Universal Registration Document Fiscal 2025

FAIR VALUE LEVEL 3

VALUATION OF OTHER INVESTMENTS IN NON-CONSOLIDATED COMPANIES AND CONVERTIBLE BONDS

The fair value of the capital investment held in the form of ordinary shares which are not listed on an active market (financial assets measured at fair value (level 3) through other comprehensive income) was estimated either based on the enterprise value assessed by applying a discounted cash flow method using available financial forecasts, or based on previous transaction prices or using the peers multiple method. The fair value of convertible bonds was determined by discounting the financial flows with the market rate determined on August 31, 2025, and by adding the optional component estimated using a financial option valuation method based on the Black-Scholes-Merton model.

The Group has analyzed the sensitivity of the fair value of significant investments and convertible bonds to the main financial and operational assumptions:

• the sensitivity of the fair value of the ordinary shares to a 50 basis point change in the discount rate is -19 million euros (increase in rate) and +21 million euros (decrease in rate);
• the sensitivity of the fair value of the ordinary shares to a 50 basis point change in the long-term growth rate is -17 million euros (decrease in rate) and +20 million euros (increase in rate);
• the sensitivity of the fair value of the ordinary shares to a 50 basis point change in EBITDA margin over the time period of the business plans and on normative free cash flow is +/-12 million euros;
• the sensitivity of the fair value of the convertible bonds to a 100 basis point change in the interest market rate is +/-4 million euros.

NOTE 13. FINANCIAL RISK MANAGEMENT OBJECTIVES AND POLICY

The policies approved by the Board of Directors, the Chairwoman and CEO and the Group Chief Financial Officer are designed to prevent speculative positions. Furthermore, under these policies:

• substantially all borrowings must be at fixed rates of interest, or converted to fixed-rate using hedging instruments;
• in the context of financing policy, foreign exchange risk on loans to subsidiaries must be hedged;
• the maturity of hedging instruments must not exceed the maturity of the borrowings they hedge.

13.1 Analysis of sensitivity to changes in interest rates

As of August 31, 2025, an increase or a decrease in interest rates would have had no material impact on profit before tax or on shareholders’ equity as 95% of all liabilities at those dates were at a fixed rate of interest (94% as of August 31, 2024).

13.2 Analysis of sensitivity to changes in foreign exchange rates

Because Sodexo has operations in 43 countries, all components of the financial statements are influenced by foreign currency translation effects, and in particular by fluctuations in the U.S. dollar. However, exchange rate fluctuations do not generate any operational risk, because each of the Group’s subsidiaries invoices its revenues and incurs its expenses in the same currency.

Sodexo S.A. uses derivative instruments to manage the Group’s risk exposure resulting from the volatility of exchange rates.

SENSITIVITY TO CHANGES IN EXCHANGE RATES – PRINCIPAL CURRENCIES