Operating expenses

Expense items affecting operating income in continuing operations were as follows.

Cost of goods sold (COGS) was SEK 31,053 million (33,578) equal to a 7.5 percent decrease compared to 2016. The decrease was mainly due to the disposal of Yoigo in Spain. COGS in local currencies and excluding acquisitions and disposals increased by 1.1 percent.

Marketing expenses decreased 28.8 percent compared to 2016, driven by the majority of the markets as well as the deconsolidation of Yoigo in Spain in 2016.

Amortization, depreciation and impairment losses increased 11.8 percent to SEK 12,893 million (11,534). In local currencies and excluding acquisitions and disposals, the increase was 12.4 percent.

 

Operating expenses

SEK in millions

Jan-Dec
2017

Jan-Dec
2016

Change 
(SEK million)

Change 
(%), total

COGS

-31,053

-33,578

2,525

-7.5

of which goods and sub-contracting services purchased

-16,553

-17,441

888

-5.1

of which interconnect and roaming expenses

-6,978

-7,971

993

-12.5

of which other network expenses

-3,792

-4,695

903

-19.2

of which change in inventories

-3,730

-3,470

-260

7.5

Personell expenses

-12,526

-12,105

-421

3.5

Marketing expenses

-3,073

-4,319

1,246

-28.8

Other expenses

-8,111

-8,456

345

-4.1

Subtotal

-54,763

-58,458

3,695

-6.3

Amortization, depreciation and impairment losses, total

-12,892

-11,533

-1,359

11.8

Other operating expenses

-1,284

-1,397

114

-8.1

Total, continuing operations

-68,938

-71,388

2,450

-3.4