EDF / 2019 Universal registration document

5. The Group’s financial performance and outlook Operating and financial review in 2019

Net cash flow from operating activities 5.1.5.1.1

2019  (1)

2018  (2)

Variation

Variation (%)

(in millions of euros)

Income before taxes of consolidated companies Income before taxes of continuing operations Income before taxes of consolidated companies

5,983 (416) 6,399

473

5,510 (233) 5,743

n.a. n.a. n.a.

(183)

656 290

(Impairment)/reversals

403

113

+39.0

Accumulated depreciation and amortisation, provisions and changes in fair value

8,328

12,957

(4,629)

-35.7 -86.5

Financial income and expenses

97

718 387

(621)

Dividends received from associates and joint ventures

349

(38) 506 (18)

-9.8

Capital gains/losses

(508)

(1,014)

-49.9 -3.8 +7.3 -23.9

Change in working capital

452

470

Net cash flow from operations Net financial expenses disbursed

15,520

14,464 (1,048)

1,056

(798) (922)

250

Income taxes paid

(309)

(613)

n.a.

NET CASH FLOW FROM CONTINUING OPERATING ACTIVITIES NET CASH FLOW FROM OPERATING ACTIVITIES RELATING TO DISCONTINUED OPERATIONS

13,800

13,107

693

+5.3

222

257

(35) 658

-13.6 +4.9

NET CASH FLOW FROM OPERATING ACTIVITIES

14,022

13,364

not applicable. n.a.: The financial statements at 31 December 2019 apply IFRS 16 from 1 January 2019 (see note 2.1 to the 2019 consolidated financial statements). (1) The published figures for 2018 have been restated due to the impact of presenting the E&P operations as discontinued operations. (2)

a decrease in capital gains (+€506 million), essentially reflecting the lower level ■ of gains in 2019 (mainly resulting from the sale of NnG in renewable energies) compared to 2018 (when they mainly concerned sales of real estate and Dunkerque LNG). Net cash flow used in investing activities 5.1.5.1.2 The net cash outflow for investing activities in 2019 amounted to €15,650 million, compared to €17,165 million in 2018. The following table sets forth the breakdown of the net cash flow used in investing activities between purchases and disposals of property, plant and equipment and intangible assets, acquisitions and disposals of companies net of cash acquired/transferred, and the change in financial assets:

The net cash flow from operating activities amounted to €14,022 million in 2019, up by €658 million from 2018. This change primarily reflects a €1,056 million increase in the net cash flow from continuing operating activities, resulting from: the change in the income before taxes of consolidated companies after correction ■ for impairment, depreciation, provisions and changes in fair value, which totalled €15,130 million in 2019 compared to €13,903 million in 2018, with an increase of €1,227 million; the lower financial expenses (-€621 million compared to 2018); ■

2019  (1)

2018  (2)

Variation

Variation (%)

(in millions of euros)

Investments in intangible assets and property, plant and equipment Net proceeds from sale of intangible assets and property, plant and equipment

(16,709)

(16,016)

(693)

+4.3

94

577

(483)

-83.7 +7.6

Net capex

(16,615)

(15,439)

(1,176)

Acquisitions of equity investments, net of cash acquired Disposals of equity investments, net of cash transferred

(456)

(484) 1,261

28

-5.8

293

(968) 3,661 1,545

-76.8

Changes in financial assets

1,294

(2,367)

n.a. -9.1

NET CASH FLOW FROM CONTINUING INVESTING ACTIVITIES NET CASH FLOW FROM INVESTING ACTIVITIES RELATING TO DISCONTINUED OPERATIONS

(15,484)

(17,029)

(166)

(136)

(30)

+22.1

NET CASH FLOW USED IN INVESTING ACTIVITIES

(15,650)

(17,165)

1,515

-8.8

not applicable. n.a.: The financial statements at 31 December 2019 apply IFRS 16 from 1 January 2019 (see note 2.1 to the 2019 consolidated financial statements). (1) The published figures for 2018 have been restated due to the impact of presenting the E&P operations as discontinued operations. (2)

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EDF | Universal registration document 2019

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