Good morning, everyone. Welcome to this Pluxee New Financial Framework Meeting. I'm here with Marc Rolland and Pauline Bireaud, who's become the new investor relations person for Pluxee. Marc will go through the presentation and then take your questions. The slides and press releases should be available on Sodexo.com, as very quickly, but we hope that you've all got them through our sending this morning. This call is being recorded, but may not be reproduced or transmitted without our consent. Please get back to the IR team if you have any further questions after the call. I now hand you over to Marc.
Thank you, Virginia, and hello, everyone. As you know, we are currently in the final steps of Pluxee's spin-off. It has been a very intense journey on which we've been working hard over the last few quarters. We are pleased that our discussion with the AFM, the Dutch authority, and our auditors are today far enough advanced that we can announce the detailed timeline and financials. The prospectus is due to be published just before the Pluxee Capital Markets Day, which will be held on January 10th, when the Pluxee team will outline its strategy and guidance. Yesterday, we published a notice for a shareholder meeting to be held on January 30th, 2024, after which Pluxee will start trading on Euronext Paris on February 1st, 2024, subject obviously to Euronext and market conditions.
In anticipation of the prospectus, Pluxee's audited financial statement and new reporting framework are now available. Ahead of the Capital Markets Day, we wanted to explain the main features of the new reporting framework for Pluxee. As part of the spin-off preparation process, we have decided that Pluxee should adopt its own presentation policy in the context of the standalone financials, with two objectives: to reflect its business model, its size and sector practices as a standalone, pure-play listed company, and to facilitate benchmarking with its main listed peer. I will now comment on the main changes we've made to Pluxee's financial reporting framework, starting with the P&L. With regards to interest income, in the Sodexo reporting framework, the interest income on the entire cash available in Pluxee's operational entities generated financial revenue.
Going forward, to make the comparison with our direct peer easier, interest income on Pluxee's own cash is reported in financial income. Pluxee also introduces a recurring operating profit to replace the Sodexo underlying operating profit, with the difference being that it will now include the amortization of intangible assets acquired through business combination. The recurring EBITDA, post IFRS 16, will become the main alternative performance measure as part of Pluxee's financial communication going forward. There are also some minor reclassification on the balance sheet. Finally, we booked a provision following the decision of the Paris Court of Appeal on November 16th. This was booked as a subsequent event, post-closing into fiscal year 2023. Just to be sure that there is no risk of confusion, Sodexo's reporting framework is not changing, and our guidance, as stated on October 26th, remains fully in place.
Let me now walk you through the detail of these reporting changes before opening up to questions. The first relevant change in the Pluxee reporting frameworks relate to the recognition of financial income generated on Pluxee's own cash. We are talking here about a EUR 47 million adjustment coming out of financial revenues, which will now be accounted for in financial income. Regarding the recurring operating profit and EBITDA, firstly, intangible asset amortization, representing a charge of EUR 7 million in fiscal 2023, is now included in the recurring operating profit. Secondly, there is a EUR 13 million positive impact on EBITDA as a result of presenting the EBITDA post IFRS 16. The main change to the Pluxee balance sheet relates to the reclassification of EUR 155 million of short-term intercompany transactions with Sodexo.
This was classified as cash and cash equivalents, but given the intended duration of this intercall, it is better placed in Pluxee's current financial assets. I remind you also that standalone costs are also included in the recurring operating profit. The management fees invoiced by Sodexo in fiscal year 2023 amounted to EUR 25 million. The other standalone adjustment to the balance sheet are not significant. Lastly, following the decision of the Paris Court of Appeal on November 16, Pluxee recorded a provision of EUR, of EUR 127 million as of August 31st, 2023. For completeness, the next slide will show you this in more detail in comparison to our latest financial communication on October 26th. On the P&L, as mentioned, the changes in revenue recognition, ROP and EBITDA, as a result of the new reporting framework, do not impact the net profit group share.
As previously mentioned, headquarters costs and the one-off provision in relation to the antitrust fine are impacting, obviously, the profit, the Pluxee net profit. With regard to the balance sheet, you can see the reclassification of EUR 155 million from cash and cash equivalents to current financial assets. This does not impact the appreciation of cash or liquidity. Shareholders' equity is impacted by the provision related to antitrust penalty. Lastly, of course, on cash flow, there is no impact. The evolution of the alternative performance measure to a recurring free cash flow highlights EUR 50 million of restatements, of which EUR 5 million reflects OIE cashed out expenses, and EUR 45 million are the last installment of the antitrust fine paid in 2023. With regard to liquidity, post-spin-off, Pluxee will benefit from a very healthy balance sheet structure.
This will provide a solid foundation to start Pluxee's journey as a standalone business. Pluxee will have net liquidity of EUR 859 million, made up of gross cash and financial assets, excluding restricted funds of EUR 2.2 billion and borrowings and lease liabilities of EUR 1.3 billion. Out of EUR 3.1 billion in total cash on the balance sheet, EUR 2.5 billion represent the float, and the rest is Pluxee own cash at EUR 588 million. The EUR 588 million is made up of accumulated reserves and the current trading cash that is on the balance sheets of some Pluxee operating entities around the world. It is this EUR 588 million of cash that generate the EUR 47 million of interest income now reported under financial income.
I thank you for your attention, and we are now very happy to answer any question you may have. Operator, can we please launch the Q&A session?
This is the conference operator. We will now begin the question-and-answer session. Anyone who wishes to ask a question may press star and one on their touchtone telephone. To remove yourself from the question queue, please press star and two. Please pick up the receiver when asking questions. Anyone who has a question may press star and one at this time. As a reminder, if you wish to register for a question, please press star and one on your telephone. The first question is from Estelle Weingrod with JP Morgan. Please go ahead.
Hi, good morning. I have just a very quick question. I'm not sure if I missed it somewhere. When can we expect to see the prospectus in terms of the timeline?
Just before the Capital Markets Day. So I think, in the hours before the Capital Markets Day.
Okay, thank you very much.
For any further questions, please press star and one on your telephone. The next question is from Jamie Rollo with Morgan Stanley. Please go ahead.
Hi. Morning, everyone. Two questions, please. First, it's a pretty obvious one. I may have missed something, but that EUR 47 million is quite a high, so 8% income on the year-end cash. Is that just because the year-end cash is much lower than the average for the year? And how should we think about that income going forward? And then secondly, when do we hear about the incentive scheme? Is that gonna be in the prospectus, or do we have to wait beyond that? Thank you.
Jamie, I didn't hear the second question.
It was on the incentive and remuneration schemes for senior execs. Do we hear that... Is that, is that all gonna be in the prospectus, or will that be a later date?
Thank you. So the 47 million is linked to the 588 million, and it's based on the location. It's the 47 million is actually a high yield as you noted. It's also because of quite a significant chunk of those 588 million is in Brazil where we have cash because Brazil is the most profitable country, so the current trading cash is high. And also because we are regulated by the central bank, and we used to keep some cash there to make sure that our ratios were all in the green.
So a big chunk of the 588 million is in Brazil, and because the interest rates in Brazil are pretty high at the moment, this is why the 47 million is high. With regard to the incentive key schemes for the execs, all of this will be disclosed. All the say on pay and everything to be related to incentive will be disclosed in the prospectus.
Thank you very much.
Once again, if you wish to ask a question, please press star and one on your telephone.
Thanks for all your questions. Next rendezvous is on January 5th with the Q1 numbers, and in the meantime, I wish you all a happy and restful holiday season. Thank you.
Thank you.