Financial statements 2019-2020 - EY

1 Financial statementsfor the year ended 30 June 2020 Ernst & Young Nederland LLPC ontentsFinancial statements 2019/2020 | 1 Financial StatementsConsolidated financialstatementsNotes consolidatedfinancial statementsSeparate financialstatementsNotes separate financialstatementsMembers reportof Ernst & Young Nederland LLP3 Statement of members responsibilitiesof Ernst & Young Nederland LLP5 Independent auditors report to the membersof Ernst & Young Nederland LLP8 Consolidated statement of profit or loss of Ernst & Young Nederland LLP11 Consolidated statement of other comprehensiveincome of Ernst & Young Nederland LLP12 Consolidated statement of Financial positionof Ernst & Young Nederland LLP13 Consolidated statement of changes in equityof Ernst & Young Nederland LLP14 Consolidated statement of cash flowsof Ernst & Young Nederland LLP15 Notes to the consolidated Financial statementsof Ernst & Young Nederland LLP161 Corporate information162 Accounting policies183 Standards issued but not yet effective384 Significant accounting judgments, estimates andassumptions395 Business combinations446 Rendering of services467 Other Income478 Operating expenses489 Finance income and expenses4910 Income tax (expense)

2 /income4911 Intangible assets5012 Property, plant and equipment5213 Leases5214 Other non-current and current Financial assets5615 Trade and other receivables5716 Prepayments5817 Trade and other payables5918 Interest-bearing loans and borrowings5919 Other Financial liabilities6120 Provisions6221 Employee benefits6422 Members' capital6823 Reserves6924 Financial instruments6925 Capital management7426 Related parties and strategic alliance7427 Commitments and contingencies7728 Events after the reporting period79 ContentsFinancial statements 2019/2020 | 2 Financial StatementsConsolidated financialstatementsNotes consolidatedfinancial statementsSeparate financialstatementsNotes separate financialstatementsStatement of profit or lossof Ernst & Young Nederland LLP81 Statement of other comprehensive incomeof Ernst & Young Nederland

3 LLP82 Statement of Financial positionof Ernst & Young Nederland LLP83 Statement of changes in equityof Ernst & Young Nederland LLP84 Statement of cash flowsof Ernst & Young Nederland LLP85 Notes to the separate Financial statements ofErnst & Young Nederland LLP8629 Financial year8630 Accounting policies8631 Standards issued but not yet effective8832 Significant accounting judgments, estimatesand assumptions8833 Other income8834 Operating expenses8835 Finance income and expenses8936 Income tax expense9037 Property, plant and equipment9038 Leases9139 Investments in subsidiaries9540 Other non-current and current Financial assets9641 Other receivables9742 Prepayments9743 Trade and other payables9844 Interest-bearing loans and borrowings9845 Other Financial liabilities9846 Provisions9947 Employee benefits10048 Members' capital10449 Reserves10450 Financial instruments10451 Related parties and strategic alliance10852 Commitments and contingencies10953 Events after the reporting period109 Members reportof Ernst & Young Nederland LLPF inancial statements 2019/2020 | 3 Financial StatementsConsolidated financialstatementsNotes consolidatedfinancial statementsSeparate financialstatementsNotes separate financialstatementsThe members ( partners)

4 Present their report and Financial statements for the year ended 30 activityErnst & Young Nederland LLP (EYNL) provides assistance and coordinating leadership to Ernst & YoungAccountants LLP (EYA), EY Advisory Netherlands LLP (EYAN) and Ernst & Young BelastingadviseursLLP (EYB) and other EY entities primarily active in in the Netherlands in order to optimize their sharedcourse of business and practices and promote their joint strategy. EYNL carries out its operationsprimarily in the Netherlands but does not provide services to individual entities consolidated in these accounts as of 30 June 2020 are detailed in Note 26 of theFinancial of DirectorsThe Board of Directors is led by Coen Boogaart, Chairman of EYNL. For the year ended 30 June 2020and the period up until approval of the Financial statements , the Board of Directors furthermorecomprises of: Jeroen Davidson Rob Lelieveld Mirjam Sijmons Nico Pul Stephan members of the Board of Directors (with exception of Mirjam Sijmons) are - through their privatelimited liability companies ( ) - members of Chairman of EYNL and the other members of the Board of Directors are appointed by EY EuropeSCRL (EY Europe), after a binding nomination by the Supervisory Board of Directors is responsible for the day-to-day management and for exercising the duties andpowers as determined by the Fundamental Rules and Regulations of the year ended 30 June 2020 and the period up until approval of the Financial statements thedesignated members of EYNL are.

5 Drs. Boogaart Mr. Davidson Belastingadviseur Lelieveld Pul Drs. S. Lauers reportof Ernst & Young Nederland LLPF inancial statements 2019/2020 | 4 Financial StatementsConsolidated financialstatementsNotes consolidatedfinancial statementsSeparate financialstatementsNotes separate financialstatementsSupervisory BoardThe Supervisory Board is led by Pauline van der Meer Mohr. For the year ended 30 June 2020 and theperiod up until approval of the Financial statements , the Supervisory Board furthermore comprised of: Steven van Eijck Monique Maarsen Tanja Nagel Patrick Europe appoints the members of the Supervisory Board, after binding nomination by the overarching task and responsibility of the Supervisory Board shall be to supervise the policy of theBoard of Directors and the general state of affairs of EYNL where such policy and state of affairs couldinfluence or have an impact (i) on the audit activities and organization associated with EYNL asperformed by EYA and (ii)

6 On other activities and organizations associated with EYNL, if such influenceor impact on other activities and organizations in turn influences or has an impact on the quality of theaudits, the manner in which the audit activities and audit organization guarantee the public interest andthe process to comply with the independence rules and other rules of conduct within EYNL. Therefore, inperforming its role, the Supervisory Board is to pay attention to organization-wide aspects where suchaspects may impact the quality of the audits performed by the auditors of EYA which extends toindependence, integrity and the interests of external stakeholders with audits, in each case with duerespect for and recognition of the independence of other professionals associated with EYNL that arenot responsible for performing statutory audits and who, in as far as relevant.

7 Are subject to their ownrules and regulations which are based on applicable law or which have been issued by their ownprofessional Supervisory Board s Charter describes its duties and LLP was appointed auditor to EYNL for the year ended 30 June energy use and carbon emissionsEYNL has limited activities in the UK, as a result EYNL has no material emissions made and energyconsumed within the UK. Therefore the thresholds as stated in the Streamlined Energy and CarbonReporting requirements are not met. On behalf of Drs. Boogaart Boogaart28 September 2020 Statement of members responsibilitiesof Ernst & Young Nederland LLPF inancial statements 2019/2020 | 5 Financial StatementsConsolidated financialstatementsNotes consolidatedfinancial statementsSeparate financialstatementsNotes separate financialstatementsThe Limited Liability Partnerships (Accounts and Audit) (Application of Companies Act 2006)Regulations 2008 ( LLP Regulations ) require the members to prepare Financial statements for eachfinancial period.

8 Under the LLP Regulations the members must not approve the Financial statementsunless they are satisfied that they give a true and fair view of the state of affairs of EYNL and entitiesunder control of EYNL as listed in Note 26 (hereafter: the Group) and of the profit or loss of the Groupand EYNL for that period. The members have elected to prepare Financial statements for the Group andEYNL in accordance with International Financial Reporting Standards as adopted by the European Union(IFRSs).IAS 1 presentation of Financial statements requires that Financial statements present fairly for eachfinancial period the limited liability partnership s Financial position, Financial performance and cash requires the faithful representation of the effects of transactions, other events and conditions inaccordance with the definitions and recognition criteria for assets, liabilities, income and expenses setout in the Framework for the preparation and presentation of Financial statements .

9 In virtually allcircumstances, a fair presentation will be achieved by compliance with all applicable IFRSs. Members arealso required to: properly select and apply accounting policies consistently; make judgments and estimates that are reasonable and prudent; present information, including accounting policies, in a manner that provides relevant, reliable,comparable and understandable information; provide additional disclosures when compliance with the specific requirements in IFRSs is insufficientto enable users to understand the impact of particular transactions, other events and conditions onthe Group and EYNL s Financial position and Financial performance; and prepare the Financial statements on the going concern basis unless it is inappropriate to presume thatEYNL will continue in the LLP Regulations, the members are responsible for ensuring that adequate accounting recordsare kept which disclose with reasonable accuracy at any time the Financial position of the Group andEYNL, and which enable them to ensure that the Financial statements will comply with those members have a general responsibility for taking such steps as are reasonably open to them tosafeguard the assets of the Group and to prevent and detect fraud and other irregularities.

10 Legislation inthe United Kingdom governing the preparation and dissemination of Financial statements may differfrom legislation in other members responsibilities set out above are discharged by the designated members on behalf of themembers. The designated members at the date of approval of the Financial statements confirm that, sofar as they are aware, there is no relevant information of which EYNL s auditors are unaware and eachdesignated member has taken all the steps that ought to have been taken by them to make themselvesaware of any relevant audit information and to establish that EYNL s auditors were aware of Group and EYNL, which are part of the EY global network, have considerable Financial resources,contracts with a large number of clients across different industries and geographies and have talentedStatement of members responsibilitiesof Ernst & Young Nederland LLPF inancial statements 2019/2020 | 6 Financial StatementsConsolidated financialstatementsNotes consolidatedfinancial statementsSeparate financialstatementsNotes separate financialstatementsand motivated partners and employees.