Operating expenses

Breakdown of operating expenses before depreciation and amortization in 2018 and 2017
Operating expenses by item, ‘000 USD 2018 Share of total expenses, % 2017 Share of total expenses, % Change Change, %
Remuneration of employees 83,656 28.6 86,753 33.8 -3,097 -3.6
Leasing 45,104 15.4 47,402 18.5 -2,298 -4.8
Services of third-party organizations related to transshipment support 40,776 13.9 12,572 4.9 28,204 224.3
Fuel for resale and in-house us 39,869 13.6 24,823 9.7 15,046 60.6
Insurance contributions on payroll 20,513 7.0 20,398 7.9 0,115 0.6
Repair and maintenance services 19,077 6.5 20,124 7.8 -1,047 -5.2
Materials 8,572 2.9 8,292 3.2 280 3.4
Tax on property and other taxes other than profit tax 7,776 2.7 5,350 2.1 2,426 45.3
Electricity and other utilities 6,658 2.3 6,776 2.6 -0,118 -1.7
Charitable donations 5,228 1.8 4,994 1.9 0,234 4.7
Security services 4,092 1.4 3,195 1.2 0,897 28.1
Professional services 1,840 0.6 2,828 1.1 -0,988 -34.9
Insurance 1,439 0.5 1,683 0.7 -0,244 -14.5
Other expenses 8,317 2.8 11,654 4.5 -3,337 -28.6
Operating expenses before depreciation and amortization 292,917 100.0 256,844 100.0 36,073 14.0

Operating expenses before depreciation and amortization rose by $36 million or 14% in 2018, primarily due to the following factors:

  • Growth of services of third-party organizations related to support of transshipments
  • Growth of the cost of fuel for resale and the Group’s own use