Notes to the Consolidated Financial Statements (continued)
6.2 Other income
6.3 Raw materials, consumables and services
6.4 Personnel expenses
O Q,
Introduction Report of the Executive Board Report of the Supervisory Board
Other income includes the gain from sale of P,P&E and intangible assets. It also includes gains from the
sale of subsidiaries, joint ventures and associates. These transactions do not arise from contracts with
customers and are therefore presented separately from revenue.
In millions of
2018
2017
Gain on sale of property, plant and equipment
31
20
Gain on sale of intangible assets
2
87
Gain on sale of subsidiaries, joint ventures and associates
42
34
75
141
Accounting policies
Other income is recognised in profit or loss when control over the sold asset is transferred to the buyer.
The amount recognised as other income equals the proceeds obtained from the buyer minus the carrying
value of the sold asset.
In millions of
2018
2017*
Raw materials
1,897
1,817
Non-returnable packaging
3,624
3,375
Goods for resale
1,533
1,592
Inventory movements
(43)
(130)
Marketing and selling expenses
2,494
2,533
Transport expenses
1,266
1,177
Energy and water
529
513
Repair and maintenance
527
509
Other expenses
2,140
1,875
13,967
13,261
Restated to reflect the change in accounting policy on Revenue from Contracts with Customers (IFRS 15). Refer to note 4 for
further details.
Financial Statements
Sustainability Review
Heineken N.V. Annual Report 2018
Other Information
Other expenses mainly include rentals of €321 million (2017: €308 million), consultant expenses of
€192 million (2017: €169 million), telecom and office automation of €239 million (2017: €227 million),
warehousing expenses of €187 million (2017: €172 million), travel expenses of €158 million
(2017: €162 million) and other taxes of €56 million (2017: €33 million).
Accounting policies
Expenses are recognised based on accrual accounting. This means that expenses are recognised when the
product is received or the service is provided regardless of when cash outflow takes place.
The average number of full-time equivalent (FTE) employees, excluding contractors, in 2018 was 85,610
(2017: 80,425 FTE), divided per region as follows:
Average number of FTE per region
40,000
28,345 27,871 27,818
I
30,000
20,000
10,000
Americas
Africa, Middle East
and Eastern Europe
Asia Pacific
The increase in the Americas is mainly due to the full year inclusion of Brasil Kirin FTEs. Within Europe
4,027 FTEs are based in the Netherlands (2017: 3,998 FTEs).
HEINEKEN employees are granted compensations such as salaries and wages, pensions (see note
9.1) and share-based payments (see note 6.5). Other personnel expenses include expenses for
contractors of €168 million (2017: €153 million) and restructuring costs for an amount of €111 million
(2017: €82 million). Restructuring provisions are disclosed in note 9.2.
