5-year Cash Flow Statement summary 1

(in $ millions)

2011

2012

2013

2014

2015

Cash generated from operations

3,547.5

2,099.0

2,071.1

2,241.6

2,193.9

Payment of fines

(201.8)

(1.3)

(24.0)

(78.3)

(10.4)

(60.5)

(394.9)

(192.7)

(65.2)

(116.3)

3,285.2

1,702.8

1,854.4

2,098.1

2,067.2

Cash flows from operating

activities

Taxation paid
Net cash inflow from operating
activities

Cash flows from investing

activities
Capital expenditure

(1,223.8) (1,641.2) (1,875.4) (2,574.6) (2,600.2)

Purchase of intangible assets

(19.6)

(56.1)

(83.6)

(29.7)

(30.9)

Proceeds from disposal of aircraft

and other property, plant and
equipment

721.4

495.1

647.7

808.7

997.8

(259.6)

(339.0)

(364.4)

(571.6)

(246.7)

2.1

(229.6)

315.1

582.3

164.3

214.0

196.9

214.4

242.2

183.3

48.1

1.8

(1.1)

(54.6)

(281.8)

(72.8)

Purchase of long term investments

Proceeds from disposal of
investments
Cash inflow from investments
Return of capital from associated
companies
Investments in associated

1 Data was extracted from Singapore Airlines Ltds Annual Reports 2011 - 2015

companies and joint ventures

Net cash outflow from investing
activities

(566.6) (1,580.4) (1,146.2) (1,822.7) (1,605.2)

Cash flows from financing

activities
Dividends paid
Interest paid

(428.8) (1,630.5)

(244.4)

(375.2)

(553.2)

(69.3)

(86.9)

(34.2)

(36.4)

(41.5)

Proceeds from borrowings

1.7

1.1

3.5

16.9

8.8

Repayment of borrowings

(900.4)

(0.2)

(0.9)

(38.2)

Proceeds from issuance of bonds

800.0

500.0

Repayment of long-term lease

liabilities

(64.3)

(61.2)

(63.9)

(67.6)

(52.3)

89.4

65.7

38.3

43.4

45.8

100.5

Purchase of treasury shares

(44.5)

(272.1)

(37.7)

(16.0)

(107.0)

Net cash used in financing

activities

284.2 (2,884.3)

(338.6)

(435.8)

(137.1)

Net cash (outflow)/inflow

3,002.8 (2,761.9)

369.6

(160.4)

324.9

Cash and cash equivalents at

beginning of the year

4,471.9

7,434.2

4,702.7

5,059.6

4,883.9

(40.5)

30.4

(12.7)

(15.3)

45.3

Proceeds from exercise of share

options
Proceeds from issuance of rights
shares to non-controlling interests

Effect of exchange rate changes

Cash and cash equivalents at the

end of the year

7,434.2

4,702.7

5,059.6

4,883.9

5,254.1

Summarised Cash Flow

3500
3,003

1750

370

325
-160

Net cash flow ($m)

Net cash flow

-1750

-2,762
-3500
2011

2012

2013

2014

2015

Year

(in $ millions)

2011

2012

2013

2014

2015

Net cash inflow from operating

activities

3,285.2

1,702.8

1,854.4

2,098.1

2,067.2

Net cash outflow from investing

activities

(566.6) (1,580.4 (1,146.2 (1,822.7 (1,605.2

)
)
)
)

Net cash used in financing

activities
Net cash (outflow)/inflow

284.2 (2,884.3
)

(338.6)

(435.8)

(137.1)

3,002.8 (2,761.9
)

369.6

(160.4)

324.9

2 Data was extracted from Singapore Airlines Ltds Annual Reports 2011 - 2015

Cash and cash equivalents at the

end of the year

7,434.2

4,702.7

5,059.6

4,883.9

5,254.1

By looking at the 5-year summary of net cash flow of Singapore Airlines, it is obvious
that net cash flow over the 5 years has fluctuated, especially between 2011 and 2013.
In 2011, net cash flow for SIA was $3,002.8 million and it dramatically plunged to a net
cash outflow of $2,761.9 million in 2012, a 190%. However, in 2013, it has gradually
recovered to a positive net cash flow of $369.6 million.
Net cash flow can be

This net cash flow has fluctuated over the 5 years, despite the fact that cash generated
from operations did not vary significantly for the last 4 years.

Quality of Earnings 3
(in $ millions)

2011

2012

2013

2014

2015

Cash generated from operations

3,547.5

2,099.0

2,071.1

2,241.6

2,193.9

Operating profit

1,148.8

396.8

441.6

424.4

406.7

3.09

5.29

4.69

5.28

5.39

Quality of Earnings

3 Quality of Earnings = Cash generated from operations / Operating profit