Statement of Cash Flows
The Group’s cash and cash equivalent at year end 2018 amounted to USD 116 million (see graph below). Cash flows from operating activities have met the investment requirements of the past few years, which is a prerequisite for the improved capital structure of the Company. As the construction projects draw to a close, cash flow will mostly be used to reduce debt.
The Company‘s investing activities amounted to USD 151 million, but only USD 23 million was due to the maintenance of the Company’s power generation facilities and transmission infrastructure. Free cash flow was USD 252 million. The Company can use free cash flow to finance new investments, which amounted to USD 107 million, repay debt or pay dividend to its owner.
Cash flow from operations has met investment requirements over the past few years. This means that there is a cash flow surplus from operating activities after all investment activities have been accounted for. This is the reason Landsvirkjun has been able to reduce its debt over the last few years.
You can download the Financial Statements for 2018 in electronic form here. The documents contain the financial statements as a whole in Acrobat (pdf) document and the key figures in an Excel (xls) document.