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AnnuAl report 2012
ORDINARYEBIT
20122011
(EUR million)
0
100
200
300
400
500
600
700
556+12% 624
EBITDA (EUR million)
2011 2012
1,124 1,168
0
200
400
600
800
1,000
1,200
1,400+4%
Figures from the “Restated consolidated financial statements”.
Net revenues (EUR million)
2011 2012
5,070 5,097
0
1,000
2,000
3,000
4,000
5,000
6,000 +1%
32
AnnuAl report 2012
Netconsolidated result (EUR million)
2011 2012
Net consolidated result Comprehensive income (Stat. of Perform. - IAS 1)
86142139
270
0
200
400
EBT (EUR million)
372 443
(214) (167)
158276
(400)
(200)
0
200
400
600
2011 2012
EBT (A+B)Ordinary EBT (A) No - ordinary EBT (B)
Financialstructure
31.12.2011 31.12.2012
(EUR million)
Group Shareholders' Equity Net financial position
5,000
4,000
3,000
1,000
2,000
0
-2,000
-1,000
-3,000
-5,000
-4,000
(4,296) (4,124)
2,501 2,443
Figures from the “Restated consolidated financial statements”.
54
AnnuAl report 2012
PUBLISHING
this is the Group’s traditional business, and is organised by
business unit, based on the nature of products provided and
the channels used by type of activity.
publishing activities are currently structured by business
area, as described below:
• Partworks, which includes Italian and international
partworks activities, coordinated by De Agostini
publishing; in this area the Group produces collections –
sold through newsstands and on subscription - aimed at
various target markets. they are also marketed on new
digital applications (online, iphone and ipad).
• Direct Marketing, which includes activities managed via
editions Atlas France and editions Atlas Suisse; in this
area the Group operates with the product lines “print &
Collectibles”, “Consumables” and “Direct Sales”, and with
the “Atlas for Men” catalogue sales offered to customers
in various european countries by mail order and direct
sales.
• Books, which includes the traditional publishing
activities of Books, Cartography and School texts in
Italy, coordinated by De Agostini libri. In Books and
Cartography the Group operates through De Agostini
libri, which is active in general and illustrated books,
children’s books, maps and travel guides. In School texts,
the Group mainly operates on the Italian market under a
number of brands in the primary and secondary school,
university and dictionary segments. the Group withdrew
from the General reference business at the end of 2012.
the Group is also active in the Digital area, which
encompasses activities relating to theme–based tV channels
and a series of properties on digital platforms. Specifically,
the Group manages an offer for children with the theme-
based tV channels “DeA Kids” and “DeA Junior” on the Sky
satellite platform, and “Super!”, broadcast simultaneously
on free terrestrial tV and the Sky platform. In September
2012, the new, 100% high-definition channel “DeA Sapere”
was launched on the satellite platform, with a wide range of
broadcasts.
the sub-holding company for the Group’s publishing
activities is De Agostini Editore S.p.A. (De Agostini
editore), 100%-owned by De Agostini S.p.A., which together
with its Italian subsidiaries and associates also constitutes
the main company operating in the domestic market.
the publishing business of Grupo planeta-De Agostini, a
50:50 joint venture with planeta Corporación - a subsidiary
of De Agostini Communications following the merger of De
Agostini Communications (S.p.A.) with De Agostini S.p.A.
(previously B&D Holding di Marco Drago e C. S.a.p.a. -
and responsible for activities in Spain, portugal and latin
America, operates outside the De Agostini editore group
structure.
MEDIA & COMMUNICATION
this business includes the Group’s interests in the production
and distribution of content for television, cinema and other
media, and in broadcasting.
In 2007, the business started to expand its “content” via
a build-up process, which initially led to the acquisition of
controlling stakes in Magnolia and Marathon Group and
subsequently in Zodiak television (2008) and rDF (2010); all
investment made in the business – i.e. the total holdings in
Magnolia, Marathon Group, Zodiak television and rDF Media –
are now entirely owned by the holding company Zodiak
Media; at December 31, 2012, this was 80% owned by the De
Agostini Group, with the remaining 20% owned by institutional
investors and managers of the operating companies.
Following the merger by incorporation of De Agostini
Communications into De Agostini S.p.A. (previously B&D
Holding di Marco Drago e C. S.a.p.a.), the sub-holding
company for Media & Communication activities is DeA
Communications S.A. (DeA Communications, previously
nova Deuxième), which is wholly owned by De Agostini
S.p.A. (formerly B&D Holding di Marco Drago e C. S.a.p.a.);
at December 31, 2012, apart from the above-mentioned
Zodiak Media, the following companies were included in this
business:
• Antena 3, a Spanish national radio/tV broadcaster listed
on the Madrid stock market
• DeA Planeta, active in cinema and content distribution
in Spain.
Antena 3 and DeA planeta are subsidiaries of Grupo planeta-
De Agostini, a 50:50 joint venture with planeta Corporación.
54
AnnuAl report 2012
GAMING & SERVICES
the business comprises the Group’s activities in Gaming &
Services.
the sub-holding company for these activities is Lottomatica
Group S.p.A. (lottomatica), a company listed on the Milan
stock market and on the uS over-the-counter market as
part of the Sponsored level 1 American Depository receipt
(ADr) programme. lottomatica is controlled by De Agostini
S.p.A. directly and indirectly (through DeA partecipazioni).
De Agostini S.p.A. holds a majority stake of around 59.5%
in the company (at December 31, 2012).
lottomatica is the leading global player in the lottery sector
in terms of total receipts, and one of the main providers,
through its subsidiary GteCH, of technological solutions for
lotteries and games worldwide.
Lottomatica, the Group’s main operating company in Italy,
is active in the following businesses:
- Lotteries, as sole licence-holder of lotto and Gratta &
Vinci (scratch cards) concession in Italy, and manager of
on-line lotteries
- Sports betting, holding many licences for managing
sports betting (including horse racing), and on-line sports
betting
- Gaming machines, offering direct management of slot
machines (AWps) and video lottery terminals (Vlts) that
have been installed and connected to a central system
via a network
- Interactive gaming services, offering interactive
gaming services such as online poker and other skill
games
- Commercial Services, offering processing services for
high volumes of commercial transactions not connected
with lotteries, including top-up services for mobile
phones, usage payments, and ticket sales for music and
sporting events.
GTECH, lottomatica’s main subsidiary (100%-owned),
is the world’s leading operator in the provision of high-
security processing systems for online lotteries, and is
present in 60 countries. GteCH designs, sells and manages
a comprehensive range of terminals for lottery sales points
that are electronically linked to a centralised system. this
system acts as an intermediary between the sales points
where individual transactions are carried out, and the
competent lottery authorities. GTECH also provides instant
ticket-printing and related services. Its ongoing business
includes developing new systems for lotteries, granting new
gaming brands under licence to the regulatory authorities
in the various jurisdictions, and installing its entire range
of new lottery ticket distribution machines. In a growing
number of countries it also operates as a private manager,
under government supervision, of all lottery operations and
the main associated activities.
In addition, Lottomatica operates in the field of gaming
machines through its subsidiary Spielo International,
world leader in the supply of video lotteries, central systems
and games in north America and europe, as well as leading
supplier of video lotteries and games in the uS. It is also the
leading supplier of traditional and video slot machines and
leading producer of gaming systems in europe, Asia, latin
America and the uS for native American casinos, as well as
a supplier of slot machines and gaming software in europe.
through the Spielo International division, lottomatica
also supplies multi-channel gaming products and services,
including bingo, poker, casino games and quick games, as
well as solutions for processing transactions in real time and
It systems for the sports betting market.
lottomatica’s objective is to become the world’s leading
operator and provider of technology for the gaming market
by creating best-in-class products and services, while
maintaining the highest levels of commitment to integrity,
responsibility and the creation of shareholder value.
FINANCE
this business includes the activities carried out within the
Group in alternative investment, particularly private equity
investment and alternative asset management, or financial
investment activity in general.
• PRIVATE EQUITY INVESTMENT
• Direct investment in the services sector in Europe
and emerging europe. note in particular the strategic
shareholding in Générale de Santé, France’s leading
private healthcare provider, whose shares are listed on
76
AnnuAl report 2012
the paris Stock exchange, and the minority interest in
Migros, turkey’s biggest food retail chain, whose shares
are listed on the Istanbul Stock exchange
• Indirect investment in private equity funds of funds, co-
investment funds and theme funds
• ALTERNATIVE ASSET MANAGEMENT
• IDeA Capital Funds SGR, active in the management
of private equity funds, funds of funds, co-investment
funds and theme funds (with assets under management
totalling about eur 1.2 billion).
• IDeA FIMIT SGR, active in the management of real
estate funds (with around eur 9.4 billion assets under
management).
• IRE/IRE Advisory, which operates in project, property
and facility management, as well as real estate brokerage.
the sub-holding company for the De Agostini Group’s
Finance business is DeA Capital S.p.A. (DeA Capital), which
is listed on the FtSe Italia StAr segment of the Milan stock
exchange and is directly controlled by De Agostini S.p.A.
with a stake of around 58.3% at December 31, 2012.
the business also includes a minority shareholding (around
2.43% at December 31, 2012) in Assicurazioni Generali –
one of europe’s leading insurance companies listed on the
Milan stock exchange. 2.26% of the stake is held via DeA
partecipazioni (a company directly controlled by De Agostini
S.p.A., formerly B&D Holding di Marco Drago e C. S.a.p.a.)
and 0.17% by B&D Finance.
HOLDING COMPANY ACTIVITIES
Holding company activities are carried out by companies in
the holding company structure, which includes, as well
as new B&D Holding di Marco Drago e C. S.a.p.a., B&D
Finance and De Agostini S.p.A. (formerly B&D Holding di
Marco Drago e C. S.a.p.a.), other directly and indirectly
controlled companies; specifically, these activities relate to
the management of equity investments in the sub-holding
companies of the Group’s individual businesses, as well as its
interests in non-strategic equity investments and activities.
At December 31, 2012, the main companies in the holding
company structure were:
• B&D Finance, which – in addition to the 0.17% stake in
Assicurazioni Generali – holds other financial assets and
investments in funds
• DeA Partecipazioni, which holds 2.26% of the share
capital of Assicurazioni Generali (as well as an equity
investment in lottomatica)
• De Agostini Invest, which holds a number of
investments in non-strategic financial activities
• DeA Factor, which mainly carries out factoring of
receivables due to Group companies from third parties.
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AnnuAl report 2012
3.1 Restated consolidated financial statementsBelow is a summary of the Group’s key financial and
operating performance indicators, based on the restated
consolidated financial statements, prepared in accordance
with the principles mentioned in the section “Information
on the consolidated financial statements for the year ending
December 31, 2012”:
3. ANALYSIS OF THE GROUP’S OPERATING PERFORMANCE AND FINANCIAL POSITION
Million Euro 2012 2011
Change
Abs. %
Net revenues 5,097 5,070 27 1%
EBITDA 1,168 1,124 44 4%
Depreciation and other non monetary items (533) (518) (15)
Income/(loss) from equity investments (11) (50) 39
ORDINARY EBIT 624 556 68 12%
Net financial charges (181) (184) 3
ORDINARY EBT (A) 443 372 71 19%
Impairments - Assicurazioni Generali - (98) 98
other impairments (121) (99) (22)
other non recurring income/(charges) (46) (17) (29)
NON ORDINARY EBT (B) (167) (214) 47 n.a.
EBT (A+B) 276 158 118 75%
Income taxes (124) (65) (59) n.a.
net result from discontinued operations (10) (7) (3) n.a.
Net consolidated result 142 86 56 65%
Of which:
Net result pertaining to minorities 110 84 26 n.a
Net Group result 32 2 30 n.a.
Million Euro 31.12.2012 31.12.2011
Change
Abs. %
Net financial position (4,124) (4,296) 172 4%
Of which:
Games and services (2,523) (2,726) 203 7%
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AnnuAl report 2012
3.2 Operating performance
Net revenuesConsolidated net revenues for 2012 came in at eur 5,097
million, broadly in line with 2011 (eur 5,070 million), and are
broken down as follows:
the Publishing business posted net revenues of eur
1,252 million, a fall of eur 49 million (or around 3.8%)
compared with 2011, which mainly affected the partworks
(down eur 39 million) and Books (down eur 16 million)
business areas.
net revenues from Media & Communication came
in at eur 683 million, down eur 57 million on 2011
(approximately 7.7%), reflecting a smaller contribution
from both Zodiak Media and Antena 3.
Gaming & Services generated net revenues of eur
3,076 million, up eur 102 million on 2011 (+3.4%); this
improvement was mainly due to the positive performance
by GteCH lotteries and Spielo International.
net revenues for the Finance business rose by eur 34
million versus 2011, totalling eur 90 million for the
year. this was mainly due to fees from Alternative Asset
Management. When comparing the results of 2012 with
those of 2011, note the significant change in the scope
of consolidation of the Alternative Asset Management
business, which includes FIMIt SGr’s contribution from
3 october 2011 (the effective date of its integration with
FAre SGr).
EBITDAthe Group recorded eBItDA of eur 1,168 million for the
year ending December 31, 2012, a rise of eur 44 million
(+4%) compared with the previous year. this breaks down
as follows:
Net revenues
Million Euro 2012 % 2011 % Change
publishing 1,252 24,6% 1,301 25.7% (49)
Media & Communication 683 13,4% 740 14.6% (57)
Games and Services 3,076 60,3% 2,974 58.7% 102
Finance 90 1,8% 56 1.1% 34
Holding Companies 4 0,1% 3 0.1% 1
Consolidation adjustments/eliminations (8) -0,2% (4) -0.1% (4)
Consolidated Total 5,097 100,0% 5,070 100.0% 27
EBITDA
Million Euro 2012 % 2011 % Change
publishing 47 4.0% 33 2.9% 14
Media & Communication 63 5.4% 96 8.5% (33)
Games and Services 1,032 88.4% 970 86.3% 62
Finance 29 2.5% 56 5.0% (27)
Holding Companies 70 6.0% (31) -2.8% 101
Consolidation adjustments/eliminations (73) -6.3% - - (73)
Consolidated Total 1,168 100% 1,124 100% 44
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AnnuAl report 2012
the Publishing business reported eBItDA of eur 47
million, up eur 14 million compared with 2011, mainly due
to lower services costs and risk and impairment provisions.
note that both the 2012 and 2011 totals include charges
relating to restructuring plans.
eBItDA for the Media & Communication business was
eur 63 million, down eur 33 million compared with 2011,
due to the trends in net revenues reported earlier.
Games & Services posted eBItDA of eur 1,032 million,
up eur 62 million compared with 2011 (up approximately
6.4%), chiefly reflecting the growth of GTECH, Spielo
International and Gaming Machines in Italy, as well as
measures to rationalise operating costs in Italy and a positive
foreign exchange effect.
eBItDA for the Finance business was eur 29 million and
reflected both the contribution of DeA Capital’s activities
and the receipt of a cash dividend of eur 8 million from
Assicurazioni Generali (eur 17 million in 2011); the eur -27
million overall decrease on 2011 was due to the absence of
income from the distributions received by Kenan Investments
in 2011, partly in relation to the placement of Migros shares
(eur +28 million in 2011).
eBItDA from Holding company activities was eur 70
million, up eur 101 million on 2011. the change mainly
reflects higher dividends from the sub-holding companies
(eur 73 million compared with zero in 2011, but eliminated
at consolidated level), as well as the proceeds in 2012 from
the closing of the relative performance swap on shares of
Assicurazioni Generali (eur 29 million).
ORDINARY EBITthe group’s ordinary eBIt for the year ending December
31, 2012 was eur 624 million, after taking into account
depreciation/amortisation and other ordinary non-cash
items totalling eur 533 million and losses from investments
valued at equity totalling eur 11 million.
the improvement seen in orDInArY eBIt in 2012 compared
with 2011 (EUR +68 million), is chiefly due to the improvement
in eBItDA and lower net losses on shareholdings valued at
equity, partly offset by higher amortisation and depreciation
charges and other non-cash items.
ORDINARY EBIT
Million Euro 2012 2011 Change
EBITDA 1,168 1,124 44
Deprec., amort. and other non-cash items (533) (518) (15)
Income (loss) from equity investments (11) (50) 39
ORDINARY EBIT 624 556 68
Amortisation, depreciation and other ordinary non-cash
items break down as follows:
• EUR 271 million relating to amortisation and write-downs
of intangible assets (eur 269 million in 2011)
• EUR 262 million relating to amortisation and write-downs
of tangible assets (eur 249 million in 2011).
In 2012, the Group reported a loss of eur 11 million from
shareholdings valued at equity, compared with a loss of
EUR 50 million in 2011; both figures are broadly due to the
results of Santé, the parent Company of GDS and investee
company of DeA Capital S.p.A. (a loss of eur 11 million in
2012 versus a loss of eur 51 million in 2011).
1110
AnnuAl report 2012
Net profit/(loss)the table below shows the relationship between orDInArY
eBIt and consolidated net loss:
Net result
Million Euro 2012 2011 Change
ORDINARY EBIT 624 556 68
Financial income/(charges) (181) (184) 3
ORDINARY EBT (A) 443 372 71
Impairment on Assicurazioni Generali - (98) 98
other impairments (121) (99) (22)
other non recurring income/(charges) (46) (17) (29)
NON ORDINARY EBT (B) (167) (214) 47
EBT (A+B) 276 158 118
Income taxes (124) (65) (59)
net result from discontinued operations (10) (7) (3)
Net consolidated result 142 86 56
o/w:
Net result pertaining to minorities 110 84 26
Net Group result 32 2 30
ORDINARY EBT for 2012 showed a positive figure of EUR 443
million, compared with a positive figure of EUR 372 million in
2011, after taking into account net financial income of EUR
-180 million (largely unchanged compared with 2011).
A breakdown of the net financial income figure for 2012
(compared with the corresponding values for 2011) is as
follows:
• EUR -10 million relating to the Publishing business (EUR
-12 million in 2011)
• EUR -22 million relating to the Media & Communication
business (eur -21 million in 2011)
• EUR -154 million relating to the Gaming & Services
business (eur -157 million in 2011)
• EUR +5 million relating to holding company activities
(eur +6 million in 2011).
non-ordinary charges of eur 167 million in 2012 (versus eur
-214 million in 2011) were included in the non orDInArY
EBT figure. Note in particular the following items recorded
in 2012:
• Impairment of eur 121 million, including eur 78 million
relating to Media & Communication, eur 9 million
relating to Sigla luxembourg and eur 32 million relating
to financial assets/investments
• Other one-off income/(charges) of eur 46 million,
including eur 25 million for provisions of costs related
to share-based incentive plans in the holding company
structure.
the tax burden for 2012 was eur 124 million (compared
with eur 65 million in 2011).
“net loss from discontinued operations” was eur 10 million
in 2012 (compared with a loss of eur 7 million in 2011),
reflecting the contribution of UTET, the Centre Européen de
Formation (CeF) and some companies/business units that
formed part of Grupo planeta-De Agostini.
In 2012, “Net profit attributable to minorities” came to EUR
110 million, mainly reflecting:
• EUR -12 million relating to the pro-rated portion of the
net profit/(loss) of the Zodiak Media Group, previously
recorded at the consolidated level of the De Agostini
S.p.A. Group (previously B&D Holding di Marco Drago e
C. S.a.p.a.)
• EUR +127 million relating to the pro-rated portion of the
net profit/(loss) of the Lottomatica Group, including the
portion relating to lotterie nazionali, the holder of the
scratch cards concession
• EUR -5 million relating to the pro-rated portion of the
net profit/(loss) of the DeA Capital Group, previously
recorded at the consolidated level of the De Agostini
S.p.A. Group (previously B&D Holding di Marco Drago e
C. S.a.p.a.).
“Net profit attributable to the Group” came in at approximately
eur 32 million in 2012.
1110
AnnuAl report 2012
3.4 Balance sheet
the table below shows a summary of the Group’s key
balance sheet figures:
Million Euro 31.12.2012 31.12.2011 Change
Goodwill 3,891 3,982 (91)
other intangible assets 1,518 1,715 (197)
tangible assets 1,077 1,129 (52)
Investments 1,510 1,509 1
Cash and cash equivalents 792 567 225
other net assets 120 137 (17)
Total 8,908 9,039 (131)
Covered by:
Liabilities 4,830 4,900 (70)
Net Equity 4,078 4,139 (61)
GoodwillAt December 31, 2012, goodwill was eur 3,891 million
(eur 3,982 million at December 31, 2011), broken down
as follows:
• EUR 37 million attributable to the Publishing business (in
line with 2011), of which eur 34 million relates to School
texts, eur 1 million (after discounting an impairment of
approximately eur 2 million in 2012) to edizioni White
Star, control of which was acquired in 2011, and eur 1
million to Mutado, control of which was acquired in 2012.
• EUR 468 million relating to the Media & Communication
business (eur 513 million at December 31, 2011),
attributable to acquisitions in content production. the
change by comparison with December 31, 2011 reflects
foreign currency translation differences (eur +11
million), particularly on the goodwill of Zodiak television
and rDF Media, as well as impairment during the year
totalling eur 54 million.
• EUR 3,208 million relating to the Gaming & Services
business (eur 3,252 million at December 31, 2011), of
which eur 2,193 million relates to GteCH lotteries (eur
2,237 million at December 31, 2011) and eur 780 million
to Italian operations (eur 781 million at December 31,
2011); the overall decrease of eur 44 million compared
with December 31, 2011 is mainly attributable to foreign
currency translation differences on goodwill (eur -43
million).
3.3 Statement of Performance – IAS 1
A summary version of the Comprehensive Income or
the Statement of performance - IAS 1, is shown below.
It reports the net income for the year, including the
portion posted to the income statement and directly to
shareholders’ equity:
Statement of Performance - IAS 1
Million Euro 2012 2011
Net consolidated result (A) 142 86
Profits/(losses) relating to available-for-sale financial assets 180 (37)
Profits/(losses) on translating foreign operations (44) 94
Profits/(losses) on cash-flow hedge (15) (5)
Profits/(losses) on investments valued at equity 2 1
tax effect 5 -
Other comprehensive income/(loss) (B) 128 53
Total Comprehensive income/(loss) (A+B) 270 139
Of which:
Net profit/(loss) pertaining to minorities 120 113
Net Group profit/(loss) 150 26
The item “Profits/(losses) relating to available-for-sale
financial assets” posted a positive balance of EUR 180 million
in 2012, attributable to a positive fair value adjustment of
eur 97 million to the investment in Kenan Investments and
of eur 80 million to the investment in Assicurazioni Generali.
The item “Profits/(losses) on exchange rate differences”
largely reflects the effects of the translation into euro of
the financial statements of the Group’s companies that are
prepared in different currencies.
In summary, “Comprehensive income attributable to the
Group” came in at approximately eur 150 million in 2012,
up by 124 million compared to 2011.
1312
AnnuAl report 2012
• EUR 178 million relating to the Finance business (EUR
180 million at December 31, 2011), mainly in respect
of IdeA FIMIt (eur 146 million at December 31, 2012,
unchanged compared with December 31, 2011).
Other intangible assetsthe item “other intangible assets” includes intellectual
property rights, concessions, licences and trademarks as
well as other intangibles.
At December 31, 2012, “other intangible assets” totalled
eur 1,518 million (eur 1,715 million at December 31,
2011), comprising:
• EUR 40 million relating to the Publishing business (EUR
37 million at December 31, 2011)
• EUR 38 million relating to the Media & Communication
business (eur 57 million at December 31, 2011), the
main component of which was tV and cinema rights
• EUR 1,334 million relating to the Gaming & Services
business (eur 1,501 million December 31, 2011),
primarily for customer agreements, concessions, licences
and capitalised software
• EUR 106 million relating to the Finance business (EUR 120
million at December 31, 2011), chiefly due to customer
contracts for asset management, project management
and agency agreements relating to DeA Capital.
Amortisation and write-downs for the period stood at eur
271 million.
Tangible assetsAt December 31, 2012, tangible assets totalled eur 1,077
million (eur 1,129 million at December 31, 2011), which
break down as follows:
• real estate totalling EUR 76 million (EUR 87 million at
December 31, 2011)
• other tangible assets of EUR 1,001 million (EUR 1,042
million at December 31, 2011).
the item “real estate” (eur 76 million) comprises:
• EUR 25 million relating to the Publishing business (EUR
32 million at December 31, 2011)
• EUR 3 million relating to the Media & Communication
business (eur 4 million at December 31, 2011)
• EUR 46 million relating to the Gaming & Services business
(eur 51 million at December 31, 2011)
• EUR 2 million relating to Finance (zero at December 31,
2011).
Depreciation and write-downs for the period stood at eur
11 million.
the item “Other tangible assets”, totalling eur 1,001
million, comprises:
• EUR 10 million relating to the Publishing business (EUR
11 million at December 31, 2011)
• EUR 8 million relating to the Media & Communication
business (eur 8 million at December 31, 2011)
• EUR 974 million relating to the Gaming & Services
business (eur 1,013 million at December 31, 2011),
mainly for terminals and systems
• EUR 1 million relating to the Finance business (EUR 1
million at December 31, 2011)
• EUR 8 million relating to holding company activities (EUR
9 million at December 31, 2011).
Depreciation and write-downs for the period stood at eur
250 million.
InvestmentsAt December 31, 2012, the Group’s investments totalled eur
1,510 million, in line with the figure of EUR 1,509 million at
end-2011. the table below shows a breakdown of this item:
Investments
Million Euro 31.12.2012 31.12.2011 Change
Investment properties 27 28 (1)
Shareholdings valued at equity 272 291 (19)
loans and receivables 42 132 (90)
Available-for-sale financial assets 1,133 1,025 108
Financial assets at fair value through profit and loss 36 33 3
Group Total 1,510 1,509 1
1312
AnnuAl report 2012
At December 31, 2012, “Investment property” totalled
eur 27 million, of which eur 10 million is attributable
to De Agostini S.p.A. and eur 17 million to nova
Immobiliare. Depreciation of eur 1 million was charged
for the period.
”Investments valued at equity” chiefly include Santé at
eur 226 million (eur 235 million at December 31, 2011)
and Sigla luxembourg at eur 12 million (eur 22 million
at December 31, 2011), both of which are included in the
scope of consolidation of DeA Capital, and Inmuratori at
eur 4 million (eur 7 million at December 31, 2011) in
relation to holding company activities.
“loans and receivables” totalled eur 42 million, mainly relating
to the quasi-equity loan granted to Santé, the sole shareholder
of SDe, as part of the strengthening of the corporate chain
of command, as previously described – of eur 26 million
(replacing the mezzanine bond of eur 25 million at December
31, 2011, issued by SDe, the vehicle company acquiring GDS).
At December 31, 2012, “Available-for-sale financial assets”
totalled eur 1,133 million, compared with eur 1,025 million at
December 31, 2011. these mainly include equity investments
not held for trading, shares in mutual investment funds, bonds
and government securities. A breakdown of “Available-for-sale
financial assets” by business area is shown in the table below.
Available-for-sale financial assets
Million Euro 31.12.2012 % 31.12.2011 % Change
publishing 1 0.1% - - 1
Media & Communication 2 0.2% 2 0.2% -
Games and services 6 0.5% 5 0.5% 1
Finance 981 86.6% 819 79.9% 162
Holding companies 143 12.6% 199 19.4% (56)
Consolidation adjustments/eliminations - - - - -
Group Total 1,133 100% 1,025 100% 108
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AnnuAl report 2012
the largest asset relates to the investment in Assicurazioni
Generali, recorded at a value of eur 484 million, an amount
equivalent to the closing price on December 31, 2011 (eur
13.74 per share).
“Available-for-sale financial assets” also includes investments
in funds (eur 179 million, of which eur 172 million is held
through the Finance business and eur 7 million through
holding company activities, compared with eur 238 million
at December 31, 2011) and other equity investments/assets
(eur 470 million, of which eur 325 million relates to the
Finance business and eur 136 million to holding company
activities, compared with eur 346 million at December 31,
2011).
the decrease in funds of eur -59 million in total is mainly
due to distributions/reimbursements in the period totalling
eur 46 million (particularly by IDeA I FoF and Alkimis,
totalling eur 14 million and eur 20 million respectively) and
to the deconsolidation of B&D Finance (36 million), offset by
subscriptions in the period of eur 30 million (particularly to
IDeA I FoF and ICF II, totalling eur 17 million and eur 9
million respectively).
the eur 124 million increase in “other equity investments/
assets” is largely due to:
• EUR +97 million relating to Kenan Investments (EUR
224 million at December 31, 2012, compared with eur
127 million at December 31, 2011, taking account of the
positive change in fair value of eur 97 million)
• EUR +24 million relating to shares of UniCredit acquired
in January 2012.
At December 31, 2012, “Financial assets at fair value
through profit or loss” totalled EUR 36 million (EUR 33
million at December 31, 2011); this breaks down into
eur 18 million relating to holding company activities (eur
15 million at December 31, 2011), eur 17 million to the
Gaming & Services business (unchanged compared with
December 31, 2011) and eur 1 million to the publishing
business (unchanged compared with December 31, 2011).
Other net current assetsAt December 31, 2012, “other net current assets” totalled eur
120 million (eur 137 million at December 31, 2011). the table
below shows the items included in this balance, compared with
the corresponding values at the end of 2011.
Other net assets
Million Euro 31.12.2012 31.12.2011 Change
trade receivables/payables: net balance (154) (7) (147)
net balance of non current assets/(liabilities) or of discontinued operations held for sale 11 - 11
net balance of assets/(liabilities) relating to joint ventures 339 360 (21)
net balance ot tax assets/(liabilities) (128) (187) 59
net balance of other assets/(liabilities) 237 138 99
provisions (185) (167) (18)
Group Total 120 137 (17)
the balance of “trade receivables and payables” comprises
trade receivables of eur 1,113 million (eur 1,068 million
at December 31, 2011) and trade payables of eur 1,267
million (eur 1,075 million at December 31, 2011).
At December 31, 2012, the item “Held-for-sale assets/
liabilities” was eur 11 million (compared with zero at
December 31, 2011), and comprised held-for-sale assets
of eur 17 million (eur 5 million relating to utet and eur
12 million relating to points of sale and barcode readers of
the Games & Services business), as well as held-for-sale
liabilities of eur 6 million, entirely relating to utet.
“Assets/liabilities relating to joint ventures” chiefly comprise
Grupo planeta-De Agostini and ‘M-Dis’ Distribuzione Media.
At December 31, 2012, assets relating to joint ventures
totalled eur 787 million (eur 756 million at December
31, 2011), while liabilities were eur 448 million (eur 396
million at December 31, 2011).
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AnnuAl report 2012
the balance of the item “tax assets and liabilities” includes
deferred tax assets of eur 73 million (eur 68 million at
December 31, 2011) and deferred tax liabilities of eur 182
million (eur 207 million at December 31, 2011).
the net balance of “other assets/liabilities” includes
other assets totalling eur 648 million (eur 538 million at
December 31, 2011), of which eur 357 million relates to
inventories (eur 330 million at December 31, 2011), and
other liabilities totalling eur 411 million (eur 400 million
at December 31, 2011).
At December 31, 2012, “provisions” of eur 185 million
(eur 167 million at December 31, 2011), mainly related
to employment severance indemnity (eur 20 million; eur
21 million at December 31, 2011), other employee benefits
(eur 25 million; eur 20 million at December 31, 2011),
the agent severance fund (eur 5 million; eur 6 million at
December 31, 2011) and provisions for risks and charges,
including those for investee companies (eur 132 million;
eur 117 million at December 31, 2011).
Shareholders’ equityAt December 31, 2012, consolidated shareholders’ equity
(Group and minority interests) totalled eur 4,078 million
(versus eur 4,139 million at end-2011); shareholders’
equity attributable to the Group was eur 2,443 million,
while minority interests accounted for eur 2,501 million.
the change in “Shareholders’ equity: Group” in 2012
reflected the following:
• net profit of EUR 32 million for 2012
• dividend distributions of EUR 15 million
• the fair value increase in available-for-sale assets of EUR
151 million
• deconsolidation of B&D Finance EUR -219 million
• other decreases of EUR -7 million.
Net Financial Position (NFP)The table below shows the Group’s net financial position
broken down by business area:
Net financial position
Million Euro 31.12.2012 31.12.2011 Change
publishing (147) (157) 10
Media & Communication (690) (696) 6
Games and services (2,523) (2,726) 203
Finance (122) (102) (20)
Holding companies (642) (615) (27)
Group total (4,124) (4,296) 172
For more details on the changes in the net financial position
relating to Business Activities - the publishing, Media &
Communication and Gaming & Services businesses - please
see the section of the report on operations entitled “primary
and secondary reporting formats”.
the nFp for the Finance business reflects the figures
recorded by DeA Capital, which had an nFp of eur -124
million at December 31, 2012 (compared with eur -102
million at December 31, 2011), as well as those for IDeA
oF I and for IDeA oF I, consolidated on a line-by-line basis
taking into account the minority shareholding held. the
change in nFp for the Finance business in 2012 was mainly
due to the disbursement for the DeA Capital share buyback
plan (eur 8 million) and the disbursement for payment of
dividends to minority shareholders (eur 6 million), as well
as operating cash flow, including investments in funds.
Holding company activities recorded a negative net
financial position of EUR -642 million at December 31, 2012,
including payables to banks of eur 1,112 million, its portion
of the payable relating to the bond issued by De Agostini
S.p.A. (previously B&D Holding di Marco Drago e C. S.a.p.a.)
(eur 78 million), loans to the Media & Communications
business totalling eur 354 million, cash and cash equivalents
of eur 214 million, and other assets and liabilities (including
the mark-to-market of equity derivatives on lottomatica
shares) totalling eur -20 million. At December 31, 2012 the
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AnnuAl report 2012
net financial position was improved by EUR 116 million
on the negative balance at end-2011, attributable to the
combined effect of the following factors:
• dividend receipts of EUR 90 million
• positive effect of the closing of the relative performance
swap on shares of Assicurazioni Generali, for eur 29
million
• structure costs and financial/other charges, including on
investments, for eur 3 million in total.
* * *
As mentioned earlier, the net financial position is calculated
using the figures reported in the financial statements, and
is the difference between: a) cash and cash equivalents,
loans, receivables and certain available-for-sale financial
assets or assets at fair value through profit and loss; and
b) financial liabilities.
the reconciliation statement below shows the key
figures in the consolidated balance sheet at December 31,
2012 and the amounts included in net debt.
Million EuroCarrying value at
31.12.2012 o/w NFP
INVESTMENTS - NON CURRENT ASSETS 1,139 18
Available-for-sale financial assets 1,127 6
Financial assets at fair value through profit and loss 12 12
LOANS AND RECEIVABLES - NON CURRENT ASSETS 34 34
INVESTMENTS - CURRENT ASSETS 30 30
Available-for-sale financial assets 6 6
Financial assets at fair value through profit and loss 24 24
LOANS AND RECEIVABLES - CURRENT ASSETS 8 8
CASH AND CASH EQUIVALENTS 792 792
NON-CURRENT FINANCIAL LIABILITIES (4,056) (4,056)
CURRENT FINANCIAL LIABILITIES (774) (774)
Net financial position - Group Total (excl. Joint ventures) (2,827) (3,948)
Consolidated net financial position of the Planeta-DeA Group JV (176)
Consolidated net financial position of the M-Dis Group JV -
Net financial position - Group Total (incl. Joint ventures) (4,124)
