43. Notes to the cash flow statement

Free cash flow

The balance of the cash inflow from operating activities and the cash outflow from investing activities makes up the free cash flow, which indicates the cash resources available for dividend distribution or the redemption of existing loans. The free cash flow fell year-on-year by € 153,831 thousand to € - 27,091 thousand. Significant changes resulted from both cash flow from operating activities and cash flow from investing activities. The fall in cash flow from operating activities was mainly due to a year-on-year increase in provisions, lower income tax payments and a year-on-year decrease in the operating result (EBIT). The cash outflow from investing activities was higher than in the previous year. This increase was largely due to higher payments for investments in fixed assets and lower proceeds from short-term deposits.

Change in liabilities from financing activities

The balance of the proceeds from the issuance of bonds and the taking out of (financial) loans, as well as the balance of payments for the redemption of (financial) loans, produces the change in liabilities from financing activities pursuant to IAS 7. In the reporting year, the Group made payments for the redemption of (financial) loans in the amount of € 34,210 thousand (previous year: € 50,022 thousand). The drawdown of (financial) loans produced proceeds of € 248,491 thousand (previous year: € 67,290 thousand). This change in the liabilities from financing activities is reflected in the increase in liabilities to banks in the amount of € 204,825 thousand (previous year: € 20,219 thousand) and the increase in liabilities from other loans in the amount of € 21,459 thousand (previous year: decrease of € 3,851 thousand); see also Note 38. Exchange rate effects and other effects are insignificant.

Lease liabilities, see also Note 38 and Note 40, decreased during the reporting year by € 12,723 thousand (previous year: € 32,618 thousand), including the net effects in particular of new non-cash contracts in the amount of € 32,725 thousand (previous year: € 18,822 thousand) and cash repayments in the amount of € 51,185 thousand (previous year: € 49,396 thousand).

Financial funds

Financial funds include cash in hand and bank balances with a remaining term of up to three months, and receivables and liabilities relating to HGV. Receivables from HGV are overnight deposits available on demand. They are recognised at nominal value.