Changes in costs and extraordinary effects
The increase in the costs of material and services is mainly caused by increases in the price of paper (CHF 24.8 million). Rising energy prices are increasing the costs of material by an additional CHF 1.3 million. External services (Tamedia and TX Ventures) and IT costs (Goldbach and TX Markets) are up by CHF 2.9 million and CHF 2.5 million. A change to the group of consolidated companies (SMG) led to a reduction in the costs of IT and external services (freelancers) in the amount of CHF 11.0 million.
Personnel expenses fell by CHF 38.6 million from the previous year. Excluding the effects of the change to the group of consolidated companies (SMG), personnel expenses rose by CHF 4.3 million. This was mainly due to lower compensation for short time work in the reporting year, as compared with the previous year.
Other operating expenses are up CHF 7.2 million on the previous year. Of this, CHF 3.1 million relate to repayment of the extraordinary support received at federal level in 2021 for the reduced supply of subscription daily and weekly newspapers (press subsidies), while CHF 1.1 million relate to the valuation allowance and the sale of old receivables. Both are one-off effects. The elimination of marketing costs due to the change in the scope of consolidation is mostly offset by increased expenses in all segments in the current year. With Covid measures being lifted, there was also a CHF 2.9 million increase in travel and representation costs. The lease-related inventory associated with the growing out-of-home business accounts for CHF 2.9 million.