4. Net financial income (expenses)

The net financial expenses balance is €32.6 million in the first nine months of 2012 (a net financial expenses balance of €17.2 million in the first nine months of 2011). Details of the composition of net financial income (expenses) are as follows:

  9 months to
September 30
Quarter III 
€ million 2012 2011  Change 2012 2011 Change
Interest and other financial income  
      
   
Income and dividends on securities held for trading (a) 14.8 45.3  (30.5) 2.8 13.2 (10.4)
Income on non-current securities and other investments 2.8 2.1  0.7 2.0 0.4 1.6
Interest income on:              
 - bonds 12.8 19.9  (7.1) 3.3 7.7 (4.4)
 - receivables from banks 4.5 4.3  0.2 1.2 0.8 0.4
 - receivables from the tax authorities 0.2 0.4  (0.2) 0.0 0.0 0.0
 - loans to subsidiaries 0.0 1.6(b) (1.6) 0.0 0.3 (0.3)
 - loans to third parties 0.7 0.0  0.7 0.3 0.0 0.3
Exchange gains 1.5 6.2  (4.7) 0.0 (4.1) 4.1
Interest income and other financial income 37.3 79.8  (42.5) 9.6 18.3 (8.7)
Interest expenses and other financial expenses             
EXOR bond interest expenses (34.4) (36.3)  1.9 (11.6) (11.6) 0.0
Expenses on securities held for trading (a) (24.4) (41.1)  16.7 (10.4) 2.4 (12.8)
Exchange losses (3.9) (12.2)  8.3 (1.3) 0.8 (2.1)
Expenses from interest rate hedge (2.3) (1.7)  (0.6) (0.9) (0.6) (0.3)
Bank interest and other financial expenses (5.6) (7.7)  2.1 (1.7) (2.5) 0.8
Interest expenses and other financial expenses (70.6) (99.0)  28.4 (25.9) (11.5) (14.4)
Fair value adjustments to current and non-current financial assets 0.7 2.0  (1.3) 11.9 (9.0) 20.9
Net financial income (expenses) (32.6) (17.2)  (15.4) (4.4) (2.2) (2.2)
(a) Includes mainly realized gains and losses. (b) Relates to C&W Group for €1.3 million and Juventus Football Club for €0.3 million.

Considering only assets and liabilities included in the balance of the net financial position of the Holdings System (see note 11), the balance of net financial expenses of €35.9 million (a balance of net financial expenses of €21.8 million in the first nine months of 2011).

Details are as follows:

  nine months to
September 30
Quarter III 
€ million 2012 2011 Change 2012 2011 Change
Interest and other financial income 34.0 74.4 (40.4) 7.7 20.4 (12.7)
Interest and other financial expenses (70.6) (98.2) 27.6 (25.9) (16.4) (9.5)
Fair value adjustments of current and non-current assets 0.7 2.0 (1.3) 11.9 (9.4) 21.3
Financial income (expenses) balance generated by the financial position (35.9) (21.8) (14.1) (6.3) (5.4) (0.9)

The increase in net financial expenses for the first nine months of 2012 compared to the corresponding period of the prior year is due principally to the increase in average debt of the period.

 

Commercial Register No.64236277 Note legali | Credits