14. Intangible assets
|
(in millions of euros) |
2024 |
2023 |
|
Composition as at 1 January |
||
|
Purchase price |
912 |
898 |
|
Accumulated amortisation and impairment losses |
709 |
579 |
|
Book value as at 1 January 2023 |
203 |
319 |
|
Changes |
||
|
Investments |
39 |
34 |
|
Business acquisitions |
- |
- |
|
Held for sale |
-1 |
- |
|
Amortisation |
-85 |
-125 |
|
Disposals |
-3 |
-23 |
|
Other movements |
-43 |
-2 |
|
Total changes during the financial year |
-93 |
-116 |
|
Composition as at 31 December |
||
|
Purchase price |
839 |
912 |
|
Accumulated amortisation and impairments |
729 |
709 |
|
Book value as at 31 December |
110 |
203 |
Intangible assets mainly concern software. NS reassessed the depreciation periods of IT projects in 2024. To better reflect the actual economic life of assets as a result of ever-accelerating developments in IT, the depreciation period of a number of IT projects has been adjusted (from 7 to 5 and 3 years, respectively). This resulted in an additional amortization charge of €7 million in 2024. Assets have also been decommissioned to the sum of €18 million and amortised to nil. These are included in other movements.
For information on impairments, see note 15.
Accounting policy
Intangible assets
Intangible assets with a finite life acquired or produced by the Group are stated at cost less accumulated amortisation and accumulated impairment losses. These intangible assets mainly concern software.
After initial recognition, expenditure on capitalised intangible assets is only capitalised if it leads to an increase in the future economic benefits embodied in the specific asset involved. All other expenditure, including internally generated goodwill and trademarks, is recognised as an expense in the income statement as incurred.
Amortisation is charged to the income statement on a straight-line basis over the estimated useful life of the intangible assets from the date they are available for use. The estimated useful life of the software is between three and ten years.