36. Financial expenses
Financial expenses can be broken down as follows:
| In millions of euros | 2024 | 2023 |
|---|---|---|
| Interest on loans measured at amortised cost | 69.2 | 52.7 |
| Interest on leases | 1.7 | 8.0 |
| Interest on contract liabilities | 3.5 | 4.8 |
| Foreign exchange results | 0.3 | 1.3 |
| Accrued interest on provisions | 2.4 | 3.2 |
| Other financial expenses on instruments measured at amortised cost | 8.6 | 7.9 |
| Fair value movement for instruments measured at fair value | - | 4.1 |
| Other financial expenses | 3.0 | 4.6 |
| Total interest and financial expenses | 88.7 | 86.6 |
| Capitalised as part of tangible fixed assets | -9.4 | -12.0 |
| Total financial expenses | 79.3 | 74.6 |
Of the interest expenses, a total of € 9.4 million was capitalised in 2024 (2023: € 12.0 million). This capitalisation was based on the weighted average interest rate of our non-current loan portfolio. This interest rate averaged 1.7% in 2024 (2023: 1.7%). The other finance expenses for instruments stated at amortised cost mainly comprise amortised transaction costs and discount on non-current loans, as well as interest we pay on security deposits received from customers. The other financial expenses relate to the result on the realised part of our gas price swap transactions, as further explained in note 28 ’Financial instruments’ under ‘Price risk’.
The decrease in interest expenses relating to the leases and to the contract liabilities is due to the change in the way in which EemsEnergyTerminal is recognised in the financial statements, as explained in more detail in note 1 ‘Significant matters and events’.