Any residual difference between the fair value of the consideration transferred (for example the amount paid), increased by the amount of the non-controlling interest in the acquired company (measured either at fair value or its share in the fair value of the identifiable net assets acquired) and the fair value as of the date of acquisition of the assets acquired and liabilities assumed, is recognized as goodwill in the statement of financial position.
Goodwill is analyzed per operating segment for On-site Services activity, as reflected in the new Group’s organizational structure (see notes 1.1 and 4.1):
Principles applicable to the accounting of business combinations are described in the note 3.1 “Business combination”.
Goodwill is not amortized but is subject to impairment tests immediately if there are indicators of impairment, and at least once per year. Impairment test procedures are described in note 6.4 “Impairment of non-current assets”. Goodwill impairment charges recognized in the income statement are irreversible.
Changes in goodwill during the fiscal year were as follows:
| (in million euros) | SEPTEMBER 1, 2022 | INCREASES | DECREASE | IMPAIRMENT | RECLASSIFICATIONS(1) | CURRENCY TRANSLATION ADJUSTMENT AND OTHER | AUGUST 31, 2023 |
|---|---|---|---|---|---|---|---|
| North America | North AmericaSEPTEMBER 1, 20222,662 | North America INCREASES — |
North America DECREASE — |
North America IMPAIRMENT — |
North America RECLASSIFICATIONS (1)(40) |
North America CURRENCY TRANSLATION ADJUSTMENT AND OTHER (216) |
North America AUGUST 31, 20232,406 |
| France | France SEPTEMBER 1, 2022505 |
France INCREASES 10 |
France DECREASE — |
France IMPAIRMENT — |
France RECLASSIFICATIONS (1)— |
France CURRENCY TRANSLATION ADJUSTMENT AND OTHER — |
France AUGUST 31, 2023 515 |
| United Kingdom & Ireland | United Kingdom & Ireland SEPTEMBER 1, 2022671 |
United Kingdom & Ireland INCREASES 8 |
United Kingdom & Ireland DECREASE — |
United Kingdom & Ireland IMPAIRMENT — |
United Kingdom & Ireland RECLASSIFICATIONS (1)(10) |
United Kingdom & Ireland CURRENCY TRANSLATION ADJUSTMENT AND OTHER 2 |
United Kingdom & Ireland AUGUST 31, 2023 670 |
| Continental Europe | Continental Europe SEPTEMBER 1, 2022799 |
Continental Europe INCREASES — |
Continental Europe DECREASE — |
Continental Europe IMPAIRMENT — |
Continental Europe RECLASSIFICATIONS (1)(13) |
Continental Europe CURRENCY TRANSLATION ADJUSTMENT AND OTHER (33) |
Continental Europe AUGUST 31, 2023 754 |
| Europe | EuropeSEPTEMBER 1, 20221,975 | Europe INCREASES 18 |
Europe DECREASE — |
Europe IMPAIRMENT — |
Europe RECLASSIFICATIONS (1)(23) |
Europe CURRENCY TRANSLATION ADJUSTMENT AND OTHER (31) |
Europe AUGUST 31, 20231,939 |
| Asia-Pacific, Middle East & Africa | Asia-Pacific, Middle East & Africa SEPTEMBER 1, 2022703 |
Asia-Pacific, Middle East & Africa INCREASES 3 |
Asia-Pacific, Middle East & Africa DECREASE — |
Asia-Pacific, Middle East & Africa IMPAIRMENT — |
Asia-Pacific, Middle East & Africa RECLASSIFICATIONS (1)— |
Asia-Pacific, Middle East & Africa CURRENCY TRANSLATION ADJUSTMENT AND OTHER (77) |
Asia-Pacific, Middle East & Africa AUGUST 31, 2023 629 |
| Latin America | Latin America SEPTEMBER 1, 2022379 |
Latin America INCREASES — |
Latin America DECREASE — |
Latin America IMPAIRMENT — |
Latin America RECLASSIFICATIONS (1)— |
Latin America CURRENCY TRANSLATION ADJUSTMENT AND OTHER (5) |
Latin America AUGUST 31, 2023 374 |
| Brazil | Brazil SEPTEMBER 1, 2022229 |
Brazil INCREASES — |
Brazil DECREASE — |
Brazil IMPAIRMENT — |
Brazil RECLASSIFICATIONS (1)(2) |
Brazil CURRENCY TRANSLATION ADJUSTMENT AND OTHER (7) |
Brazil AUGUST 31, 2023 220 |
| Rest of the World | Rest of the WorldSEPTEMBER 1, 20221,311 | Rest of the World INCREASES 3 |
Rest of the World DECREASE — |
Rest of the World IMPAIRMENT — |
Rest of the World RECLASSIFICATIONS (1)(2) |
Rest of the World CURRENCY TRANSLATION ADJUSTMENT AND OTHER (89) |
Rest of the World AUGUST 31, 20231,223 |
| ON-SITE SERVICES TOTAL | ON-SITE SERVICES TOTALSEPTEMBER 1, 20225,948 | ON-SITE SERVICES TOTAL INCREASES 21 |
ON-SITE SERVICES TOTAL DECREASE — |
ON-SITE SERVICES TOTAL IMPAIRMENT — |
ON-SITE SERVICES TOTAL RECLASSIFICATIONS (1)(65) |
ON-SITE SERVICES TOTAL CURRENCY TRANSLATION ADJUSTMENT AND OTHER (336) |
ON-SITE SERVICES TOTAL AUGUST 31, 20235,568 |
| BENEFITS & REWARDS SERVICES (Pluxee)(1) | BENEFITS & REWARDS SERVICES (Pluxee)(1)SEPTEMBER 1, 2022663 | BENEFITS & REWARDS SERVICES (Pluxee)(1) INCREASES — |
BENEFITS & REWARDS SERVICES (Pluxee)(1) DECREASE — |
BENEFITS & REWARDS SERVICES (Pluxee)(1) IMPAIRMENT — |
BENEFITS & REWARDS SERVICES (Pluxee)(1) RECLASSIFICATIONS (1)(663) |
BENEFITS & REWARDS SERVICES (Pluxee)(1) CURRENCY TRANSLATION ADJUSTMENT AND OTHER — |
BENEFITS & REWARDS SERVICES (Pluxee)(1) AUGUST 31, 2023— |
| TOTAL | TOTALSEPTEMBER 1, 20226,611 | TOTAL INCREASES 21 |
TOTAL DECREASE — |
TOTAL IMPAIRMENT — |
TOTAL RECLASSIFICATIONS (1)(728) |
TOTAL CURRENCY TRANSLATION ADJUSTMENT AND OTHER (336) |
TOTAL AUGUST 31, 20235,568 |
(1) The reclassifications made during the financial year mainly correspond to the goodwill allocated to the Benefits & Rewards Services activity (Pluxee), classified as assets held for sale or for distribution (see note 3.2).
