Operating cash flow after investments in 2016 increased and amounted to SEK 9,140m (6,745). The main contributor to this strong cash flow is the favorable earnings trend and a positive cash flow from operating assets and liabilities.
|Operating income adjusted for non-cash items1)||10,545||7,235|
|Change in operating assets and liabilities||1,328||2,822|
|Operating cash flow||11,873||10,057|
|Investments in tangible and intangible assets||–3,390||–3,640|
|Changes in other investments||657||328|
|Operating cash flow after investments||9,140||6,745|
|Acquisitions and divestments of operations||176||–91|
|Operating cash flow after structural changes||9,316||6,654|
|Financial items paid, net2)||–514||–513|
|Cash flow from operations and investments||7,608||4,864|
|Total cash flow, excluding change in loans and short–term investments||5,683||2,994|
1) Operating income adjusted for depreciation and amortization and other non-cash items.
2) For the period January 1 - December 31, 2016. Interests and similar items received SEK 123m (134), interests and similar items paid SEK –345m (–364) and other financial items paid SEK –292m (–283).
Operating cash flow after investments increased to SEK 9,140m (6,745).
Capital expenditure in property, plant and equipment in 2016 amounted to SEK 2,830m (3,027), corresponding to 2.3% (2.5) of net sales. Including investments in product development and computer software, capital expenditure amounted to SEK 3,390m (3,640). Investments in 2016, mainly related to investments within manufacturing facilities for efficiencies and new products.
|Europe, Middle East and Africa||1,402||1,163|
|% of net sales||3.7||3.1|
|% of net sales||1.6||2.1|
|% of net sales||3.9||4.0|
|% of net sales||2.9||3.7|
|% of net sales||2.1||2.0|
|% of net sales||1.8||1.5|
|% of net sales||2.8||2.9|
|Depreciation and amortization||3251||3356||3671||3936||3934|
Capital expenditure in 2016 including product development and computer software amounted to SEK 3,390m (3,640).
Costs for research and development in 2016, including capitalization of SEK 274m (359), amounted to SEK 3,098m (3,210) corresponding to 2.6% (2.6) of net sales.