In general, any risk of loss in connection with performance of a commitment given by VINCI or its subsidiaries results in a provision being recognised in the Group’s financial statements. However, VINCI considers that the off-balance sheet commitments above are unlikely to have a material impact on the Group’s financial position or net assets.
The Group also grants after-sales service warranties covering several years in its normal course of business. These warranties lead to provisions estimated either on a statistical basis having regard to past experience or on an individual basis in the case of any problems identified. The commitments for which provisions are taken relating to these warranties are not included in the above table.
In addition, guarantees related to construction contracts on behalf of companies accounted for under the equity method had been given in a total amount of €105 million at 31 December 2024 (€200 million at 31 December 2023).
Joint and several guarantees covering unconsolidated partnerships (SNCs, economic interest groupings, etc.)
VINCI Construction conducts a portion of its business through unincorporated joint venture partnerships (SEPs). Since the partners in a partnership are legally jointly and severally liable for its debts to third parties, the Group may set up crossed counter guarantees with its partners.
Whenever the Group is aware of a particular risk relating to a joint venture partnership’s activity that could lead to an outflow of resources with no consideration for the Group in return, a provision is set aside.
The amount shown under off-balance sheet commitments in respect of joint and several guarantees is the Group’s share of the liabilities of the partnerships in question less equity and financial debt (loans or current account advances) due to partners. At 31 December 2024, those commitments amounted to €64 million (€59 million at 31 December 2023). At 100%, the amount of those commitments would be €151 million at 31 December 2024 (€135 million at 31 December 2023). Given the quality of its partners, the Group considers that the risk of its guarantee being invoked in respect of these commitments is not material.
Accounting policies
Other intangible assets are measured at cost less amortisation and any cumulative impairment losses.
They include mainly:
