2.6 Financial liabilities
| in CHF mn | 2023 | 2022 | ||
|---|---|---|---|---|
| Current bank liabilities | 0.7 | 0.3 | ||
| Current financial liabilities from leases | 56.5 | 29.3 | ||
| Other current financial liabilities to third parties | 0.5 | 0.4 | ||
| Current financial liabilities | 57.7 | 30.0 | ||
| Non-current financial liabilities from leases | 182.1 | 135.0 | ||
| Non-current loans to related parties | (0.1) | 2.5 | ||
| Other non-current financial liabilities to third parties | 23.6 | 2.5 | ||
| Non-current financial liabilities | 205.6 | 146.2 | ||
| Financial liabilities | 263.3 | 176.2 | ||
| Weighted average interest rate | ||||
| due within 1 year | 0.0% | 2.0% | ||
| due within 1 to 5 years | n.a. | 0.3% | ||
| due beyond 5 years | n.a. | n.a. |
Financial liabilities increased by CHF 87.1 million from the previous year. Current and non-current lease liabilities increased by a total of CHF 74.4 million, mainly as result of the acquisition of Goldbach Neo OOH (formerly Clear Channel Schweiz).
In the reporting year, loan liabilities to third parties in the amount of CHF 4.7 million were repaid. As of the year end, other non-current financial liabilities to third parties mainly relate to the obligation associated with the purchase price payment for buying out the non-controlling interests in NEO ADVERTISING SA. The purchase price of the shares attributable to non-controlling interests is performance-dependent and was estimated at around CHF 23.5 million at the end of 2023 (cash value of CHF 22.4 million). It will probably be paid out in the years 2025 to 2027.
Change in net financial liabilities
| in CHF mn | Cash and cash equivalents |
Current financial assets |
Current financial receivables |
Current financial liabilities |
Non-current financial liabilities |
Net financial liabilities |
||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| As of 1 January 2022 | 436.5 | 20.0 | 123.0 | (19.9) | (113.7) | 445.9 | ||||||
| Addition to / disposal of cash and cash equivalents and current financial assets | (87.0) | 70.0 | (18.8) | – | – | (35.8) | ||||||
| Proceeds of financial liabilities | 0.4 | – | – | (0.0) | (0.4) | – | ||||||
| Repayment of financial liabilities | (1.2) | – | – | 0.9 | 0.3 | – | ||||||
| Repayment of leasing liabilities | (31.1) | – | – | 31.1 | – | – | ||||||
| Disposals of consolidated companies | (0.2) | – | – | – | – | (0.2) | ||||||
| Other non-cash changes | – | (0.9) | (64.9) | (26.6) | (47.9) | (140.3) | ||||||
| Transfers | – | – | – | (15.5) | 15.5 | – | ||||||
| Currency effect | (1.1) | – | – | – | – | (1.1) | ||||||
| As of 31 December 2022 | 316.3 | 89.1 | 39.4 | (30.0) | (146.2) | 268.5 | ||||||
| As of 1 January 2023 | 316.3 | 89.1 | 39.4 | (30.0) | (146.2) | 268.5 | ||||||
| Addition to / disposal of cash and cash equivalents and current financial assets | 33.6 | (71.9) | (14.6) | – | – | (53.0) | ||||||
| Repayment of financial liabilities | (6.3) | – | – | – | 6.3 | – | ||||||
| Repayment of leasing liabilities | (55.3) | – | – | 55.3 | – | – | ||||||
| Additions of consolidated companies | – | – | – | (24.4) | (52.5) | (76.9) | ||||||
| Other non-cash changes | – | 0.1 | 6.2 | (1.0) | (70.8) | (65.5) | ||||||
| Transfers | – | – | – | (57.6) | 57.6 | – | ||||||
| Currency effect | (1.1) | – | – | – | – | (1.1) | ||||||
| As of 31 December 2023 | 287.2 | 17.2 | 31.0 | (57.7) | (205.6) | 72.1 | ||||||
The non-cash changes in financial liabilities are mainly due to the higher liabilities from leasing contracts.
Accounting policies
Financial liabilities are initially recognised at the amount paid less transaction costs incurred, and then measured at amortised cost in subsequent periods. Any differences between the amount paid (less transaction costs) and the repayment value are calculated over the repayment period using the effective interest rate method and are recognised in the income statement.
The lease liabilities on the liabilities side in connection with leases come under financial liabilities.
Financial liabilities are classified as current except where the Group has an unlimited entitlement to defer payment of the liability to a date at least twelve months after the balance sheet date.
Borrowing costs that are incurred directly in conjunction with the purchase, construction or completion of an asset that requires a substantial period until being put to its intended use are capitalised as part of the costs of the asset in question. All other borrowing costs are charged to the income statement in the reporting period in which they are incurred.