| (in millions of euros) | December 31, 2023 | December 31, 2022 |
|---|---|---|
| Financial debt (long and short‑term) | Financial debt (long and short‑term) December 31, 2023 3,188 |
Financial debt (long and short‑term) December 31, 2022 3,616 |
| Fair value of hedging derivatives on the 2025, 2028 and 2031 Eurobonds(1) | Fair value of hedging derivatives on the 2025, 2028 and 2031 Eurobonds (1)December 31, 2023 117 |
Fair value of hedging derivatives on the 2025, 2028 and 2031 Eurobonds (1)December 31, 2022 260 |
| Fair value of derivatives hedging intra‑group loans and borrowings(1) | Fair value of derivatives hedging intra‑group loans and borrowings (1)December 31, 2023 36 |
Fair value of derivatives hedging intra‑group loans and borrowings (1)December 31, 2022 106 |
| Total financial debt including market value of the associated derivatives | Total financial debt including market value of the associated derivatives December 31, 2023 3,341 |
Total financial debt including market value of the associated derivatives December 31, 2022 3,982 |
| Cash and cash equivalents | Cash and cash equivalents December 31, 2023 (4,250) |
Cash and cash equivalents December 31, 2022 (4,616) |
| Net financial debt | Net financial debt December 31, 2023 (909) |
Net financial debt December 31, 2022 (634) |
| Debt/equity (including minority interests) | Debt/equity (including minority interests) December 31, 2023 n/a |
Debt/equity (including minority interests) December 31, 2022 n/a |
The Groupe reported a net cash position of euro 909 million at December 31, 2023 compared to a euro 634 million net cash position at December 31, 2022.
The Groupe's average net debt amounted to euro 432 million, compared with euro 685 million in 2022.
The Groupe’s gross debt amounted to euro 3,341 million at December 31, 2023, compared with euro 3,982 million at December 31, 2022. This debt consisted of 77% long‑term borrowings (see Note 24 to the consolidated financial statements in Chapter 6 for a detailed maturity schedule of Groupe debt).
Financial liabilities, after taking into account the interest rate swaps on the Eurobonds, are predominantly made up of fixed‑rate borrowings (98% of the gross debt excluding debt related to long‑term equity investments and commitments to buy‑out minority interests), with an average rate recognized for 2023 of 2.9%.
Debt breakdown by currency (after currency swaps) as at December 31, 2023 was as follows: euro 2,633 million denominated in US dollars, euro 672 million denominated in euros, and euro 36 million denominated in other currencies.
The table below presents the Groupe's financial ratios for 2022 and 2023:
| not-included | 2023 | 2022 |
|---|---|---|
| (Average net financial debt + average lease liabilities) / operating margin before depreciation and amortization | 1.0 | 1.2 |
| (Net financial debt + lease liabilities) / equity | 0.15 | 0.20 |
| Interest coverage: operating margin before depreciation and amortization/ (cost of net financial debt + interest on lease liabilities) | n/a(1) | 27 |
(1) In 2023, the cost of financial debt is income.
In order to manage its liquidity risk, Publicis holds a substantial amount of cash (cash and cash equivalents) for a total of euro 4,250 million as of December 31, 2023 and undrawn confirmed credit lines representing a total of euro 2,000 million as of December 31, 2023 corresponding to a multi‑currency syndicated loan, maturing in 2024. This credit facility has been renewed until 2026 up to euro 1,579 million. These immediately or almost immediately available sums allow the Groupe to broadly meet its general funding requirements.
They only include standard credit default event clauses (liquidation, cessation of payment, default on the debt itself or on the repayment of another debt above a given threshold) which are generally applicable above a threshold of euro 25 million.
The Groupe has not established any credit derivatives to date.
Groupe cash management continued to benefit from the introduction of local centralized cash‑pooling centers in the Groupe’s main markets (domestic cash poolings). An international cash pooling structure has been implemented to pool all cash for the Groupe as a whole.
