Financial position
Liquidity
Cash flow from operating activities in the continuing operations in the first nine months of the current financial year increased compared to the previous year, rising from € 66.0 million to € 79.4 million. The positive change is influenced, among other factors, by the profit transfer by the subsidiary MLP Finanzdienstleistungen AG to MLP AG and by further changes in receivables from banks from the banking business. For the same reason, cash flow from operating activities in the third quarter rose from € –17.1 million to € 13.9 million.
Cash flow from the investment activities of the continuing operations also developed positively, improving from € –134.1 million to € 34.3 million. In the third quarter of the previous year the inflow of funds resulting from the implemented capital increase were invested in the form of term deposits. These matured during the current financial year and were only partially reinvested. The improvement in cash flow from investment activities in the third quarter was due to the same reason, rising from € –113.0 million to € –26.4 million.
Our cash flow from the financing activities of the continuing operations reduced in the period under review from € 63.9 million to € -31.0 million. In the current financial year the only significant payment flow was the distribution of the dividend amounting € 30.2 million. In the comparative period last year we had inflows of around € 125 million from a capital increase, stacked against payments for dividends and the repurchase of our own shares amounting to € 49.0 million and € 11.5 respectively. No significant financing activities were carried out in the third quarter. Cash flow thus amounted to € –0.8 million. In the third quarter 2008 the figure reached € 124.4 million, which was mainly due to the already mentioned inflows from the capital increase.
At the end of the first nine months of the current financial year the Group’s liquid funds stood at € 156 million, representing a fall of € 54 million compared to the beginning of the year. At the end of the first half-year liquid funds amounted to €188 million. The reduction is mainly due to the dividend payment amounting to € 30.2 million and the redeployment of short-term to medium-term investments (around € 40 million).
The liquidity situation therefore remains very good. The Group has adequate liquidity reserves available. In addition to the liquid funds, MLP also has access to free credit lines.
Consolidated cash flow statement (continuing operations)
| All figures in € million | 3rd quarter 2009 | 3rd quarter 2008 | 9 months 2009 | 9 months 2008 |
|---|---|---|---|---|
| Cash flows from operating activities | 13.9 | –17.1 | 79.4 | 65.9 |
| Cash flows from investing activities | –26.4 | –113.0 | 34.3 | –134.1 |
| Cash flows from financing activities | –0.8 | 124.4 | –31.0 | 63.9 |
| Changes in cash and cash equivalents | –13.3 | –5.8 | 82.7 | –4.2 |
| Cash and cash equivalents at the beginning of the period | 134.0 | 30.5 | 38.0 | 36.7 |
| Inflows/outflows due to divestments | –0.05 | –0.03 | –0.06 | –7.7 |
| Cash and cash equivalents at the end of period | 120.7 | 24.7 | 120.7 | 24.7 |