Annexes to the consolidated financial statements
The consolidated financial statements are prepared on the basis of commercial operating values and in accordance with accounting recommendations (Swiss GAAP FER) and the Swiss Stock Corporation Act. They provide a true and fair view of the Group's net assets, financial position and results of operations. Consolidation is based on audited and unified financial statements prepared by the Group companies.
The financial statements of Jungfraubahn Holding AG and the consolidated financial statements of the Jungfraubahn Group were approved by the Board of Directors on 29 March 2018.
The uniform closing date for all companies included in the consolidation is 31 December. The associated company Skilift Bumps AG is an exception to this rule (30 June). As in previous years, Skilift Bumps AG due to the lesser importance of the company does not have to prepare interim financial statements as at 31 December.
Scope of consolidation
The consolidated financial statements include the financial statements of Jungfraubahn Holding AG and its holdings. The holdings of the Group can be seen in the comment «0 Scope of consolidation» below. The holdings are broken down as follows:
Group companies are companies in which Jungfraubahn Holding AG has a direct or indirect share of more than 50 per cent.
Associated companies are companies in which Jungfraubahn Holding AG holds 20 to 50 per cent.
Non-consolidated holdings (up to 20 per cent) are reported under «financial assets».
Assets and liabilities, as well as expenses and income, are 100 per cent accounted for according to the full consolidation method. Capital consolidation is carried out according to the Anglo-Saxon method (purchase method). Goodwill paid in connection with a share acquisition is usually depreciated over 5 years, in justified cases over 20 years. A passive difference (badwill) is credited to the income statement in the financial year.
The minority interests in equity and income are shown separately on the balance sheet and the income statement. Receivables, liabilities as well as deliveries and services between group companies, including resulting profits, are eliminated.
These companies are included in the consolidated financial statements using the equity method less value adjustments necessary for economic reasons.
The non-consolidated participations reported in the «financial investments» are valued at the acquisition cost less value adjustments necessary for economic reasons.
Balance sheet items are valued according to uniform guidelines. The valuation is based on the acquisition or production costs (principle of historical costs). The most important rules for the various items are set out below:
The conversion of positions in foreign currencies is carried out according to the closing rate method. The effects from foreign currency adjustments are recorded in the period result.
Receivables are stated at the nominal value less value adjustments necessary for economic reasons.
In particular, articles sold in souvenir shops and inventories of restaurants are included in this item. The valuation is carried out at acquisition cost or - if this is lower - at the realisable disposal value. Any discounts are recorded as a reduction in acquisition costs. Consumables and operating materials are reported as «deferred accruals» in the sense of prepaid expenses.
Property, plant and equipment and spare parts are recognised at acquisition or production values and amortised using the straight-line method over the estimated period of their use (spare parts corresponding to the period of the related property, plant and equipment). Land is not amortised. The planned useful lives for:
|Depots and workshops||50|
|Railway substructure and superstructure||25 – 80|
|Gondola lift, chairlift and ski lift stations||20 – 50|
|Ski slopes and fixed snowmaking equipment||10 – 25|
|Hiking trails and climbing routes||20 – 30|
|Power plant and technical water buildings||50 – 80|
|Restaurants and accommodation||10 – 50|
|Car parks and parking spaces||20 – 40|
|Railway installations||15 – 40|
|Chairlifts and ski lifts||10 – 30|
|Snowmakers||6 – 10|
|Power plant and technical water facilities||10 – 40|
|Other facilities||4 – 20|
|Cars||4 – 10|
|Other vehicles||4 – 10|
|Office equipment||5 – 8|
|Devices and tools||5 – 10|
|IT equipment||5 – 20|
|Communication equipment||5 – 20|
On each balance sheet date, an assessment is made as to whether there are any signs of impairment of the book values of the Jungfraubahn Group's assets. If there are any signs, the recoverable value of the assets is determined. An impairment loss is recognised in profit or loss.
Financial assets are stated at acquisition costs, less value adjustments necessary for economic reasons.
Intangible assets (software, concessions and rights as well as goodwill) are recognised at cost and depreciated over the estimated or contractually determined useful lives. The planned useful lives for:
|Software||5 – 10|
|Concessions and rights||15 – 100|
Liabilities are stated at their nominal value.
Provisions are probable obligations that are based on events in the past, the amount and / or maturity of which is uncertain but can be estimated. The valuation is based on uniform business management criteria.
The revenues of the Jungfraubahn Group stem mainly from the sale of travel tickets (transport income), other important sources of income are the compensation received from government and energy sales. Transport income is realised with the completion of the sales transaction in the sales system and posted in the corresponding period. Proceeds from long-term travel tickets are deferred on a monthly basis and are settled over the entire duration of the travel tickets.
Current taxes on profits are deferred on the basis of the business results reported in the reporting year according to the principle of current-year measurement.
For deferred taxes, all differences between tax rates and group values are measured at full tax rates and reported in the balance sheet (comprehensive liability method). In deviation from previous years, the currently applicable tax rate for each company is used for the calculation of the deferred tax burden (previously: expected future tax rate at the time of dissolution). Deferred tax assets on tax-deductible losses carried forward are not capitalised but shown in the Notes.
Employee pension funds
The employees of the Jungfraubahn Group extept the Jungfrau Gastronomie AG are insured by the legally independent personnel pension fund of Jungfrau Railways. The employees oft the Jungfrau Gastronomie AG are insured by the GastroSocial pension fund. The purpose of both funds is to insure the employees against the economic consequences of age, death and disability. All workers aged over 17 are insured.
The assets of both foundation are not included in the consolidated financial statements. In the statement of income, the contributions demarcated for the period are presented as personnel expenses. The balance sheet includes the corresponding deferred tax assets or liabilities as well as liabilities arising from contractual, regulatory or legal principles. It is assessed annually whether there is an economic benefit or an economic obligation from the organisation's perspective. The annual accounts of the pension funds, which are prepared in Switzerland in accordance with Swiss GAAP FER 26, and other calculations which represent the financial situation, the existing excess cover or shortfall under the actual circumstances, serve as a basis.
Transactions with related parties
Business relationships with related parties are settled under market conditions. This applies in particular to business transactions with BEKB | BCBE, Gebäudeversicherung Bern, Garaventa AG, Graf AG, Hoch- & Tiefbau, Holzbau, as well as with associated companies and personnel services.
|CHF (thousands)||2017||2016||Change||in %|
|Net sales Jungfraujoch - Top of Europe||128,699||110,855||17,844||16.1%|
|Net sales Adventure mountains||21,963||18,431||3,532||19.2%|
|Net sales Winter sports||26,114||24,187||1,927||8.0%|
|Net sales other segments ||45,982||42,130||3,852||9.1%|
|Elimination group-internal sales||-28,988||-26,573||-2,415||9.1%|
|Total operating income according to profit and loss account||193,770||169,030||24,740||14.6%|
|Segment results EBITDA|
|EBITDA Jungfraujoch – Top of Europe||66,631||54,169||12,462||23.0%|
|EBITDA Adventure mountains||10,243||7,627||2,616||34.3%|
|EBITDA Winter sports||329||-202||531||-262.9%|
|EBITDA other segments ||10,544||9,483||1,061||11.2%|
|Total EBITDA according to the income statement||87,743||71,079||16,664||23.4%|
0 Scope of consolidation
In the reporting year, the new acquired Jungfrau Gastronomie AG (100% holding) was included in the scope of consolidation on 1 November 2017. It was recognised in the consolidated financial statements using the fully consolidated method. The balance sheet at the time of acquisition included cash, inventories and tangible assets.
The following companies are included in the scope of consolidation as of 31 December 2017:
|Jungfraubahn Holding AG, Interlaken||parent company||full consolidation|
|Jungfraubahn AG, Interlaken||100.0%||full consolidation|
|Wengernalpbahn AG, Interlaken||100.0%||full consolidation|
|Firstbahn AG, Grindelwald||100.0%||full consolidation|
|Parkhaus Lauterbrunnen AG, Lauterbrunnen||100.0%||full consolidation|
|Mürrenbahn AG, Lauterbrunnen||100.0%||full consolidation|
|Jungfrau Gastronomie AG, Interlaken||100.0%||full consolidation|
|Bergbahn Lauterbrunnen-Mürren AG, Interlaken||94.1%||full consolidation|
|Harderbahn AG, Interlaken||88.4%||full consolidation|
|Grindelwald Grund Infrastruktur AG, Grindelwald||80.0%||full consolidation|
|Jungfraubahnen Management AG, Interlaken||67.0%||full consolidation|
|Sphinx AG Jungfraujoch, Fieschertal VS||57.1%||full consolidation|
|Gondelbahn Grindelwald-Männlichen AG, Grindelwald||35.5%||equity method|
|Skilift Bumps AG, Wengen||22.7%||equity method|
1 Receivables from deliveries and services
|Receivables from third parties||9,528||7,582|
|Receivables from associated companies||141||172|
2 Other current receivables
|Short-term financial assets 4-12 months||15,000||0|
|Various current receivables||796||4,517|
3 Accrued income
|Operating material and consumables, printed matter, service clothing||2,396||2,309|
|Credit refund of tax payments||57||1,255|
|Credit from energy supplies||916||687|
|Prepaid insurance premiums||1,349||1,337|
4 Financial investments
|Acquisition values||CHF (thousands)||Balance sheet value 01/01/2017||Inventory 01/01/2017||Additions||Disposals||Inventory 31/12/2017|
|Total acquisition values||9,464||11,150||3||-2,439||8,714|
|Depreciation and amortisations||CHF (thousands)||Inventory 01/01/2017||Additions||Disposals||Inventory 31/12/2017||Balance sheet value 31/12/2017|
|Total depreciation and amortisations||1,686||319||0||2,005||6,709|
|Investment item||CHF (thousands)||Balance sheet value 01/01/2017||Inventory 01/01/2017||Additions||Reclassification||Disposals||Inventory 31/12/2017|
|Depots and workshops||13,132||23,257||35||-315||22,977|
|Railway substructure and superstructure||77,257||105,925||3,695||1,629||-497||110,752|
|Gondola lift, chair lift and ski lift stations||17,424||36,355||630||36,985|
|Ski slopes and fixed snowmaking equipment||17,521||33,297||33,297|
|Hiking trails / climbing routes||567||1,127||1,127|
|Restaurants and accommodation||14,798||29,847||2,090||871||32,808|
|Car parks and parking spaces||2,527||15,892||88||-45||15,935|
|Total land and buildings||253,258||440,764||8,568||4,553||-883||453,002|
|Chairlifts and ski lifts||22,354||52,942||283||622||53,847|
|Devices and tools||2,896||9,630||198||-159||9,669|
|Total other property, plant and equipment||4,356||14,288||216||0||-196||14,308|
|Installations under construction||21,963||21,963||9,078||-8,118||0||22,923|
|Spare parts / material supplies||6,722||13,507||822||0||-755||13,574|
|Investment item||CHF (thousands)||Inventory 01/01/2017||Additions||Reclassification||Disposals||Inventory 31/12/2017||Balance sheet value 31/12/2017|
|Depots and workshops||10,125||609||-315||10,419||12,558|
|Railway substructure and superstructure||28,668||2,547||-497||30,718||80,034|
|Gondola lift, chair lift and ski lift stations||18,931||1,242||20,173||16,812|
|Ski slopes and fixed snowmaking equipment||15,776||1,444||17,220||16,077|
|Hiking trails / climbing routes||560||127||687||440|
|Restaurants and accommodation||15,049||593||15,642||17,166|
|Car parks and parking spaces||13,365||476||-45||13,796||2,139|
|Total land and buildings||187,506||11,071||0||-883||197,694||255,308|
|Chairlifts and ski lifts||30,588||2,077||32,665||21,182|
|Devices and tools||6,734||459||-159||7,034||2,635|
|Total other property, plant and equipment||9,932||741||0||-196||10,477||3,831|
|Installations under construction||0||0||0||0||0||22,923|
|Spare parts / material supplies||6,785||811||0||0||7,596||5,978|
|Investment item||CHF (thousands)||Balance sheet value 01/01/2016||Inventory 01/01/2016||Additions||Reclassification||Disposals||Inventory 31/12/2016|
|Depots and workshops||13,573||23,257||23,257|
|Railway substructure and superstructure||75,881||103,202||4,001||687||-1,965||105,925|
|Gondola lift, chair lift and ski lift stations||18,657||36,355||36,355|
|Ski slopes and fixed snowmaking equipment||19,034||33,352||-44||-11||33,297|
|Hiking trails / climbing routes||484||940||187||1,127|
|Restaurants and accommodation||15,350||29,847||29,847|
|Car parks and parking spaces||3,283||16,519||95||-673||-49||15,892|
|Total land and buildings||255,847||434,276||8,227||645||-2,384||440,764|
|Chairlifts and ski lifts||24,158||52,710||232||52,942|
|Devices and tools||2,105||8,610||1,179||3||-162||9,630|
|Total other property, plant and equipment||3,878||13,330||1,194||3||-239||14,288|
|Installations under construction||27,767||27,767||14,873||-20,677||0||21,963|
|Spare parts / material supplies||7,362||13,169||989||0||-651||13,507|
|Investment item||CHF (thousands)||Inventory 01/01/2016||Additions||Reclassification||Disposals||Inventory 31/12/2016||Balance sheet value 31/12/2016|
|Depots and workshops||9,684||441||10,125||13,132|
|Railway substructure and superstructure||27,321||3,312||-1,965||28,668||77,257|
|Gondola lift, chair lift and ski lift stations||17,698||1,233||18,931||17,424|
|Ski slopes and fixed snowmaking equipment||14,318||1,469||-11||15,776||17,521|
|Hiking trails / climbing routes||456||104||560||567|
|Restaurants and accommodation||14,497||552||15,049||14,798|
|Car parks and parking spaces||13,236||472||-295||-48||13,365||2,527|
|Total land and buildings||178,429||11,460||0||-2,383||187,506||253,258|
|Chairlifts and ski lifts||28,552||2,036||30,588||22,354|
|Devices and tools||6,505||391||-162||6,734||2,896|
|Total other property, plant and equipment||9,452||719||0||-239||9,932||4,356|
|Installations under construction||0||0||0||0||0||21,963|
|Spare parts / material supplies||5,807||1,016||0||-38||6,785||6,722|
6 Intangible assets
|Acquisition values||CHF (thousands)||Balance sheet value 01/01/2017||Inventory 01/01/2017||Additions||Reclassification||Disposals||Inventory 31/12/2017|
|Concessions and rights||2,558||4,700||4,700|
|Total acquisition values||8,618||14,681||1,425||0||-408||15,698|
|Depreciation and impairments||CHF (thousands)||Inventory 01/01/2017||Additions||Reclassification||Disposals||Inventory 31/12/2017||Balance sheet value 31/12/2017|
|Concessions and rights||2,142||130||2,272||2,428|
|Total depreciation and impairments||6,063||1,306||0||-408||6,961||8,737|
7 Liabilities from deliveries and services
|Liabilities from deliveries and services owed to third parties||17,927||23,666|
|Liabilities from deliveries and services owed to related parties||41||38|
|Liabilities from deliveries and services owed to associated companies||57||62|
8 Financial liabilities / net financial assets
|CHF (thousands)||2017||Maturity less than 1 year||Maturity more than 1 year||Conditionally repayable||Unused limits||2016|
|Confederation and canton loan under Art. 56 Railway Conveyance Act (non-interest-bearing)||37,171||740||36,431||33,743|
|Total financial liabilities||37,171||740||0||36,431||95,000||33,743|
|Net financial assets||45,113||25,098|
|Change on previous year||20,015|
9 Other current liabilities
|Social security liabilities||22||724|
|Clearing balance Jungfrau Ski Region and SBB||383||105|
|Various other liabilities||613||56|
|Liabilities to shareholders ||167||166|
|CHF (thousands)||Holidays / overtime||Various||Demolition Ostgrat building||Deferred taxes||Total provisions|
|Book value at 01/01/2016||1,113||0||0||42,980||44,093|
|Book value at 31/12/2016||1,299||0||950||42,113||44,362|
|of which short-term||1,299||0||0||0||1,299|
|Book value at 01/01/2017||1,299||0||950||42,113||44,362|
|Book value at 31/12/2017||1,875||100||950||41,144||44,069|
|of which short-term||1,875||100||0||0||1,975|
11 Deferred income
|Demarcation of transport income from subscriptions||5,936||4,606|
12 Transport income
|Jungfraujoch – Top of Europe||114,369||100,274|
|Gross transport earnings||151,512||133,146|
|Reductions in revenue||-7,713||-7,162|
13 Compensation received from government
|Regional passenger transport Lauterbrunnen–Wengen||1,455||1,488|
|Freight transport Lauterbrunnen–Wengen||1,920||1,810|
|Regional passenger transport Lauterbrunnen–Mürren||2,139||2,251|
The uncovered costs of the transport service ordered by the public authorities (Federation and Canton of Bern) on the routes Lauterbrunnen–Mürren and Lauterbrunnen–Wengen are paid by the purchaser. The corresponding compensation must be negotiated in advance.
14 Rental income
|Catering rental rates||2,189||2,076|
|Renting of parking spaces||2,256||2,120|
|Renting of residential and commercial spaces||1,028||1,039|
15 Other income
|Income from package offers||114||232|
|Income from sales of assets||11||28|
16 Cost of goods
|Dining and accommodation||-239||-60|
17 Personnel expenses
|Salaries and wages||-39,812||-39,652|
|Allowances, uniforms and other benefits||-6,256||-5,105|
|remaining personnel expenses||-1,372||-1,354|
|Employees (full-time positions)||542||536|
The compensation paid to the Management booked under personnel expenses is shown in the remuneration report of Jungfraubahn Holding AG.
18 Employee benefit plans
|Number of people||2017||2016|
|Active insured persons||615||562|
|Expenditure for employee benefit plans in thousands of CHF (included in social expenses)||-4,028||-3,375|
19 Pension plans
|Economic benefit / economic commitment||Tausend CHF||Surplus cover / shortfall at 31/12/2016||Surplus cover / shortfall at 31/12/2015||Economic part of the organisation at 31/12/2016||Economic part of the organisation at 31/12/2015|
|Pension plan with surplus cover|
|Jungfrau Railways pension fund ||0||704||0||0|
|GastroSocial pension fund ||–||–||–||–|
|Pension expenses in personnel expenses||CHF (thousands)||2017||2016|
|Jungfrau Railways pension fund||-3,866||-3,165|
|GastroSocial pension fund||-12||0|
Management insurance is maintained for members of management and extended management. Expenses for the companies amounted to kCHF 150 in 2017 and kCHF 210 in 2016.
20 Other operating expenses
|Costs for services||-8,988||-7,896|
|Maintenance, renovation and demolition||-10,845||-9,049|
|Insurance and compensation||-1,655||-1,604|
|Energy and consumables||-2,326||-2,407|
General expenses mainly include administrative costs, fees and duties as well as various sponsorship and cost contributions. The compensation paid to Board members as a general expense is disclosed in the remuneration report of Jungfraubahn Holding AG.
Financial income for 2017 includes a badwill of kCHF 9, which resulted from the purchase of shares in subsidiaries. There was a badwill of kCHF 2,440 in 2016.
22 Taxes on profits
|Distribution by tax type|
|Deferred taxes on profits||969||867|
|Analysis of taxes on profits|
|Ordinary earnings before taxes on profits||52,967||38,877|
|Average applicable tax rate before taking account of losses carried forward||21.7%||21.1%|
|Expected taxes on profits related to the ordinary result||-11,918||-8,203|
|Effect of changes in non-capitalised losses carried forward||429||220|
|Effect of tax-free results||192||37|
|Effective tax rate||21.5%||20.4%|
The Group's average income tax rate is based on the weighted average tax rate resulting from the profit or loss before tax as well as the tax rate of each individual company.
With the companies Firstbahn AG, Bergbahn Lauterbrunnen-Mürren AG, Grindelwald Grund Infrastruktur AG, Jungfrau Gastronomie AG as well as Mürrenbahn AG there are tax-deductible losses carried forward totalling kCHF 2,657 (previous year kCHF 4,583). The resulting non-capitalised deferred tax claim is kCHF 583 (previous year kCHF 1,013).
The share capital of Jungfraubahn Holding AG is fully paid up, amounting to CHF 8,752,500 at 31 December 2017 and is divided into 5,835,000 registered shares with a nominal value of CHF 1.50. Rights and restrictions related to the shares are explained in Section 6 of the Corporate Governance report.
At 31 December 2017, the company held 3,593 registered treasury shares with a nominal value of CHF 1.50 each (previous year 4,704 registered treasury shares).
In the reporting year, 20,005 (previous year: 20,476) of the Company's registered treasury shares were purchased at an average price of CHF 111.86 (previous year: CHF 94.89) and 21,116 (previous year 30,509) registered treasury shares were sold at an average price of CHF 128.94 (previous year CHF 93.15).
Since 2005, the employees of the Jungfrau Railway Group as well as the administrative boards of Jungfraubahn Holding AG have been given the option of voluntarily purchasing a limited number of registered shares of Jungfraubahn Holding AG at a preferential price. In the reporting year, this price was CHF 33.00 per registered share (previous year CHF 32.00). The difference between the preferential price and the exchange rate, determined according to circular no. 37 of the Federal Tax Administration, was recognised in the income statement under personnel expenses. In this way 20,975 registered treasury shares were sold in the reporting year (previous year 20,970).
The share ownership of the Board members and management is shown in the annexe to the financial statements of Jungfraubahn Holding AG.
The non-distributable, statutory or legal reserves amounted to kCHF 24,917 at 31 December 2017 (previous year kCHF 24,392).
24 Significant non-cash transactions
|Sale of treasury shares from acquisition of shares in Bergbahn Lauterbrunnen-Mürren AG and Harderbahn AG (2017: 26 shares; 2016: 7,364 shares)||2||667|
|Contribution in kind by third-party shareholder upon founding of Grindelwald Grundinfrastruktur AG (land)||0||1,960|
25 Other information
|Sureties, guarantees and pledges in favour of third parties|
|Assets pledged to secure building lease charges||51||51|
|Joint guarantee Verein Int. Lauberhornrennen Wengen||500||0|
|Joint and several liability for all value-added tax liabilities of the Jungfraubahn Group (including Berner Oberland-Bahnen AG)||p.m.||p.m.|
|Joint and several liability for the obligations of the simple partnership Jungfrau Ski Region||p.m.||p.m.|
|Other obligations not to be recognised|
|Lease obligations from long-term leases||11,681||12,143|
|• of which due within 1 year||475||454|
|• of which due in 1-5 years||1,232||1,437|
|• of which due in more than 5 years||9,974||10,252|
26 Events after the balance sheet date
Since the balance sheet date of 31 December 2017, no events have occurred which affect the meaningfulness of the consolidated financial statements for 2017.