Cash Flow

Consolidated Cash Flow

(Rs Crore) Current Year Previous Year
A Cashflow from Operating Activities    
a. Profit Before Tax and Share in Profit/(Loss) of Equity Accounted Investees 5,822.92 4,486.32
  Adjustments for:    
  Depreciation and Amortisation 1,807.59 1,833.79
  Finance Costs 702.40 718.09
  Interest Income (175.19) (115.75)
  Dividend Income (27.15) (20.02)
  Employee Stock Option Expenses 10.79 15.08
  Loss Allowance (Net) 34.22 31.73
  Impairment in Value of Non-Current Investments (Note 2.4.3) - 27.85
  Exchange Loss on Capital Reduction in a Joint Venture (Note 2.4.4) 13.52 -
  Non-Cash Items (166.53) (12.15)
  (Profit)/Loss on Sale of Property, Plant & Equipment (Net) 1.47 0.58
  Profit on Sale of Investments (Net) (91.58) (89.86)
  Provision for Asset Transfer Cost of erstwhile ABCIL (Note 2.29.1) - 83.95
  Unrealised Gain on Investments measured at Fair Value through Profit and Loss (Net) (495.83) (403.98)
  Discounting of Sales Tax Deferment Loan (17.82) (2.24)
  Fair Value Movement in Derivative Instruments 15.48 12.76
  Profit on Sale of Consumer Products Division (Net) {Slump sale} - (7.72)
b. Operating Profit Before Working Capital Changes 7,434.29 6,558.43
  Adjustments for:    
  Trade Receivables (29.22) (437.42)
  Financial and Other Assets (146.45) 222.66
  Inventories (82.74) 350.67
  Trade Payables and Other Liabilities 1,065.48 347.71
c. Cash Generated from Operations 8,241.36 7,042.05
  Direct Taxes Paid (Net of Refund) (965.13) (1,173.69
  Net Cash from operating activities 7,276.23 5,868.36
B. Cashflow from Investing Activities    
  Purchase of Property, Plant and Equipment (Note iii below) (1,827.51) (2,773.84)
  Proceeds from Disposal of Property, Plant and Equipment 46.58 25.82
  Investments in Subsidiaries - (12.75)
  Investments in Joint Ventures (0.53) (3.94)
  Sale of Mutual Fund Units and Bonds (Non-Current) 2,160.30 2,891.65
  Purchase of Mutual Fund Units, Bonds and Certificate of Deposits (Current) {Net} (3,817.53) (2,989.58)
  Proceeds from Sale of Non-Current Equity Investments - 11.56
  Proceeds from (Purchase)/Sale of Investments (Current) {Net} (246.81) 2.97
  Investment in Other Bank Deposits (17.67) (1,894.60)
  Proceeds from Capital Reduction in a Joint Venture 42.68 -
  Expenditure for Cost of Assets Transferred (13.81 -
  Loans and Advances to Related Parties 0.47  
  Inter-Corporate Deposits (13.50) 30.00
  Proceeds from Sale of Consumer Products Division (Net) {Slump Sale} - 9.53
  Interest Received 166.76 110.59
  Dividend Received 27.15 20.02
  Net Cash used in investing activities (3,493.42) (4,572.57)
C. Cashflow from Financing Activities    
  Proceeds from Issue of Share Capital under ESOS 9.25 7.92
  Equity Infusion by Minority Shareholders in a Subsidiary - 0.89
  Proceeds from Non-Current Borrowings 3,670.50 2,865.97
  Repayments of Non-Current Borrowings (4,116.34) (3,686.19)
  Proceeds/(Repayments) of Current Borrowings (Net) (2,313.91) 526.52
  Interest paid (Net of Subsidy) (678.72) (758.27
  Dividends Paid (including Corporate Dividend Tax) (351.76) (321.41)
  Net Cash used in Financing activities (3,780.98) (1,364.57)
D. Net Increase/(Decrease) in Cash and Cash Equivalents 1.83 (68.78)
  Cash and Cash equivalents at the beginning of the year (note 2.13) 113.34 124.70
  Add:    
  Effect of Exchange Rate on Consolidation of Foreign Subsidiaries (21.34) 53.36
  Cash and Cash Equivalents Received on Amalgamation/ Acquisition (Note 4.18) - 4.06
  Cash and Cash equivalents at the end of the year (note 2.13) 93.83 113.34

Notes:

  1. Cash Flow Statement has been prepared as per the indirect method set out in Ind AS 7 prescribed under the Companies Act (Indian Accounting Standard) Rules, 2015, under the Companies Act, 2013.
  2. The Scheme of Amalgamation of Aditya Birla Chemicals (India) Limited (ABCIL) with the Company implemented w.e.f. the appointed date of 1st April, 2015, did not involve any cash outlflow as the Company issued equity shares of the Company to the Shareholders of erstwhile ABCIL in terms of the Scheme.
  3. Purchase of Property, Plant and Equipment includes movements of Capital Work-in-Progress (including Capital Advances) and Capital Expenditure Creditors during the year.