Part IV - Statement of Cash Flows Based upon your projected income statement and balance sheet, create a statement of cash flows for each year from 2022 - 2026. Part V - Trend Analysis Prepare the following ratios from 2022- 2026: Sales growth rate Profit Margin Asset Turnover Return on Assets Net Operating Cycle Total Debt to Equity What trends are there from the historical period (2017 - 2021) through the forecast period (2022 - 2026)? Is the forecast trend consistent with your 'story'? Your story is the business reasons that justify the trends in your ratios. Ubisoft Entertainment SA and Subsidiaries Consolidated Income Statements For the Years Ended March 31, (In millions of euros) Sales Cost of sales Gross profit R&D expenses 2021 2020 2019 2018 2017 2016 2,223.8 1,594.8 1,845.5 1,731.9 1,459.9 1,394.0 [325.7] (253.1) (328.9) [296.8] (270.9) (305.11 1,898.1 1,341.7 1,516.6 1,435.1 1,189.0 1,088.9 (827.1) (720.8) (741.0) (690.6) (548.7) (509.8) Marketing expenses (442.8) (386.6) (410.1) (339.3) (316.8) (305.7) Administrative and IT expenses [228.4] 193.0] [157.3) [144.6] [122.5] (117.3) Operating income from continuing operations 399.8 41.3 208.2 260.6 201.0 156.1 Other non-current operating income and expenses 110.4] 100.8) (49.2] [38.21 (25.1] 19.3] Operating income 289.4 (59.5) 159.0 222.4 175.9 136.8 Interest expense (18.4) [18.1) (20.9) (17.7) (12.1) (8.4) Net foreign-exchange gains/losses Interest income Net borrowing cost Other financial expenses Other financial income Net financial income Share in profit of associates Total income tax Consolidated net income Net income attributable to non-controlling interests Net income attributable to owners of the parent company 1.1 4.2 2.8 1.8 1.3 1.0 (17.3) (13.9) (18.1) (15.9) (10.8) (7.4) (8.3) (3.8) (5.3) (5.7) (2.3) (5.2) (27.0) (1.5) (23.9) (0.3) (5.6) (3.7) 1.0 0.2 36.7 8.2 2.1 2.6 (51.6) (19.0) (10.6) (13.7) (16.6) (13.7) 0.0 0.0 0.0 0.0 0.0 0.0 (132.6) 105.2 2.1 (45.7) (48.4] (69.2] (51.5) (29.7) [124.2) 100.0 139.5 107.8 93.4 1.4 0.0 0.0 0.0 0.0 103.1 (125.6) 100.0 139.5 107.8 93.4 Ubisoft Entertainment SA and Subsidiaries Consolidated Balance Sheets March 31, (In millions of euros) 2021 2020 2019 2018 2017 2016 ASSETS Goodwill Other intangible assets Property, plant and equipment Right-of-use assets 220.7 334.6 290.7 259.5 180.7 106.2 1,453.2 1,115.3 882.9 782.4 736.5 647.6 199.8 174.4 160.0 114.1 106.4 83.9 282.1 229.9 0.0 0.0 0.0 0.0 Investments in associates Non-current financial assets Deferred tax assets Non-current assets 0.0 0.0 0.0 (0.3) (0.1) 0.0 16.1 13.7 8.7 106.9 5.5 4.3 173.1 169.2 168.4 84.2 88.8 122.2 2,345.0 2,037.1 1,510.7 1,346.8 1,117.8 964.2 Inventory Trade receivables 23.1 12.4 31.9 20.3 25.4 19.4 342.7 307.1 476.6 435.6 405.6 419.6 Other receivables 260.6 127.5 180.0 208.8 146.5 101.0 Current financial assets 0.0 0.5 0.2 8.3 1.1 13.8 Current tax assets 45.8 41.0 39.6 38.5 33.0 41.5 Cash management financial assets 239.9 0.0 0.0 0.0 0.0 0.0 Cash and cash equivalents 1,627.7 1,079.2 1,049.8 746.9 852.7 461.4 Current assets 2,539.8 1,567.7 1,778.1 1,458.4 1,464.3 1,056.7 4,884.8 3,604.8 3,288.8 2,805.2 2,582.1 2,020.9 Total assets LIABILITIES AND EQUITY Share capital Premiums Consolidated reserves 9.6 9.4 8.7 8.7 8.8 8.7 556.0 475.4 335.8 234.1 281.0 215.1 987.0 955.4 475.6 507.1 736.3 701.3 Consolidated earnings 103.1 125.6) 100.0 139.5 107.8 93.4 Equity attributable to owners of the parent company 1,655.7 1,314.6 920.1 889.4 1,133.9 1,018.5 Non-controlling interests 9.3 7.1 0.0 0.0 0.0 0.0 Total equity 1,665.0 1,321.7 920.1 889.4 1,133.9 1,018.5 Provisions 5.0 3.1 2.5 3.1 4.2 8.9 Employee benefit liabilities 21.6 15.8 14.4 10.3 9.1 6.6 Long-term borrowings and other financial liabilities 1,894.9 1,176.2 890.4 933.6 640.7 277.4 Deferred tax liabilities 158.5 109.5 127.9 96.0 72.8 47.6 Other non-current liabilities 34.3 59.6 0.0 0.0 0.0 0.0 Non-current liabilities 2,114.3 1,364.2 1,035.2 1,043.0 726.8 340.5 Short-term borrowings and other financial liabilities 200.0 246.9 453.3 361.5 293.4 228.2 Trade payables 152.0 139.2 188.8 176.6 178.3 206.2 Other liabilities (includes deferred revenue? 737.8 517.7 664.6 321.9 219.8 213.8 Current tax liabilities 15.7 15.1 26.8 12.8 29.9 13.7 Current liabilities 1,105.5 918.9 1,333.5 872.8 721.4 661.9 Total liabilities and equity 4,884.8 3,604.8 3,288.8 2,805.2 2,582.1 2,020.9 Ubisoft Entertainment SA and Subsidiaries Consolidated Cash Flow Statements For the Years Ended March 31, (In millions of euros) Cash flows from operating activities Consolidated earnings Net amortization and depreciation on PP&E Net provisions Cost of stock-based-compensation Gains/losses on disposals Other income and expenses calculated Tax expense Cash flows from operating activities Inventory Customers (trade receivables) Other assets (excluding deferred tax assets) Suppliers (trade payables) Other liabilities (excluding deferred tax liabilities) Deferred income and prepaid expenses 2021 2020 2019 2018 2017 2016 105.2 (124.2) 100.0 139.5 107.8 93.4 658.7 619.4 584.0 544.2 474.9 462.8 (16.1) 2.3 22.0 4.1 (2.6) 0.4 56.8 53.8 54.7 39.6 36.8 12.9 0.9 0.7 0.3 0.3 0.4 0.1 32.6 10.5 (5.4) 8.6 (10.7) 24.3 132.6 45.7 48.4 69.2 51.5 29.7 970.7 608.2 804.0 805.5 658.1 623.6 10.9 20.2 (31.3) 0.2 (5.4) 0.0 (45.7) 182.9 (18.0) (61.5) 31.9 (402.9) (131.4) 58.2 28.4 (81.0) 17.2 (30.6) 1.2 (49.2) 3.2 15.2 (45.1) 116.5 316.8 (51.8) 6.4 49.4 24.9 61.6 (81.21 (96.5] 248.4 (3.11 0.0 0.0 Change in WCR linked to operating activities 70.6 63.8 237.1 (80.8) 23.5 (255.4) Current tax [83.4] (71.61 (68.61 (33.5) [36.11 (27.6) Total cash flow generated by (used in) operting activities 957.9 600.4 972.5 691.2 645.5 340.6 Cash flows from investment activities Payments for internal and external developments (753.2) (651.2) (587.7) (521.3) (496.6) (489.5) Payments for other intangible assets (18.7) (17.8) 0.0 0.0 0.0 0.0 Payments for property, plant and equipment (78.1) (87.1) (74.4) (59.4) (62.9) (42.5) Proceeds from the disposal of intangible assets and PP&E 0.1 0.2 0.0 0.0 0.6 Payments for the acquisition of financial assets (200.4) (215.7) (43.8) [31.5) (44.4) 0.1 (34.4) Security deposit CACIB 0.0 0.0 100.0 (100.0) 0.0 0.0 Refund of loans and other financial assets 198.1 210.5 42.1 29.8 43.3 34.1 Changes in scope Cash generated by (used in) investing activities [16.01 [143.8] (84.3] (77.6] [105.6) 0.4 [868.2] [904.9] [648.1] (760.0) (665.6) (531.8) Cash flow from financing activities New borrowings 1,139.6 935.2 603.7 899.7 670.6 234.5 Refund of borrowings in relation to leases (35.7) (35.6) (1.3) (1.7) (0.9) (0.9) Refund of borrowings (506.8) (584.9) (572.2) (487.7) (214.7) (230.2) Funds received from shareholders in capital increases 80.8 81.5 131.9 49.0 9.5 21.9 Change in cash management financial assets (239.9) 0.0 0.0 0.0 0.0 0.0 Sales/purchases of own shares 25.8 35.3 [201.9] (411.5) (67.8] (77.0) Cash generated by (used in) financing activities 463.8 431.5 (39.81 47.8 396.7 (51.7) Net change in cash and cash equivalents 553.5 127.0 284.6 (21.0) 376.6 (242.9) Cash and cash equivalents at the beginning of the period 986.9 878.6 583.3 632.2 255.6 505.2 Foreign exchange losses/gains 24.8 [18.7] 10.7 (27.9] 0.0 Cash and cash equivalents at the end of the period 1,565.2 986.9 878.6 583.3 632.2 [6.7) 255.6