5 OPERATING EXPENSES BY NATURE
| 2021 | 2022 |
January to June, CHF 1,000 |
|
|
Material costs | 163,020 | 239,565 |
Personnel expenses | 137,785 | 178,997 |
Depreciation of property, plant and equipment | 4,964 | 8,098 |
Depreciation of right-of-use assets | 5,407 | 7,148 |
Amortization of intangible assets | 6,823 | 18,855 |
Other operating costs | 45,500 | 57,982 |
|
|
|
Total operating cost incurred (gross) | 363,499 | 510,645 |
|
|
|
Capitalization of development costs in position inventories | (669) | (736) |
Capitalization of development costs in position intangible assets | (5,023) | (5,720) |
Other operating income | (1,556) | (362) |
|
|
|
Total operating expenses, according to statement of profit or loss | 356,251 | 503,827 |
In April 2021 the Swiss pension plan was adjusted. The conversion rates used to calculate the pension annuity related to the mandatory and supplementary portion of the retirement savings will be reduced, starting from January 1, 2023. This modification was considered as a plan amendment. The resulting income from past service cost of CHF 7.0 million was recognized immediately in profit or loss and was included in the personnel expenses of the first half 2021.
In autumn of 2021, the employees of the Swiss entities decided to switch from the full insurance plan provided by Swiss Life Ltd. to a partial insurance plan provided by AXA Foundation. The new pension solution is effective as from January 1, 2022. The associated expense from past service cost (CHF 9.7 million) was already recognized at the end of the previous year. Further expenses from past service cost in the amount of CHF 1.5 million, caused by the possibility of additional voluntary contributions by employees, are included in the result of the first half 2022.
Follow Tecan