Royal KPN N : KPN Q2 2022 Results (Interim Financial Statement)

30 June 2019

Interim

Financial Statements

For the six months ended 30 June 2022

kpn. The network of the Netherlands

Interim Financial Statements

27 July 2022

Unaudited Condensed Consolidated Interim Financial Statements

for the six months ended 30 June 2022

Unaudited Consolidated Statement of Profit or Loss	3
Unaudited Consolidated Statement of Other Comprehensive Income	4
Unaudited Consolidated Statement of Financial Position	5
Unaudited Consolidated Statement of Changes in Group Equity	7
Unaudited Consolidated Statement of Cash Flows	8
General notes to the Condensed Consolidated Interim Financial Statements	10
Notes to the Condensed Consolidated Statement of Profit or Loss	13
Notes to the Condensed Consolidated Statement of Financial Position	16

All related documents can be found on KPN's website (ir.kpn.com), including the KPN Management Report Q2 2022.

KPN Condensed Consolidated Interim Financial Statements for the six months ended 30 June 2022

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2

Interim Financial Statements

27 July 2022

Unaudited Consolidated Statement of Profit or Loss

		For the three months	For the six months
		ended 30 June	ended 30 June
(in € m, unless indicated otherwise)	Notes	2022	2021	2022	2021
		(restated)		(restated)
Revenues		1,313	1,294	2,624	2,584
Other income	[10]	16	842	28	842
Total revenues and other income	[4/5/10]	1,329	2,136	2,651	3,426
Cost of goods & services		337	312	662	634
Personnel expenses		201	213	410	429
Information technology/Technical infrastructure (IT/TI)		74	78	147	155
Other operating expenses		77	74	160	151
Depreciation, amortization & impairments (DA&I)		333	365	675	729
Total operating expenses	[4/6]	1,022	1,043	2,053	2,097
Operating profit	[4/6]	307	1,093	598	1,329
Finance income		1	-1	2	-1
Finance costs		-48	-54	-99	-109
Other financial results		-17	-5	-27	-2
Finance income and expenses	[7/11/18]	-64	-59	-124	-113
Share of the profit/loss (-) of associates and joint
ventures	[10]	-	-	2	-
Profit/Loss (-) before income tax from continuing
operations		243	1,035	475	1,216
Income taxes	[8]	-57	-235	-110	-275
Profit/Loss (-) for the period from continuing
operations		186	800	365	941
Profit/Loss (-) for the period from discontinued
operations		-	-	-1	-
Profit/Loss (-) for the period		186	800	364	941
Profit/Loss (-) attributable to non-controlling interest		-	-	-	-
Profit/Loss (-) attributable to equity holders		185	800	364	940
Earnings per ordinary share after taxes attributable
to equity holders for the period (in €)
- Basic (continuing operations)		0.05	0.19	0.09	0.22
- Diluted (continuing operations)		0.05	0.19	0.09	0.22
- Basic (discontinued operations)		-	-	-	-
- Diluted (discontinued operations)		-	-	-	-
- Basic (total, including discontinued operations)		0.05	0.19	0.09	0.22
- Diluted (total, including discontinued operations)		0.05	0.19	0.09	0.22
Weighted average number of ordinary shares
- Non-diluted				4,116,433,176	4,197,903,063
- Diluted				4,120,691,699	4,203,129,306

[..] Bracketed numbers refer to the related notes to these Condensed Consolidated Interim Financial Statements. Regarding restatements, refer to note [4].

KPN Condensed Consolidated Interim Financial Statements for the six months ended 30 June 2022

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3

Interim Financial Statements

27 July 2022

Unaudited Consolidated Statement of Other Comprehensive Income

	For the three months	For the six months ended
	ended 30 June	30 June
(in € m)	2022	2021	2022		2021
Profit for the period	186	800	364		941
Other comprehensive income, net of tax
Other comprehensive income to be reclassified
subsequently to profit or loss when specific conditions are
met:
- Net gain/loss (-) on cashflow hedges [18]	42	31	45		16
- Currency translation differences	1	2	2		-5
Net other comprehensive income/loss (-) to be
reclassified to profit or loss in subsequent periods	43	33	47		11
Items of other comprehensive income not to be
reclassified subsequently to profit or loss:
- Retirement benefit remeasurements [16]	11	27	11		27
- Net gain/loss (-) on equity instruments designated at fair
value through other comprehensive income	-	-	3		-
Net other comprehensive income/loss (-) not to be
reclassified to profit or loss in subsequent periods	11	27	14		27
Other comprehensive income/loss (-) for the period, net
of tax	54	60	61		38
Total comprehensive income/loss (-) for the period, net
of tax	240	860	425		979
Total comprehensive income for the period, net of tax,
attributable to:
- Equity holders of the company	240	860	425		979
- Non-controlling interest	-	-	-		-
Total comprehensive income/loss (-) attributable to
equity holders arises from:
- Continuing operations	240	860	426		979
- Discontinued operations	-	-	-1		-

[..] Bracketed numbers refer to the related notes to these Condensed Consolidated Interim Financial Statements.

KPN Condensed Consolidated Interim Financial Statements for the six months ended 30 June 2022

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4

Interim Financial Statements

27 July 2022

Unaudited Consolidated Statement of Financial Position

Assets
(in € m)	Notes	30 June	31 December
		2022	2021
Non-current assets
Land and buildings		389	401
Plant and equipment		4,921	4,912
Other tangible non-current assets		24	34
Assets under construction		143	118
Total property, plant and equipment		5,477	5,463
Goodwill			1,432
	1,432
Licenses		982	1,032
Software		359	387
Other intangibles		141	155
Total intangible assets		2,915	3,006
Right-of-use assets			804
	786
Equity investments accounted for using the equity method	[10]	500	511
Equity investments measured at fair value through other comprehensive
income	[18]	61	49
Derivative financial instruments	[18]	143	212
Other financial asset at fair value through profit or loss	[10/11/18]	158	204
Deferred income tax assets	[8/10]	327	506
Trade and other receivables		69	77
Contract assets and contract costs	[10]	76	36
Total non-current assets		10,512	10,869
Current assets
Inventories		53	37
Trade and other receivables		682	677
Contract assets and contract costs	[10]	40	45
Income tax receivables	[8]	72	2
Derivative financial instruments	[18]	108	-
Other financial asset at fair value through profit or loss	[10/11/18]	42	14
Other current financial assets	[12]	189	300
Cash and cash equivalents	[13]	438	793
Total current assets		1,624	1,868
Total assets			12,737
	12,136

[..] Bracketed numbers refer to the related notes to these Condensed Consolidated Interim Financial Statements.

KPN Condensed Consolidated Interim Financial Statements for the six months ended 30 June 2022

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