Proceeds from sale of property, plant, and equipment and other assets

Automatic Data Processing, Inc. and SubsidiariesStatements of Consolidated Cash Flows(In millions)(Unaudited)  


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| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- |
|  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|  |  | Three Months Ended |  |
|  |  | September 30, |  |
|  |  | 2022 |  | 2021 |  |
|  |  |  |  |
| Cash Flows from Operating Activities: |  |  |  |  |  |
| Net earnings |  | $ | 779.0  |  |  | $ | 700.5  |  |  |
| Adjustments to reconcile net earnings to cash flows provided by operating activities: |  |   |  |   |  |
| Depreciation and amortization |  | 135.1  |  |  | 129.1  |  |  |
| Amortization of deferred contract costs |  | 243.5  |  |  | 237.3  |  |  |
|  |  |  |  |  |  |
| Deferred income taxes |  | 20.5  |  |  | 25.6  |  |  |
| Stock-based compensation expense |  | 50.6  |  |  | 42.3  |  |  |
|  |  |  |  |  |  |
| Net pension income |  | (9.3) |  |  | (15.8) |  |  |
|  |  |  |  |  |  |
| Net amortization of premiums and accretion of discounts on available-for-sale securities |  | 16.0  |  |  | 22.7  |  |  |
|  |  |  |  |  |  |
|  |  |  |  |  |  |
|  |  |  |  |  |  |
|  |  |  |  |  |  |
| Other |  | 10.6  |  |  | 1.9  |  |  |
| Changes in operating assets and liabilities: |  |   |  |   |  |
| Decrease/(Increase) in accounts receivable |  | 201.5  |  |  | (51.8) |  |  |
| Increase in other assets |  | (504.0) |  |  | (494.2) |  |  |
| Decrease in accounts payable |  | (30.7) |  |  | (61.9) |  |  |
| Decrease in accrued expenses and other liabilities |  | (194.7) |  |  | (413.8) |  |  |
|  |  |  |  |  |  |
|  |  |  |  |  |  |
| Net cash flows provided by operating activities |  | 718.1  |  |  | 121.9  |  |  |
|  |  |  |  |  |  |
| Cash Flows from Investing Activities: |  |   |  |   |  |
| Purchases of corporate and client funds marketable securities |  | (3,064.5) |  |  | (2,412.6) |  |  |
| Proceeds from the sales and maturities of corporate and client funds marketable securities |  | 1,618.6  |  |  | 1,279.1  |  |  |
|  |  |  |  |  |  |
| Capital expenditures |  | (45.4) |  |  | (35.9) |  |  |
| Additions to intangibles |  | (86.3) |  |  | (93.2) |  |  |
|  |  |  |  |  |  |
| Proceeds from sale of property, plant, and equipment and other assets |  | —  |  |  | 26.2  |  |  |
|  |  |  |  |  |  |
|  |  |  |  |  |  |
|  |  |  |  |  |  |
|  |  |  |  |  |  |
|  |  |  |  |  |  |
| Net cash flows used in investing activities |  | (1,577.6) |  |  | (1,236.4) |  |  |
|  |  |  |  |  |  |
| Cash Flows from Financing Activities: |  |   |  |   |  |
| Net (decrease)/increase in client funds obligations |  | (15,592.0) |  |  | 12,100.6  |  |  |
|  |  |  |  |  |  |
| Payments of debt |  | (0.2) |  |  | (0.2) |  |  |
|  |  |  |  |  |  |
|  |  |  |  |  |  |
| Repurchases of common stock |  | (333.3) |  |  | (528.0) |  |  |
| Net proceeds from stock purchase plan and stock-based compensation plans |  | 1.0  |  |  | (16.7) |  |  |
|  |  |  |  |  |  |
| Dividends paid |  | (432.9) |  |  | (393.2) |  |  |
| Net proceeds related to reverse repurchase agreements |  | 54.8  |  |  | 22.3  |  |  |
|  |  |  |  |  |  |
|  |  |  |  |  |  |
|  |  |  |  |  |  |
|  |  |  |  |  |  |
| Net cash flows (used in)/provided by financing activities |  | (16,302.6) |  |  | 11,184.8  |  |  |
|  |  |  |  |  |  |
| Effect of exchange rate changes on cash, cash equivalents, restricted cash, and restricted cash equivalents |  | (44.9) |  |  | (21.2) |  |  |
|  |  |  |  |  |  |
| Net change in cash, cash equivalents, restricted cash, and restricted cash equivalents |  | (17,207.0) |  |  | 10,049.1  |  |  |
|  |  |  |  |  |  |
| Cash, cash equivalents, restricted cash, and restricted cash equivalents, beginning of period |  | 22,783.0  |  |  | 13,143.2  |  |  |
| Cash, cash equivalents, restricted cash, and restricted cash equivalents, end of period |  | $ | 5,576.0  |  |  | $ | 23,192.3  |  |  |
|  |  |  |  |  |  |
|  |  |  |  |  |  |
|  |  |  |  |  |  |
| Reconciliation of cash, cash equivalents, restricted cash, and restricted cash equivalents to the Consolidated Balance Sheets |  |  |  |  |  |
| Cash and cash equivalents |  | $ | 1,207.7  |  |  | $ | 1,602.1  |  |  |
| Restricted cash and restricted cash equivalents included in funds held for clients (A) |  | 4,368.3  |  |  | 21,590.2  |  |  |
| Total cash, cash equivalents, restricted cash, and restricted cash equivalents |  | $ | 5,576.0  |  |  | $ | 23,192.3  |  |  |
|  |  |  |  |  |  |
| Supplemental disclosures of cash flow information: |  |  |  |  |  |
| Cash paid for interest |  | $ | 56.7  |  |  | $ | 23.9  |  |  |
| Cash paid for income taxes, net of income tax refunds |  | $ | 57.5  |  |  | $ | 55.0  |  |  |
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(A) See Note 6 for a reconciliation of restricted cash and restricted cash equivalents in funds held for clients on the Consolidated Balance Sheets.  
  
See notes to the Consolidated Financial Statements.6
