De­pre­ci­a­tion and amor­ti­sa­tion, non-operating results

In CHF million, except where indicated   2021   2020   Change
Operating income before de­pre­ci­a­tion and amor­ti­sa­tion (EBITDA)   4,478   4,382   2.2%
De­pre­ci­a­tion and amor­ti­sa­tion of property, plant and equipment and intangible assets   (2,131)   (2,149)   –0.8%
De­pre­ci­a­tion of right-of-use assets   (281)   (286)   –1.7%
Operating income (EBIT)   2,066   1,947   6.1%
Net interest expense on financial assets and liabilities   (60)   (69)   –13.0%
Interest expense on lease liabilities   (44)   (45)   –2.2%
Other financial result   200   (38)    
Result of equity-accounted investees   (10)   4    
Income before income taxes   2,152   1,799   19.6%
Income tax expense   (319)   (271)   17.7%
Net income   1,833   1,528   20.0%
Attributable to equity holders of Swisscom Ltd   1,832   1,530   19.7%
Attributable to non-controlling interests   1   (2)    
Earnings per share (in CHF)   35.37   29.54   19.7%

Swisscom’s net income rose by CHF 305 million or 20.0% to CHF 1,833 million, largely due to non-recurring items in the financial result and the higher EBITDA. Earnings per share rose accordingly from CHF 29.54 to CHF 35.37. Income before income taxes rose by 19.6%. The de­pre­ci­a­tion and amor­ti­sa­tion of property, plant and equipment and intangible assets decreased by CHF 18 million or 0.8% year-on-year to CHF 2,131 million; these went down at Swisscom Switzer­land and up at Fastweb. The non-recurring items in the financial result originate from the first quarter of 2021. As part of its strategic partnership with TIM, Fastweb transferred its stake in FlashFiber as a capital contribution to the newly es­tab­lished fibre-optic company FiberCop. This resulted in an upward revaluation of the participation recog­nised in the income statement of CHF 169 million. In addition, Swisscom realised a gain of CHF 38 million on the sale of its investment in Belgacom In­ter­na­tional Carrier Services. Income tax expense stood at CHF 319 million (prior year: CHF 271 million), which cor­re­sponds to an effective income tax rate of 14.8% (prior year: 15.1%).