EBITDA amounted to euro 2,801 million in 2022, compared to euro 2,317 million in 2021, up 20.9%. EBITDA was 22.3% as a percentage of net revenue (compared to 22.1% in 2021).
Personnel costs totalled euro 8,211 million in 2022, up by 23.7% from euro 6,639 million in 2021. As a percentage of net revenue, the personnel expenses represented 65.3% in 2022, compared to 63.3% in 2021. Fixed personnel costs were euro 7,109 million representing 56.5% of net revenue versus 54.6% in 2021. The cost of freelancers rose by euro 64 million in 2022, representing euro 456 million. Restructuring costs reached euro 82 million, up from the low 2021 level of euro 53 million.
Other operating costs (excluding depreciation & amortization) amounted to euro 3,184 million, compared to euro 2,782 million in 2021. This represented 25.3% of net revenue compared to 26.5% in 2021. The agile structure of the Groupe allowed to contain G&A costs in a context of top line increase. In addition, the accounting treatment linked to the renewal of two large outdoor media contracts for 5 and 10 years, as mentioned in 2021 accounts, resulted in a technical c. 75 basis point impact, entirely offset in depreciation; those contracts were accounted for as cost of sales in 2021, and are now accounted for as right of use and lease liability leading to depreciation.
Depreciation and amortization expense was euro 535 million in 2022, up euro 58 million compared to 2021. This increase reflects the combination of foreign exchange rates and the offsetting of the Outdoor Media contract renewal described above, partly mitigated by our actions over the last years to optimize our real estate footprint.
The operating margin amounted to euro 2,266 million, up +23.2% compared to 2021. This represents a margin rate of 18.0%, up 50 basis points from 17.5% in 2021.
Operating margin rates were 18.8% in North America, 16.1% in Europe, 21.2% in Asia-Pacific, 8.7% in Latin America and 14.2% in the Middle East Africa region.
Amortization of intangibles arising from acquisitions totalled euro 287 million in 2022, up from euro 256 million in 2021. Impairment losses amounted to euro 109 million (euro 122 million in 2021), essentially related to the real estate consolidation plan “All in One”, which leads to a reduction in the number of sites, while allowing better collaboration between the teams.
In addition, net non-current income is negative at euro 103 million in 2022 (versus a negative euro 28 million in 2021), including an euro 87 million loss linked to the Groupe’s exit from Russia as announced in March 2022.
Operating income totalled euro 1,767 million in 2022, after euro 1,434 million in 2021.
The financial result, comprising the cost of net financial debt and other financial charges and income, was an expense of euro 117 million in 2022, equivalent to that of 2021, euro 118 million.
The net charge on net financial debt was euro 17 million in 2022 (compared to a charge of euro 85 million in 2021). It included euro 102 million of interest largely related to Epsilon’s acquisition debt, partly mitigated by interest income of euro 85 million, a euro 71 million increase compared to 2021, reflecting higher cash balances and interest rates, in particular in the U.S.
Other financial income and expenses were a charge of euro 100 million in 2022, notably composed by euro 87 million interest on lease liabilities and 9 million in income from the fair value remeasurement of Mutual Funds. In 2021, other financial income and expenses were a charge of euro 33 million, notably composed of euro 70 million interest on lease liabilities and 42 million in income from the fair value remeasurement of Mutual Funds.
The revaluation of earn-out payments amounted to a loss of euro 2 million compared to a gain of euro 27 million in 2021.
The tax charge is euro 431 million, corresponding to an effective tax rate of 24.8% in 2022. This compared to euro 307 million in 2021, corresponding to an effective tax rate of 23.4%.
The share in profit of associates was an income of euro 5 million (zero in 2021).
Minority interests were negligible compared to an income of euro 9 million in 2021.
Overall, net income attributable to the Groupe was euro 1,222 million in 2022, an increase of 19.0% compared to euro 1,027 million in 2021.
