Menu

Balance sheet

In CHF million, except where indicated   31.3.2016   31.12.2015   Change
             
Assets
Cash and cash equivalents and current financial assets   375   409   –8.3%
Trade and other receivables   2,589   2,535   2.1%
Property, plant and equipment   10,031   9,855   1.8%
Goodwill   5,166   5,161   0.1%
Other intangible assets   1,846   1,861   –0.8%
Investments in associates and non-current financial assets   491   461   6.5%
Tax assets   404   375   7.7%
Other current and non-current assets   635   492   29.1%
Total assets   21,537   21,149   1.8%
             
Liabilities and equity
Financial liabilities   8,621   8,593   0.3%
Trade and other payables   1,816   1,768   2.7%
Defined benefit obligations   3,806   2,919   30.4%
Provisions   1,018   1,139   –10.6%
Tax liabilities   276   436   –36.7%
Other current and non-current liabilities   1,072   1,052   1.9%
Total liabilities   16,609   15,907   4.4%
Share of equity attributable to equity holders of Swisscom Ltd   4,914   5,237   –6.2%
Share of equity attributable to non-controlling interests   14   5   180.0%
Total equity   4,928   5,242   –6.0%
Total liabilities and equity   21,537   21,149   1.8%
Equity ratio at end of period (in %)   22.9   24.8    
             
Net debt   8,108   8,042   0.8%

Total assets at 31 March 2016 amounted to CHF 21,537 million, which equates to an increase of CHF 388 million or 1.8% versus the end of 2015. The increase in assets is due to the higher volume of property, plant and equipment as a result of investing activity and other current and non-current assets. Other current and non-current assets increased mainly as a result of higher accruals for prepaid expenses for the 2016 financial year. Compared to the end of 2015, recognised defined benefit obligations according to IAS 19 were CHF 887 million higher at CHF 3,806 million. This increase is mainly due to the lower discount rate. The main reason for the decline in provisions by CHF 121 million to CHF 1,018 is the payment of the Competition Commission penalty as part of the ongoing proceedings regarding broadband services in the amount of CHF 186 million. Swisscom does not consider the sanction justified and lodged an appeal with the Federal Court. Equity fell by CHF 314 million or 6.0% to CHF 4,928 million, which corresponds to an equity ratio of 22.9% (24.8% as at 31 December 2015). Net income of CHF 364 million was offset by the net loss of CHF 679 million recognised in equity. This includes actuarial losses of CHF 864 million from pension plans arising mainly from interest rate changes. At the end of 2015, the cumulative currency translation losses included in equity remain unchanged at about CHF 1.7 bil­lion.

Net debt comprises financial liabilities less cash and cash equivalents, current financial assets and non-current, fixed-interest-bearing deposits. Swisscom’s goal is to achieve a maximum net debt/EBITDA ratio (on an annual basis) of 2.1. This value may be exceeded temporarily. Financial leeway exists if the target is not reached.