UPM Annual Report 2016

Accounts

In brief

Strategy

Businesses

Stakeholders

Governance

Consolidated statement of changes in equity

Consolidated cash flow statement

EURm

2016

2015

EQUITY ATTRIBUTABLE TO OWNERS

RESERVE FOR INVESTED NON- RESTRICTED EQUITY

Cash flows from operating activities Profit for the period

880 778

916 449

NON- CONTROLLING INTERESTS

OF THE PARENT COMPANY

Adjustments 1) Interest received

TOTAL EQUITY

RETAINED EARNINGS

SHARE CAPITAL

TREASURY SHARES

TRANSLATION RESERVE

OTHER RESERVES

EURm

6

6

Interest paid

–40

–22

Value, at 1 January 2016 Profit for the period Translation differences Cash flow hedges – reclassified to income statement, net of tax Cash flow hedges – changes in fair value, net of tax Net investment hedge, net of tax Energy shareholdings – changes in fair value, net of tax Actuarial gains and losses on defined benefit plans, net of tax Total comprehensive income for the period Share-based payments, net of tax Value, at 1 January 2015 Profit for the period Translation differences Cash flow hedges – reclassified to income statement, net of tax Cash flow hedges – changes in fair value, net of tax Net investment hedge, net of tax Energy shareholdings – changes in fair value, net of tax Actuarial gains and losses on defined benefit plans, net of tax Total comprehensive income for the period Share-based payments, net of tax Dividend distribution Total transactions with owners for the period Total equity at 31 December 2016

890

–2

449 1,486

1,273

3,846

7,942

2 7,944 1 880

Dividends received

4 8

1

– –

– –

–

– –

– –

879

879 –14

Other financial items, net

–17

–14

–

–

–14

Income taxes paid

–145

–140

Change in working capital 2)

195

–8

Operating cash flow

1,686

1,185

–

–

–

55

–

–

55

–

55

Cash flows from investing activities Capital expenditure

– –

– –

–

18

– –

– –

18 –1

– –

18 –1

–351

–432

–1

–

Acquisition of shares in associates and joint ventures

– –

–1

Acquisition of energy shareholdings

–33

–

–

–

–144

–

–

–144

– –144

Proceeds from sale of property, plant and equipment and intangible assets

93

26

Proceeds from disposal of subsidiaries

– 6

8

Proceeds from disposal of energy shareholdings Net cash flows from net investment hedges

35

–

–

–

–

–

–97

–97

–

–97

–8 –2

–43

–

–

–16

–72

–

782

695

1 696

Change in other non-current assets

5

Investing cash flow

–262

–435

– –

– –

– –

1 –

– –

–3

–2

–

–2

–400

–400

– –400

Cash flows from financing activities Proceeds from non-current debt Payments of non-current debt Change in current liabilities Net cash flows from derivatives

1

22

–

–

–

1

–

–403

–402

– –402

–540

–519

–77 –22

22 43

890

–2

433

1,416

1,273

4,225

8,234

3 8,237

Dividends paid

–400

–373

890

–2

256 1,867

1,273

3,194

7,478

2 7,480

Other financing cash flow

–19

–20

– –

– –

–

– –

– –

916

916 221

– –

916 221

Financing cash flow

–1,057

–825

221

–

Change in cash and cash equivalents

367

–75

–

–

–

92

–

–

92

–

92

Cash and cash equivalents at beginning of period Exchange rate effect on cash and cash equivalents

626

700

–1

1

–

–

–

–68

–

–

–68

–

–68

Change in cash and cash equivalents

367 992

–75 626

Cash and cash equivalents at end of period

–

–

–28

–

–

–

–28

–

–28

–

–

–

–405

–

–

–405

– –405

1) Adjustments EURm

2016

2015 –352

Change in fair value of forest assets and wood harvested Share of results of associates and joint ventures Depreciation, amortisation and impairment charges Capital gains and losses on sale of non-current assets

–88

–

–

–

–

–

113

113

–

113

–5

–3

545 –55

524 –18

–

–

193

–381

–

1,029

841

–

841

– –

– –

– –

– –

– –

–4

–4

–

–4

Financial income and expenses

56

67

Dividend distribution Total transactions with owners for the period

–373

–373

–373

Income taxes

200 –47

159 –68

Utilised provisions

–

–

–

–

–

–377

–377

– –377

Non-cash changes in provisions

44

6

Total equity at 31 December 2015

Other adjustments

128 778

134 449

890

–2

449 1,486

1,273

3,846

7,942

2 7,944

Total

» Refer Note 5.5 Share capital and reserves, for further information.

2) Change in working capital EURm

2016

2015

Inventories

41 22

15

Current receivables Current liabilities

–30

132 195

7

Total

–8

CONTENTS

ACCOUNTS

106

107

UPM Annual Report 2016

UPM Annual Report 2016