Depreciation and amortisation, non-operating results
In CHF million, except where indicated |
2. quarter 2022 |
2. quarter 2021 |
Change |
1st half-year 2022 |
1st half-year 2021 |
Change |
||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating income before depreciation and amortisation (EBITDA) | 1,054 | 1,193 | –11.7% | 2,191 | 2,317 | –5.4% | ||||||
| Depreciation and amortisation of property, plant and equipment and intangible assets | (536) | (549) | –2.4% | (1,058) | (1,087) | –2.7% | ||||||
| Depreciation of right-of-use assets | (68) | (71) | –4.2% | (134) | (141) | –5.0% | ||||||
| Operating income (EBIT) | 450 | 573 | –21.5% | 999 | 1,089 | –8.3% | ||||||
| Net interest expense on financial assets and liabilities | (18) | (16) | 12.5% | (33) | (33) | –% | ||||||
| Interest expense on lease liabilities | (11) | (11) | –% | (22) | (22) | –% | ||||||
| Other financial result | 14 | (35) | 42 | 217 | –80.6% | |||||||
| Result of equity-accounted investees | – | (4) | –100.0% | (1) | (4) | –75.0% | ||||||
| Income before income taxes | 435 | 507 | –14.2% | 985 | 1,247 | –21.0% | ||||||
| Income tax expense | (97) | (99) | –2.0% | (200) | (201) | –0.5% | ||||||
| Net income | 338 | 408 | –17.2% | 785 | 1,046 | –25.0% | ||||||
| Attributable to equity holders of Swisscom Ltd | 337 | 407 | –17.2% | 784 | 1,045 | –25.0% | ||||||
| Attributable to non-controlling interests | 1 | 1 | –% | 1 | 1 | –% | ||||||
| Earnings per share (in CHF) | 6.51 | 7.86 | –17.2% | 15.13 | 20.17 | –25.0% |
Net income fell by 25.0% or CHF 261 million to CHF 785 million as a result of non-recurring items in EBITDA and the financial result. Provisions for legal proceedings of CHF 82 million were recognised in EBITDA for the current year. The previous year’s EBITDA includes one-off income from the adjustment of pension liabilities in the amount of CHF 60 million and the recognition of provisions for legal proceedings in the amount of CHF 22 million. The non-recurring items in the financial result originate from the previous year. As part of its strategic partnership with TIM, Fastweb transferred its stake in Flash Fiber as a capital contribution to the newly established fibre-optic company FiberCop. This resulted in an upward revaluation of the investment of CHF 169 million, which was recognised in the income statement. In addition, Swisscom realised a gain of CHF 38 million on the sale of its investment in Belgacom International Carrier Services. Without these non-recurring items, net income would have increased. Income tax expense was CHF 200 million (prior year: CHF 201 million), corresponding to an effective income tax rate of 20.3% (prior year: 16.1%).