v3.26.1
DIRECT OPERATING COSTS
 6 Months Ended
Jun. 30, 2026
Analysis of income and expense [abstract]  
DIRECT OPERATING COSTS DIRECT OPERATING COSTS
The Corporation has no key employees or directors and does not remunerate key management personnel. Key decision makers of the Corporation are all employees of Brookfield or its subsidiaries, which provide management services under the Master Services Agreement with Brookfield. Refer to Note 18.
Direct operating costs are costs incurred to earn revenues and include all attributable expenses. The following table presents direct operating costs by nature for the three and six months ended June 30, 2026 and 2025.
Three Months Ended
June 30,		Six Months Ended
June 30,
(US$ MILLIONS)2026202520262025
Inventory costs$2,183 $2,150 $4,365 $4,344 
Subcontractor and consultant costs715 754 1,363 1,489 
Concession construction materials and labor costs56 43 104 79 
Depreciation and amortization expense775 767 1,535 1,497 
Compensation715 942 1,416 1,886 
Other direct costs780 809 1,567 1,572 
Total$5,224 $5,465 $10,350 $10,867 
Other direct costs include freight, cost of construction expensed and expected credit loss provisions on financial assets.
During the three and six months ended June 30, 2026, the Corporation recorded a reduction in inventory costs of $256 million and $497 million, respectively (June 30, 2025: $256 million and $515 million, respectively) related to tax benefits recognized. Refer to Note 2(c)(i) for additional details.