FINANCIAL AND ACCOUNTING INFORMATION 5.2 CONSOLIDATED FINANCIAL STATEMENTS Pursuant to article 28 of the Regulation (EC) N°809/2004 of the European Commission dated April 29, 2004, the following information is incorporated by reference in this Registration document: •the consolidated financial statements and the audit report for the financial year ended December 31, 2016 set out on pages 187 to 248 of the French version of the Registration document for the financial year ended December 31, 2016, filed with the AMF on March 31, 2017 under number D.17-0272; and •the consolidated financial statements and the audit report for the financial year ended December 31, 2015, set out on pages 156 to 217 of the French version of the Registration document for the financial year ended December 31, 2015, filed with the AMF on April 7, 2016, under number D. 16-0299. 5.2.1 Consolidated financial statements as of December 31, 2017 Consolidated income statement FOR THE YEAR ENDED DECEMBER 31, (in millions of euros) NOTE 2017 2016 Sales 6 13,310.1 13,162.1 Cost of goods sold (10,045.9) (9,989.3) Gross profit 3,264.2 3,172.8 Distribution and administrative expenses 7 (2,688.9) (2,651.8) Operating income before other income and expenses 575.3 521.0 Other income 9 7.1 5.6 Other expenses 9 (260.1) (129.5) Operating income 322.3 397.0 Financial income 2.3 2.0 Interest expense on borrowings (91.9) (104.3) Non-recurring redemption costs (18.8) (16.3) Other financial expenses (37.6) (27.7) Net financial expenses 10 (145.9) (146.3) Net income before income tax 176.4 250.7 Income tax 11 (71.5) (116.4) Net income from continuing operations 104.9 134.3 Portion attributable: to the equity holders of the parent 105.8 137.9 to non-controlling interests (0.9) (3.6) Earnings per share: Basic earnings per share (in euros) 19 0.35 0.46 Fully diluted earnings per share (in euros) 19 0.35 0.46 The accompanying notes are an integral part of these consolidated financial statements. REXEL 2017 – REGISTRATION DOCUMENT 214