Cash flow statement
The cash and cash equivalents of Migros Group stood at CHF 7'039 million as at 31 December 2018 and increased by CHF 712 million (31 December 2017: CHF 6’327 million).
Cash flow from business activities stood at CHF 1'361 million (previous year: CHF 1'170 million). In the past year, investments in fixed and intangible assets totalled CHF 1'516 million (previous year: CHF 1'476 million), while acquisitions of subsidiaries / business operations and other associated companies amounted to an overall figure of CHF 41 million (previous year: CHF 38 million). Funds of CHF 8 million (previous year: CHF 72 million) were received from the sale of subsidiaries / business operations and other associated companies.
Cash and cash equivalents of CHF 617 million were added to the cash flow from financing activity, due primarily to proceeds from the issuance of mortgage-backed loans and the increase in other long-term financial liabilities (including of related pension funds), whereas the repayment of debt resulted in a cash outflow of CHF 77 million in the previous year.
Cash flow statement of the Retail and Industry sector
At the end of 2018, cash and cash equivalents of the Retail and Industry sector came in at CHF 2'614 million, representing an increase of CHF 514 million (31 December 2017: CHF 2’100 million).
In 2018, cash inflows from operating activity amounted to CHF 1'641 million (previous year: CHF 1'619 million). The increase in operating cash flow compared to the previous year is the result of a greater profit before income tax, a smaller build-up of inventories and an increase in other liabilities.
The cash outflow from investing activity came to CHF 1'327 million in the reporting period (previous year: CHF 1'315 million) and is characterised primarily by investments in both fixed and intangible assets of CHF 1'499 million. The highest investment volumes were in the Cooperative Retailing (CHF 1'025 million), Commerce (CHF 181 million) and Industry & Wholesaling (CHF 207 million) segments.
Financing activity resulted in a cash inflow of CHF 205 million in the reporting year (previous year: CHF 56 million). The repayment of the CHF 150 million long-term bond of the Federation of Migros Cooperatives was included in the previous year.
Cash flow statement of the Financial Services sector
At the end of 2018, cash and cash equivalents of the Financial Services sector amounted to CHF 4'495 million. This represents an increase of CHF 163 million on the previous year (CHF 4'333 million).
Cash outflows from operating activity totalled CHF 220 million in 2018 (previous year: CHF 391 million). This is due mainly to the growth in mortgage and other customer lending, which is greater than the increase in customer deposits and liabilities due to banks.
As in the previous year, CHF 17 million was invested in extending the bank's infrastructure. Furthermore, fixed asset securities totalling CHF 84 million were sold in the reporting year. Overall, a cash inflow of CHF 67 million resulted from the investment activities in the reporting year (previous year: CHF 26 million).
Financing activity resulted in a cash inflow of CHF 316 million during 2018 (previous year: cash outflow of CHF 196 million). Of this figure, CHF 452 million was attributed to proceeds from the issuance of mortgage-backed loans and medium-term bonds; during the same period, CHF 55 million was repaid. A dividend of CHF 81 million was also paid out.
