9. Other financial income/expenses

9. Other financial income/expenses

The following table summarizes other financial income and expense for the years ended 31 December 2016 and 2015.

 

Year ended 31 December

(thousands of €)

2016

2015

Other financial income:

 

 

Interest on bank deposit

1,614

1,246

Effect of discounting long term R&D incentives receivables

99

99

Currency exchange gain

8,150

636

Other finance income

87

7

Total other financial income

9,950

1,987

 

 

 

Other financial expenses:

 

 

Interest expenses

(47)

(46)

Currency exchange loss

(1,453)

(1,310)

Other finance charges

(191)

(182)

Total other financial expense

(1,692)

(1,539)

 

 

 

Total other net financial income

8,257

448

Other financial income increased significantly by €8.0 million, or 401%, from €2.0 million for the year ended 31 December 2015 to €10.0 million for the year ended 31 December 2016. The increase primarly related to an exchange gain of €4.8 million on deposits held in U.S. dollar and exchange gains of €2.0 million realized on milestone payments from AbbVie and Gilead in U.S. dollar.

Other financial expenses increased by €0.2 million, or 10% from €1.5 million for the year ended 31 December 2015 to €1.7 million for the year ended 31 December 2016. Net exchange profit amounts to €6.7 million for the year ended 31 December 2016, compared to a net exchange loss of €0.7 million for the year ended 31 December 2015. Interest expenses were related to interests paid on financial lease.