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DANONE
REGISTRATION DOCUMENT 2015
Danone's business highlights in 2015 and outlook for 2016
3.3 Free cash flow
60
Consolidated statement of cash flows
Year ended December 31
(in € millions)
2014
2015
Net income
1,253
1,398
Share of profit of associates net of dividends received
4
(58)
Depreciation, amortization and impairment of property, plant and equipment
and intangible assets
956
1,217
Increases in (reversals of) provisions
43
148
Change in deferred taxes
(94)
(179)
(Gains) losses on disposal of property, plant and equipment and financial investments
(8)
29
Expense relating to stock-options and Group performance shares
19
27
Cost of net financial debt
179
152
Net interest paid
(212)
(182)
Net change in interest income (expense)
(33)
(30)
Other components with no cash impact
19
1
Other net cash outflows
(6)
−
Cash flows provided by operating activities, before changes in net working capital
2,154
2,552
(Increase) decrease in inventories
(105)
(66)
(Increase) decrease in trade receivables
(96)
(418)
Increase (decrease) in trade payables
184
174
Change in other receivables and payables
52
128
Change in working capital requirements
35
(182)
Cash flows provided by (used in) operating activities
2,189
2,369
Capital expenditure
(a)
(984)
(937)
Proceeds from disposal of property, plant and equipment
(a)
67
31
Net cash outflows on purchases of subsidiaries and financial investments
(b)
(1,070)
(596)
Net cash inflows on disposal of subsidiaries and financial investments
(b)
34
2
(Increase) decrease in long-term loans and other long-term financial assets
(14)
(19)
Cash flows provided by (used in) investment activities
(1,966)
(1,519)
Increase in issued capital and additional paid-in capital
33
39
Purchases of treasury shares (net of disposals) and of DANONE call options
(c)
13
198
Dividends paid to Danone shareholders
(307)
(314)
Buyout of non-controlling interests
(363)
(1,929)
Dividends paid
(110)
(97)
Contribution from non-controlling interests to capital increases
1
(3)
Transactions with non-controlling interests
(471)
(2,029)
Net cash flows on hedging derivatives
(d)
(4)
22
Bonds issued or raised during the period
150
2,049
Bonds repaid during the period
(618)
(603)
Increase (decrease) in other current and non-current financial debt
312
(101)
Increase (decrease) in short term investments
535
(242)
Cash flows provided by (used in) financing activities
(357)
(982)
Effect of exchange rate and other changes
(e)
45
(228)
Increase (decrease) in cash and cash equivalents
(89)
(361)
Cash and cash equivalents at beginning of period
969
880
Cash and cash equivalents at end of period
880
519
Supplemental disclosures
Payments during the year of income tax
(601)
(804)
(a) This expenditure relates to property, plant and equipment and intangible assets used in operations.
(b) Acquisition/disposal of companies' shares. In the case of fully-consolidated companies, this comprises cash as of the acquisition/disposal date.
(c) DANONE call options acquired by the Company.
(d) Derivative instruments used to manage net debt.
(e) Effect of reclassification with no impact on net debt.