160 ITV plc Annual Report and Accounts 2023 ITV plc Annual Report and Accounts 2023 161 F I CONSOLIDATED STATEMENT OF CHANGES IN EQUITY CONTINUED CONSOLIDATED STATEMENT OF CASH FLOWS NAN C I AL Attributable to equity shareholders of the parent company 2023 2022 S For the year ended 31 December Note £m £m £m £m T Merger Non– A Share Share and other Translation Fair value Retained controlling Total T E Cash flows from operating activities capital premium reserves reserve* reserve earnings Total interests equity M Note £m £m £m £m £m £m £m £m £m Cash generated from operations before exceptional items 2.1 556 590 E N T Balance at 1 January 2022 4.7 403 174 215 41 13 634 1,480 38 1,518 Cash flow relating to operating exceptional items: Operating exceptional items 2.2 (77) (65) S Total comprehensive income for the year Increase in exceptional payables 9 12 Profit for the year – – – – – 428 428 7 435 Cash outflow from exceptional items (68) (53) Other comprehensive Cash generated from operations 488 537 (expense)/income Defined benefit pension deficit funding (40) (137) Revaluation of financial assets 4.7.4 – – – – (19) – (19) – (19) Interest received 20 15 Net loss on cash flow hedges and costs Interest paid* (51) (56) of hedging 4.7.3 – – – (2) – – (2) – (2) Net taxation paid (32) (55) Exchange differences on translation of (103) (233) foreign operations 4.7.3 – – – 67 – – 67 8 75 Remeasurement gain on defined Net cash inflow from operating activities 385 304 benefit pension schemes 3.7 – – – – – 80 80 – 80 Income tax credit/(charge) on other Cash flows from investing activities comprehensive income/(expense) 2.3 – – – 1 5 (23) (17) – (17) Acquisition of property, plant and equipment (31) (34) Total other comprehensive Acquisition of intangible assets (39) (44) income/(expense) – – – 66 (14) 57 109 8 117 Acquisition of subsidiary undertakings, net of cash acquired (1) (96) Total comprehensive Acquisition of investments (19) (13) income/(expense) for the year – – – 66 (14) 485 537 15 552 Dividends received from investments 3 – Transactions with owners, recorded Loans granted to associates and joint ventures (13) (13) directly in equity Loans repaid by associates and joint ventures 3 4 Contributions by and distributions Net cash outflow from investing activities (97) (196) to owners Equity dividends – – – – – (201) (201) (3) (204) Cash flows from financing activities Movements due to share-based Bank and other loans – amounts repaid (401) (539) compensation 4.8 – – – – – 19 19 – 19 Settlement of derivatives*** (10) – Movements in the employee benefit Bank and other loans – amounts raised 351 282 trust – – – – – (2) (2) – (2) Release of restricted cash – 50 Tax on items taken directly to equity 2.3 – – – – – (7) (7) – (7) Payment of lease liabilities** (22) (22) Total transactions with owners – – – – – (191) (191) (3) (194) Issue of share capital 1 – Changes in non-controlling interests 4.7.6 – – (4) – – – (4) 4 – Acquisition of non-controlling interests (4) (25) Balance at 31 December 2022 4.7 403 174 211 107 (1) 928 1,822 54 1,876 Dividends paid to non-controlling interests (1) (3) * See note 4.3 for further breakdown of Translation Reserve, including Hedging Reserve and Cost of Hedging Reserve Equity dividends paid (201) (201) Net cash outflow from financing activities (287) (458) Net increase/(decrease) in cash and cash equivalents 1 (350) Cash and cash equivalents at 1 January 4.1 348 686 Effects of exchange rate changes and fair value movements (9) 12 Cash and cash equivalents at 31 December 4.1 340 348 * Interest paid includes interest on bank, other loans, derivative financial instruments and lease liabilities ** Net cash flow on lease liabilities in note 4.1 of £26 million (2022: £26 million) includes interest on lease liabilities included in interest paid of £4 million (2022: £4 million) *** Net cash flow from forwards and swaps held against the euro denominated bond repaid in the year