Cash flow and financing

Net cash flow from operations amounted to EUR 151.0 (97.2) million, including the increase of EUR 15.4 (51.6) million in net working capital.

Full-year tax payments were EUR 16.9 (37.6) million, including a tax refund of EUR 4.8 million. The refund was related to a tax reassessment decision in 2015 regarding the company’s transfer-pricing audit in Finland.

The equity ratio was 42.6% (47.3). Gearing increased to 32.7% (22.5). Interest-bearing net debt totalled EUR 155.7 (109.7) million, including EUR 234.7 (166.9) million in interest-bearing debt, EUR 2.5 (5.5) million in finance lease liabilities, EUR 2.8 (5.7) million in finance lease receivables, EUR 0.5 (0.3) million in other interest-bearing receivables and EUR 78.2 (56.7) million in cash and cash equivalents.

The EUR 100 million bond matures in May 2019 and it carries a coupon of fixed annual interest of 2.875%. Interest-bearing long-term loans amounted to EUR 102.5 million at the end of December. Interest-bearing short-term loans amounted to EUR 134.6 million, mainly related to commercial paper issues and joint venture cash pool balances. The syndicated revolving credit facility of EUR 150 million maturing in May 2021 was not in use at the end of December. The EUR 85 million financing agreement, concluded with the European Investment Bank in June, was not utilized at the end of December. The agreement is a committed credit facility where Tieto has a possibility to withdraw funding for up to nine years.

Return on equity
Return on capital employed