Net capital employed

capitale investito nettoNet capital employed, including net assets held for sale of €241 million, amounted to €89,571 million at December 31, 2017 and was financed by equity pertaining to shareholders of the Parent Company and non-controlling interests of €52,161 million and net financial debt of €37,410 million. At December 31, 2017, the debt/equity ratio came to 0.72% (0.71% at December 31, 2016).

Net financial debt amounted to €37,410 million, a decrease of €143 million on December 31, 2016, a slight change compared with the balance at the end of the previous year.

Cash flows from operations

cash flowCash flows from operations amounted to €10,125 million in 2017, an increase of €278 million on the previous year, mainly reflecting the increase in the gross operating margin, a reduction in uses of provisions and a decline in taxes paid, which more than offset the deterioration in net working capital.

Capital expenditure

Capital expenditureCapital expenditure, amounted to €8,130 million in 2017 (of which €6,857 million in respect of property, plant and equipment), a decrease of €422 million on 2016, mainly concentrated in renewable energy plants in Brazil, Chile and South Africa and in Italy due to the deconsolidation of OpEn Fiber.

The following table reports developments in capital expenditure by geographical area.

Millions of euro    
 201720162017-2016
Italia 1,812 1,894 (3) (82) -4.3%
Iberia 1,105 1,147 (42) -3.7%
South America 3,002 3,069 (67) -2.2%
Europe and North Africa 307 (1) 265 (4) 42 15.8%
North and Central America 1,802 (2) 1,832 (30) -1.6%
Sub-Saharan Africa and Asia 30 304 (274) -90.1%
Other, eliminations and adjustments 72 41 31 75.6%
Total 8,130 8,552 (422) -4.9%

(1) Does not include €44 million regarding units classified as “held for sale”.
(2) Does not include €325 million regarding units classified as “held for sale”.
(3) Does not include €7 million regarding units classified as “held for sale”.
(4) Does not include €283 million regarding units classified as “held for sale”.