Statement of cash flows

  • Cash provided by operating activities remains at high level
  • Cash used in investing activities improves

At €6,958 million, cash provided by operating activities in 2014 was €1,142 million below the level of the previous year. This was largely attributable to an increase in the amount of capital tied down in net working capital as a result of greater inventories and other operating receivables. Miscellaneous items primarily include the reclassification of the gain on the disposal of our 50% share in Styrolution GmbH to cash used in investing activities.

Cash used in investing activities amounted to minus €4,496 million in 2014 compared with minus €5,994 million in the previous year. This was mostly the result of the positive balance of payments received from divestitures (€1,336 million) and payments made for acquisitions (€963 million) in 2014. In the previous year, payments made for acquisitions (€1,156 million) had considerably exceeded payments received from divestitures (€63 million). Payments for property, plant and equipment and intangible assets were at €5,296 million, surpassing both the level of depreciation and amortization (€3,455 million) and the level of 2013 (€4,873 million). The disposal of financial assets and other receivables from financing activities as well as other items led to €427 million in payments received compared with the previous year’s €28 million in payments made.

Cash used in financing activities amounted to minus €2,478 million in 2014, increasing cash outflow by €604 million compared with the previous year. In both years, more financial and similar obligations were assumed than were paid back, but in 2014, a greater amount was paid back than in 2013. Dividends of €2,480 million were paid to shareholders of BASF SE and €286 million to minority shareholders in Group companies in 2014.

In total, cash and cash equivalents fell by €109 million compared with the previous year, amounting to €1,718 million as of December 31, 2014.

The year-on-year decline in free cash flow of €1,565 million to €1,662 million was the result of lower cash provided by operating activities and of higher payments related to property, plant and equipment and intangible assets.

Cash flow1 (in billion €)
Cash flow (bar chart)

1 The figures for the 2010 and 2011 business years were not restated according to the new accounting and reporting standards IFRS 10 and 11.
2 Including investments to the extent that they already had an effect on cash
3 Cash provided by operating activities less payments related to property, plant and equipment and intangible assets

Statement of cash flows (in million €)

 

 

2014

2013

Net income

 

5,155

4,792

Depreciation and amortization of intangible assets, property, plant and equipment, and financial assets

 

3,455

3,314

Changes in net working capital

 

(699)

714

Miscellaneous items

 

(953)

(720)

Cash provided by operating activities

 

6,958

8,100

 

 

 

 

Payments for property, plant and equipment and intangible assets

 

(5,296)

(4,873)

Acquisitions/divestitures

 

373

(1,093)

Financial investments and other items

 

427

(28)

Cash used in investing activities

 

(4,496)

(5,994)

 

 

 

 

Capital increases/repayments, share repurchases

 

Changes in financial liabilities

 

288

828

Dividends

 

(2,766)

(2,702)

Cash used in financing activities

 

(2,478)

(1,874)

 

 

 

 

Net changes in cash and cash equivalents

 

(16)

232

Cash and cash equivalents at the beginning of the year and other changes

 

1,734

1,595

Cash and cash equivalents at the end of the year

 

1,718

1,827