Consolidated statement of cash flows

FOR THE YEAR ENDED 31 DECEMBER 2013
(all amounts are presented in thousands of Russian Roubles, unless otherwise stated)

Note

2013

2012

Operating profit

31,743,376

40,191,099

Income tax paid

(7,995,564)

(7,373,735)

Operating profit less income tax paid

23,747,812

32,817,364

Depreciation and amortisation

28

9,876,172

8,087,408

Net loss on disposals and write-off of property, plant and equipment

761,440

424,317

Change in provision for impairment of receivables and provision/(reversal of provision) for obsolete and damaged inventories, net

114,629

166,521

Other non-cash (income)/expenses, net

1,124,340

(387,433)

Gross cash flow

5

35,624,393

41,108,177

Changes in operating assets and liabilities:

Trade receivables

(1,279,413)

1,970,574

Advances to suppliers

621,542

(223,032)

Other receivables

(35,496)

93,703

Inventories

(157,209)

(1,835,911)

Trade payables

(194,371)

(1,470,618)

Advances from customers

342,923

(34,011)

Other payables

879,346

(368,384)

Restricted cash, other assets and liabilities

360,887

(364,227)

Net cash – operating activities

36,162,602

38,876,271

Cash flows from investing activities

Capital expenditure on property, plant and equipment and intangible assets

(32,432,590)

(28,156,607)

Payment for mineral rights

(160,946)

(373,062)

Prepayment for investment in associates

13


(2,522,755)

Payment for investment in associates

(629,780)

Prepayments for other non-current assets

(15,649)

(90,431)

Loan provided to the acquired subsidiary before acquisition

16


(116,229)

Acquisition of subsidiaries, net of cash acquired


(31,806,681)

Acquisition of available-for-sale investments

12


(59,607)

Portion of deferred compensation related to business combination, paid

22

(1,600,019)

Proceeds from sale of available-for-sale investments

12, 33

101,489

20,415,641

Proceeds from sale of property, plant and equipment

159,092

135,519

Proceeds from disposal of non-current assets held for sale


883,651

Cash proceeds/(payments) on derivatives, net


(63,873)

Dividends received and refunded withholding tax on dividends received

12

96,727

144,828

Net change in fixed-term deposits

1,220,181

16,564,889

Originated loans

16, 33

(1,164,659)

(1,927,340)

Repayment of originated loans

16, 33

2,005,728

8,221,872

Interest received

229,627

1,055,499

Net cash – investing activities

(32,190,799)

(17,694,686)

Free cash inflow

5

3,971,803

21,181,585

Cash flows from financing activities

Proceeds from bank borrowings

19

77,957,785

12,503,040

Repayment of bank borrowings

19

(75,114,099)

(19,970,832)

Proceeds from bonds, net of transaction costs


22,909,440

Repayment of bonds


(8,513,762)

Prepaid and additional transaction costs

(76,206)

(5,850)

Interest paid

(5,034,894)

(4,350,733)

Cash proceeds/(payments) on derivatives – net

212,746

214,959

Acquisition of non-controlling interest in oil and gas subsidiary


(6,619,999)

Acquisition of additional interest in other subsidiaries

(12,413)

(128)

Purchase of treasury shares

18, 33

(13,359,153)

(9,367,618)

Prepayments for treasury shares

18, 33


(683,999)

Proceeds from sale of treasury shares

18, 33

9,885,186

Capital contribution

18, 33

1,589,459

Other financial activities


11,761

Net cash – financing activities

(3,951,589)

(13,873,721)

Effect of exchange rate changes on cash and cash equivalents

1,088,034

(370,666)

Net increase/(decrease) in cash and cash equivalents

1,108,248

6,937,198

Cash and cash equivalents at the beginning of the period

17

15,444,147

8,506,949

Cash and cash equivalents at the end of the period

17

16,552,395

15,444,147

The accompanying notes on are an integral part of these consolidated fi nancial statements.