Consolidated statements
of cash flows

SEK in millions

Note

 

Jan–Dec 2017

Jan–Dec 2016

Net income

   

10,146

6,496

Adjustments for:

       

Amortization, depreciation and impairment losses

   

18,432

13,662

Capital gains/losses on sales/disposals of non-current assets and operations

   

375

-6,275

Income from associated companies and joint ventures, net of dividends received

C14

 

2,548

-701

Pensions and other provisions

   

-4,793

11,981

Financial items

   

1,513

147

Income taxes

   

165

649

Miscellaneous non-cash items

   

-152

4

Cash flow before change in working capital

   

28,234

25,964

Increase (-)/Decrease (+) in operating receivables

   

501

-1,943

Increase (-)/Decrease (+) in inventories

   

287

61

Increase (+)/Decrease (-) in operating liabilities1

   

-5,452

1,888

Change in working capital1

   

-4,665

6

Cash flow from operating activities

C30

 

23,569

25,970

of which from discontinued operations

   

-2,744

3,460

Intangible assets and property, plant and equipment acquired

   

-16,405

-18,703

Intangible assets and property, plant and equipment divested

   

101

173

Business combinations and other equity instruments acquired

C30, C33

 

-4,419

-94

Operations and other equity instruments divested

C30

 

23,114

12,084

Loans granted and other similar investments

   

-5,424

-6,198

Repayment of loans granted and other similar investments

   

3,167

3,272

Compensation from pension fund

   

500

Net change in short-term investments

   

-10,249

1,538

Cash flow from investing activities

   

-10,115

-7,428

of which from discontinued operations

   

-3,602

-1,508

Cash flow before financing activities

   

13,454

18,542

Repurchased treasury shares including transaction costs

   

-4

-5

Dividends paid to owners of the parent

   

-8,660

-12,990

Dividends paid to holders of non-controlling interests

C30

 

-861

-2,376

Proceeds from borrowings

   

16,393

1,523

Repayment of borrowings

   

-19,126

-6,898

Net change in short-term borrowings

   

176

-3,484

Settlement of derivative contracts for economic hedges and CSA

   

-1,927

1,180

Cash received for repurchase agreements

   

1,812

6,975

Cash paid for repurchase agreements

   

-1,707

-6,416

Cash flow from financing activities

   

-13,905

-22,491

of which from discontinued operations

   

-589

-1,976

Net change in cash and cash equivalents

   

-451

-3,949

of which from discontinued operations

   

-6,935

-24

Cash and cash equivalents, opening balance

   

22,907

25,334

Net change in cash and cash equivalents for the year

   

-451

-3,949

Exchange rate differences in cash and cash equivalents

   

-1,472

1,523

Cash and cash equivalents, closing balance

C18

 

20,984

22,907

of which from continuing operations (including Sergel for comparative figures)

   

15,616

14,605

of which from discontinued operations (Eurasia)

C34

 

5,368

8,302

1) The cash flow effect from the global settlement with the authorities regarding the Uzbekistan investigations amounted to SEK 6,129 million in the third quarter 2017 and is classified as cash flow from discontinued operations. The outstanding provision, amounting to SEK 1,650 million after discount effect, is recognized as a long-term provision in the consolidated statements of financial position.