REG - Weir Group PLC - Final Results <Origin Href="QuoteRef">WEIR.L</Origin> - Part 4
28/02/2018 07:05
- Part 4: For the preceding part double click ID:nRSb1279Gc
foreign exchange (0.4) 6.6
Decrease in provisions (0.5) (11.3)
Cash generated from operations before working capital cash flows 339.2 261.0
(Increase) decrease in inventories (64.2) 7.1
(Increase) decrease in trade & other receivables and construction contracts (117.8) 57.5
Increase (decrease) in trade & other payables and construction contracts 63.3 (33.0)
Cash generated from operations 220.5 292.6
Additional pension contributions paid (3.0) (2.8)
Exceptional cash items 10 (28.6) (58.1)
Income tax paid (60.5) (15.7)
Net cash generated from operating activities 128.4 216.0
Exceptional items are detailed in note 3.
The employee-related provision and associated insurance asset in relation to US asbestos-related claims disclosed in note 10 will not result in any cash flows either to or from the Group and therefore they have been excluded from the table above.
13. Additional cash flow information (continued)
The following tables summarise the cash flows arising on acquisitions and disposals.
2017 2016
£m £m
Acquisitions of subsidiaries
Current year acquisitions (see below) (89.3) -
Prior period acquisitions contingent consideration paid (0.8) (10.6)
(90.1) (10.6)
Acquisition of subsidiaries - cash paid (92.5) -
Cash & cash equivalents acquired 3.2 -
Acquisition of subsidiaries - current year acquisitions (89.3) -
Total cash outflow on current year acquisitions (89.3) -
Prior period acquisitions contingent consideration paid (0.8) (10.6)
Total cash outflow relating to acquisitions (90.1) (10.6)
Net cash inflow arising on prior period disposals
Consideration received in cash & cash equivalents - 35.4
Less: cash & cash equivalents disposed of - (4.0)
Prior period disposals completion adjustment 3.5 -
Total cash inflow relating to prior period disposals 3.5 31.4
2017£m 2016£m
Net debt comprises the following
Cash & short-term deposits 284.6 258.6
Current interest-bearing loans & borrowings (388.4) (144.0)
Non-current interest-bearing loans & borrowings (739.4) (949.1)
(843.2) (834.5)
Reconciliation of financing cash flows to movement in net debt
Opening balance Cash movements Additions FX Non cash movements Total
£m £m £m £m £m £m
Third party loans (1,093.2) (110.1) - 75.1 - (1,128.2)
Leases (0.8) 0.4 (0.6) - - (1.0)
Unamortised issue costs 2.5 - - - (1.0) 1.5
Amounts included in gross debt (1,091.5) (109.7) (0.6) 75.1 (1.0) (1,127.7)
Cash & cash equivalents 257.0 53.5 - (26.0) - 284.5
Amounts included in net debt (834.5) (56.2) (0.6) 49.1 (1.0) (843.2)
Financing derivatives (21.4) 6.6 - - 5.6 (9.2)
Contingent consideration (31.0) 38.0 - (0.5) (9.9) (3.4)
Other liabilities relating to financing activities (52.4) 44.6 - (0.5) (4.3) (12.6)
Total financing liabilities* (1,143.9) (65.1) (0.6) 74.6 (5.3) (1,140.3)
* Total financing liabilities comprise gross debt plus other liabilities relating to financing activities.
14. Related party disclosure
The following table provides the total amount of significant transactions which have been entered into with related parties
for the relevant financial year and outstanding balances at the year end.
Sales to related parties - goods Sales to related parties - services Purchases from related parties - goods Purchases from related parties - services Amounts owed to related parties
Related party £m £m £m £m £m
Joint ventures 2017 48.7 0.5 0.2 0.3 -
2016 26.0 0.1 0.2 0.4 -
Group pension plans 2017 - - - - 4.3
2016 - - - - 4.1
15. Legal claims
The Company and certain subsidiaries are, from time to time, parties to legal proceedings and claims which arise in the
normal course of business. Provisions have been made where the Directors have assessed that a cash outflow is likely and
they believe all other claims are remote.
16. Exchange rates
The principal exchange rates applied in the preparation of these financial statements were as follows.
2017 2016
Average rate (per £)
US Dollar 1.29 1.36
Australian Dollar 1.68 1.83
Euro 1.14 1.22
Canadian Dollar 1.67 1.80
United Arab Emirates Dirham 4.73 4.98
Chilean Peso 835.52 918.59
South African Rand 17.15 20.00
Brazilian Real 4.11 4.75
Russian Rouble 75.17 91.20
Closing rate (per £)
US Dollar 1.35 1.22
Australian Dollar 1.73 1.70
Euro 1.13 1.17
Canadian Dollar 1.69 1.65
United Arab Emirates Dirham 4.97 4.49
Chilean Peso 832.26 813.76
South African Rand 16.76 16.63
Brazilian Real 4.48 3.97
Russian Rouble 77.86 73.89
16. Exchange rates (continued)
The Group's operating profit from continuing operations before exceptional items and intangibles amortisation was
denominated in the following currencies.
Translational foreign exchange
2017 2016
£m £m
US Dollar 176.4 70.0
Australian Dollar 29.0 33.8
Euro 6.8 26.2
Canadian Dollar 33.9 36.6
United Arab Emirates Dirham 3.2 5.8
Chilean Peso 39.0 35.6
South African Rand 11.1 4.9
Brazilian Real 4.9 3.6
Russian Rouble 5.2 6.9
UK Sterling (21.6) (11.2)
Other 3.9 1.8
Operating profit from continuing operations before exceptional items & intangibles amortisation 291.8 214.0
This information is provided by RNS
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