Basic principles and objectives of financial management

Overview of the DEUTZ Group’s financial position
  2017 2016
€ million    
Cash flow from operating activities 112.7 63.8
Cash flow from investing activities –27.3 –55.4
Cash flow from financing activities –32.6 –26.8
Change in cash and cash equivalents 52.8 –18.4
Free cash flow from continuing operations 82.5 4.7
Cash and cash equivalents at 31 Dec 143.8 91.8
Current and non-current interest-bearing financial debt at 31 Dec 45.6 60.2
Net financial position at 31 Dec 98.2 31.6
Free cash flow: cash flow from operating and investing activities less net interest expense.
Net financial position: cash and cash equivalents less current and non-current interest-bearing financial debt.

Central responsibility for treasury

Responsibility for financial management in the DEUTZ Group lies with DEUTZ AG as the parent company of the Group. Financial management primarily consists of obtaining the necessary funds, managing their use within the Group, pooling cash resources and hedging interest-rate risk, currency risk and commodities risk throughout the Group.