Consolidated Statement of Cash Flow

For the year ended 31 December 2018

  2018 2017
  £m £m
Operating activities    
Profit for the period 53.5 113.9
Adjustments for:    
       Depreciation 31.7 30.6
       Amortisation 8.0 7.3
       Net financing costs 13.2 22.5
       Loss/(profit) on disposal of businesses 1.7 (45.7)
       Non-cash specific adjusting items included in operating profit 8.0 -
       Share of profit from associate (net of income tax) (0.8) (0.2)
       Loss on sale of property, plant and equipment 0.4 0.1
       Income tax expense 30.7 21.9
       Equity-settled share-based payment expenses 2.8 1.7
Cash generated from operations before changes in working capital and provisions 149.2 152.1
     
(Increase)/decrease in trade and other receivables (7.3) (0.5)
(Increase)/decrease in inventories (4.9) (4.5)
Increase/(decrease) in trade and other payables  0.3 6.3
Increase/(decrease) in provisions (3.9) (3.0)
Payments to defined benefit pension plans (12.9) (48.9)
Cash generated from operations 128.3 101.5
     
Interest paid (9.7) (17.6)
Income tax paid (20.9) (24.5)
Net cash from operating activities 97.7 59.4
     
Investing activities    
Purchase of property, plant and equipment (53.1) (34.4)
Forward contracts used in net investment hedging - (7.7)
Purchase of investments (1.0) (1.6)
Disposal of investments 0.6 -
Proceeds from sale of property, plant and equipment  - 1.3
Loan made to associate (1.0) -
Loan repaid by associate 1.0 -
Interest received 1.3 1.0
Disposal of subsidiaries, net of cash disposed 1.9 78.1
Purchase of the stake held by non-controlling interest  - (1.5)
Net cash from investing activities (50.3) 35.2
     
Financing activities    
Purchase of own shares for share incentive schemes (3.2) (0.4)
Proceeds from excise of share options 0.4 -
Net increase/(decrease) in borrowings 7.5 (114.1)
Payment of finance lease liabilities (0.4) (0.3)
Dividends paid - to external plc shareholders (31.4) (31.4)
Dividends paid to non-controlling interests (2.6) (9.8)
Capital contributions made by non-controlling interest partners 0.5 -
Net cash from financing activities (29.2) (156.0)
     
Net increase/(decrease) in cash and cash equivalents 18.2 (61.4)
Cash and cash equivalents at start of period 50.4 122.4
Effect of exchange rate fluctuations on cash held (1.0) (10.6)
Cash and cash equivalents at period end (1)  67.6 50.4
1 A reconciliation of cash and cash equivalents to net borrowing is shown