Settlement on from sale of subsidiaries

  
Catalent, Inc.Consolidated Statements of Cash Flows(Dollars in millions)  


|  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- |
|  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|  | Fiscal Year Ended June 30, |
|  | 2022 |  | 2021 |  | 2020 |
| CASH FLOWS FROM OPERATING ACTIVITIES: |  |  |  |  |  |
| Net earnings | $ | 519  |  |  | $ | 585  |  |  | $ | 221  |  |
|  |  |  |  |  |  |
|  |  |  |  |  |  |
| Adjustments to reconcile net earnings to net cash from operations: |  |  |  |  |  |
| Depreciation and amortization | 378  |  |  | 289  |  |  | 254  |  |
| Non-cash foreign currency transaction losses (gains), net | 30  |  |  | (4) |  |  | 2  |  |
| Amortization and write-off of debt financing costs | 7  |  |  | 11  |  |  | 12  |  |
|  |  |  |  |  |  |
| Asset impairments charges and gain/loss on sale of assets | 31  |  |  | 9  |  |  | 5  |  |
| (Gain) loss on sale of subsidiary | (1) |  |  | (182) |  |  | 1  |  |
| Financing related charges | 4  |  |  | 18  |  |  | 10  |  |
| Gain on derivative instrument | (2) |  |  | (17) |  |  | (3) |  |
| Stock-based compensation | 54  |  |  | 51  |  |  | 48  |  |
| Provision for deferred income taxes | 14  |  |  | 64  |  |  | 2  |  |
| Provision for bad debts and inventory | 17  |  |  | 41  |  |  | 10  |  |
| Change in operating assets and liabilities: |  |  |  |  |  |
| Increase in trade receivables | (73) |  |  | (186) |  |  | (151) |  |
| Increase in inventories | (128) |  |  | (260) |  |  | (76) |  |
| Increase in accounts payable | 37  |  |  | 50  |  |  | 72  |  |
| Other assets/accrued liabilities, net - current and non-current | (448) |  |  | (36) |  |  | 33  |  |
|  |  |  |  |  |  |
|  |  |  |  |  |  |
| Net cash provided by operating activities | 439  |  |  | 433  |  |  | 440  |  |
| CASH FLOWS FROM INVESTING ACTIVITIES: |  |  |  |  |  |
| Acquisition of property and equipment and other productive assets | (660) |  |  | (686) |  |  | (466) |  |
| Purchases of marketable securities | (20) |  |  | (72) |  |  | —  |  |
|  |  |  |  |  |  |
| (Settlement on) proceeds from sale of subsidiaries | (3) |  |  | 287  |  |  | 21  |  |
| Payment for acquisitions, net of cash acquired | (1,199) |  |  | (147) |  |  | (379) |  |
| Payment made for investments | (2) |  |  | (31) |  |  | (3) |  |
|  |  |  |  |  |  |
|  |  |  |  |  |  |
| Net cash used in investing activities | (1,884) |  |  | (649) |  |  | (827) |  |
| CASH FLOWS FROM FINANCING ACTIVITIES: |  |  |  |  |  |
|  |  |  |  |  |  |
| Proceeds from borrowings | 1,100  |  |  | 166  |  |  | 909  |  |
| Payments related to long-term obligations | (78) |  |  | (67) |  |  | (860) |  |
|  |  |  |  |  |  |
| Financing fees paid | (15) |  |  | (19) |  |  | (25) |  |
| Dividends paid | (4) |  |  | (22) |  |  | (36) |  |
|  |  |  |  |  |  |
| Proceeds from sale of common stock, net  | —  |  |  | 82  |  |  | 1,046  |  |
|  |  |  |  |  |  |
| Exercise of stock options | 26  |  |  | 38  |  |  | —  |  |
| Cash paid, in lieu of equity, for tax withholding obligation | (10) |  |  | (46) |  |  | (32) |  |
| Other financing activities | 12  |  |  | 10  |  |  | —  |  |
|  |  |  |  |  |  |
|  |  |  |  |  |  |
| Net cash provided by financing activities | 1,031  |  |  | 142  |  |  | 1,002  |  |
|  |  |  |  |  |  |
| Effect of foreign currency on cash | (33) |  |  | 17  |  |  | (7) |  |
| NET (DECREASE) INCREASE IN CASH AND EQUIVALENTS | (447) |  |  | (57) |  |  | 608  |  |
| CASH AND EQUIVALENTS AT BEGINNING OF PERIOD | 896  |  |  | 953  |  |  | 345  |  |
| CASH AND EQUIVALENTS AT END OF PERIOD | $ | 449  |  |  | $ | 896  |  |  | $ | 953  |  |
| SUPPLEMENTARY CASH FLOW INFORMATION: |  |  |  |  |  |
| Interest paid | $ | 116  |  |  | $ | 105  |  |  | $ | 98  |  |
| Income taxes paid, net | $ | 53  |  |  | $ | 47  |  |  | $ | 43  |  |
| SUPPLEMENTARY DISCLOSURE OF NON-CASH INVESTING AND FINANCING ACTIVITY: |  |  |  |  |  |
| Issuance of Common Stock from partial conversion of redeemable preferred stock | $ | 362  |  |  | $ | 253  |  |  | $ | —  |  |
| Note receivable from sale of Blow-Fill-Seal Business | $ | —  |  |  | $ | 47  |  |  | $ | —  |  |

  
  
  
  
The accompanying notes are an integral part of these consolidated financial statements.71
