7 – Net Income from Shareholdings and Financial Result

(XLS:) XLS

Net income from shareholdings (Million €)

 

H1

 

2020

2019

Income from non-integral companies accounted for using the equity method

(941)

(39)

Dividends and similar income

2

21

Income from the disposal of shareholdings

20

4

Income from profit transfer agreements

–

1

Income from tax allocation to shareholdings

–

–

Income from other shareholdings

22

26

Expenses from loss transfer agreements

(26)

(30)

Write-downs on / losses from the sale of shareholdings

(11)

(1)

Expenses from other shareholdings

(37)

(31)

Net income from shareholdings

(956)

(44)

Net income from shareholdings decreased, primarily due to an impairment of the shareholding in Wintershall Dea GmbH, Kassel/ Hamburg, Germany, in the amount of €819 million. The impairment was attributable to lower oil and gas price forecasts and changed reserve estimates.

For more information, see Noncurrent Assets

(XLS:) XLS

Financial result (Million €)

 

H1

 

2020

2019

Interest income from cash and cash equivalents

74

84

Interest and dividend income from securities and loans

9

7

Interest income

83

91

Interest expenses

(293)

(332)

Interest result

(210)

(241)

 

 

 

Reversals of write-downs on / income from securities and loans

3

–

Net interest income from overfunded pension plans and similar obligations

−

−

Income from the capitalization of borrowing costs

15

16

Miscellaneous financial income

23

−

Other financial income

41

16

Write-downs on / losses from securities and loans

(56)

(4)

Net interest expense from underfunded pension plans and similar obligations

(54)

(76)

Net interest expense from other long-term personnel obligations

−

(1)

Unwinding the discount on other noncurrent liabilities

(3)

(2)

Miscellaneous financial expenses

−

(85)

Other financial expenses

(113)

(168)

Other financial result

(72)

(152)

 

 

 

Financial result

(282)

(393)

The interest result rose by €31 million, from minus €241 million to minus €210 million, mainly due to lower interest expenses for financial indebtedness in the first half of 2020.

The net interest expense from underfunded pension plans and similar obligations declined year on year as a result of the lower interest rate used to determine expenses for pension benefits compared with the previous year.

The decline in other financial expenses was primarily due to lower expenses for hedging bonds and U.S. dollar commercial paper against interest and currency risks.