CONSOLIDATED STATEMENT OF CASH FLOWS FOR THE FINANCIAL YEAR ENDED 30 JUNE 2016 2016 2015 NOTES $’000 $’000 CASH FLOWS FROM OPERATING ACTIVITIES Receipts from customers 766,436 480,780 Payments to suppliers and employees (643,414) (390,989) Cash generated from operations 123,022 89,791 Interest and other costs of finance paid (4,375) (3,847) Income taxes paid (34,971) (14,817) Net cash flows from operating activities 35.3 83,676 71,127 CASH FLOWS FROM INVESTING ACTIVITIES Interest received 462 415 Net cash outflow on acquisition of subsidiaries 38.5 (22,661) - Payments for property, plant and equipment and other intangible assets (13,846) (3,625) Amounts advanced to related parties (3,960) - Proceeds from disposal of property, plant and equipment 41 8 Dividends received 25 11 Net cash used in investing activities (39,939) (3,191) CASH FLOWS FROM FINANCING ACTIVITIES Proceeds from/(repayment of) bank borrowings 11,357 (29,000) Proceeds from other borrowings 2,500 - Dividends paid (57,704) (22,703) Proceeds from issue of equity to non-controlling interests 2,301 - Net cash used in financing activities (41,546) (51,703) Net increase in cash and cash equivalents 2,191 16,233 Cash and cash equivalents at the beginning of the year 36,931 18,599 Effects of exchange rate changes on the balance of cash held in foreign currencies (1,469) 2,099 Cash and cash equivalents at the end of the year 35.1 37,653 36,931 Notes to the Consolidated Financial Statements are included on pages 68 to 103. BLACKMORES ANNUAL REPORT 2016 66