The table below shows the Group’s net assets at December 31, 2023 broken down by principal currencies:
| (in millions of euros) | Total at December 31, 2023 | Euro(1) | US dollar | Pound sterling | Brazilian real | Yuan | Other |
|---|---|---|---|---|---|---|---|
| Assets | Assets Total at December 31, 202336,716 |
Assets Euro(1)5,162 |
Assets US dollar20,509 |
Assets Pound sterling 2,413 |
Assets Brazilian real 260 |
Assets Yuan 1,820 |
Assets Other 6,552 |
| Liabilities | Liabilities Total at December 31, 202326,770 |
Liabilities Euro(1)3,946 |
Liabilities US dollar16,118 |
Liabilities Pound sterling 1,484 |
Liabilities Brazilian real 108 |
Liabilities Yuan 1,271 |
Liabilities Other 3,843 |
| Net assets | Net assets Total at December 31, 20239,946 |
Net assetsEuro(1)1,216 | Net assetsUS dollar4,391 | Net assets Pound sterling 929 |
Net assets Brazilian real 152 |
Net assets Yuan 549 |
Net assets Other 2,709 |
| Effect of foreign exchange hedges(2) | Effect of foreign exchange hedges(2) Total at December 31, 2023- |
Effect of foreign exchange hedges(2)Euro(1) 2,314 |
Effect of foreign exchange hedges(2)US dollar (2,245) |
Effect of foreign exchange hedges(2) Pound sterling 223 |
Effect of foreign exchange hedges(2) Brazilian real - |
Effect of foreign exchange hedges(2) Yuan (9) |
Effect of foreign exchange hedges(2) Other (283) |
| Net assets after hedging | Net assets after hedging Total at December 31, 20239,946 |
Net assets after hedgingEuro(1)3,530 | Net assets after hedgingUS dollar2,146 | Net assets after hedging Pound sterling 1,152 |
Net assets after hedging Brazilian real 152 |
Net assets after hedging Yuan 540 |
Net assets after hedging Other 2,426 |
In addition, changes in exchange rates against the euro, the reporting currency used in the Group’s financial statements, can have an impact on the Group’s consolidated balance sheet and consolidated income statement.
The breakdown of Group revenue by the currency in which it is earned is as follows:
| not included | 2023 | 2022 |
|---|---|---|
| Euro | 11% | 11% |
| US dollar | 60% | 61% |
| Pound sterling | 9% | 9% |
| Other | 20% | 20% |
| Total revenue | 100% | 100% |
The impact of a decrease of 1% of the euro rate against the US dollar and the pound sterling would be (favorable impact):
Commercial transactions are mainly carried out in the local currencies of the countries in which they occur. Consequently, the resulting exchange rate risks are not significant and are occasionally hedged.
In the case of intercompany lending/borrowing operations, they are subject to appropriate hedging if they present a significant net exposure to foreign exchange risk.
The derivatives used are generally forward foreign exchange contracts or currency swaps.
The Group analyzes its trade receivables, focusing in particular on improving its collection times, as part of the management of its working capital. The Group Treasury Department monitors overdue receivables for the entire Group. In addition, the Group periodically reviews the list of main clients in order to determine the exposure to client counterparty risk at Group level and, if necessary, sets up specific monitoring in the form of a weekly statement summarizing the exposure to certain clients.
Any impairment losses are assessed on an individual basis and take into account various criteria such as the client’s situation and late payments. No impairment was recorded on an overall basis.
