Philips 2005 Annual Report Download - page 128

Philips Annual Report 2005128
Consolidated statements of cash ows of the Philips Group for the years ended December 31
in millions of euros unless otherwise stated
2003 2004 2005
Cashowsfromoperatingactivities:
Income from continuing operations 723 2,815 2,951
Loss from a cumulative effect of a change in accounting principles (14) − −
Adjustments to reconcile income to net cash provided by operating activities:
Depreciation and amortization 1,981 2,260 1,508
Impairment of equity investments 772 8 427
Net gain on sale of assets (989) (1,328) (2,118)
Income from unconsolidated companies (570) (1,237) (563)
Dividends received from unconsolidated companies 1 59 312
Minority interests (net of dividends paid) 49 35 15
Decrease (increase) in receivables and other current assets 39 (359) (198)
Decrease (increase) in inventories 111 (153) (196)
Increase in accounts payable, accrued and other liabilities 198 846 279
Increase in non-current receivables/other assets (243) (435) (250)
(Decrease) increase in provisions (154) 49 (127)
Other items 108 63 50
Net cash provided by operating activities 2,012 2,623 2,090
Cashowsfrominvestingactivities:
Purchase of intangible assets (96) (103) (92)
Capital expenditures on property, plant and equipment (956) (1,273) (997)
Proceeds from disposals of property, plant and equipment 220 191 270
Cash from (to) derivatives 391 125 (46)
Purchaseofothernon-currentnancialassets (18) (11) (18)
Proceedsfromothernon-currentnancialassets 323 904 630
Purchase of businesses, net of cash acquired (470) (438) (1,187)
Proceeds from sale of interests in businesses 1,372 1,273 2,738
Net cash provided by investing activities 766 668 1,298
Cash ows before nancing activities 2,778 3,291 3,388
Cashowsfromnancingactivities:
(Decrease) increase in short-term debt 49 (5) (36)
Principal payments on long-term debt (1,304) (1,920) (362)
Proceeds from issuance of long-term debt 311 258 74
Treasury stock transactions 49 (18) (1,761)
Dividends paid (460) (460) (504)
Net cash used for nancing activities (1,355) (2,145) (2,589)
Net cash provided by continuing operations 1,423 1,146 799
Effect of changes in consolidations on cash positions −117 −
Effect of changes in exchange rates on cash positions (165) (45) 160
Net cash (used for) provided by discontinued operations (44) 59 (15)
Cash and cash equivalents at beginning of year 1,858 3,072 4,349
Cash and cash equivalents at end of year 3,072 4,349 5,293
The years 2003 and 2004 are restated to present the MDS business as a discontinued operation (see note 1).
Theaccompanyingnotesareanintegralpartoftheseconsolidatednancialstatements.
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Groupnancialstatements