Notes to the consolidated statement of cash flows

for the year ended 30 September

      2018
Rm
  2017
Rm
 
A. CASH GENERATED FROM OPERATIONS IS CALCULATED AS FOLLOWS:          
  Profit before taxation – continuing operations   2 988   2 498  
  Profit/(loss) before taxation – discontinued operation   143   (85)  
  Adjustments for:          
     Depreciation   2 505   2 589  
     Amortisation of intangible assets   147   158  
     Loss on disposal of plant and equipment and intangibles   64   85  
     Profit on disposal of properties and other assets       (41)  
     Loss on disposal of subsidiaries and investments       26  
     Dividends received   (39)   (7)  
     Interest received   (147)   (108)  
     Finance costs   1 184   1 338  
     Fair value adjustments on financial instruments   137   186  
     Net impairment of assets and investments   249   170  
     IFRS 2 charge   75   42  
     Non-cash movement in provisions and valuation allowances   735   433  
     Other non-cash flow items   70   23  
  Operating cash flows before movements in working capital   8 111   7 307  
  Movement in working capital   (2 065)   1 539  
     Movement in inventories   (1 466)   719  
     Movement in receivables   (1 423)   (500)  
     Movement in payables   824   1 320  
  Cash generated from operations before investment in leasing and rental fleets   6 046   8 846  
B. TAXATION PAID IS RECONCILED TO THE AMOUNTS DISCLOSED IN THE INCOME STATEMENT AS FOLLOWS:          
  Amounts overpaid at beginning of year   (29)   (125)  
  Per the income statement (excluding deferred taxation) – group   (988)   (655)  
  Adjustments in respect of subsidiaries acquired and sold including translation adjustments     (6)   7  
  Net amounts underpaid at end of year   (35)   29  
  Cash amounts paid   (1 058)   (744)  
C. ACQUISITION OF SUBSIDIARIES, INVESTMENTS AND INTANGIBLES:          
  Investment and intangible assets acquired   (86)   (393)  
  Cash amounts paid to acquire subsidiaries, investments and intangibles   (86)   (393)  
D. PROCEEDS ON DISPOSAL OF SUBSIDIARIES, INVESTMENTS AND INTANGIBLES:          
  Inventories disposed   969   551  
  Receivables disposed   1 196   26  
  Payables, taxation and deferred taxation balances disposed and settled   (785)   (60)  
  Borrowings net of cash   162      
  Property, plant and equipment, non-current assets, goodwill and intangibles   1 048   151  
  Net assets disposed   2 590   668  
  Outstanding receivable from buyer   (170)      
  Less: Non-cash translation reserves realised on disposal of foreign subsidiaries   (1 502)      
  Investment in joint venture       (301)  
  Profit/(loss) on disposal   1 586   (9)  
  Net cash proceeds on disposal of subsidiaries   2 504   358  
  Bank balances and cash in subsidiaries disposed   (162)      
  Proceeds on disposal of investments and intangibles       21  
  Cash proceeds on disposal of subsidiaries, investments and intangibles   2 342   379  
  The net cash proceeds on disposal of subsidiaries arise from the sale of Equipment Iberia for R2.5 billion (€163 million) during June 2018.