Personnel costs include salaries, commissions, employee profit sharing, vacation pay and bonus estimation. They also include expenses related to share-based payments (stock option and free share plans) and expenses related to pensions (excluding the net effect of unwinding the discount on benefit obligations, which is included in other financial income and expenses). The increase in personnel costs is due to Epsilon acquisition on July 1, 2019. This also explains the increase in headcount as of June 30, 2020 compared to June 30, 2019.
| (in millions of euros) | June 30, 2020 (6 months) | June 30, 2019 (6 months) |
|---|---|---|
| Compensation | Compensation June 30, 2020 (6 months) (2,573) | Compensation June 30, 2019 (6 months) (2,241) |
| Social security charges, including post-employment benefits | Social security charges, including post-employment benefits June 30, 2020 (6 months) (482) | Social security charges, including post-employment benefits June 30, 2019 (6 months) (427) |
| Share-based payments | Share-based payments June 30, 2020 (6 months) (28) | Share-based payments June 30, 2019 (6 months) (37) |
| Temporary employees and freelancers | Temporary employees and freelancers June 30, 2020 (6 months) (141) | Temporary employees and freelancers June 30, 2019 (6 months) (174) |
| Total | Total June 30, 2020 (6 months) (3,224) | Total June 30, 2019 (6 months) (2,879) |
| June 30, 2020 | December 31, 2019 | June 30, 2019 | |
|---|---|---|---|
| Europe | Europe June 30, 2020 21,026 | Europe December 31, 2019 21,762 | Europe June 30, 2019 21,921 |
| North America | North America June 30, 2020 25,846 | North America December 31, 2019 27,098 | North America June 30, 2019 20,933 |
| Latin America | Latin America June 30, 2020 6,116 | Latin America December 31, 2019 6,081 | Latin America June 30, 2019 6,045 |
| Asia Pacific | Asia Pacific June 30, 2020 24,202 | Asia Pacific December 31, 2019 24,431 | Asia Pacific June 30, 2019 21,017 |
| Middle East & Africa | Middle East & Africa June 30, 2020 3,597 | Middle East & Africa December 31, 2019 3,863 | Middle East & Africa June 30, 2019 3,937 |
| Total | Total June 30, 2020 80,787 | Total December 31, 2019 83,235 | Total June 30, 2019 73,853 |
| (in millions of euros) | June 30, 2020 (6 months) | June 30, 2019 (6 months) |
|---|---|---|
| Amortization of other intangible assets (excluding intangibles arising from acquisitions) | Amortization of other intangible assets (excluding intangibles arising from acquisitions) June 30, 2020 (6 months) (24) | Amortization of other intangible assets (excluding intangibles arising from acquisitions) June 30, 2019 (6 months) (15) |
| Depreciation of property, plant and equipment | Depreciation of property, plant and equipment June 30, 2020 (6 months) (77) | Depreciation of property, plant and equipment June 30, 2019 (6 months) (61) |
| Amortization of right-of-use assets | Amortization of right-of-use assets June 30, 2020 (6 months) (200) | Amortization of right-of-use assets June 30, 2019 (6 months) (197) |
| A mortization expense (excluding intangibles arising from acquisitions) | A mortization expense (excluding intangibles arising from acquisitions) June 30, 2020 (6 months) (301) | A mortization expense (excluding intangibles arising from acquisitions) June 30, 2019 (6 months) (273) |
| Amortization of intangibles from acquisitions | Amortization of intangibles from acquisitions June 30, 2020 (6 months) (142) | Amortization of intangibles from acquisitions June 30, 2019 (6 months) (27) |
| Impairment of right-of-use assets | Impairment of right-of-use assets June 30, 2020 (6 months) (231) | Impairment of right-of-use assets June 30, 2019 (6 months) (90) |
| Impairment of equity investments | Impairment of equity investments June 30, 2020 (6 months) - | Impairment of equity investments June 30, 2019 (6 months) (23) |
| Total depreciation, amortization and impairment loss | Total depreciation, amortization and impairment loss June 30, 2020 (6 months) (674) | Total depreciation, amortization and impairment loss June 30, 2019 (6 months) (413) |
From July 1, 2019, brands are amortized over a period of eight years, corresponding to their estimated period of use. The amortization expense for brands represented euro 48 million in the first half of 2020. In the first half of 2019, the expense was nil since the brands began to be amortized on July 1, 2019.
