Cash flows

In 2018, the Group’s cash flow from operating activities (after changes in working capital) increased by RUB 6,426 mn (up 8.2%) to RUB 84,551 mn.

Cash spent to purchase PP&E decreased by RUB 4,270 mn, or 6.0% to RUB 67,423 mn in 2018 due to the completion of the investment cycle of the Far Eastern investment projects.

In 2018, RusHydro Group for the first time generated positive free cash flow sufficient to fund dividend payments.

Cash flows, RUB mn
2017 2018 2018/2017, %
Cash flows from operating activities (after accounting for changes in working capital) 78,125 84,551 8.2
Cash for PP&E acquisition -71,693 -67,423 -6.0
Proceeds from sale of PP&E 213 977 358.7
Proceeds from sale of Inter RAO shares – 2,160 –
Proceeds from disposal of joint venture – 871 –
Interest received 7,848 5,545 -29.3
Interest paid -15,794 -14,217 -10.0
Free cash flow (FCF) -1,301 12,464 –

Tax payments

RusHydro Group is one of the main taxpayers in the regions of its operation.In 2018, tax payments to budgets of all levels totaled RUB 81.2 bn, including RUB 34.3 bn - to regional budgets.

Tax payments to budgets of different levels, RUB mn In the table for 2017–2018, tax payments are allocated to the federal and regional budgets according to the budget level (income tax, water tax, mineral extraction tax, payment for the use of water bodies, pollution charge).
Level of budget RusHydro Subgroup JSC RAO ES East Subgroup RusHydro Group
2016 2017 2018 2016 2017 2018 2016 2017 2018
Federal 17,093 22,026 29,432 19,873 20,878 16,736 36,966 42,904 46,168
including insurance contributions 4,302 4,494 4,954 11,404 11,469 11,910 15,706 15,963 16,864
Regional 21,647 23,578 23,971 8,992 10,075 10,304 30,639 33,653 34,275
Local 434 424 403 371 364 330 805 788 733
Total 39,174 46,028 53,806 29,236 31,317 27,370 68,410 77,345 81,176