Impact of the spin-off on free shares grants
On January 30, 2024, the resolution proposed by the Board of Directors to approve the exceptional distribution in kind of one Pluxee share for every Sodexo share held was adopted by a very large majority.
As a result of the spin-off, it was proposed to Sodexo shareholders, to acknowledge that the rights of beneficiaries of free share plans whose Sodexo shares have not been delivered on the completion date of the spin-off in accordance with the relevant plan rules (the “Performance Shares”) will be preserved. For free share plans under which Sodexo shares are to be delivered after the completion date of the spin-off in accordance with the relevant plan rules, the Sodexo Board of Directors made adjustments to the rights of beneficiaries of Performance Shares referring to the principles stipulated in Article R. 228-91 of the Commercial Code, to be delivered after the completion date of the spin-off by multiplying the number of each Performance Shares by the following ratio:
Value of the Sodexo share before the In-Kind Distribution / (Value of the Sodexo share before the In-Kind Distribution - Amount of the In- Kind Distribution per share), giving an adjustment ratio of 138,14%,
The 1,308,936 Sodexo shares initially granted and to be acquired were adjusted and amount to 1,806,562 Sodexo Shares following the spin-off. This adjustment did not result in granting an additional benefit to employees and therefore had no impact on the Group's IFRS 2 expense.
The key consolidated income statement items of Pluxee (ex-Benefits & Rewards Services activity) classified as discontinued operations are the following:
| (in million euros) | 5 FIRST MONTH FISCAL 2024 | FISCAL 2023 |
|---|---|---|
| Revenue | Revenue5 FIRST MONTH FISCAL 2024508 | RevenueFISCAL 20231,099 |
| Cost of sales | Cost of sales5 FIRST MONTH FISCAL 2024(149) | Cost of salesFISCAL 2023(334) |
| Gross profit | Gross profit5 FIRST MONTH FISCAL 2024359 | Gross profitFISCAL 2023765 |
| Underlying operating profit | Underlying operating profit5 FIRST MONTH FISCAL 2024190 | Underlying operating profitFISCAL 2023364 |
| Net other operating income/(expenses) | Net other operating income/(expenses) 5 FIRST MONTH FISCAL 2024(158) |
Net other operating income/(expenses) FISCAL 2023(30) |
| Recycling of currency translation adjustment reserves | Recycling of currency translation adjustment reserves5 FIRST MONTH FISCAL 2024(540) | Recycling of currency translation adjustment reservesFISCAL 2023— |
| Operating profit | Operating profit5 FIRST MONTH FISCAL 2024(508) | Operating profitFISCAL 2023334 |
| Financial income (expense) | Financial income (expense) 5 FIRST MONTH FISCAL 2024(8) |
Financial income (expense) FISCAL 2023(18) |
| Net profit before tax | Net profit before tax5 FIRST MONTH FISCAL 2024(516) | Net profit before taxFISCAL 2023316 |
| Income tax expense | Income tax expense 5 FIRST MONTH FISCAL 2024(52) |
Income tax expense FISCAL 2023(80) |
| Net profit | Net profit5 FIRST MONTH FISCAL 2024(568) | Net profitFISCAL 2023236 |
The key consolidated cash flow statement items of Pluxee (ex-Benefits & Rewards Services activity) classified as discontinued operations are the following:
| (in million euros) | 5 FIRST MONTH FISCAL 2024 | FISCAL 2023 |
|---|---|---|
| Operating profit | Operating profit5 FIRST MONTH FISCAL 2024(508) | Operating profitFISCAL 2023334 |
| Adjustments | Adjustments 5 FIRST MONTH FISCAL 202478 |
Adjustments FISCAL 2023(33) |
| Recycling of currency translation adjustment reserves | Recycling of currency translation adjustment reserves5 FIRST MONTH FISCAL 2024540 | Recycling of currency translation adjustment reservesFISCAL 2023— |
| Operating cashflow | Operating cashflow5 FIRST MONTH FISCAL 2024110 | Operating cashflowFISCAL 2023301 |
| Change in vouchers payables | Change in vouchers payables 5 FIRST MONTH FISCAL 2024409 |
Change in vouchers payables FISCAL 2023114 |
| Change in financial assets related to the Benefits & Rewards Services activity | Change in financial assets related to the Benefits & Rewards Services activity 5 FIRST MONTH FISCAL 2024(111) |
Change in financial assets related to the Benefits & Rewards Services activity FISCAL 2023(100) |
| Other components of net change in working capital from operating activities | Other components of net change in working capital from operating activities 5 FIRST MONTH FISCAL 2024(236) |
Other components of net change in working capital from operating activities FISCAL 2023153 |
| Net cash provided by operating activities | Net cash provided by operating activities5 FIRST MONTH FISCAL 2024172 | Net cash provided by operating activitiesFISCAL 2023468 |
| Net capital expenditure | Net capital expenditure 5 FIRST MONTH FISCAL 2024(57) |
Net capital expenditure FISCAL 2023(115) |
| Other investing activities | Other investing activities 5 FIRST MONTH FISCAL 202464 |
Other investing activities FISCAL 2023(6) |
| Net cash outflow of the Benefits & Rewards Services activity at date of distribution | Net cash outflow of the Benefits & Rewards Services activity at date of distribution5 FIRST MONTH FISCAL 2024(1,747) | Net cash outflow of the Benefits & Rewards Services activity at date of distributionFISCAL 2023— |
| Net cash used in investing activities | Net cash used in investing activities5 FIRST MONTH FISCAL 2024(1,740) | Net cash used in investing activitiesFISCAL 2023(121) |
| Dividends paid | Dividends paid 5 FIRST MONTH FISCAL 2024— |
Dividends paid FISCAL 2023(140) |
| Net proceed of borrowings(1) | Net proceed of borrowings (1)5 FIRST MONTH FISCAL 20241,071 |
Net proceed of borrowings (1)FISCAL 2023(14) |
| Other financial activities | Other financial activities 5 FIRST MONTH FISCAL 2024(6) |
Other financial activities FISCAL 2023120 |
| Net cash provided by (used in) financing activities | Net cash provided by (used in) financing activities5 FIRST MONTH FISCAL 20241,065 | Net cash provided by (used in) financing activitiesFISCAL 2023(34) |
| Net effect of exchange rates and other effects on cash | Net effect of exchange rates and other effects on cash 5 FIRST MONTH FISCAL 2024(26) |
Net effect of exchange rates and other effects on cash FISCAL 2023(34) |
| Net effect on cash from internal transactions(2) | Net effect on cash from internal transactions (2)5 FIRST MONTH FISCAL 2024(676) |
Net effect on cash from internal transactions (2)FISCAL 2023(17) |
| Change in cash and cash equivalents | Change in cash and cash equivalents5 FIRST MONTH FISCAL 2024(1,205) | Change in cash and cash equivalentsFISCAL 2023262 |
| Net cash and cash equivalents, beginning of the period | Net cash and cash equivalents, beginning of the period5 FIRST MONTH FISCAL 20241,205 | Net cash and cash equivalents, beginning of the periodFISCAL 2023943 |
| Net cash and cash equivalents, end of the period | Net cash and cash equivalents, end of the period5 FIRST MONTH FISCAL 2024— | Net cash and cash equivalents, end of the periodFISCAL 20231,205 |
(1) Of which a bridge loan of 1.1 billion euros used to refinance the debt to the Group before the spin-off, existing as of August 31, 2023.
(2) Corresponds mainly to the repayment of the loans and borrowings to Sodexo. 4 Consolidated financial statements Notes to the consolidated financial statements
