Financial position

Overview of DEUTZ AG’s financial position    
  2015 2014
€ million    
Cash flow from operating activities 88.7 85.2
Cash flow from investing activities –41.0 –23.0
Cash flow from financing activities –23.9 –19.1
Change in cash and cash equivalents 23.8 43.1
Free cash flow 46.7 58.8
Cash and cash equivalents at 31 Dec 97.7 73.9
Free cash flow: cash flow from operating and investing activities less net interest expense.

Financial management in the DEUTZ Group is one of the core functions of the Group, and DEUTZ AG holds responsibility for this function. The basic principles and objectives of financial management at DEUTZ AG are therefore largely the same as those of the Group, as is the funding of DEUTZ AG.


Cash flow from operating activities amounted to €88.7 million last year (2014: €85.2 million). The small increase of €3.5 million compared with 2014 was mainly due to the lower level of working capital.

The cash flow from investing activities in 2015 was minus €41.0 million (2014: minus €23.0 million). This increased outflow of €18.0 million was attributable, in particular, to higher cash payments in connection with capital expenditure on property, plant and equipment.

Cash flow used for financing activities in 2015 totalled €23.9 million (2014: €19.1 million). This advance was largely due to substantially higher payments of principal in relation to existing financial liabilities than in the prior year. As in the previous year, cash flow used for financing activities included a dividend payment to shareholders of €8.5 million.

Free cash flow decreased year on year, falling by €12.1 million to €46.7 million (2014: €58.8 million) due, above all, to increased capital expenditure.

Capital expenditure

After deducting investment grants, DEUTZ AG’s capital expenditure in 2015 amounted to a total of €52.9 million (2014: €32.9 million). As in 2014, spending primarily related to property, plant and equipment, and the amount of €42.2 million (after deducting grants) spent on these assets was considerably higher than in the previous year (2014: €30.0 million). The investing activities relating to property, plant and equipment focused on measures aimed at optimising our network of sites, such as the construction of the shaft centre in Cologne-Porz. There were also additions in connection with replacement investments in machinery and tools.