | - | |
| Other income | |||||||
| Impairment losses reversal | 993,039 | - | 993,039 | 850,575 | - | 850,575 | |
| Others | 169,286,152 | - | 169,286,152 | 291,577,284 | - | 291,577,284 | |
| Total income | 1,448,357,851 | - | 1,448,357,851 | 1,498,344,211 | - | 1,498,344,211 | |
| Total expenses | (1,398,481,552) | (194,030) | (1,398,287,522) | (1,454,121,727) | (188,850) | (1,453,932,877) | |
| Depreciation and amortisation | (48,114,492) | - | (48,114,492) | (42,059,926) | - | (42,059,926) | |
| Non-recurring impairment losses over inventories | (545,008) | - | (545,008) | (675,855) | - | (675,855) | |
| Provisions and impairment | - | - | - | - | - | - | |
| Others | (501,383) | - | (501,383) | (7,776,368) | - | (7,776,368) | |
| Profit before financial results and share of results in associated companies |
715,416 | (194,030) | 909,446 | (6,289,665) | (188,850) | (6,100,815) | |
| Non-recurring Profit/(Loss) | (1,397,880) | - | (1,397,880) | 62,224,175 | - | 62,224,175 | |
| Gains and losses on investments recorded at fair | |||||||
| value through results | - | - | - | (15,263,369) | (15,263,369) | - | |
| Financial profit/(loss) | (7,719,417) | - | (7,719,417) | (13,969,426) | - | (13,969,426) | |
| Share of results in joint ventures and associated | |||||||
| undertakings | |||||||
| Sonae Sierra | 7,950,612 | 413,329 | 7,537,283 | 8,269,188 | 881,507 | 7,387,681 | |
| Armilar Venture Funds | (171,842) | (171,842) | - | - | - | - | |
| ZOPT | 7,133,578 | - | 7,133,578 | 4,863,490 | - | 4,863,490 | |
| Others | (818,980) | - | (818,980) | (198,137) | - | (198,137) | |
| Profit before income tax | 5,691,487 | 47,457 | 5,644,030 | 39,636,256 | (14,570,712) | 54,206,968 | |
| Income tax | 2,428,976 | - | 2,428,976 | (11,491,118) | - | (11,491,118) | |
| Profit/(Loss) from continuing operations | 8,120,463 | 47,457 | 8,073,006 | 28,145,138 | (14,570,712) | 42,715,850 | |
| Profit/(Loss) from discontinued operations | 510,095 | - | 510,095 | 744,659 | - | 744,659 | |
| Net profit for the period | 8,630,558 | 47,457 | 8,583,101 | 28,889,797 | (14,570,712) | 43,460,509 | |
| Attributable to equity holders of Sonae | 8,379,992 | (203,109) | 8,583,101 - | 30,081,898 | (14,570,712) | 44,652,610 | |
| Non-controlling interests | 250,566 | 250,566 | - | (1,192,101) | - | (1,192,101) | |
| "Underlying" EBITDA (b) | 49,077,290 | 43,559,143 | |||||
| Direct EBITDA (a) | 62,041,386 | 118,581,011 | |||||
| Direct EBIT (c) | 13,873,542 | 68,919,437 |
(a) EBITDA = total direct income - total direct expenses - reversal of direct impairment losses + share of results in joint ventures and associated undertakings (Sonae Sierra direct results, and ZOPT) + unusual results;
On 26th April 2017, Sonae – SGPS, SA, through one of its subsidiaries, has reached an agreement with the shareholders of BRIO – Produtos de Agricultura Biológica, S.A. (BRIO) for the acquisition of 100% of BRIO's share capital. Founded in 2008, BRIO is the first organic supermarket chain launched in Portugal, and operates 6 supermarkets specialised in organic food, all of them with convenient locations in the Lisbon area.
The accompanying consolidated financial statements were approved by the Board of Directors on 15 May 2017.
Group companies included in the consolidated financial statements, their head offices and percentage of share capital held by Sonae as at 31 March 2017 and 31 December 2016 are as follows:
| Percentage of capital held | |||||
|---|---|---|---|---|---|
| 31 Mar 2017 | 31 Dez 2016 | ||||
| COMPANY | Head Office | Direct* | Total* | Direct* | Total* |
| Sonae - SGPS, S.A. | Maia | HOLDING | HOLDING | HOLDING | HOLDING |
Sonae Retail
| Aduanas Caspe, S.L.U. | a) | Zaragoza (Spain) | 100.00% | 100.00% | 100.00% | 100.00% |
|---|---|---|---|---|---|---|
| Arat Inmuebles, SA | a) | Madrid (Spain) | 100.00% | 100.00% | 100.00% | 100.00% |
| Azulino Imobiliária, SA | a) | Maia (Portugal) | 100.00% | 100.00% | 100.00% | 100.00% |
| BB Food Service, SA | a) | Maia (Portugal) | 100.00% | 100.00% | 100.00% | 100.00% |
| Bertimóvel - Sociedade Imobiliária, SA | a) | Matosinhos (Portugal) | 100.00% | 100.00% | 100.00% | 100.00% |
| Bom Momento - Restauração, SA | a) | Maia (Portugal) | 100.00% | 100.00% | 100.00% | 100.00% |
| Canasta - Empreendimentos Imobiliários, SA | a) | Maia (Portugal) | 100.00% | 100.00% | 100.00% | 100.00% |
| Chão Verde - Sociedade de Gestão Imobiliária, SA | a) | Maia (Portugal) | 100.00% | 100.00% | 100.00% | 100.00% |
| Citorres - Sociedade Imobiliária, SA | a) | Maia (Portugal) | 100.00% | 100.00% | 100.00% | 100.00% |
| Comercial Losan Polonia SP Z.O.O | a) | Warsaw (Poland) | 100.00% | 100.00% | 100.00% | 100.00% |
| Comercial Losan, S.L.U. | a) | Zaragoza (Spain) | 100.00% | 100.00% | 100.00% | 100.00% |
| Contimobe - Imobiliária de Castelo de Paiva, SA | a) | Castelo de Paiva (Portugal) |
100.00% | 100.00% | 100.00% | 100.00% |
| Continente Hipermercados, SA | a) | Lisbon (Portugal) | 100.00% | 100.00% | 100.00% | 100.00% |
| Cumulativa - Sociedade Imobiliária, SA | a) | Maia (Portugal) | 100.00% | 100.00% | 100.00% | 100.00% |
| Discovery Sports, SA | a) | Matosinhos (Portugal) | 100.00% | 100.00% | 100.00% | 100.00% |
| Elergone Energias, Lda | a) | Matosinhos (Portugal) | 75.00% | 75.00% | 75.00% | 75.00% |
| Farmácia Selecção, SA | a) | Matosinhos (Portugal) | 100.00% | 100.00% | 100.00% | 100.00% |
| Fashion Division, SA | a) | Maia (Portugal) | 100.00% | 100.00% | 100.00% | 100.00% |
| Fashion Division Canárias, SL | a) | Tenerife (Spain) | 100.00% | 100.00% | 100.00% | 100.00% |
| Fozimo - Sociedade Imobiliária, SA | a) | Maia (Portugal) | 100.00% | 100.00% | 100.00% | 100.00% |
| Fundo de Investimento Imobiliário Fechado Imosede | a) | Maia (Portugal) | 100.00% | 100.00% | 100.00% | 100.00% |
| Fundo de Investimento Imobiliário Imosonae Dois | a) | Maia (Portugal) | 98.69% | 98.69% | 97.91% | 97.91% |
| Global Usebti, S.L. | a) | Zaragoza (Spain) | 100.00% | 100.00% | 100.00% | 100.00% |
| HighDome PCC Limited (Cell Europe) | a) | La Valletta (Malta) | 100.00% | 100.00% | 100.00% | 100.00% |
| Igimo – Sociedade Imobiliária, SA | a) | Maia (Portugal) | 100.00% | 100.00% | 100.00% | 100.00% |
| Iginha – Sociedade Imobiliária, SA | a) | Matosinhos (Portugal) | 100.00% | 100.00% | 100.00% | 100.00% |
| Imoestrutura – Sociedade Imobiliária, SA | a) | Maia (Portugal) | 100.00% | 100.00% | 100.00% | 100.00% |
| Imomuro – Sociedade Imobiliária, SA | a) | Matosinhos (Portugal) | 100.00% | 100.00% | 100.00% | 100.00% |
| Imoresultado – Sociedade Imobiliária, SA | a) | Maia (Portugal) | 100.00% | 100.00% | 100.00% | 100.00% |
| Imosistema – Sociedade Imobiliária, SA | a) | Maia (Portugal) | 100.00% | 100.00% | 100.00% | 100.00% |
| Infofield – Informática, SA | a) | Maia (Portugal) | 100.00% | 100.00% | 100.00% | 100.00% |
| Irmãos Vila Nova, SA | a) | Vila Nova de Famalicão (Portugal) |
100.00% | 50.00% | 100.00% | 50.00% |
| Irmãos Vila Nova III - Imobiliária, SA | a) | Vila Nova de Famalicão (Portugal) |
100.00% | 50.00% | 100.00% | 50.00% |
| IVN – Serviços Partilhados, SA | a) | Vila Nova de Famalicão (Portugal) |
50.00% | 50.00% | 50.00% | 50.00% |
|---|---|---|---|---|---|---|
| IVN Asia Limited | a) | Hong Kong (China) | 100.00% | 50.00% | 100.00% | 50.00% |
| Losan Colombia, S.A.S | a) | Bogota (Colombia) | 100.00% | 100.00% | 100.00% | 100.00% |
| Losan Overseas Textile, S.L. | a) | Zaragoza (Spain) | 100.00% | 100.00% | 100.00% | 100.00% |
| Losan Tekstil Urunleri V e Dis Ticaret, L.S. | a) | Istanbul (Turkey) | 100.00% | 100.00% | 100.00% | 100.00% |
| Marcas MC, zRT | a) | Budapest (Hungary) | 100.00% | 100.00% | 100.00% | 100.00% |
| MCCARE – Serviços de Saúde, SA | a) | Matosinhos (Portugal) | 100.00% | 100.00% | 100.00% | 100.00% |
| MJB Design, Lda | a) | Maia (Portugal) | 100.00% | 100.00% | 100.00% | 100.00% |
| MJLF - Empreendimentos Imobiliários, SA | a) | Maia (Portugal) | 100.00% | 100.00% | 100.00% | 100.00% |
| Modalfa - Comércio e Serviços, SA | a) | Maia (Portugal) | 100.00% | 100.00% | 100.00% | 100.00% |
| Modalloop - Vestuário e Calçado, SA | a) | Matosinhos (Portugal) | 100.00% | 100.00% | 100.00% | 100.00% |
| Modelo Continente Hipermercados, SA | a) | Matosinhos (Portugal) | 100.00% | 100.00% | 100.00% | 100.00% |
| Modelo Continente International Trade, SA | a) | Madrid (Espanha) | 100.00% | 100.00% | 100.00% | 100.00% |
| Modelo - Distribuição de Materiais de Construção, SA | b) | Maia (Portugal) | 50.00% | 50.00% | 50.00% | 50.00% |
| Modelo Hiper Imobiliária, SA | a) | Maia (Portugal) | 100.00% | 100.00% | 100.00% | 100.00% |
| Pharmaconcept – Actividades em Saúde, SA | a) | Matosinhos (Portugal) | 100.00% | 100.00% | 100.00% | 100.00% |
| Pharmacontinente - Saúde e Higiene, SA | a) | Matosinhos (Portugal) | 100.00% | 100.00% | 100.00% | 100.00% |
| Ponto de Chegada – Sociedade Imobiliária, SA | a) | Maia (Portugal) | 100.00% | 100.00% | 100.00% | 100.00% |
| Predicomercial - Promoção Imobiliária, SA | a) | Maia (Portugal) | 100.00% | 100.00% | 100.00% | 100.00% |
| Predilugar- Promoção Imobiliária, SA | a) | Maia (Portugal) | 100.00% | 100.00% | 100.00% | 100.00% |
| Salsa DE Gmbh | a) | Dusseldorf (Germany) | 100.00% | 50.00% | 100.00% | 50.00% |
| Salsa Distribution USA LLC | a) | New York (USA) | 100.00% | 50.00% | 100.00% | 50.00% |
| Salsa France, S.A.R.L. | a) | Paris (France) | 99.99% | 50.00% | 99.99% | 50.00% |
| Salsa Luxembourg, Sàrl | a) | Luxembourg | 100.00% | 50.00% | 100.00% | 50.00% |
| SLS Salsa – Comércio e Difusão de Vestuário, S.A. | a) | Vila Nova de Famalicão (Portugal) |
100.00% | 50.00% | 100.00% | 50.00% |
| SLS Salsa España – Comercio y Difusión de Vestuario, S.A.U. |
a) | Pontevedra (Spain) | 100.00% | 50.00% | 100.00% | 50.00% |
| SDSR – Sports Division SR, SA | a) | Matosinhos (Portugal) | 100.00% | 100.00% | 100.00% | 100.00% |
| Selifa - Empreendimentos Imobiliários de Fafe, SA | a) | Maia (Portugal) | 100.00% | 100.00% | 100.00% | 100.00% |
| Sempre à Mão - Sociedade Imobiliária, SA | a) | Matosinhos (Portugal) | 100.00% | 100.00% | 100.00% | 100.00% |
| Sesagest - Proj.Gestão Imobiliária, SA | a) | Porto (Portugal) | 100.00% | 100.00% | 100.00% | 100.00% |
| SIAL Participações, Ltda | a) | São Paulo (Brazil) | 100.00% | 100.00% | 100.00% | 100.00% |
| Socijofra - Sociedade Imobiliária, SA | a) | Gondomar (Portugal) | 100.00% | 100.00% | 100.00% | 100.00% |
| Sociloures - Sociedade Imobiliária, SA | a) | Matosinhos (Portugal) | 100.00% | 100.00% | 100.00% | 100.00% |
| Soflorin, BV | a) | Amsterdam (Netherlands) |
100.00% | 100.00% | 100.00% | 100.00% | |
|---|---|---|---|---|---|---|---|
| 1) | Sohi Meat Solutions- Distribuição de Carnes, SA | a) | Santarém (Portugal) | 50.00% | 50.00% | 100.00% | 100.00% |
| Sonae Capital Brasil, Lda | a) | São Paulo (Brazil) | 100.00% | 100.00% | 100.00% | 100.00% | |
| Sonae Center Serviços II, SA | a) | Maia (Portugal) | 100.00% | 100.00% | 100.00% | 100.00% | |
| Sonae Investimentos, SGPS, SA | a) | Matosinhos (Portugal) | 100.00% | 100.00% | 100.00% | 100.00% | |
| Sonae MC – Modelo Continente SGPS, SA | a) | Matosinhos (Portugal) | 100.00% | 100.00% | 100.00% | 100.00% | |
| Sonae MC S2 Africa Limited | a) | La Valletta (Malta) | 100.00% | 100.00% | 100.00% | 100.00% | |
| Sonae SR Malta Holding Limited | a) | La Valletta (Malta) | 100.00% | 100.00% | 100.00% | 100.00% | |
| Sonaegest-Soc.Gest.Fundos Investimentos, SA | a) | Maia (Portugal) | 100.00% | 90.00% | 100.00% | 90.00% | |
| Sonaerp - Retail Properties, SA | a) | Porto (Portugal) | 100.00% | 100.00% | 100.00% | 100.00% | |
| SONAESR – Serviços e Logística, SA | a) | Matosinhos (Portugal) | 100.00% | 100.00% | 100.00% | 100.00% | |
| Sondis Imobiliária, SA | a) | Maia (Portugal) | 100.00% | 100.00% | 100.00% | 100.00% | |
| Sonvecap, BV | a) | Amsterdam (Netherlands) |
100.00% | 100.00% | 100.00% | 100.00% | |
| Sport Zone Canárias, SL | a) | Tenerife (Spain) | 60.00% | 60.00% | 60.00% | 60.00% | |
| Sport Zone España - Comércio de Articulos de Deporte, | a) | Madrid (Spain) | 100.00% | 100.00% | 100.00% | 100.00% | |
| SA Sport Zone spor malz.per.satis ith.ve tic.ltd.sti |
a) | Istanbul (Turkey) | 100.00% | 100.00% | 100.00% | 100.00% | |
| Têxtil do Marco, SA | a) | Marco de Canaveses (Portugal) |
92.76% | 92.76% | 92.76% | 92.76% | |
| Usebti Textile México S.A. de C.V. | a) | Mexico City (Mexico) | 100.00% | 100.00% | 100.00% | 100.00% | |
| Valor N, SA | a) | Matosinhos (Portugal) | 100.00% | 100.00% | 100.00% | 100.00% | |
| Worten Canárias, SL | a) | Tenerife (Spain) | 60.00% | 60.00% | 60.00% | 60.00% | |
| Worten - Equipamento para o Lar, SA | a) | Matosinhos (Portugal) | 100.00% | 100.00% | 100.00% | 100.00% | |
| Worten España Distribución, S.L. | a) | Madrid (Spain) | 100.00% | 100.00% | 100.00% | 100.00% | |
| Zippy - Comércio e Distribuição, SA | a) | Matosinhos (Portugal) | 100.00% | 100.00% | 100.00% | 100.00% | |
| Zippy - Comércio Y Distribución, SA | a) | Madrid (Spain) | 100.00% | 100.00% | 100.00% | 100.00% | |
| Zippy cocuk malz.dag.ith.ve tic.ltd.sti | a) | Istanbul (Turkey) | 100.00% | 100.00% | 100.00% | 100.00% | |
| ZYEvolution-Invest.Desenv., SA | a) | Matosinhos (Portugal) | 100.00% | 100.00% | 100.00% | 100.00% | |
| Sonae IM | |||||||
| Bright Development Studio, SA | a) | Maia (Portugal) | 100.00% | 89.97% | 100.00% | 89.97% | |
| Bright Ventures Capital SCR | a) | Maia (Portugal) | 100.00% | 89.97% | 100.00% | 89.97% | |
| Cape Tecnologies Limited | a) | Dublin (Ireland) | 100.00% | 89.97% | 100.00% | 89.97% | |
| Digitmarket - Sistemas de Informação, SA | a) | Maia (Portugal) | 75.10% | 67.56% | 75.10% | 67.56% | |
| Inovretail, Lda | a) | Maia (Portugal) | 100.00% | 89.97% | 100.00% | 89.97% |
| S21SEC Portugal – Cybersecurity and Intelligence Services, SA |
a) | Maia (Portugal) | 100.00% | 89.97% | 100.00% | 89.97% | |
|---|---|---|---|---|---|---|---|
| Praesidium Services Limited | a) | Berkshire (U.K.) | 100.00% | 89.97% | 100.00% | 89.97% | |
| S21 Sec Brasil, Ltda | a) | São Paulo (Brazil) | 99.99% | 89.96% | 99.99% | 89.96% | |
| S21 Sec Ciber Seguridad SA de CV | a) | Mexico City (Mexico) | 100.00% | 89.97% | 100.00% | 89.97% | |
| S21 Sec Gestion, SA | a) | Navarra (Spain) | 100.00% | 89.97% | 100.00% | 89.97% | |
| S21 Sec Information Security Labs, S.L. | a) | Navarra (Spain) | 100.00% | 89.97% | 100.00% | 89.97% | |
| S21 Sec México, SA de CV | a) | Mexico City (Mexico) | 100.00% | 89.97% | 100.00% | 89.97% | |
| S21 Sec SA de CV | a) | Mexico City (Mexico) | 100.00% | 89.97% | 100.00% | 89.97% | |
| Saphety – Transacciones Electronicas SAS | a) | Bogota (Colombia) | 100.00% | 78.27% | 100.00% | 78.27% | |
| Saphety Brasil Transações Electrônicas Lda | a) | São Paulo (Brazil | 100.00% | 78.27% | 100.00% | 78.27% | |
| Saphety Level - Trusted Services, SA | a) | Maia (Portugal) | 86.99% | 78.27% | 86.99% | 78.27% | |
| Sonaecom-Cyber Security and Int., SGPS, SA | a) | Maia (Portugal) | 100.00% | 89.97% | 100.00% | 89.97% | |
| Sonaecom - Serviços Partilhados, SA | a) | Maia (Portugal) | 100.00% | 89.97% | 100.00% | 89.97% | |
| Sonaecom - Sistemas de Información España, SL | a) | Madrid (Spain) | 100.00% | 89.97% | 100.00% | 89.97% | |
| Sonaecom, SGPS, SA | a) | Maia (Portugal) | 90.15% | 89.97% | 90.15% | 89.97% | |
| Sonae Investment Management - Software and Technology, SGPS, SA |
a) | Maia (Portugal) | 100.00% | 89.97% | 100.00% | 89.97% | |
| Tecnológica Telecomunicações, Ltda | a) | Rio de Janeiro (Brazil) | 99.99% | 89.87% | 99.99% | 89.87% | |
| We Do Brasil Soluções Informáticas, Ltda | a) | Rio de Janeiro (Brazil) | 99.91% | 89.88% | 99.91% | 89.88% | |
| We Do Consulting - Sistemas de Informação, SA | a) | Maia (Portugal) | 100.00% | 89.97% | 100.00% | 89.97% | |
| We Do Technologies (UK) Limited | a) | Berkshire (R.U.) | 100.00% | 89.97% | 100.00% | 89.97% | |
| We Do Tecnologies Americas, Inc. | a) | Delaware (USA) |
100.00% | 89.97% | 100.00% | 89.97% | |
| We Do Technologies Australia PTY Limited | a) | Sydney (Austrália) | 100.00% | 89.97% | 100.00% | 89.97% | |
| We Do Technologies Egypt Limited Liability Company | a) | Cairo (Egypt) | 100.00% | 89.97% | 100.00% | 89.97% | |
| We Do Technologies Mexico S. de RL | a) | Mexico City (Mexico) | 100.00% | 89.97% | 100.00% | 89.97% | |
| We Do Tecnologies BV | a) | Amsterdam (Netherlands) |
100.00% | 89.97% | 100.00% | 89.97% | |
| Sonae FS | |||||||
| SFS – Serviços de Gestão e Marketing, SA | a) | Maia (Portugal) | 100.00% | 100.00% | 100.00% | 100.00% | |
| Sonae Financial Services, S.A. | a) | Maia (Portugal) | 100.00% | 100.00% | 100.00% | 100.00% | |
| Others | |||||||
| 2) | Accive Insurance – Corretor de Seguros, SA | a) | Porto (Portugal) | 70.00% | 35.01% | 70.00% | 35.01% |
| 2) | Herco Consultoria de Risco e Corretora de Seguros, Ltda | a) | Santa Catarina (Brazil) | 100.00% | 50.01% | 100.00% | 50.01% |
| 2) | Herco, Consultoria de Risco, SA | a) | Maia (Portugal) | 100.00% | 50.01% | 100.00% | 50.01% |
|---|---|---|---|---|---|---|---|
| 2) | HighDome PCC Limited | a) | La Valletta (Malta) | 100.00% | 50.01% | 100.00% | 50.01% |
| 2) | Iberosegur – Sociedade Ibérica de Mediação de Seguros, Lda |
a) | Porto (Portugal) | 100.00% | 50.01% | 100.00% | 50.01% |
| Libra Serviços, Lda | a) | Funchal (Portugal) | 100.00% | 100.00% | 100.00% | 100.00% | |
| 2) | Larim Corretora de Resseguros Ltda | a) | Rio de Janeiro (Brazil) | 99.99% | 50.01% | 99.99% | 50.01% |
| 2) | Lazam/mds Correctora Ltda | a) | São Paulo (Brazil) | 100.00% | 50.01% | 100.00% | 50.01% |
| 2) | MDS África, SGPS, SA | a) | Porto (Portugal) | 50.00% | 25.05% | 50.00% | 25.05% |
| 2) | MDS - Corretor de Seguros, SA | a) | Porto (Portugal) | 100.00% | 50.01% | 100.00% | 50.01% |
| 2) | MDS Affinity-Sociedade de Mediação Lda | a) | Porto (Portugal) | 100.00% | 50.01% | 100.00% | 50.01% |
| 2) | MDS Auto - Mediação de Seguros, SA | a) | Porto (Portugal) | 50.01% | 25.01% | 50.01% | 25.01% |
| 2) | MDS Malta Holding Limited | a) | La Valletta (Malta) | 100.00% | 50.01% | 100.00% | 50.01% |
| 2) | MDS RE – Mediador de resseguros, SGPS, SA | a) | Porto (Portugal) | 100.00% | 25.05% | 100.00% | 25.05% |
| 2) | MDS, SGPS, SA | a) | Maia (Portugal) | 50.01% | 50.01% | 50.01% | 50.01% |
| 2) | Moneris Seguros - Mediação de Seguros, Lda | a) | Oeiras (Portugal) | 60.00% | 30.01% | 60.00% | 30.01% |
| PCJ-Público, Comunicação e Jornalismo, SA | a) | Maia (Portugal) | 100.00% | 89.97% | 100.00% | 89.97% | |
| Público - Comunicação Social, SA | a) | Porto (Portugal) | 100.00% | 89.97% | 100.00% | 89.97% | |
| Sonae Investments, BV | a) | Amsterdam (Netherlands) |
100.00% | 100.00% | 100.00% | 100.00% | |
| Sonae RE, SA | a) | Luxembourg | 99.92% | 99.92% | 99.92% | 99.92% | |
| Sonaecenter Serviços, SA | a) | Maia (Portugal) | 100.00% | 100.00% | 100.00% | 100.00% | |
| Sontel, BV | a) | Amsterdam (Netherlands) |
100.00% | 100.00% | 100.00% | 100.00% | |
| Tlantic, BV | a) | Amsterdam (Netherlands)) |
70.71% | 70.71% | 70.71% | 70.71% | |
| Tlantic Portugal - Sistemas de Informação, SA | a) | Maia (Portugal) | 100.00% | 70.71% | 100.00% | 70.71% | |
| Tlantic Sistemas de Informação, Ltda | a) | Porto Alegre (Brazil) | 100.00% | 70.71% | 100.00% | 70.71% |
*the percentage of capital held "Total" is the total percentage of interest held by the parent company's shareholders; the percentage of capital held "Direct" corresponds to the percentage that subsidiary(s) which hold(s) a participation, hold(s) this participation directly in the share capital of that company.
a) Control held by majority of voting rights which gives power of relevant activities;
b) Control held by majority of Board members;
These entities are consolidated using the full consolidation method.
| Percentage of capital held | ||||||
|---|---|---|---|---|---|---|
| 31 Mar 2017 | 31 Dec 2016 | |||||
| COMPANY | Head Office | Direct* | Total* | Direct* | Total* | |
| Sonae Retail | ||||||
| 1) | Sohi Meat Solutions- Distribuição de Carnes, SA a) |
Santarém (Portugal) | 50.00% | 50.00% | 100.00% | 100.00% |
| Sonae Sierra | ||||||
| 3shoppings - Holding, SGPS, SA | Maia (Portugal) | 100.00% | 25.05% | 100.00% | 25.05% | |
| 8ª Avenida Centro Comercial, SA | Maia (Portugal) | 100.00% | 11.25% | 100.00% | 11.25% | |
| Aegean Park Constructions Real Estate and Development, SA | Athens (Greece) | 100.00% | 25.00% | 100.00% | 25.00% | |
| 1) | Albufeira RP (Luxembourg) 1, Sarl | Luxembourg | 100.00% | 5.00% | - | - |
| 1) | Albufeira RP (Luxembourg) 2, Sarl | Luxembourg | 100.00% | 5.00% | - | - |
| ALBCC – Albufeirashopping – Centro Comercial, SA | Maia (Portugal) | 100.00% | 11.25% | 100.00% | 11.25% | |
| 1) | ALBRP Albufeira Retail Park, Lda | Maia (Portugal) | 100.00% | 5.00% | - | - |
| ALEXA Holding GmbH | Dusseldorf (Germany) | 100.00% | 50.00% | 100.00% | 50.00% | |
| ALEXA Shopping Centre GmbH | Dusseldorf (Germany) | 100.00% | 50.00% | 100.00% | 50.00% | |
| Algarveshopping - Centro Comercial, SA | Maia (Portugal) | 100.00% | 5.00% | 100.00% | 5.00% | |
| ARP Alverca Retail Park, SA | Maia (Portugal) | 100.00% | 50.00% | 100.00% | 50.00% | |
| Arrábidashopping - Centro Comercial, SA | Maia (Portugal) | 100.00% | 12.53% | 100.00% | 12.53% | |
| Campo Limpo Lda | S. Paulo (Brazil) | 20.00% | 3.33% | 20.00% | 3.33% | |
| Cascaishopping - Centro Comercial, SA | Maia (Portugal) | 100.00% | 28.62% | 100.00% | 28.62% | |
| Cascaishopping Holding I, SGPS, SA | Maia (Portugal) | 100.00% | 28.62% | 100.00% | 28.62% | |
| CCCB Caldas da Rainha - Centro Comercial, SA | Maia (Portugal) | 100.00% | 50,00% | 100,00% | 50.00% | |
| Centro Colombo - Centro Comercial, SA | Maia (Portugal) | 100.00% | 12.53% | 100.00% | 12.53% | |
| Centro Vasco da Gama - Centro Comercial, SA | Maia (Portugal) | 100.00% | 12.53% | 50.00% | 12.53% | |
| Coimbrashopping - Centro Comercial, SA | Maia (Portugal) | 100.00% | 25.05% | 100.00% | 25.05% |
| Colombo Towers Holding, BV | The Hague (Netherlands) | 50.00% | 25.00% | 50.00% | 25.00% |
|---|---|---|---|---|---|
| DOC Malaga Holdings S.L. | Madrid (Spain) | 50.00% | 12.53% | 50.00% | 12.53% |
| DOC Malaga SITECO S.L.U. | Madrid (spain) | 100.00% | 12.53% | 100.00% | 12.53% |
| Dortmund Tower GmbH | Dusseldorf (Germany) | 100.00% | 50.00% | 100.00% | 50.00% |
| Dos Mares - Shopping Centre, BV | Amsterdam (Netherlands) |
100.00% | 25.05% | 100.00% | 25.05% |
| Dos Mares - Shopping Centre, SA | Madrid (Spain) | 100.00% | 25.05% | 100.00% | 25.05% |
| Estação Viana - Centro Comercial, SA | Viana do Castelo (Portugal) |
100.00% | 5.00% | 100.00% | 5.00% |
| Freccia Rossa - Shopping Centre, Srl | Milan (Italy) | 50.00% | 25.00% | 50.00% | 25.00% |
| Fundo de Investimento Imobiliário Parque Dom Pedro Shopping Center |
Rio de Janeiro (Brazil) | 50.00% | 10.34% | 50.00% | 10.34% |
| Fundo de Investimento Imobiliário Shopping Parque Dom Pedro |
Rio de Janeiro (Brazil) | 87.61% | 15.78% | 87.61% | 15.78% |
| Gaiashopping I - Centro Comercial, SA | Maia (Portugal) | 100.00% | 12.53% | 100.00% | 12.53% |
| Gaiashopping II - Centro Comercial, SA | Maia (Portugal) | 100.00% | 12.53% | 100.00% | 12.53% |
| Gli Orsi Shopping Centre 1, Srl | Milan (Italy) | 100.00% | 50.00% | 100.00% | 50.00% |
| Guimarãeshopping - Centro Comercial, SA | Maia (Portugal) | 100.00% | 25.05% | 100.00% | 25.05% |
| Harvey Dos Iberica, SL | Madrid (Spain) | 50.00% | 12.53% | 50.00% | 12.53% |
| Iberian Assets, SA | Madrid (Spain) | 49.81% | 12.48% | 49.81% | 12.48% |
| Iberia Shopping Centre Venture Cooperatief UA | Amsterdam (Netherlands) |
100.00% | 5.00% | 100.00% | 5.00% |
| Iberian Holdings Spain, S.L. | Madrid (Spain) | 100.00% | 50.00% | 100.00% | 50.00% |
| Ioannina Development of Shopping Centres, SA | Athens (Greece) | 100.00% | 50.00% | 100.00% | 50.00% |
| Land Retail, BV | Amsterdam (Netherlands) |
100.00% | 32.19% | 100.00% | 32.19% |
| Larissa Development of Shopping Centres, SA | Athens (Greece) | 100.00% | 25.00% | 100.00% | 25.00% |
| LCC – Leiriashopping – Centro Comercial, SA | Maia (Portugal) | 100.00% | 11.25% | 100.00% | 11.25% |
| Le Terrazze – Shopping Centre 1, Srl | Milan (Italy) | 50.00% | 5.00% | 50.00% | 5.00% |
| Loureshopping – Centro Comercial, SA | Maia (Portugal) | 50.00% | 5.63% | 50.00% | 5.63% |
| Luz del Tajo - Centro Comercial, SA | Madrid (Spain) | 100.00% | 5.00% | 100.00% | 5.00% |
| Luz del Tajo, BV | Amsterdam (Netherlands) |
100.00% | 25.05% | 100.00% | 25.05% |
| Madeirashopping - Centro Comercial, SA | Funchal (Portugal) | 50.00% | 12.53% | 50.00% | 12.53% |
| Maiashopping - Centro Comercial, SA | Maia (Portugal) | 100.00% | 25.05% | 100.00% | 25.05% |
| Microcom Doi, Srl | Bucharest (Romania) | 100.00% | 50.00% | 100.00% | 50.00% |
| Norte Shopping Retail and Leisure Centre, BV | Amsterdam (Netherlands) |
50.00% | 12.53% | 50.00% | 12.53% | |
|---|---|---|---|---|---|---|
| Norteshopping - Centro Comercial, SA | Maia (Portugal) | 100.00% | 12.53% | 100.00% | 12.53% | |
| 1) | Olimpo Asset 1, S.A. | Maia (Portugal) | 100.00% | 1.88% | - | - |
| Pantheon Plaza BV | Amsterdam (Netherlands) |
50.00% | 25.00% | 50.00% | 25.00% | |
| Paracentro - Gestão de Galerias Comerciais, SA | Maia (Portugal) | 100.00% | 50.00% | 100.00% | 50.00% | |
| Park Avenue Developement of Shopping Centers, SA | Athens (Greece) | 50.00% | 25.00% | 100.00% | 25.00% | |
| Parklake Shopping, SA | Bucharest (Romania) | 50.00% | 25.00% | 50.00% | 25.00% | |
| Parque Atlântico Shopping - Centro Comercial SA | Ponta Delgada (Portugal) | 50.00% | 12.53% | 50.00% | 12.53% | |
| Parque D. Pedro 1, BV Sarl | Luxembourg | 100.00% | 25.00% | 100.00% | 25.00% | |
| Parque de Famalicão - Empreendimentos Imobiliários, SA | Maia (Portugal) | 100.00% | 50.00% | 100.00% | 50.00% | |
| Pátio Boavista Shopping, Ltda | São Paulo (Brazil) | 100.00% | 16.66% | 100.00% | 16.66% | |
| Pátio Goiânia Shopping, Ltda | São Paulo (Brazil) | 100.00% | 16.66% | 100.00% | 16.66% | |
| Pátio Londrina Empreendimentos e Participações, Ltda | São Paulo (Brazil) | 100.00% | 16.66% | 100.00% | 16.66% | |
| Pátio São Bernardo Shopping Ltda | São Paulo (Brazil) | 100.00% | 16.66% | 100.00% | 16.66% | |
| Pátio Sertório Shopping, Ltda | Manaus (Brazil) | 100.00% | 16.66% | 100.00% | 16.66% | |
| Pátio Uberlândia Shopping, Ltda | São Paulo (Brazil) | 100.00% | 16.66% | 100.00% | 16.66% | |
| Plaza Eboli - Centro Comercial, SA | Madrid (Spain) | 100.00% | 50.00% | 100.00% | 50.00% | |
| Plaza Mayor Parque de Ócio, BV | Amsterdam (Netherlands) |
100.00% | 25.05% | 100.00% | 25.05% | |
| Plaza Mayor Parque de Ócio, SA | Madrid (Spain) | 100.00% | 25.05% | 100.00% | 25.05% | |
| Plaza Mayor Shopping, BV | Amsterdam (Netherlands) |
100.00% | 25.05% | 100.00% | 25.05% | |
| Plaza Mayor Shopping, SA | Madrid (Spain) | 100.00% | 25.05% | 100.00% | 25.05% | |
| Plenerg Srl | Bucharest (Romania) | 50.00% | 25.00% | 50.00% | 25.00% | |
| PORTCC – Portimãoshopping – Centro Comercial, SA | Maia (Portugal) | 100.00% | 11.25% | 100.00% | 11.25% | |
| Project Guia, SA | Maia (Portugal) | 100.00% | 5.00% | 100.00% | 5.00% | |
| Project Sierra 10 BV | Amsterdam (Netherlands) |
100.00% | 50.00% | 100.00% | 50.00% | |
| Project Sierra 11 BV | Amsterdam (Netherlands) |
100.00% | 50.00% | 100.00% | 50.00% | |
| Project Sierra 12 BV | Amsterdam (Netherlands) |
100.00% | 50.00% | 100.00% | 50.00% | |
| Project Sierra 2, BV | Amsterdam (Netherlands) |
100.00% | 50.00% | 100.00% | 50.00% | |
| Project Sierra 8, BV | Amsterdam (Netherlands) |
100.00% | 5.00% | 100.00% | 5.00% |
| Project Sierra Cúcuta, BV | Amsterdam (Netherlands) |
100.00% | 50.00% | 100.00% | 50.00% |
|---|---|---|---|---|---|
| Project Sierra Four, SA | Bucharest (Romania) | 100.00% | 50.00% | 100.00% | 50.00% |
| Project Sierra Germany 2 (two), Shopping Centre, GmbH | Dusseldorf (Germany) | 100.00% | 50.00% | 100.00% | 50.00% |
| Project Sierra Germany 4 (four), Shopping Centre, GmbH | Dusseldorf (Germany) | 100.00% | 50.00% | 100.00% | 50.00% |
| Project Sierra Spain 1, BV | Amsterdam (Netherlands) |
100.00% | 50.00% | 100.00% | 50.00% |
| Project Sierra Spain 2 - Centro Comercial, SA | Madrid (Spain) | 100.00% | 50.00% | 100.00% | 50.00% |
| Project Sierra Two, Srl | Bucharest (Romania) | 100.00% | 50.00% | 100.00% | 50.00% |
| Proyecto Cúcuta S.A.S | Santiago de Cali (Colombia) |
50.00% | 25.00% | 50.00% | 25.00% |
| Rio Sul – Centro Comercial, SA | Lisbon (Portugal) | 50.00% | 5.63% | 50.00% | 5.63% |
| River Plaza BV | Amsterdam (Netherlands) |
100.00% | 50.00% | 100.00% | 50.00% |
| River Plaza Mall, Srl | Bucharest (Romania) | 100.00% | 50.00% | 100.00% | 50.00% |
| SC Aegean, BV | Amsterdam (Netherlands) |
50.00% | 25.00% | 50.00% | 25.00% |
| Serra Shopping – Centro Comercial, SA | Lisbon (Portugal) | 50.00% | 5.63% | 50.00% | 5.63% |
| Shopping Centre Colombo Holding, BV | Amsterdam (Netherlands) |
50.00% | 12.53% | 50.00% | 12.53% |
| Shopping Centre Parque Principado, BV | Amsterdam (Netherlands) |
100.00% | 25.05% | 100.00% | 25.05% |
| Sierra Berlin Holding BV | Amsterdam (Netherlands)) |
100.00% | 50.00% | 100.00% | 50.00% |
| Sierra Brazil 1, BV | Amsterdam (Netherlands) |
100.00% | 25.00% | 100.00% | 25.00% |
| Sierra Central, S.A.S. | Santiago de Cali (Colombia) |
50.00% | 25.00% | 50.00% | 25.00% |
| Sierra Cevital Shopping Center, Spa | Algeria | 49.00 % | 24.50% | 49.00 % | 24.50% |
| Sierra Core Assets Holdings, BV | Amsterdam (Netherlands) |
50.00% | 25.05% | 50.00% | 25.05% |
| Sierra Developments Holding, BV | Amsterdam (Netherlands) |
100.00% | 50.00% | 100.00% | 50.00% |
| Sierra Developments, SGPS, SA | Maia (Portugal) | 100.00% | 50.00% | 100.00% | 50.00% |
| Sierra European Retail Real Estate Assets Holdings, BV | Amsterdam (Netherlands)) |
50.10% | 25.05% | 50.10% | 25.05% |
| Sierra Germany GmbH | Dusseldorf (Germany) | 100.00% | 50.00% | 100.00% | 50.00% |
| Sierra GP, Limited | Guernsey (U.K.) | 100.00% | 50.00% | 100.00% | 50.00% |
| Sierra Greece, SA | Athens (Greece) | 100.00% | 50.00% | 100.00% | 50.00% |
| Sierra Investimentos Brasil Ltda | São Paulo (Brazil) | 100.00% | 16.66% | 100.00% | 16.66% |
| Sierra Investments (Holland) 1, BV | Amsterdam (Netherlands) |
100.00% | 50.00% | 100.00% | 50.00% |
|---|---|---|---|---|---|
| Sierra Investments (Holland) 2, BV | Amsterdam (Netherlands) |
100.00% | 50.00% | 100.00% | 50.00% |
| Sierra Investments Holding, BV | Amsterdam (Netherlands) |
100.00% | 50.00% | 100.00% | 50.00% |
| Sierra Investments SGPS, SA | Maia (Portugal) | 100.00% | 50.00% | 100.00% | 50.00% |
| Sierra Italy, Srl | Milan (Italy) | 100.00% | 50.00% | 100.00% | 50.00% |
| Sierra Management, SGPS, SA | Maia (Portugal) | 100.00% | 50.00% | 100.00% | 50.00% |
| Sierra Maroc, SARL | Casablanca (Morocco) | 100.00% | 50.00% | 100.00% | 50.00% |
| Sierra Maroc Services, SARL | Casablanca (Morocco) | 100.00% | 50.00% | 100.00% | 50.00% |
| Sierra Portugal, SA | Lisbon (Portugal) | 100.00% | 50.00% | 100.00% | 50.00% |
| Sierra Project Nürnberg BV | Amsterdam (Netherlands) |
100.00% | 50.00% | 100.00% | 50.00% |
| Sierra Real Estate Greece BV | Amsterdam (Netherlands) |
100.00% | 50.00% | 100.00% | 50.00% |
| Sierra Retail Ventures BV | Amsterdam (Netherlands) |
100.00% | 50.00% | 100.00% | 50.00% |
| Sierra Romania Shopping Centers Services, SRL | Bucharest (Romania) | 100.00% | 50.00% | 100.00% | 50.00% |
| Sierra Turkey Gayrimenkul Yönetim Pazarlama ve Danışmanlık Anonim Şirket |
Istanbul (Turkey) | 100.00% | 50.00% | 100.00% | 50.00% |
| Sierra Services Holland BV | Amsterdam (Netherlands) |
100.00% | 50.00% | 100.00% | 50.00% |
| Sierra Solingen Holding GmbH | Dusseldorf (Germany) | 100.00% | 50.00% | 100.00% | 50.00% |
| Sierra Spain Malaga Holdings, S.L. | Madrid (Spain) | 100.00% | 50.00% | 100.00% | 50.00% |
| Sierra Spain – Shopping Centers Services, SA | Madrid (Spain) | 100.00% | 50.00% | 100.00% | 50.00% |
| Sierra VdG Holding BV | Amsterdam (Netherlands) |
100.00% | 12.53% | 100.00% | 12.53% |
| Sierra Zenata Project B.V. | Amsterdam (Netherlands) |
100.00% | 50.00% | 100.00% | 50.00% |
| Solingen Shopping Center GmbH | Dusseldorf (Germany) | 100.00% | 25.00% | 100.00% | 25.00% |
| Sonae Sierra Brasil, SA | São Paulo (Brazil) | 66.65% | 16.66% | 66.65% | 16.66% |
| Sonae Sierra Brazil, BV Sarl | Luxembourg | 50.00% | 25.00% | 50.00% | 25.00% |
| Sonae Sierra, SGPS, SA | Maia (Portugal) | 50.00% | 50.00% | 50.00% | 50.00% |
| SPF - Sierra Portugal | Luxembourg | 100.00% | 50.00% | 100.00% | 50.00% |
| SPF - Sierra Portugal Real Estate, Sarl | Luxembourg | 22.50% | 11.25% | 22.50% | 11.25% |
| Unishopping Consultoria Imobiliária, Ltda | São Paulo (Brazil) | 100.00% | 16.66% | 100.00% | 16.66% |
| Via Catarina - Centro Comercial, SA | Maia (Portugal) | 50.00% | 12.53% | 50.00% | 12.53% |
| Weiterstadt Shopping BV | Amsterdam (Netherlands) |
100.00% | 50.00% | 100.00% | 50.00% |
|---|---|---|---|---|---|
| Zenata Commercial Project, SA | Mohammedia (Morocco) | 100.00% | 5.5% | 100.00% | 5.5% |
| ZOPT (NOS) | |||||
| Big Picture 2 Films, SA | Oeiras (Portugal) | 20.00% | 4.69% | 20.00% | 4.69% |
| Canal 20 TV, SA | Madrid (Spain) | 50.00% | 11.73% | 50.00% | 11.73% |
| Dreamia Holding BV | Amsterdam (Netherlands) |
50.00% | 11.73% | 50.00% | 11.73% |
| Dreamia Serviços de Televisão, SA | Lisbon (Portugal) | 100.00% | 11.73% | 100.00% | 11.73% |
| East Star Ltd | Port Louis (Mauricias) | 30.00% | 7.04% | 30.00% | 7.04% |
| Empracine – Empresa Promotora de Atividades Cinematográficas, Lda |
Lisbon (Portugal) | 100.00% | 23.46% | 100.00% | 23.46% |
| FINSTAR – Sociedade de Investimentos e Participações, SA | Luanda (Angola) | 30.00% | 7.04% | 30.00% | 7.04% |
| Lusomundo – Sociedade de investimentos imobiliários, SGPS, SA |
Lisbon (Portugal) | 99.87% | 23.43% | 99.87% | 23.43% |
| Lusomundo Imobiliária 2, SA | Lisbon (Portugal) | 99.87% | 23.43% | 99.87% | 23.43% |
| Lusomundo Moçambique, Lda | Maputo (Mozambique) | 100.00% | 23.46% | 100.00% | 23.46% |
| MSTAR, SA | Maputo (Mozambique) | 30.00% | 7.04% | 30.00% | 7.04% |
| NOS Açores Comunicações, SA | Ponta Delgada (Azores) | 83.82% | 19.66% | 83.82% | 19.66% |
| NOS Communications Sàrl | Luxembourg | 100.00% | 23.46% | 100.00% | 23.46% |
| NOS Comunicações, SA | Lisbon (Portugal) | 100.00% | 23.46% | 100.00% | 23.46% |
| NOS Inovação, SA | Matosinhos (Portugal) | 100.00% | 23.46% | 100.00% | 23.46% |
| NOS Lusomundo Audiovisuais, SA | Lisbon (Portugal) | 100.00% | 23.46% | 100.00% | 23.46% |
| NOS Lusomundo Cinemas, SA | Lisbon (Portugal) | 100.00% | 23.46% | 100.00% | 23.46% |
| NOS Lusomundo TV, Lda | Lisbon (Portugal) | 100.00% | 23.46% | 100.00% | 23.46% |
| NOS Madeira Comunicações, SA | Funchal (Madeira) | 77.95% | 18.29% | 77.95% | 18.29% |
| NOS SGPS, SA | Lisbon (Portugal) | 52.15% | 23.46% | 52.15% | 23.46% |
| NOS Sistemas España, SL | Madrid (Spain) | 100.00% | 23.46% | 100.00% | 23.46% |
| NOS Sistemas, SA | Maia (Portugal) | 100.00% | 23.46% | 100.00% | 23.46% |
| NOSPUB – Publicidade e Conteúdos, SA | Lisbon (Portugal) | 100.00% | 23.46% | 100.00% | 23.46% |
| NOS Tecnology – Concepção Construção e Gestão de Redes de Comunicação, SA |
Matosinhos (Portugal) | 100.00% | 23.46% | 100.00% | 23.46% |
| NOS Towering – Gestão de Torres de Telecomunicações, SA | Maia (Portugal) | 100.00% | 23.46% | 100.00% | 23.46% |
| Per-Mar – Sociedade de Construções, SA | Maia (Portugal) | 100.00% | 23.46% | 100.00% | 23.46% |
| Sontária – Empreendimentos Imobiliários, SA | Maia (Portugal) | 100.00% | 23.46% | 100.00% | 23.46% |
|---|---|---|---|---|---|
| Sport TV Portugal | Lisbon (Portugal) | 33.33% | 7.82% | 33.33% | 7.82% |
| Teliz Holding, BV | Amstelveen (Netherlands) |
100.00% | 23.46% | 100.00% | 23.46% |
| Upstar Comunicações, SA | Vendas Novas (Portugal) | 30.00% | 7.04% | 30.00% | 7.04% |
| ZAP Cinemas, SA | Luanda (Angola) | 100.00% | 7.04% | 100.00% | 7.04% |
| ZAP Media, SA | Luanda (Angola) | 100.00% | 7.04% | 100.00% | 7.04% |
| ZAP Publishing, SA | Luanda (Angola) | 100.00% | 7.04% | 100.00% | 7.04% |
| ZOPT, SGPS, SA | Porto (Portugal) | 50.01% | 44.98% | 50.01% | 44.98% |
| Sonae IM | |||||
| Intelligent Big Data, SL | Guipuzcoa (Spain) | 50.00% | 44.99% | 50.00% | 44.99% |
| Unipress - Centro Gráfico, Lda | Vila Nova de Gaia (Portugal) |
50.00% | 44.99% | 50.00% | 44.99% |
*the percentage of capital held "Total" is the total percentage of interest held by the parent company's shareholders; the percentage of capital held "Direct" corresponds to the percentage that subsidiary(s) which hold(s) a participation, hold(s) this participation directly in the share capital of that company.
| Percentage of capital held | |||||||
|---|---|---|---|---|---|---|---|
| 31 Mar 2017 | 31 Dec 2016 | ||||||
| COMPANY | Head Office | Direct* | Total* | Direct* | Total* | ||
| Sonae Retail | |||||||
| APOR – Agência para a Modernização do Porto, S.A. | Porto (Portugal) |
22,75% | 22,75% | 22,75% | 22,75% | ||
| MOVVO, SA | Porto (Portugal) |
25,58% | 25,58% | 25,58% | 25,58% | ||
| Sempre a Postos – Produtos Alimentares e Utilidades, Lda | Lisbon (Portugal) |
25,00% | 25,00% | 25,00% | 25,00% | ||
| Ulabox, S.L. | Barcelona (Spain) |
39,18% | 39,18% | 39,18% | 39,18% | ||
| Sonae IM | |||||||
| Brokerslink Management AG | Zug (Switzerland) |
20,00% | 20,00% | 20,00% | 20,00% | ||
| Flexben, Lda | Porto (Portugal) |
45,00% | 45,00% | - | - |
*the percentage of capital held "Total" is the total percentage of interest held by the parent company's shareholders; the percentage of capital held "Direct" corresponds to the percentage that subsidiary(s) which hold(s) a participation, hold(s) this participation directly in the share capital of that company.
Jointly controlled companies and associated companies were included in the consolidated financial statements by the equity method.
The Board of Directors
Duarte Paulo Teixeira de Azevedo, Chairman and Co-CEO
Ângelo Gabriel Ribeirinho dos Santos Paupério, Executive Director and Co-CEO
Andrew Eustace Clavering Campbell, Non-Executive Director
Christine Cross, Non-Executive
Dag Johan Skattum, Non-Executive
José Manuel Neves Adelino, Non-Executive
Marcelo Faria de Lima, Non-Executive
Margaret Lorraine Trainer, Non-Executive
Tsega Gebreyes, Non-Executive
Condensed separate financial statements
(Translation of condensed separate financial statements originally issued in Portuguese.In case of discrepancy the Portuguese version prevails)
| (Amounts expressed in euro) | ||||
|---|---|---|---|---|
| ASSETS | Notes | 31.March.2017 | 31.March.2016 | 31.December.2016 |
| NON-CURRENT ASSETS: | ||||
| Tangible assets | 84,627 | 84,909 | 65,375 | |
| Intangible assets | 40 | 1,242 | 47 | |
| Investments in subsidiaries, associates and joint ventures | 4 | 4,111,128,779 | 3,941,779,005 | 4,094,293,240 |
| Other investments | 5 | 31,070,089 | 30,065,856 | 30,644,385 |
| Deferred taxes | 9,663,951 | - | 966,895 | |
| Other non-current assets | 6 | 173,092,867 | 347,400,000 | 173,092,867 |
| Total non-current assets | 4,325,040,353 | 4,319,331,012 | 4,299,062,809 | |
| CURRENT ASSETS: | ||||
| Trade account receivables and other current assets | 7 | 119,241,206 | 116,885,759 | 65,406,578 |
| Cash and cash equivalents | 8 | 76,623 | 1,495,584 | 950,886 |
| Total current assets | 119,317,829 | 118,381,343 | 66,357,464 | |
| TOTAL ASSETS | 4,444,358,182 | 4,437,712,355 | 4,365,420,273 | |
| EQUITY AND LIABILITIES | ||||
| EQUITY: | ||||
| Share capital | 9 | 2,000,000,000 | 2,000,000,000 | 2,000,000,000 |
| Reserves and retained earnings | 1,726,625,567 | 1,574,899,046 | 1,728,388,031 | |
| Profit for the period | 46,992,821 | 12,049,874 | 61,300,218 | |
| TOTAL EQUITY | 3,773,618,388 | 3,586,948,920 | 3,789,688,249 | |
| LIABILITIES: | ||||
| NON-CURRENT LIABILITIES: | ||||
| Loans | 10 | 353,153,054 | 421,931,080 | 302,040,105 |
| Total non-current liabilities | 353,153,054 | 421,931,080 | 302,040,105 | |
| CURRENT LIABILITIES: | ||||
| Loans | 10 | 107,846,000 | 132,400,000 | 162,000,000 |
| Trade creditors and other current liabilities | 11 | 209,740,740 | 296,432,355 | 111,691,919 |
| Total current liabilities | 317,586,740 | 428,832,355 | 273,691,919 | |
| TOTAL EQUITY AND LIABILITIES | 4,444,358,182 | 4,437,712,355 | 4,365,420,273 | |
The accompanying notes are part of these condensed separate financial statements.
(Translation of condensed separate financial statements originally issued in Portuguese.In case of discrepancy the Portuguese version prevails)
(Amounts expressed in euro)
| Notes | 31.March.2017 | 31.March.2016 | |
|---|---|---|---|
| Services rendered | 119,915 | 115,304 | |
| Gains or losses on investments | 14 | 48,570,828 | 11,181,258 |
| Financial income | 806,118 | 7,381,818 | |
| Other income | 472,335 | 596,497 | |
| External supplies and services | (881,669) | (716,784) | |
| Staff costs | (548,443) | (520,479) | |
| Depreciation and amortisation | (7,921) | (8,935) | |
| Financial expense | (1,711,674) | (3,977,948) | |
| Other expenses | (112,523) | (122,809) | |
| Profit/(Loss) before taxation | 46,706,966 | 13,927,922 | |
| Taxation | 285,855 | (1,878,048) | |
| Profit/(Loss) after taxation | 46,992,821 | 12,049,874 | |
| Profit/(Loss) per share | |||
| Basic | 15 | 0.023496 | 0.006025 |
| Diluted | 15 | 0.023494 | 0.006024 |
The accompanying notes are part of these condensed separate financial statements.
(Translation of condensed separate financial statements originally issued in Portuguese.In case of discrepancy the Portuguese version prevails)
(Amounts expressed in euro)
| 31.March.2017 | 31.March.2016 | |
|---|---|---|
| Net Profit / (Loss) for the period | 46,992,821 | 12,049,874 |
| Changes on fair value of available-for-sale financial assets | 17,261,243 | 6,223,090 |
| Other comprehensive income for the period | 17,261,243 | 6,223,090 |
| Total comprehensive income for the period | 64,254,064 | 18,272,964 |
The accompanying notes are part of these condensed separate financial statements.
(Translation of condensed separate financial statements originally issued in Portuguese.In case of discrepancy the Portuguese version prevails)
(Amounts expressed in euro)
| d re ed e Res tain ings erve s an arn |
||||||||
|---|---|---|---|---|---|---|---|---|
| Sha apit al re c |
har Tre asu ry s es |
al re Leg serv e |
Fair val ue rese rve |
Oth er r ese rves and aine d ret ning ear s |
Tot al r ese rves and aine d ret ning ear s |
fit/ (los s) Net pro |
al Tot |
|
| Bala at 1 Jan 20 16 nce as uary |
2,00 0,00 0,00 0 |
- | 244 ,21 1,59 2 |
260 ,223 ,788 |
1,34 4,39 3,82 7 |
1,60 4,6 17,6 15 |
(279 ) ,672 ,410 |
3,56 9,15 6,79 7 |
| al c hen e fo r th riod Tot sive inc om pre om e pe |
- | - | - | 6,22 3,09 0 |
- | 6,22 3,09 0 |
12,0 49,8 74 |
18,2 72,9 64 |
| of l of App riat ion 201 5: rop oss |
||||||||
| nsfe d ea Tra aine rnin r to ret gs |
- | - | - | - | (279 ) ,672 ,410 |
(279 ) ,672 ,410 |
279 ,672 ,410 |
- |
| Obl fulf illed by a th igat ion ird part y |
- | (1,1 41) 18,1 |
- | - | - | - | - | (1,1 41) 18,1 |
| Sha sold und he t s of l Pe rfor er t An ce B res erm nua man onu s |
||||||||
| Plan d M ediu Plan m T Inc ive ent an erm s |
- | 1,11 8,14 1 |
- | - | (207 ) ,467 |
(207 ) ,467 |
- | 910 ,674 |
| Sha re-b d pa nts ase yme |
- | - | - | - | (27 4) 3,37 |
(273 ) ,374 |
- | (27 4) 3,37 |
| Bala at 3 1 M h 20 16 nce as arc |
2,00 0,00 0,00 0 |
- | 244 ,21 1,59 2 |
266 ,446 ,878 |
1,06 4,24 0,57 6 |
1,33 0,68 7,45 4 |
12,0 49,8 74 |
3,58 6,94 8,92 0 |
| Bala at 1 Jan 20 17 nce as uary |
2,00 0,00 0,00 0 |
- | 244 ,21 1,59 2 |
419 ,542 ,189 |
1,06 4,63 4,25 0 |
1,48 4,17 6,43 9 |
61,3 00,2 18 |
3,78 9,68 8,24 9 |
| Tot al c hen sive inc e fo r th riod om pre om e pe |
- | - | - | 17,2 61,2 43 |
- | 17,2 61,2 43 |
46,9 92,8 21 |
64,2 54,0 64 |
| App riat ion of p rofi t of 20 17: rop |
||||||||
| Tra nsfe leg al re r to serv e |
- | - | 3,06 5,01 1 |
- | - | - | (3,0 65,0 11) |
- |
| Divi den ds d istr ibut ed |
- | - | - | - | - | - | (58, 235 ,207 ) |
(58, 235 ,207 ) |
| Free es d istri but ed res erv |
- | - | - | - | (21, 764 ,793 ) |
(21, 764 ,793 ) |
- | (21, 764 ,793 ) |
| Obl igat ion fulf illed by a th ird part y |
- | (46 6,21 1) |
- | - | - | - | - | (46 6,21 1) |
| Sha sold und he t s of the An l Pe rfor ce B s Pl er t res erm nua man onu an |
||||||||
| and dium ntiv e Pl Me Te Ince rm ans |
- | 466 ,21 1 |
- | - | (44 0) 2,90 |
(442 ) ,900 |
- | 23,3 11 |
| Sha re-b d pa nts ase yme |
- | - | - | - | 118 ,975 |
118 ,975 |
- | 118 ,975 |
| Bala h 20 at 3 1 M 17 nce as arc |
2,00 0,00 0,00 0 |
- | 247 ,276 ,603 |
436 ,803 ,432 |
1,04 2,54 5,53 2 |
1,47 9,34 8,96 4 |
46,9 92,8 21 |
3,77 3,61 8,38 8 |
The accompanying notes are part of these condensed separate financial statements.
(Translation of condensed separate financial statements originally issued in Portuguese.In case of discrepancy the Portuguese version prevails)
(Amounts expressed in euro)
| Notes | 31.March.2017 | 31.March.2016 | |
|---|---|---|---|
| OPERATING ACTIVITIES | |||
| Net cash flow from operating activities (1) | 202,264 | (824,133) | |
| INVESTMENT ACTIVITIES | |||
| Cash receipts arising from: | |||
| Interest and similar income | 188,830 | 1,066,247 | |
| Loans granted | 556,494,000 | 559,410,939 | |
| 556,682,830 | 560,477,186 | ||
| Cash Payments arising from: | |||
| Tangible and intangible assets | (29,973) | - | |
| Loans granted | (556,494,000) | (559,410,939) | |
| (556,523,973) | (559,410,939) | ||
| Net cash used in investment activities (2) | 158,857 | 1,066,247 | |
| FINANCING ACTIVITIES | |||
| Cash receipts arising from: | |||
| Loans obtained | 963,234,000 | 1,463,165,007 | |
| Others | - | 5,616 | |
| 963,234,000 | 1,463,170,623 | ||
| Cash Payments arising from: | |||
| Loans obtained | (963,146,000) | (1,458,007,007) | |
| Interest and similar charges | (1,323,384) | (4,300,647) | |
| (964,469,384) | (1,462,307,654) | ||
| Net cash used in financing activities (3) | (1,235,384) | 862,969 | |
| Net increase in cash and cash equivalents (4) = (1) + (2) + (3) | (874,263) | 1,105,083 | |
| Cash and cash equivalents at the beginning of the period | 950,886 | 390,501 | |
| Cash and cash equivalents at the end of the period | 8 | 76,623 | 1,495,584 |
The accompanying notes are part of these condensed separate financial statements.
(Translation of the condensed separate financial statements originally issued in Portuguese.
In case of discrepancies the Portuguese version prevails)
(Amounts expressed in euro)
SONAE, SGPS, SA ("the Company" or "Sonae"), has its head-office at Lugar do Espido, Via Norte, Apartado 1011, 4470-909 Maia, Portugal.
Interim financial statements are presented quarterly, in accordance with IAS 34 – "Interim Financial Reporting".
The accounting policies adopted are consistent with those described in the file of annual financial statements for the year ended 31 December 2016.
4 INVESTMENTS IN SUBSIDIARIES, ASSOCIATES AND JOINT VENTURES
As at 31 March 2017 and 31 December 2016 the company held investments in the following companies:
| 31.March.2017 | |||||||
|---|---|---|---|---|---|---|---|
| Companies | % Held | Opening balance |
Increase | Decrease | Changes in fair value |
Impairment loss recognized during the period |
Closing balance |
| Interlog, SGPS, SA | 1.02% | 106,686 | - | - | - | - | 106,686 |
| Sonae Investimentos, SGPS, SA (a) | 25.03% | 637,971,655 | - | - | - | - | 637,971,655 |
| Sonae Investments, BV | 100.00% | 803,200,000 | - | - | - | - | 803,200,000 |
| Sonae RE, SA | 99.92% | 583,059 | - | - | - | - | 583,059 |
| Sonae Sierra SGPS, SA (b) | 50.00% | 709,210,000 | - | - | 11,407,000 | - | 720,617,000 |
| Sonaecom, SGPS, SA | 26.02% | 206,689,581 | - | - | 5,428,539 | - | 212,118,120 |
| Sonaegest, SA | 20.00% | 159,615 | - | - | - | - | 159,615 |
| Sonaecenter, Serviços, SA | 100.00% | 1,496,231,545 | - | - | - | - | 1,496,231,545 |
| Sontel, BV | 35.87% | 240,141,099 | - | - | - | - | 240,141,099 |
| Total | 4,094,293,240 | - | - | 16,835,539 | - | 4,111,128,779 |
| 31.December.2016 | |||||||
|---|---|---|---|---|---|---|---|
| Companies | % Held | Opening balance |
Increase | Decrease | Changes in fair value |
Impairment loss recognized during the period |
Closing balance |
| Interlog, SGPS, SA | 1.02% | 106,686 | - | - | - | - | 106,686 |
| Sonae Investimentos, SGPS, SA (a) | 25.03% | 637,971,655 | - | - | - | - | 637,971,655 |
| Sonae Investments, BV | 100.00% | 803,200,000 | - | - | - | - | 803,200,000 |
| Sonae RE, SA | 99.92% | 583,059 | - | - | - | - | 583,059 |
| Sonae Sierra SGPS, SA (b) | 50.00% | 589,893,500 | - | - | 119,316,500 | - | 709,210,000 |
| Sonaecom, SGPS, SA | 26.02% | 167,717,536 | - | - | 38,972,045 | - | 206,689,581 |
| Sonaegest, SA | 20.00% | 159,615 | - | - | - | - | 159,615 |
| Sonaecenter, Serviços, SA | 100.00% | 1,496,231,545 | - | - | - | - | 1,496,231,545 |
| Sontel, BV | 35.87% | 240,141,099 | - | - | - | - | 240,141,099 |
| Total | 3,936,004,695 | - | - | 158,288,545 | - | 4,094,293,240 |
In previous years, the company recorded impairment losses on the following investments: Sontel BV (165,500,000 euro), Sonae Investments, BV (32,500,000 euro), Sonae RE, SA (3,089,000 euro) and Sonaecenter, Serviços, SA (341,000,000 euro).
As at 31 March 2017 and 31 December 2016 other investments are as follows:
| 31.March.2017 | |||||
|---|---|---|---|---|---|
| Companies | Opening balance |
Increase | Decrease | Changes in fair value |
Closing balance |
| Associação Escola Gestão Porto | 49,880 | - | - | - | 49,880 |
| Fundo de Investimento Imobiliário Fechado Imosede | 30,594,505 | - | - | 425,704 | 31,020,209 |
| Total | 30,644,385 | - | - | 425,704 | 31,070,089 |
| 31.December.2016 | |||||
| Companies | Opening balance |
Increase | Decrease | Changes in fair value |
Closing balance |
| Associação Escola Gestão Porto | 49,880 | - | - | - | 49,880 |
| Fundo Especial de Invest.Imob. Fechado Imosonae Dois | 2,546 | - | (2,546) | - | - |
| Fundo de Investimento Imobiliário Fechado Imosede | 29,564,649 | - | - | 1,029,856 | 30,594,505 |
| Total | 29,617,075 | - | (2,546) | 1,029,856 | 30,644,385 |
As at 31 March 2017 and 31 December 2016 other non-current assets are as follows:
| 31.March.2017 | 31.December.2016 | |
|---|---|---|
| Loans granted to group companies: | ||
| Sonae Investments, BV | 173,092,867 | 173,092,867 |
| 173,092,867 | 173,092,867 |
As at 31 March 2017 the loans granted to group companies, bear interest at market rates indexed to Euribor, have a long-term maturity and its fair value is similar to its carrying amount.
As at 31 March 2017 and 31 December 2016 trade accounts receivable and other current assets are detailed as follows:
| 31.March.2017 | 31.December.2016 | |
|---|---|---|
| Trade accounts receivable | 215,268 | 715,428 |
| Group companies | ||
| Dividends | 48,570,828 | - |
| Interests | - | 44,793 |
| Taxes - Special regime for taxation of groups of companies | 47,501,733 | 41,289,044 |
| Taxes and contributions receivable | 20,673,366 | 20,425,842 |
| Accrued income and prepayments | 2,031,447 | 2,760,665 |
| Others | 248,564 | 170,806 |
| Total | 119,241,206 | 65,406,578 |
The amount recorded in the caption taxes-special regime for taxation of groups corresponds to the tax estimate calculated by the companies taxed under the Special Regime for Taxation of Corporate Groups, of which the Company is the dominant company.
Loans granted to group companies return interest at variable market rates indexed to Euribor and have a maturity of less than one year.
As at 31 March 2017 and 31 December 2016 cash and cash equivalents are detailed as follows:
| 31.March.2017 | 31.December.2016 | |
|---|---|---|
| Cash at hand | 2,433 | 2,233 |
| Bank deposits | 74,190 | 948,653 |
| Cash and cash equivalents on the balance sheet | 76,623 | 950,886 |
| Cash and cash equivalents on the cash flow statement | 76,623 | 950,886 |
As at 31 March 2017 and 31 December 2016 share capital consisted of 2,000,000,000 ordinary shares of 1 euro each.
As at 31 March 2017 and 31 December 2016, loans are made up as follows:
| 31.March.2017 | 31.December.2016 | |
|---|---|---|
| Bonds Sonae, SGPS 2015/2022 | 100,000,000 | 100,000,000 |
| Bonds Sonae, SGPS 2016/2023 | 60,000,000 | 60,000,000 |
| Up-front fees not yet charged to income statement | (1,539,158) | (1,638,448) |
| Bonds | 158,460,842 | 158,361,552 |
| Sonae SGPS - Commercial paper | 145,000,000 | 94,000,000 |
| Sonae SGPS - bank loans | 50,000,000 | 50,000,000 |
| Up-front fees not yet charged to income statement | (307,788) | (321,447) |
| Loans | 194,692,212 | 143,678,553 |
| Non-current loans | 353,153,054 | 302,040,105 |
| Sonae SGPS - Commercial paper | 107,846,000 | 162,000,000 |
| Loans | 107,846,000 | 162,000,000 |
| Current loans | 107,846,000 | 162,000,000 |
Under lines of credit and commercial paper programs with firm commitments, Sonae, SGPS had 104 million euro credit facilities available to meet its liquidity requirements as follows:
| Commitments of less than one year |
Commitments of more than one year |
|
|---|---|---|
| Agreed credit facilities amounts | 161,500,000 | 195,000,000 |
| Available credit facilities amounts | 53,654,000 | 50,000,000 |
The interest rate as at 31 March 2017 of the bonds and bank loans was, in average, 0.99% (0.95% as at 31 December 2016).
As at 31 March 2017 and 31 December 2016 the analysis of maturity of loans excluding the derived instruments having in consideration its nominal value is as follows:
| 31.March.2017 | 31.December.2016 | |
|---|---|---|
| N+1 | 107,846,000 | 162,000,000 |
| N+2 | 50,000,000 | - |
| N+3 | 3,000,000 | - |
| N+4 | 58,000,000 | 55,000,000 |
| N+5 | 33,000,000 | 59,000,000 |
| after N+5 | 211,000,000 | 190,000,000 |
As at 31 March 2017 and 31 December 2016, trade creditors and other current liabilities are detailed as follows:
| 31.March.2017 | 31.December.2016 | |
|---|---|---|
| Trade creditors | 370,803 | 545,724 |
| Group companies: | ||
| Loans | 41,884,000 | 38,642,000 |
| Taxes - Special regime for taxation of groups of companies | 66,202,255 | 53,092,883 |
| Taxes and contributions payable | 17,515,161 | 15,749,775 |
| Accrued expenses | 3,171,956 | 3,473,734 |
| Others | 80,596,565 | 187,803 |
| Total | 209,740,740 | 111,691,919 |
As at 31 March 2017 and 31 December 2016, contingent liabilities are detailed as follows:
| 31.March.2017 | 31.December.2016 | ||
|---|---|---|---|
| Guarantees given: | |||
| on tax claims | 142,932,296 | 142,932,296 | |
| on judicial claims | 70,766 | 70,766 | |
| Guarantees given in favour of subsidiaries | a) | 379,281,873 | 386,112,500 |
(a) Guarantees given to Tax Authorities in favour of subsidiaries to defer tax claims. The main tax claims for which guarantees were issued are disclosed in consolidated financial statements.
Balances and transactions with related parties are detailed as follows:
| Balance | 31.March.2017 | 31.December.2016 |
|---|---|---|
| Group companies | 59,807,779 | 52,150,959 |
| Jointly controlled companies | 37,661,284 | 420,628 |
| Other partners in group companies | 25,000 | 98,000 |
| Accounts receivable | 97,494,063 | 52,669,587 |
| Parent company | 42,124,060 | 688,281 |
| Group companies | 68,097,548 | 63,662,351 |
| Jointly controlled companies | - | 85 |
| Other partners in group companies | 5,875 | 6,615 |
| Accounts payable | 110,227,483 | 64,357,332 |
| Group companies | 173,092,867 | 173,092,867 |
| Loans granted | 173,092,867 | 173,092,867 |
| Group companies | 41,884,000 | 38,642,000 |
| Loans obtained | 41,884,000 | 38,642,000 |
| Transactions | 31.March.2017 | 31.March.2016 |
|---|---|---|
| Group companies | 40,000 | 549,404 |
| Jointly controlled companies | 438,643 | 52,388 |
| Other partners in group companies | 79,915 | 25,000 |
| Services rendered and other income | 558,558 | 626,792 |
| Parent company | 166,848 | 162,718 |
| Group companies | 361,033 | 358,819 |
| Other partners in group companies | 12,309 | 11,771 |
| Purchases and services obtained | 540,190 | 533,308 |
| Group companies | 806,118 | 7,381,817 |
| Interest income | 806,118 | 7,381,817 |
| Group companies | 212,161 | 1,005,748 |
| Interest expenses | 212,161 | 1,005,748 |
| Group companies | 11,179,728 | 11,181,258 |
| Jointly controlled companies | 37,391,100 | - |
| Dividend income (Note 14) | 48,570,828 | 11,181,258 |
All Sonae, SGPS, SA subsidiaries, associates and joint ventures are considered related parties and are identified in Consolidated Financial Statements. All Efanor Investimentos, SGPS, SA (parent company), subsidiaries, including the ones of Sonae Indústria, SGPS, SA and of Sonae Capital, SGPS, SA (other partners in group companies) are also considered related parties.
As at 31 March 2017 and 2016, investment income can be detailed as follows:
| 31.March.2017 | 31.March.2016 | |
|---|---|---|
| Dividends | 48,570,828 | 11,181,258 |
| 48,570,828 | 11,181,258 | |
Dividends were distributed from Sonae Investimentos, SGPS, SA (11,123,853 euro), Sonaegest, SA (55,875 euro) and Sonae Sierra, SGPS, SA (37,391,100) euro.
Earnings per share for the period were calculated taking into consideration the following amounts:
| 31.March.2017 | 31.March.2016 | |
|---|---|---|
| Net profit | ||
| Net profit taken into consideration to calculate basic earnings per share (Net profit for the period) |
46,992,821 | 12,049,874 |
| Effect of dilutive potential shares | - | - |
| Interests related to convertible bonds (net of tax) | - | - |
| Net profit taken into consideration to calculate diluted earnings per | ||
| share: | 46,992,821 | 12,049,874 |
| Number of shares | ||
| Weighted average number of shares used to calculate basic earnings | 2,000,000,000 | 1,999,862,141 |
| Effect of dilutive potential ordinary shares from convertible bonds | - | - |
| Outstanting shares related with deferred performance bonus | 1,149,412 | 1,324,728 |
| Number of shares that could be acquired at average market price | (961,384) | (786,361) |
| Weighted average number of shares used to calculate diluted earnings per | ||
| share | 2,000,188,028 | 2,000,400,507 |
| Profit/(Loss) per share | ||
| Basic | 0.023496 | 0.006025 |
| Diluted | 0.023494 | 0.006024 |
At the General Meeting of Shareholders held on 28 April 2017, a resolution was taken to distribute dividends to shareholders in the amount of 80,000,000 euro (paying a gross dividend per share of 0.04 euro) less the total amount of dividends to be distributed to shares that may eventually be acquired by the Company or by any of its subsidiaries up to the distribution date. The amount to be paid is already considered in these financial statements.
The accompanying financial statements were approved by the Board of Directors and authorized for issue on 15 May 2017.
Decree-Law nr 318/94 art 5 nr 4
During the period ended 31 March 2017 short-term loan contracts were entered into with the following companies:
Sonae Investimentos, SGPS, SA
Sonaecom, SGPS, SA
As at 31 March 2017, amounts owed by subsidiaries can be summarized as follows:
| Closing Balance | |
|---|---|
| Sonae Investments, BV | 173,092,867 |
| Total | 173,092,867 |
As at 31 March 2017 amounts owed to subsidiaries can be summarized as follows:
| Closing Balance | |
|---|---|
| Sonaecenter Serviços, SA | 32,775,000 |
| Sonae RE, SA | 1,576,000 |
| Sontel, BV | 7,533,000 |
| Total | 41,884,000 |
Duarte Paulo Teixeira de Azevedo
Ângelo Gabriel Ribeirinho dos Santos Paupério
Andrew Eustace Clavering Campbell
Christine Cross
Dag Johan Skattum
José Manuel Neves Adelino
Marcelo Faria de Lima
Margaret Lorraine Trainer
Tsega Gebreyes
This document may contain forward-looking information and statements, based on management's current expectations or beliefs. Forward-looking statements are statements that should not be regarded as historical facts.
These forward-looking statements 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, including, but not limited to, changes in regulation, industry and economic conditions; and the effects of competition. Forward-looking statements may be identified by words such as "believes," "expects," "anticipates," "projects," "intends," "should," "seeks," "estimates," "future" or similar expressions.
Although these statements reflect our current expectations, which we believe are reasonable, investors and analysts, and generally all recipients of this document, are cautioned that forward-looking information and statements are subject to various risks and uncertainties, many of which are difficult to predict and generally beyond our control, that could cause actual results and developments to differ materially from those expressed in, or implied or projected by, the forward-looking information and statements. You are cautioned not to put undue reliance on any forward-looking information or statements. We do not undertake any obligation to update any forward-looking information or statements.
Report available at Sonae's institutional website www.sonae.pt
Patrícia Vieira Pinto Head of Investor Relations [email protected] Tel.: + 351 22 010 4794
Catarina Oliveira Fernandes Head of Communications, Brand and Corporate Responsibility [email protected] Tel.: + 351 22 010 4775
Maria João Oliveira External Communication [email protected] Tel.: + 351 22 010 4745
Sonae Lugar do Espido Via Norte 4471-909 Maia Portugal Tel.: +351 22 948 7522
SONAE is listed on the Euronext Stock Exchange. Information may also be accessed on Reuters under the symbol SONP.IN and on Bloomberg under the symbol SON PL
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