Year ended 31 December

2021

2020

Cash flows from operating activities

Cash generated from operations

114,414

107,428

Interest received

1,215

1,309

Interest paid

(1,324)

(1,832)

Income tax paid

(3,669)

(1,354)

Net cash inflow from operating activities

110,636

105,551

Cash flows from investing activities

Purchase of property, plant and equipment, right-of-use assets and other assets

(72,047)

(58,656)

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

2,267

1,647

Acquisition of financial assets measured at fair value through profit and loss (“FVPL”)

(2,294)

(5,751)

Proceeds from disposal of financial assets measured at FVPL

646

4,268

Acquisition of debt securities measured at FVOCI (recycling)

(28,930)

(42,650)

Acquisition of equity securities measured at FVOCI (non-recycling)

(8)

—

Proceeds from disposal of debt securities measured at FVOCI (recycling)

26,494

19,511

Net cash inflows from addition of subsidiaries

1,462

—

Acquisition of other financial assets measured at amortised cost

(61,463)

(9,050)

Proceeds from disposal of other financial assets measured at amortised cost

60,762

9,050

Dividends received from financial assets measured at FVOCI (non-recycling)

179

210

Acquisition of interest in associates

(2,328)

(1,349)

Acquisition of interest in joint ventures

(45)

(117)

Proceeds from disposal of associates and joint ventures

8

19

Dividends received from associates

813

546

Increase in short-term bank deposits and restricted deposits

(400)

(6,900)

Lending by Unicom Group Finance Company Limited (“Finance Company”) to a related party

(11,400)

(16,500)

Repayment of loans from a related party to Finance Company

11,500

13,704

Net cash outflow from investing activities

(74,784)

(92,018)

Year ended 31 December

2021

2020

Profit before income tax

17,927

16,027

Adjustments for:

Depreciation and amortisation

85,652

83,017

Interest income

(1,215)

(1,366)

Finance costs

1,308

1,564

Loss on disposal of property, plant and equipment

3,749

2,365

Impairment losses under expected credit loss (“ECL”) model and write-down of inventories

3,301

5,584

Dividends from financial assets measured at FVOCI (non-recycling)

(179)

(210)

Gains on disposal of financial assets measured at FVPL

(15)

(87)

Investment income from debt securities measured at FVOCI (recycling)

(850)

(174)

Fair value losses/(gains) on financial assets measured at FVPL

39

(154)

Share of net profit of associates

(1,862)

(1,588)

Share of net profit of joint ventures

(1,448)

(787)

Expenses for restricted shares of A Share Company granted to the Group’s employees

136

375

Changes in working capital:

Increase in accounts receivable

(4,243)

(4,151)

Decrease in contract assets

454

1,125

Increase in contract costs

(3,038)

(1,371)

(Increase)/decrease in inventories

(359)

59

Decrease/(increase) in restricted deposits

250

(233)

Increase in other assets

(826)

(1,694)

Increase in prepayments and other current assets

(1,747)

(4,178)

Increase in amounts due from ultimate holding company

(88)

(36)

Increase in amounts due from related parties

(75)

(5)

Decrease/(increase) in amounts due from domestic carriers

1,658

(217)

Increase in accounts payable and accrued liabilities

7,053

8,210

(Decrease)/increase in other taxes payable

(307)

1,271

(Decrease)/increase in advances from customers

(225)

29

Increase in contract liabilities

3,063

1,993

Increase in deferred revenue

1,108

1,076

Increase/(decrease) in other obligations

71

(198)

Increase/(decrease) in amounts due to ultimate holding company

2,388

(11)

Increase in amounts due to related parties

2,763

1,076

(Decrease)/increase in amounts due to domestic carriers

(29)

117

Cash generated from operations

114,414

107,428