6.5 Staff costs, depreciation, and research and development expenses

6.5a Staff costs

Staff costs included in the statement of profit or loss are broken down as follows:

The statement of profit or loss includes an amount of approximately € 1 million (2023: € 3 million) relating to restructuring provisions.

Staff costs include an amount of € 4 million (2023: € 1 million) for additions to the other provisions for share-based payments settled in cash (share appreciation rights or SARs). The fair value of this commitment is periodically revised up to and including the settlement date on 1 May 2028. The increase in costs compared with the previous year is mainly the result of the increased Royal Heijmans N.V. share price compared with the previous financial year.

Staff costs are included in the cost of sales, administrative expenses and selling expenses.

6.5b Number of employees

At the end of 2024, the total number of employees expressed in full-time equivalents (FTEs) stood at 5,650, an increase from 5,316 in 2023. Of this total, 1,179 FTEs work at Living (2023: 1,140), 1,698 FTEs at Working (2023: 1,528) and 2,413 FTEs at Connecting (2023: 2,312). The remaining 360 FTEs work for the holding company (2023: 336). The average number of employees expressed in FTEs during the financial year was 5,381, compared with 5,119 in 2023. No employees work outside the Netherlands.

6.5c Depreciation

Depreciation recognised in the statement of profit or loss is broken down as follows:

Depreciation is included in the cost of sales and administrative expenses in the statement of profit or loss.

6.5d Research & development costs

The costs for research and development recognised in the statement of profit or loss are:

Research and development costs pertain primarily to digitalisation and industrialisation. Project work also involves research and development activities, which are recognised in the cost of sales. These costs are not included in the figures stated above.