Financial result and net income

• Financial result and net income considerably down year-on-year
• Earnings per share declines from €5.61 to €4.34

The financial result fell to minus €700 million in 2015, compared with minus €423 million in the previous year.

Income from shareholdings decreased from €278 million in 2014 to €9 million. The previous year had contained special income of €220 million from the disposal of our shares in VNG – Verbundnetz Gas AG.

The interest result improved from minus €504 million in 2014 to minus €425 million, largely due to lower interest expenses from financial indebtedness as a result of more favorable refinancing conditions.

Other financial result declined from minus €197 million in the previous year to minus €284 million in 2015. The main reason for this was a higher net interest expense from underfunded pension plans and similar obligations, in addition to a higher level of other financial expenses resulting primarily from hedging expenses.

Earnings before taxes decreased by €1,655 million in 2015 to €5,548 million. Return on assets¹ amounted to 8.7%, compared with 11.7% in the previous year.

Income taxes were reduced from €1,711 million in 2014 to €1,247 million in 2015. The tax rate fell from 23.8% to 22.5%, predominantly due to lower earnings contributions in countries with higher tax rates, especially Norway, as compared with the prior year.

Income before minority interests declined from €5,492 million to €4,301 million. Minority interests amounted to €314 million, compared with €337 million in 2014.

Net income amounted to €3,987 million, below the previous year’s level of €5,155 million. Earnings per share dipped from €5.61 to €4.34.