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Steady operating revenues drive ITOCHU's cash flow

Oil&Gas Materials 7 November 2023 16:45 (UTC +04:00)
Laman Zeynalova
Laman Zeynalova
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BAKU, Azerbaijan, November 7. ITOCHU Corporation has released its financial results for the first half of the fiscal year ending in 2024 (FYE 2024), showcasing commendable cash flow figures, Trend reports.

In the realm of "Cash flows from operating activities," the company recorded a net cash-inflow of ¥469.2 billion. This positive outcome is attributed to the steady performance in operating revenues across key sectors such as the 8th, General Products & Realty, and Food Companies. Furthermore, dividends received from equity method investments in the Metals & Minerals Company contributed to this favorable result.

However, in "Cash flows from investing activities," there was a net cash-outflow of ¥90.7 billion. This was primarily driven by the acquisition of equity method investments in the Metals & Minerals Company and capital expenditure for fixed assets in the 8th, Food, and Energy & Chemicals Companies.

The combination of these activities resulted in "Free cash flows" indicating a net cash-inflow of ¥378.5 billion.

Additionally, in terms of "Core Free Cash Flows," after accounting for changes in working capital and other factors from "Cash flows from operating activities," there was a net cash-inflow of ¥375.0 billion. However, "Net investment cash flows" experienced a net cash-outflow of ¥341.0 billion, primarily due to additional investments in shares in ITOCHU Techno-Solutions.

Consequently, "Core free cash flows" remained positive, with a net cash-inflow of ¥34.0 billion. These financial outcomes underscore ITOCHU's strong financial performance during the first half of FYE 2024.

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