Consolidated financial statements

Consolidated Income statement

 31.12.2016of which,
related parties
31.12.2015of which,
related parties
Revenue 1,327,386 92,118 1,383,837 73,202
Other operating income 21,256 1,300 24,758 4,151
Purchases (354,006) (23,648) (351,875) (12,477)
Services (500,283) (41,339) (561,014) (44,282)
Personnel expense (332,338) - (321,676) -
Amortisation, depreciation and impairment losses (18,325) - (18,725) -
Other operating expense (21,507) (4) (24,584) -
Changes in finished goods, work-in-progress and semi-finished products (513) - (264) -
(-) Internal work capitalised 5,131 - 5,312 -
Operating profit 126,801   135,769  
Financial income 12,441 - 30,840 221
Financial expense (26,938) - (35,221) -
Share of profits (losses) of equity-accounted investees 4,345 - 5,324 -
Profit (loss) 116,649   136,712  
Income taxes (38,746) - (43,676) -
Profit for the year 77,903   93,036  
  attributable to the owners of the parent 77,968 93,228
  attributable to non-controlling interests (65) (192)
Earnings per share    
Basic and diluted 0.39 0.47

Consolidated Statement of comprehensive income

 €’000) 31.12.201631.12.2015
Profit for the year 77,903 93,036
Items that will not be reclassified to profit or loss:
- Actuarial gains (losses) on defined benefit plans (2,091) 633
- Income tax 703 (184)
  (1,388) 449
Items that will or may be reclassified to profit or loss:
- Net change in fair value of cash flow hedges 4,511 (5,484)
- Net exchange rate gains 7,718 23,667
- Income tax (1,767) 1,640
  10,463 19,823
Other comprehensive income, net of taxes 9,074 20,272
Comprehensive income for the year 86,977 113,308
Attributable to:
- the owners of the parent 87,063 113,535
- non-controlling interests (86) (227)

Consolidated Statement of financial position

 (€’000) 31.12.2016of which, related parties31.12.2015of which, related
parties
ASSETS        
Non-current assets        
Intangible assets 49,262 - 51,546 -
Property, plant and equipment 85,198 - 87,012 -
Equity investments 73,047 - 69,041 -
Loans and receivables 45,485 25,522 41,832 21,211
Deferred tax assets 41,324 - 39,487 -
Other non-current assets 16,090 - 18,332 -
  310,406   307,250  
Current assets        
Inventories 125,067 - 121,217 -
Contract work in progress 358,865 - 346,353 -
Trade receivables 728,852 62,376 663,558 58,952
Tax assets 22,649 - 26,378 -
Loan assets 34,233 267 38,496 563
Other current assets 84,604 4 91,930 4
Cash and cash equivalents 305,586 - 304,306 -
  1,659,856   1,592,238  
Total assets 1,970,262   1,899,488  
EQUITY AND LIABILITIES        
Equity        
Share capital 100,000 - 100,000 -
Reserves 607,626 - 554,787 -
Equity attributable to the owners of the parent 707,626   654,787  
Equity attributable to non-controlling interests 220 - 306 -
Total equity 707,846   655,093  
Non-current liabilities        
Employee benefits 36,048 - 33,155 -
Deferred tax liabilities 12,175 - 10,365 -
Other non-current liabilities 12,908 - 11,792 -
  61,131   55,312  
Current liabilities        
Progress payments and advances from customers 598,012 - 635,785 -
Trade payables 458,119 19,671 415,973 25,247
Loans and borrowings 1,780 - 4,128 2,500
Tax liabilities 8,978 - 10,816 -
Provisions for risks and charges 14,040 - 11,126 -
Other current liabilities 120,356 410 111,255 402
  1,201,285   1,189,083  
Total liabilities 1,262,416   1,244,395  
Total liabilities and equity 1,970,262   1,899,488  

Consolidated Statement of cash flows

 (€’000)31.12.2016of which, related parties31.12.2015of which, related parties
Cash flows from operating activities        
Profit ofr the year 77,903 - 93,036 -
Share of profits (losses) of equity-accounted investees (4,345) - (5,324) -
Income taxes 38,746 - 43,676 -
Italian post-employment and other employee benefits 787 - 613 -
Stock grant plans 4,731 - 1,891 -
Net gains on the sale of assets 71 - 87 -
Net financial income 14,497 - 4,381 -
Amortisation, depreciation and impairment losses 18,325 - 18,725 -
Accruals to/reversals of provisions for risks 4,814 - 2,344 -
Other operating income/expense 3,118 - 7,802 -
Write-downs/reversals of write-downs of inventories and work in progress (4,498) - (5,223) -
Cash flows from operating activities 154,149   162,008  
Inventories (2,981) - (14,223) -
Work in progress and progress payments and advances from customers (63,094) - (28,366) -
Trade receivables and payables (17,077) (2,152) 51,483 (54,318)
Changes in working capital (83,152)   8,894  
Changes in other operating items 17,041 8 (33,747) 4,377
Net financial items (13,388) - (1,749) -
Taxes paid (20,928) - (33,003) -
Cash flows generated (used in) from operative activities: 53,722   102,403  
Cash flows from investing activities:        
Investments in property, plant and equipment and intangible assets and others (15,812) - (14,764) -
Sales of property, plant and equipment and intangible assets and others 3,278 - 2,011 -
Acquisition of equity investments, net of cash acquired - - 4,000 -
Sales of equity investments (39) - 19 -
Cash flows used for strategic transactions (2,100) - (15,092) -
Cash flows used in investing activities (14,673)   (23,826)  
Cash flows from financing activities:        
Net change in other financing activities (1,290) (2,796) (18,027) (12,464)
Dividends paid (36,000) - (30,000) -
Cash flows from (used in) financing activities (37,290)   (48,027)  
Net increase in cash and cash equivalents 1,759 - 30,550 -
Net exchange rate gains (479) - 3,689 -
Opening cash and cash equivalents 304,306 - 270,067 -
Closing cash and cash equivalents 305,586   304,306  

Consolidated Statement of changes in equity

Changes in equity are shown in the following table:

(€’000)Share capital Retained
earnings and
consolidation
reserves
Hedging reserveStock
grant
reserve
Translation reserveOther reserveEquity
attributable
to the
owners of
the parent
Equity
attributable to
non-controlling
interests
Total
Equity at 1 January 2015 99,999 445,581 4,015 4,262 3,458 16,329 573,644 1,278 574,922
Reclassification from/to reserves - 64 - (64) - - - - -
Change in consolidation scope - (4,368) - - 1,562 - (2,805) 11 (2,795)
Net change in stock grant reserve - - - 413 - - 413 - 413
Other comprehensive income (expense), net of taxes - - (5,484) - 23,702 2,089 20,307 (35) 20,272
Allocation of profit for the year to the legal reserve - - - - - - - - -
Dividends - (30,000) - - - - (30,000) (755) (30,755)
Net change in treasury shares 1 (1) - - - - - - -
Other changes - - - - - - - - -
Profit for the year ended 31 December 2015 - 93,228 - - - - 93,228 (192) 93,036
Equity at 31 December 2015 100,000 504,504 (1,469) 4,611 28,722 18,418 654,787 306 655,093
Equity at 1 January 2016 100,000 504,504 (1,469) 4,611 28,722 18,418 654,787 306 655,093
Reclassification from/to reserves - - - - - - - - -
Change in consolidation scope - (2,022) - - 293 - (1,728) - (1,728)
Net change in stock grant reserve   - 3,504 - - 3,504 - 3,504
Other comprehensive income (expense), net of taxes  - - 4,511 - 7,739 (3,155) 9,096 (21) 9,074
Allocation of profit for the year to the legal reserve - - - - - - - - -
Dividends - (36,000) - - - - (36,000) - (36,000)
Net change in treasury shares - - - - - - - - -
Other changes - - - - - - - - -
Profit for the year ended 31 - - - - - - - -  
December 2016 - 77,968 - - - - 77,968 (65) 77,903
Equity at 31 December 2016                       100 544,451 3,042 8,115 36,755 15,263 707,626 220 707,846