Earnings Release • Jan 25, 2024
Earnings Release
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30 AVENUE MONTAIGNE PARIS
75008
. Revenue: €86.2 billion
Paris, January 25th , 2024
Christian Dior group recorded revenue of €86.2 billion in 2023, equating to organic growth of 13% with respect to 2022. All business groups reported strong organic revenue growth, with the exception of Wines & Spirits, which was faced with a high basis of comparison and high inventory levels. Europe, Japan and the rest of Asia achieved double-digit organic growth. In the fourth quarter, organic revenue growth came to 10%.
Profit from recurring operations stood at €22.8 billion for 2023, up 8%. The current operating margin remained stable with respect to 2022. Group share of net profit amounted to €6.3 billion, up 9%.
| In millions of euros | 2022 | 2023 | Change 2023/2022 |
|---|---|---|---|
| Revenue | 79 184 |
86 153 |
+9% |
| Profit from recurring operations | 21 050 |
22 796 |
+8% |
| Net profit, Group share | 5 797 |
6 304 | +9% |
| Operating free cash flow | 10 110 |
8 101 |
-20% |
| Net financial debt | 8 867 | 10 548 |
+19% |
| Total equity | 54 314 |
60 293 |
+11% |
Revenue by business group changed as follows:
| In millions of euros | 2022 | 2023 | Change 2023/2022 |
||
|---|---|---|---|---|---|
| Reported | Organic* | ||||
| Wines & Spirits | 7 099 |
6 602 |
-7% | -4% | |
| Fashion & Leather Goods | 38 648 |
42 169 |
+9% | +14% | |
| Perfumes & Cosmetics | 7 722 |
8 271 |
+7% | +11% | |
| Watches & Jewelry | 10 581 |
10 902 |
+3% | +7% | |
| Selective Retailing | 14 852 |
17 885 |
+20% | +25% | |
| Other activities & eliminations | 282 | 324 | - | - | |
| Total | 79 184 |
86 153 |
+9% | +13% |
* On a constant consolidation scope and currency basis. For the Group, the impact of changes in scope was nil; the impact of exchange rate fluctuations was -4%.
| Profit from recurring operations |
by business group changed as follows: | ||
|---|---|---|---|
| ---------------------------------------- | -- | --------------------------------------- | -- |
| In millions of euros | 2022 | 2023 | Change 2023/2022 |
|---|---|---|---|
| Wines & Spirits | 2 155 |
2 109 |
-2% |
| Fashion & Leather Goods | 15 709 |
16 836 |
+7% |
| Perfumes & Cosmetics | 660 | 713 | +8% |
| Watches & Jewelry | 2 017 |
2 162 |
+7% |
| Selective Retailing | 788 | 1 391 |
+76% |
| Other activities & eliminations | (279) | (415) | - |
| Total | 21 050 |
22 796 |
+8% |
The Wines & Spirits business group saw a revenue decline (-4% organic) in 2023, faced with a particularly high basis of comparison. Profit from recurring operations was down 2%. Driven by its value strategy, the champagne business posted growth, with a good performance in Europe and Japan offsetting the effects of an unfavorable macroeconomic environment in the United States. Hennessy cognac was affected by a mixed recovery in China and by the post-Covid normalization of demand in the United States, while efforts continued to maintain optimal inventory levels among retailers. In Provence rosé wines, LVMH acquired the prestigious Minuty estate, the second-largest market player after Château d'Esclans, which also continued its international development.
The Fashion & Leather Goods business group achieved organic revenue growth of 14% in 2023. Profit from recurring operations was up 7%. Louis Vuitton had an excellent year, once again buoyed by the creativity and quality of its products, and by its strong ties to art and culture. Many new designs were unveiled, including the GO-14 leather goods line and the new Tambour watch, a fusion of Swiss watchmaking expertise and Louis Vuitton's Parisian elegance. Nicolas Ghesquière, who celebrated his 10th anniversary designing the Maison's Women's collections and renewed his contract for a further five years, continued to captivate audiences with his boundless creativity. Set on the stage of the Pont-Neuf bridge in Paris in July, the first fashion show of the new Creative Director of Menswear Pharrell Williams sparked enthusiasm worldwide. Christian Dior Couture continued to deliver remarkable growth in all its product lines. Giving center stage to excellent craftsmanship, fashion shows curated by Maria Grazia Chiuri and Kim Jones reinvented the magic of the Dior name, season after season. Victoire de Castellane's creative verve was once again on full display in her new high jewelry collection, Les Jardins de la Couture. The year ended on a high note, with a spectacular Dior display at Saks Fifth Avenue in New York, whose facade was bedecked with a captivating "Carousel of Dreams" and 24 enchanting window displays. Celine continued to enhance its desirability, driven by the success of Hedi Slimane's designs and fashion shows. Loewe's robust growth continued to be driven by J.W. Anderson's bold, creative leadership and by the success of the latest new leather goods designs. Loro Piana confirmed its superb momentum and its leadership position in ultra-premium, sophisticated luxury. Fendi expanded its retail network. Rimowa, Marc Jacobs and Berluti all turned in an excellent performance.
The Perfumes & Cosmetics business group posted organic revenue growth of 11% in 2023 thanks to its highly selective retail policy and dynamic innovation strategy, backed by the scientific excellence of LVMH's research center. Profit from recurring operations was up 8%. Parfums Christian Dior achieved a remarkable performance, extending its lead in its key markets. Fragrances were once again buoyed by the success of iconic scents Sauvage, Miss Dior and J'adore, which was enriched with Francis Kurkdjian's latest creation, L'Or de J'adore. Makeup (with Dior Addict) and skincare (with Prestige and L'Or de Vie) also contributed to the Maison's growth. Guerlain continued to grow, driven by the popularity of its Aqua Allegoria line and its L'Art et la Matière high-end fragrance collection, as well as the excellent response to its Terracotta Le Teint makeup. Parfums Givenchy benefited from its fragrances' ongoing success. Benefit was buoyed by its The Porefessional skincare line, while Fenty Beauty posted robust growth, driven in particular by one of its latest innovations in mascara.
The Watches & Jewelry business group recorded organic revenue growth of 7% in 2023. Profit from recurring operations was up 7%. Tiffany & Co. embarked on a new chapter in its history with the reopening of "The Landmark" in New York. Substantially raising the bar for jewelry retail worldwide, the spectacular transformation of this legendary flagship store was exceptionally well received. The new Lock collection, which continued to be rolled out worldwide, was a huge success, and Blue Book: Out of the Blue – the new high jewelry collection designed by Creative Director for Jewelry Nathalie Verdeille – was unveiled. Bulgari posted strong growth, driven by high jewelry, in particular the success of the Mediterranea collection. Its iconic Serpenti line, which celebrated its 75th anniversary, turned in a remarkable performance, both in jewelry and in women's watches, taking home awards at the Geneva Watchmaking Grand Prix. Chaumet continued to channel its powerful creativity through a new high jewelry line and held its A Golden Age: 1965-1985 retrospective exhibition in the historic salons of its 12 place Vendôme location. Fred inaugurated its Fred: Jewelry Designer exhibition in South Korea, where it was a major success. In watchmaking, highlights of the year included TAG Heuer's achievement of record-breaking revenue and its celebration of the 60th anniversary of its Carrera collection, along with Hublot's appointment as the official timekeeper for the FIFA Women's World Cup in Australia.
The Selective Retailing business group posted organic revenue growth of 25% in 2023. Profit from recurring operations was up 76%. Sephora achieved another historic year, both in terms of sales and profit, continuing to gain market share through its distinctive, innovative range of products and services. Momentum was particularly strong in North America, Europe and the Middle East. The expansion of its store network continued, with the highly successful opening of its first two stores in the United Kingdom and the thriving collaboration with Kohl's in the United States. Another major event during the year was the reopening of its Champs-Élysées flagship store in Paris, whose renovation reflected Sephora's sustainability strategy, aimed at reducing the energy consumption of its sales floor area by 50%. DFS benefited from the gradual recovery in international travel and, in particular, from the return of tourists to flagship destinations Hong Kong and Macao. The Maison announced its plans to open a new Galleria on the island of Hainan in China by 2026. Le Bon Marché, which is growing steadily, continued to develop innovative concepts and benefit from a loyal French customer base as well as the return of international travelers.
While the geopolitical and macroeconomic environment remains uncertain, the Christian Dior group is confident in its ability to continue to grow in 2024, in the highly distinctive quality and creativity that its products offer its customers, as well as in the professionalism of its management, to stand out and gain market share. The Group will pursue its brand development-focused strategy, underpinned by continued innovation and investment as well as an extremely exacting quest for desirability and quality in its products and their highly selective distribution.
Driven by the agility of its teams, their entrepreneurial spirit and its well-diversified presence across the geographic areas in which its customers are located, the Group therefore enters 2024 with confidence and once again sets an objective of reinforcing its global leadership position in luxury goods.
At the Shareholders' Meeting on April 18, 2024, Christian Dior will propose a dividend of €13 per share. An interim dividend of €5.50 per share was paid on December 6, 2023. The final dividend of €7.50 per share will be paid on April 25, 2024.
"This document may contain certain forward looking statements which are based on estimations and forecasts. By their nature, these forward looking statements are subject to important risks and uncertainties and factors beyond our control or ability to predict, in particular those described in Christian Dior's Annual report which is available on the website (www.dior-finance.com). These forward looking statements should not be considered as a guarantee of future performance, the actual results could differ materially from those expressed or implied by them. The forward looking statements only reflect Company's views as of the date of this document, and Christian Dior does not undertake to revise or update these forward looking statements. The forward looking statements should be used with caution and circumspection and in no event can the Company and its Management be held responsible for any investment or other decision based upon such statements. The information in this document does not constitute an offer to sell or an invitation to buy shares in Christian Dior or an invitation or inducement to engage in any other investment activities."
Revenue by business group and by quarter
| Full-year 2023 | Wines & Spirits |
Fashion & Leather Goods |
Perfumes & Cosmetics |
Watches & Jewelry |
Selective Retailing |
Other activities & eliminations |
Total |
|---|---|---|---|---|---|---|---|
| First quarter | 1 694 | 10 728 | 2 115 | 2 589 | 3 961 | (52) | 21 035 |
| Second quarter | 1 486 | 10 434 | 1 913 | 2 839 | 4 394 | 140 | 21 206 |
| First half | 3 181 | 21 162 | 4 028 | 5 427 | 8 355 | 87 | 42 240 |
| Third quarter | 1 509 | 9 750 | 1 993 | 2 524 | 4 076 | 113 | 19 964 |
| First nine months | 4 689 | 30 912 | 6 021 | 7 951 | 12 431 | 201 | 62 205 |
| Fourth quarter | 1 912 | 11 257 | 2 250 | 2 951 | 5 454 | 124 | 23 948 |
| Total 2023 | 6 602 | 42 169 | 8 271 | 10 902 | 17 885 | 324 | 86 153 |
| Full-year 2023 | Wines & Spirits |
Fashion & Leather Goods |
Perfumes & Cosmetics |
Watches & Jewelry |
Selective Retailing |
Other activities & eliminations |
Total |
|---|---|---|---|---|---|---|---|
| First quarter | +3% | +18% | +10% | +11% | +28% | - | +17% |
| Second quarter | -8% | +21% | +16% | +14% | +25% | - | +17% |
| First half | -3% | +20% | +13% | +13% | +26% | - | +17% |
| Third quarter | -14% | +9% | +9% | +3% | +26% | - | +9% |
| First nine months | -7% | +16% | +12% | +9% | +26% | - | +14% |
| Fourth quarter | +4% | +9% | +10% | +3% | +21% | - | +10% |
| Total 2023 | -4% | +14% | +11% | +7% | +25% | - | +13% |
| Full-year 2022 | Wines & Spirits |
Fashion & Leather Goods |
Perfumes & Cosmetics |
Watches & Jewelry |
Selective Retailing |
Other activities & eliminations |
Total |
|---|---|---|---|---|---|---|---|
| First quarter | 1 638 | 9 123 | 1 905 | 2 338 | 3 040 | (41) | 18 003 |
| Second quarter | 1 689 | 9 013 | 1 714 | 2 570 | 3 591 | 149 | 18 726 |
| First half | 3 327 | 18 136 | 3 618 | 4 909 | 6 630 | 109 | 36 729 |
| Third quarter | 1 899 | 9 687 | 1 959 | 2 666 | 3 465 | 79 | 19 755 |
| First nine months | 5 226 | 27 823 | 5 577 | 7 575 | 10 095 | 189 | 56 485 |
| Fourth quarter | 1 873 | 10 825 | 2 145 | 3 006 | 4 757 | 93 | 22 699 |
| Total 2022 | 7 099 | 38 648 | 7 722 | 10 581 | 14 852 | 282 | 79 184 |
For the purposes of its financial communications, in addition to the accounting aggregates defined by IAS/IFRS, Christian Dior uses alternative performance measures established in accordance with AMF position DOC-2015-12.
The table below lists these performance measures and the reference to their definition and their reconciliation with the aggregates defined by IAS/IFRS, in the published documents.
| Performance measures | Reference to published documents |
|---|---|
| Operating free cash flow | AR (condensed consolidated financial statements, consolidated cash flow statement) |
| Net financial debt | AR (Notes 1.22 and 19 to the condensed consolidated financial statements) |
| Gearing | AR (Part 7, "Comments on the consolidated balance sheet") |
| Organic growth | AR (Part 1, "Comments on the consolidated income statement") |
AR: Annual Report as of December 31, 2023
This document is a free translation into English of the original French financial release dated January 25 th, 2024. It is not a binding document.
In the event of a conflict in interpretation, reference should be made to the French version, which is the authentic text.
| (EUR millions, except for earnings per share) | 2023 | 2022 | 2021 |
|---|---|---|---|
| Revenue Cost of sales |
86,153 (26,876) |
79,184 (24,988) |
64,215 (20,355) |
| Gross margin | 59,277 | 54,196 | 43,860 |
| Marketing and selling expenses General and administrative expenses Income/(loss) from joint ventures and associates |
(30,767) (5,721) 7 |
(28,150) (5,033) 37 |
(22,306) (4,427) 13 |
| Profit from recurring operations | 22,796 | 21,050 | 17,139 |
| Other operating income and expenses | (242) | (54) | 4 |
| Operating profit | 22,554 | 20,996 | 17,143 |
| Cost of net financial debt Interest on lease liabilities Other financial income and expenses |
(363) (393) (170) |
(15) (254) (632) |
40 (242) 254 |
| Net financial income/(expense) | (926) | (901) | 52 |
| Income taxes | (5,707) | (5,393) | (4,531) |
| Net profit before minority interests | 15,921 | 14,702 | 12,664 |
| Minority interests | 9,617 | 8,905 | 7,718 |
| Net profit, Group share | 6,304 | 5,797 | 4,946 |
| Basic Group share of net earnings per share (EUR) Number of shares on which the calculation is based |
34.94 180,410,580 |
32.13 180,410,580 |
27.41 180,410,580 |
| Diluted Group share of net earnings per share (EUR) Number of shares on which the calculation is based |
34.93 180,410,580 |
32.11 180,410,580 |
27.40 180,410,580 |
| (EUR millions) | 2023 | 2022 | 2021 |
|---|---|---|---|
| Net profit before minority interests | 15,921 | 14,702 | 12,664 |
| Translation adjustments | (1,083) | 1,311 | 2,178 |
| Amounts transferred to income statement | (21) | (32) | (4) |
| Tax impact | - | (4) | 17 |
| (1,104) | 1,275 | 2,191 | |
| Change in value of hedges of future foreign currency cash flows(a) | 477 | 28 | 281 |
| Amounts transferred to income statement | (523) | 290 | (303) |
| Tax impact | 13 | (73) | 127 |
| (33) | 245 | 105 | |
| Change in value of the ineffective portion of hedging instruments | (237) | (309) | (375) |
| Amounts transferred to income statement | 362 | 340 | 237 |
| Tax impact | (29) | (11) | 33 |
| 96 | 21 | (105) | |
| Gains and losses recognized in equity, transferable to income statement | (1,041) | 1,542 | 2,191 |
| Change in value of vineyard land | 53 | (72) | 52 |
| Amounts transferred to consolidated reserves | - | - | - |
| Tax impact | (11) | 18 | (12) |
| 41 | (53) | 40 | |
| Employee benefit obligations: change in value resulting from actuarial gains and losses | 30 | 301 | 251 |
| Tax impact | (7) | (77) | (58) |
| 23 | 223 | 193 | |
| Gains and losses recognized in equity, not transferable to income statement | 64 | 170 | 233 |
| Gains and losses recognized in equity | (977) | 1,712 | 2,423 |
| Comprehensive income | 14,944 | 16,414 | 15,087 |
| Minority interests | 9,036 | 9,941 | 9,180 |
| Comprehensive income, Group share | 5,908 | 6,473 | 5,907 |
(a) In 2021, this amount includes 477 million euros relating to foreign exchange hedges implemented in anticipation of the acquisition of Tiffany shares and included in the value of the investment.
| (EUR millions) | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 |
|---|---|---|---|
| Brands and other intangible assets | 24,724 | 24,565 | 23,684 |
| Goodwill | 22,492 | 23,250 | 24,371 |
| Property, plant and equipment | 26,697 | 22,414 | 19,543 |
| Right-of-use assets | 15,673 | 14,609 | 13,699 |
| Investments in joint ventures and associates | 991 | 1,066 | 1,084 |
| Non-current available for sale financial assets | 1,363 | 1,109 | 1,363 |
| Other non-current assets | 1,017 | 1,187 | 1,054 |
| Deferred tax | 3,992 | 3,661 | 3,156 |
| Non‑current assets | 96,950 | 91,861 | 87,954 |
| Inventories and work in progress | 22,952 | 20,319 | 16,549 |
| Trade accounts receivable | 4,728 | 4,258 | 3,787 |
| Income taxes | 533 | 375 | 338 |
| Other current assets | 7,790 | 7,550 | 5,606 |
| Cash and cash equivalents | 7,921 | 7,588 | 8,122 |
| Current assets | 43,923 | 40,090 | 34,402 |
| Total assets | 140,873 | 131,951 | 122,356 |
| (EUR millions) | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 |
|---|---|---|---|
| Equity, Group share | 21,527 | 19,038 | 15,372 |
| Minority interests | 38,766 | 35,276 | 30,995 |
| Equity | 60,293 | 54,314 | 46,367 |
| Long-term borrowings | 11,227 | 10,380 | 12,165 |
| Non-current lease liabilities | 13,810 | 12,776 | 11,887 |
| Non-current provisions and other liabilities | 3,844 | 3,866 | 3,945 |
| Deferred tax | 6,616 | 6,553 | 6,302 |
| Purchase commitments for minority interests' shares | 11,919 | 12,489 | 13,677 |
| Non‑current liabilities | 47,416 | 46,064 | 47,976 |
| Short-term borrowings | 10,696 | 9,375 | 8,091 |
| Current lease liabilities | 2,728 | 2,632 | 2,387 |
| Trade accounts payable | 9,049 | 8,788 | 7,086 |
| Income taxes | 1,150 | 1,224 | 1,275 |
| Current provisions and other liabilities | 9,541 | 9,554 | 9,174 |
| Current liabilities | 33,164 | 31,573 | 28,013 |
| Total liabilities and equity | 140,873 | 131,951 | 122,356 |
| (EUR millions) | Number of shares |
Share capital |
Share premium account |
Christian Dior treasury shares |
Cumulative translation adjustment |
Revaluation reserves | Net profit |
Total equity | |||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Available for sale financial assets |
Hedges of future foreign currency cash flows and cost of hedging |
Vineyard land |
Employee benefit commitments |
and other reserves |
Group share |
Minority interests |
Total | ||||||
| As of Dec. 31, 2020 | 180,507,516 | 361 | 194 | (17) | (278) | - | (116) | 471 | (86) | 10,740 | 11,270 | 24,974 36,244 | |
| Gains and losses | |||||||||||||
| recognized in equity | 857 | - | 18 | 12 | 74 | - | 961 | 1,462 | 2,423 | ||||
| Net profit | 4,946 | 4,946 | 7,718 12,664 | ||||||||||
| Comprehensive income | - | - | - | 857 | - | 18 | 12 | 74 | 4,946 | 5,907 | 9,180 15,087 | ||
| Expenses related to bonus shares and similar plans |
52 | 52 | 80 | 132 | |||||||||
| (Acquisition)/disposal of Christian Dior treasury shares |
- | - | - | - | |||||||||
| Capital increase in subsidiaries | - | - | 12 | 12 | |||||||||
| Interim and final dividends paid | (1,263) | (1,263) | (2,498) | (3,761) | |||||||||
| Changes in control of consolidated entities |
(18) | (18) | 373 | 355 | |||||||||
| Acquisition and disposal of minority interests' shares |
- | - | - | 1 | - | (568) | (567) | (947) (1,514) | |||||
| Purchase commitments for minority interests' shares |
(9) | (9) | (179) | (188) | |||||||||
| As of Dec. 31, 2021 | 180,507,516 | 361 | 194 | (17) | 579 | - | (98) | 484 | (12) | 13,880 | 15,372 | 30,995 46,367 | |
| Gains and losses recognized in equity |
506 | - | 103 | (18) | 85 | - | 676 | 1,036 | 1,712 | ||||
| Net profit | 5,797 | 5,797 | 8,905 14,702 | ||||||||||
| Comprehensive income | - | - | - | 506 | - | 103 | (18) | 85 | 5,797 | 6,473 | 9,941 16,414 | ||
| Expenses related to bonus shares and similar plans |
53 | 53 | 79 | 132 | |||||||||
| (Acquisition)/disposal of Christian Dior treasury shares |
- | - | - | - | |||||||||
| Capital increase in subsidiaries | - | - | 28 | 28 | |||||||||
| Interim and final dividends paid | (2,165) | (2,165) | (3,905) (6,070) | ||||||||||
| Changes in control of consolidated entities |
3 | 3 | 10 | 13 | |||||||||
| Acquisition and disposal of minority interests' shares |
2 | - | (1) | 2 | 2 | (536) | (531) | (1,068) (1,599) | |||||
| Purchase commitments for minority interests' shares |
- | (166) | (166) | (804) | (970) | ||||||||
| As of Dec. 31, 2022 | 180,507,516 | 361 | 194 | (17) | 1,087 | - | 4 | 468 | 75 | 16,866 | 19,038 | 35,276 54,314 | |
| Gains and losses | |||||||||||||
| recognized in equity | (441) | - | 24 | 13 | 8 | - | (396) | (581) | (977) | ||||
| Net profit | 6,304 | 6,304 | 9,617 | 15,921 | |||||||||
| Comprehensive income Expenses related to bonus |
- | - | - | (441) | - | 24 | 13 | 8 | 6,304 | 5,908 | 9,036 14,944 | ||
| shares and similar plans (Acquisition)/disposal of |
47 | 47 | 70 | 117 | |||||||||
| Christian Dior treasury shares | - | - | - | - | |||||||||
| Capital increase in subsidiaries | - | - | 19 | 19 | |||||||||
| Interim and final dividends paid | (2,255) | (2,255) | (4,153) (6,408) | ||||||||||
| Changes in control of consolidated entities |
- | - | 10 | 10 | |||||||||
| Acquisition and disposal of minority interests' shares |
6 | - | - | 2 | - | (970) | (962) | (1,073) (2,035) | |||||
| Purchase commitments for minority interests' shares |
(249) | (249) | (419) | (668) | |||||||||
| As of Dec. 31, 2023 | 180,507,516 | 361 | 194 | (17) | 652 | - | 28 | 483 | 83 | 19,743 | 21,527 | 38,766 60,292 |
| (EUR millions) | 2023 | 2022 | 2021 |
|---|---|---|---|
| I. OPERATING ACTIVITIES |
|||
| Operating profit | 22,554 | 20,996 | 17,143 |
| (Income)/loss and dividends received from joint ventures and associates | 42 | 26 | 41 |
| Net increase in depreciation, amortization and provisions | 4,144 | 3,219 | 3,136 |
| Depreciation of right-of-use assets | 3,031 | 3,007 | 2,691 |
| Other adjustments and computed expenses | (260) | (483) | (400) |
| Cash from operations before changes in working capital | 29,511 | 26,765 | 22,611 |
| Cost of net financial debt: interest paid | (453) | (73) | 68 |
| Lease liabilities: interest paid | (356) | (240) | (231) |
| Tax paid | (5,729) | (5,603) | (4,239) |
| Change in working capital | (4,577) | (3,019) | 426 |
| Net cash from operating activities | 18,397 | 17,830 | 18,636 |
| II. INVESTING ACTIVITIES | |||
| Operating investments | (7,478) | (4,969) | (2,664) |
| Purchase and proceeds from sale of consolidated investments | (721) | (809) | (13,226) |
| Dividends received | 5 | 7 | 10 |
| Tax paid related to non-current available for sale financial | |||
| assets and consolidated investments | - | - | - |
| Purchase and proceeds from sale of non-current available for sale financial assets | (116) | (149) | (99) |
| Net cash from/(used in) investing activities | (8,310) | (5,920) | (15,979) |
| III. FINANCING ACTIVITIES | |||
| Interim and final dividends paid | (6,849) | (6,465) | (3,967) |
| Purchase and proceeds from sale of minority interests | (2,051) | (2,010) | (1,117) |
| Other equity-related transactions | 15 | 12 | 4 |
| Proceeds from borrowings | 5,990 | 3,774 | 251 |
| Repayment of borrowings | (3,968) | (3,891) | (6,763) |
| Repayment of lease liabilities | (2,818) | (2,751) | (2,453) |
| Purchase and proceeds from sale of current available for sale financial assets | 144 | (1,165) | (1,393) |
| Net cash from/(used in) financing activities | (9,536) | (12,495) | (15,438) |
| IV. EFFECT OF EXCHANGE RATE CHANGES | (273) | 55 | 498 |
| Net increase/(decrease) in cash and cash equivalents (I+II+III+IV) | 278 | (530) | (12,283) |
| Cash and cash equivalents at beginning of period | 7,388 | 7,918 | 20,201 |
| Cash and cash equivalents at end of period | 7,666 | 7,388 | 7,918 |
| Total tax paid | (6,150) | (5,959) | (4,465) |
The following table presents the reconciliation between "Net cash from operating activities" and "Operating free cash flow" for the fiscal years presented:
| (EUR millions) | 2023 | 2022 | 2021 |
|---|---|---|---|
| Net cash from operating activities | 18,397 | 17,830 | 18,636 |
| Operating investments | (7,478) | (4,969) | (2,664) |
| Repayment of lease liabilities | (2,818) | (2,751) | (2,453) |
| Operating free cash flow (a) | 8,101 | 10,110 | 13,518 |
(a) Under IFRS 16, fixed lease payments are treated partly as interest payments and partly as principal repayments. For its own operational management purposes, the Group treats all lease payments as components of its"Operating free cash flow", whether the lease payments made are fixed or variable. In addition, for its own operational management purposes, the Group treats operating investments as components of its "Operating free cash flow".
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