Financial Review: 72
Free Cash Flow | Capital Investments

Free Cash Flow (1, 2)

Reconciliation of Non-GAAP Financial Information

Years ended December 31
(dollars in millions)

2014

2015

2016

2017

2018

2019

2020

2021

2022

2023

2024

Cash provided by operating activities

$1,428

$356

$1,560

$2,016

$2,064

$2,776

$3,567

$3,598

$2,603

$3,710

$5,689

Capital expenditures

(92)

(139)

(115)

(123)

(113)

(115)

(76)

(35)

(89)

(143)

(124)

Distributions to noncontrolling interest holders

(84)

(104)

(116)

(111)

(154)

(143)

(194)

(227)

(270)

(280)

(287)

Free cash flow

$1,252

$113

$1,329

$1,782

$1,797

$2,518

$3,297

$3,336

$2,244

$3,287

$5,278

Tax on gain from sale of J.D. Power

200

Tax on gain from sale of SPSE and CMA

67

Tax on gain from sale of SPIAS and RigData

13

Payment of legal and regulatory settlements

35

1,624

150

4

180

1

20

Legal settlement insurance recoveries

(101)

(77)

Settlement from prior-year tax audits

73

51

Tax benefit from legal settlements

(250)

(24)

(2)

(44)

IHS Markit merger costs

178

727

500

376

Tax on gain from sale of divestitures

704

230

30

Disposition-related costs

40

S&P Global Foundation grant

200

40

Debt financing derivative

85

IHS Markit operating cash outflow prior to acquisition

(15)

Russia suspension costs

10

Free cash flow excluding above items

$1,287

$1,386

$1,578

$1,851

$2,006

$2,583

$3,297

$3,514

$3,955

$4,057

$5,704

2014

2015

2016

2017

2018

2019

2020

2021

2022

2023

2024

Cash provided by operating activities

$1,428

$356

$1,560

$2,016

$2,064

$2,776

$3,567

$3,598

$2,603

$3,710

$5,689

Capital expenditures

(92)

(139)

(115)

(123)

(113)

(115)

(76)

(35)

(89)

(143)

(124)

Distributions to noncontrolling interest holders

(84)

(104)

(116)

(111)

(154)

(143)

(194)

(227)

(270)

(280)

(287)

Free cash flow

$1,252

$113

$1,329

$1,782

$1,797

$2,518

$3,297

$3,336

$2,244

$3,287

$5,278

Tax on gain from sale of J.D. Power

200

Tax on gain from sale of SPSE and CMA

67

Tax on gain from sale of SPIAS and RigData

13

Payment of legal and regulatory settlements

35

1,624

150

4

180

1

20

Legal settlement insurance recoveries

(101)

(77)

Settlement from prior-year tax audits

73

51

Tax benefit from legal settlements

(250)

(24)

(2)

(44)

IHS Markit merger costs

178

727

500

376

Tax on gain from sale of divestitures

704

230

30

Disposition-related costs

40

S&P Global Foundation grant

200

40

Debt financing derivative

85

IHS Markit operating cash outflow prior to acquisition

(15)

Russia suspension costs

10

Free cash flow excluding above items

$1,287

$1,386

$1,578

$1,851

$2,006

$2,583

$3,297

$3,514

$3,955

$4,057

$5,704

Capital Expenditures

(dollars in millions)

'20
'21
'22
'23
'24
Market Intelligence
$28
$12
$43
$73
$61
Ratings
33
18
23
24
29
Commodity Insights
7
2
4
7
7
Mobility
0
0
6
22
18
Indices
4
2
2
13
3
Engineering Solutions
0
0
4
0
0
Corporate
4
1
7
4
6
Total
$76
$35
$89
$143
$124

Depreciation

(dollars in millions)

'20
'21
'22
'23
'24
Market Intelligence
$25
$26
$35
$36
$36
Ratings
33
36
39
29
23
Commodity Insights
8
4
4
6
7
Mobility
0
0
7
13
14
Indices
3
4
8
6
6
Engineering Solutions
0
0
0
1
0
Corporate
13
12
17
11
10
Total
$83
$82
$108
$101
$96

Note:  Depreciation includes amortization of technology projects

Amortization of Intangibles

(dollars in millions)

'20
'21
'22
'23
'24
Market Intelligence
$76
$65
$474
$561
$591
Ratings
7
10
7
8
14
Commodity Insights
9
8
111
131
130
Mobility
0
0
241
301
303
Indices
6
6
31
36
36
Engineering Solutions
0
0
35
1
0
Corporate
26
7
4
3
3
Total
$123
$96
$905
$1,042
$1,077

 


Adjusted free cash flow excluding certain items was approximately $5.7 billion in 2024

Notes for page 72:
(1)

The free cash flow presentation for 2014 reflects McGraw Hill Construction as a discontinued operation

(2)

2014 free cash flow was influenced by a tax refund received in Q1 2014 for an overpayment in 2013 and improved collections impacting accounts receivable

Details may not sum to total due to rounding