Earnings release
Page 1
Operating & Financial Results: Fourth Quarter 2025
Page 2
Results: Fourth Quarter 2025 2 Grupo Posadas, S.A.B. de C.V. & Subsidiaries Mexico City, February 25, 2026. Information presented with respect to the same quarter of previous year under IFRS accounting standards (figures in MXN): • ADR (available daily rate) increased by 4% with an occupancy rate of 65%. • Q4 revenue was $3,0141 million, 4% higher QoQ. • 4Q EBITDA was $560 million. FY EBITDA was $1,995 million, same level as previous year, in accordance with IFRS 16. • 2025 net income was $580 million. • Pipeline includes 34 new hotels with 4,824 rooms, 16% growth. • Cash available as of December 31, 2025 was $2,980 million (80% denominated in USD), 15% higher QoQ. Recent events • Execution of a secured syndicated loan agreement for US$270 million in MXN and USD with a weighted average life of 4.6 years. • Prepayment of the Senior Notes Due 2027 with a value date of February 27, 2026. In fiscal year 2025 Grupo Posadas strengthened its leadership position and we successfully advanced our strategic priorities. Throughout the year, we added six hotels to our portfolio, representing a total of 446 net rooms. These include: Fiesta Americana Ixtapan de la Sal (189 rooms), Fiesta Americana Riviera Nayarit (229 rooms), and Devossion by Live Aqua in Playa del Carmen (314 rooms). We continue to promote innovative projects that enrich our value proposition and differentiate us in the market. Two examples are “Invitta,” our digital platform that strengthens our gastronomic offering, and “Esencia Viva,” our wellness offering that provides retreats in exclusive destinations in Mexico and the Caribbean, accompanying guests on a comprehensive wellness journey. Our disciplined commercial execution allowed us to maintain an average occupancy rate of 64% and achieve 5% growth in RevPAR (revenue per available room) compared to 2024. We welcomed more than 10.3 million guests, reinforcing our position as a leading operator in Mexico and the Caribbean. Customer satisfaction remained a fundamental pillar of our daily operations. We achieved an average annual Net Promoter Score (NPS) of 63 points, exceeding the global hotel industry average by 13 points. Notably, in the October measurement, we recorded the highest level of the year at 65 points. In Resorts, we observed high occupancy throughout the year (76%) and a 5% increase in the RevPAR in pesos. This performance was influenced by the appreciation of the MXN/USD exchange rate during the final quarter of the year. In Upscale & Luxury, 77% of room nights were generated through proprietary channels, driven by the expansion of Fiesta Americana Travelty. The group and business traveler segments grew by 12% and 5%, respectively, achieving 64% occupancy and an 8% increase in RevPAR. Relevant Events Million pesos as of Diciembre 31, 2025 4Q25 Var. YY %$ % Total Revenues 3,014.4 100 4.0 EBIT 327.0 10.8 (24.4) EBITDA 559.5 18.6 (26.7) 1: Includes $446 million from advertising, marketing, commissions and centralized services recoverable revenue.
Page 3
Results: Fourth Quarter 2025 3 In Midscale & Economy, we recorded a 5% increase in average rate and a 2% increase in RevPAR. The Loyalty platform—which includes the hotel loyalty program, vacation memberships, and the co-branded credit card with Santander—generated 2.4 million room nights, representing 36% of total system occupancy. Access Fiesta Rewards closed the year with more than 36,000 customers, driven by the launch of a new website designed to improve the customer redemption and booking experience. Operating sales of our traditional membership products FAVC (Fiesta Americana Vacation Club) and LARC (Live Aqua Residence Club) represented 56% of net sales of our loyalty products in 2025, increasing 23% compared to the same period of the previous year. Access Fiesta Rewards accounted for the remaining 44%, increasing 15%. Company revenues at year-end amounted to $11,4372 million reported to the Mexican Stock Exchange, generating EBITDA of $1,995 million pesos. Cash on hand as of December 31, 2025, totaled $2,980 million pesos (US$166 million), 15% higher than the previous year, considering that 80% of cash is invested in U.S. dollars. Total assets amounted to $23,055 million, following the adoption in 2024 of a fixed asset valuation policy based on fair value. Approval of credit and guarantee agreement On February 17, 2026, the Company’s ordinary general shareholders’ meeting approved the execution of a Credit and Guaranty Agreement with financial institutions, as lenders, through which they will grant a secured loan in the amount of USD$270 million (two hundred and seventy million dollars 00/100, USD), structured in two tranches: (a) a tranche denominated in Dollars, with an initially agreed interest rate of SOFR plus an applicable margin of 3.50% per annum, and (b) a tranche denominated in pesos for an amount equivalent to 56% of the Refinancing, with an initially agreed interest rate of TIIE plus an applicable margin of 3.25% per annum. The loan matures in 2031 and provides for scheduled amortizations of 2% in 2027, 4% in each of the years 2028, 2029, and 2030, and the remaining 86% during the last twelve months of the loan. The proceeds from the loan will be used to (i) refinance the existing Senior Notes, and (ii) pay the fees and expenses related to the transactions contemplated in the Credit Agreement. Posadas will use cash on hand of USD$100 million to complete the payment of the Senior Notes originally maturing in December 2027. This transaction will be completed on February 27, 2026. The Refinancing is in line with our strategy to optimize its capital structure and reduce its financing costs, taking advantage of favorable conditions in the bank credit market and strengthening its relationship with leading financial institutions. 4Q25: During the fourth quarter, we observed lower occupancy and average daily rates “ADR” equivalent to MXN terms for the coastal hotels operated by the company. The occupancy rate was 65%, -2pp QQ, with an ADR of $2,264, 4% higher QQ. This resulted in RevPAR of $1,465, which was slightly higher than in 4Q24. Coastal hotels (Resorts) had an occupancy rate of 76% (unchanged vs 4Q24) and an available daily rate of $7,271. This yielded a RevPAR of $5,548, 6% lower than 4Q24. When we compare the performance of these hotels in USD, the ADR of US$399 (-5% QoQ), resulted in a RevPAR of US$305, 6% higher than 4Q24. In the Upscale & Luxury segment, occupancy was 66%, and the available daily rate was $3,010. This resulted in a RevPAR of $1,994, an increase of 3% vs. 4Q24. Midscale & Economy urban hotels had an occupancy and available daily rate of 63% and $1,413, respectively, resulting in a RevPAR of $891. This compares favorably with the previous year, 1% higher than the same quarter of 2024. In the Management segment, revenues increased by 1.2% (Resorts, Upscale & Luxury, Midscale & Economy hotel fees and Access business), and margin was 48.6%. The Loyalty segment (vacation properties) saw an increase in net sales of 14%, QoQ. Fiesta Americana Vacation Club Access net sales increased 30% QoQ, representing 42% of current sales, reaching $346 million over the same period. FAVC (Fiesta Americana Vacation Club) and LARC (Live Aqua Residence Club) sales represented 58% of net sales in 4Q25, increasing 5%, QoQ. 2: As of 2023, we have included in the income statement the revenues and costs related to advertising and marketing (promotion and advertising), as well as centralized services (executive committee payrolls of the hotels and other recoverable expenses, among others), which were previously pre - sented on a net basis. With this change, the revenues of the Management segment are more accurately reflected.
Page 4
Results: Fourth Quarter 2025 4 The outstanding balance of vacation club receivables was $7,472 million, as of December 31, 2025, representing an increase of 0.4% compared to the previous year. It is worth noting that 29% of receivables are denominated in USD (USD$119 million). The refurbishment of the Fiesta Americana Condesa Acapulco hotel was approximately $594 million, of which Posadas financed 14%. As of the date of this report, $549 million has been invested, with $45 million remaining. The hotel has been fully operational since April 2025. Assets classified as available for sale consist mainly of land, buildings, and furniture and equipment, and comply with the provisions of IFRS 5 “Non-current Assets Held for Sale.” They are presented at their carrying amount, which will be recovered mainly through a sale transaction rather than through continuing use, and such a sale is considered highly probable within the next 12 months. 1: Includes $343 million from advertising, marketing, commissions and centralized services recoverable revenue.
Page 5
Results: Fourth Quarter 2025 5 > Hotel Development As of December 31, 2025, the Company continues its development plan which includes agreements to operate 34 new hotels with 4,824 rooms. Of the total investment for these projects worth $15,365 million (US$855 million), Posadas will contribute 2% of the resources, with 98% contributed by other investors. This will increase the supply of rooms by 16%, 57% of which will be in coastal destinations. These hotel openings will begin in 2026, and we expect all of them to be operational by 2028. The average life expectancy of these operating contracts is more than 15 years. Two hotels were opened during the quarter: Fiesta Inn Express Cancún Cumbres and Fiesta Inn Mérida Altabrisa. New Hotels by Brand Mexico Caribbean Total % Hotels Rooms Hotels Rooms Hotels Rooms Live Aqua 6 1,207 6 1,207 25.4 Live Aqua Residence Club 1 33 1 33 0.7 Grand Fiesta Americana 1 600 1 600 12.6 Fiesta Americana 3 524 3 524 11.0 Curamoria Collection 1 43 1 43 0.9 Fiesta Inn 3 255 3 255 5.4 Fiesta Inn Loft/Express 1 137 1 137 2.9 Gamma 2 120 2 120 2.5 One 10 1,168 10 1,168 24.5 IOH Others 1 177 1 496 2 673 14.1 Total 29 4,264 1 496 30 4,760 100 Openings LTM No. of rooms Type of Contract Fiesta Americana Hacienda Ixtapan de la Sal 189 Managed Fiesta Americana Riviera Nayarit 229 Managed Devossion by Live Aqua Playa del Carmen 314 Managed One Ciudad Juárez Alameda 120 Managed Fiesta Inn Express Cancún Cumbres 141 Managed Fiesta Inn Mérida Altabrisa 126 Managed Total 1,119
Page 6
Results: Fourth Quarter 2025 6 > EBITDA EBITDA IFRS-16 in the quarter was $560 million, versus $764 million in the same period last year. was $764 million, which included $105 million as a result of Hurricane Otis in Acapulco. > Comprehensive Financial Results At the end of the quarter, the LTM net interest coverage ratio was 3.1 times, 0.4x higher than in 4Q24. Net Debt to EBITDA was 3.2x, 0.7 times lower than in 4Q24. The foreign exchange gain in 4Q25 was $93 million (including leases) as a result of a 2.3% appreciation of the MXN/USD compared to the previous quarter. For 2025, a $580 million gain has been recorded due to the 11.4% MXN appreciation (December 31, 2024 to December 31, 2025). > Capital Expenses In 2025, capital expenditure was $264 million, comprised of investments in hotels, vacation prop- erties and in corporate. In addition, $204 million was invested in the Fiesta Americana Condesa Acapulco hotel. > Net Majority Income As a result of the above, net income in the quarter was $131 million versus $388 million in 4Q24. For FY 2025, a $580 million income was recorded vs. a $165 million loss recorded for the same period of 2024. Figures in thousands of pesos Concept 4Q25 4Q24 2025 2024 Interest Income (35,538) (29,893) (145,747) (127,698) Accrued interest 128,619 144,316 538,357 530,888 Exchange (gain) loss, net (60,104) 106,445 (384,626) 590,115 Exchange (gain) loss, from lease payments (32,974) 58,994 (195,728) 320,703 Accrued interest from lease payments 67,055 77,371 288,191 309,035 Other financial costs (products) 0 0 (12,523) (6,230) Other financial expenses 20,604 14,794 77,566 61,907 Total 87,662 372,027 165,489 1,678,720
Page 7
Results: Fourth Quarter 2025 7 As of the date of this report, the outstanding balance of the “Senior Notes Due 2027” was US$370,009,778. This liability is recorded as long-term. The $90.0 million secured bank loan drawn in May 2024 in our subsidiary that holds the Fiesta Americana Mérida hotel has an outstanding balance of $61.5 million after amortizing $4.5 million in the quarter. The outstanding balance recorded as a short-term liability is $18.0 million. The corporate rating assigned by the S&P Ratings is “B”. In compliance with Article 4.033.02 Section VIII of the Mexican Stock Exchange rules, Grupo Posadas coverage is provided by: • BBank of America Merrill Lynch, analyst: Anne Milne anne.milne@bofa.com (1-646) 855-4096 and Caroline Rudge caroline.rudge@bofa.com (1-646) 855-2665 • BCP Securities, LLC, analyst: Ben Hough bhough@bcpsecurities.com (1-203) 629 2181 > Indebtednes Concept (Figures in millions) 4Q25 4Q24 US$ MXN US$ MXN FX eop: 17.9667 20.2683 EBITDA LTM 1,210 1,283 Asset Sale EBITDA with sales 1,210 1,283 Cash 2,980 2,602 Indebtedness: Interests 0 Senior Notes 2027 370 6,648 381 7,716 Secured Loan Subsidiary 3 62 4 80 Issuance expenses (IFRS) (121) (176) Total 373 6,589 385 7,620 Net Debt to EBITDA 3.0 3.9 Lease liabilities 2,743 3,274 Leases LTM 785 742 Adjusted Net Debt to EBITDA 3.2 4.1
Page 8
Results: Fourth Quarter 2025 8 > Grupo Posadas as of December 31, 2025. Posadas is the leading hotel operator in Mexico that owns, leases, franchises and manages 200 hotels and 30,457 rooms in the most important and visited urban and coastal destinations in Mexico. Urban hotels represent 86% of total rooms and coastal hotels represent 14%. Posadas operates the following brands: Live Aqua Beach Resort, Live Aqua Urban Resort, Live Aqua Boutique Resort, Live Aqua Residence Club, Live Aqua Residences, Devossion, Curamoria Collection, Grand Fiesta Americana, Fiesta Americana, Fiesta Americana Vacation Club, The Explorean, Fiesta Inn, Fiesta Inn LOFT, Fiesta Inn Express, Gamma y One Hoteles. Posadas has been trading on the Mexican Stock Exchange since 1992. Leased 3,168 rooms Managed 21,246 rooms Owned 3,389 rooms Franchise and 2,654 rooms Fee for service Distribution by Rooms Brand Mexico Caribbean Total Hotels Rooms Hotels Rooms Hotels Rooms Live Aqua 4 726 1 347 5 1,073 Live Aqua Residence Club 2 160 2 160 Grand Fiesta Americana 9 2,073 9 2,073 Devossion 1 314 1 314 Curamoria 4 76 4 76 Fiesta Americana 16 4,369 16 4,369 The Explorean 2 96 2 96 FAVC 6 1,782 6 1,782 Fiesta Inn 63 9,237 63 9,237 Fiesta Inn Loft 4 388 4 388 Fiesta Inn Express 14 1,863 14 1,863 Gamma 22 2,526 22 2,526 One 52 6,500 52 6,500 Total 199 30,110 1 347 200 30,457 % 99% 1% 100%
Page 9
Results: Fourth Quarter 2025 9 > Income Statement IFRS (million pesos) (1) Includes third parties operations for Conectum, Konexo. Concepto 4Q25 4Q24 Var % 2025 2024 Var % $ % $ % $ % $ % Total Revenues 3,014.4 100.0 2,898.4 100.0 4.0 11,436.7 100.0 10,645.0 100.0 7.4 Owned & Leased Hotels Revenues 1,403.3 100.0 1,365.8 100.0 2.7 5,351.6 100.0 4,962.5 100.0 7.8 Direct cost 1,142.4 81.4 1,084.1 79.4 5.4 4,408.4 82.4 4,044.5 81.5 9.0 Business Contribution 260.9 18.6 281.7 20.6 (7.4) 943.2 17.6 918.1 18.5 2.7 Managed Revenues (1) 671.6 60.1 663.8 60.8 1.2 2,607.3 63.9 2,642.5 66.5 (1.3) Advertising and marketing revenues 148.3 13.3 156.4 14.3 (5.1) 393.6 9.7 375.6 9.4 4.8 Centralized services revenues 297.6 26.6 271.9 24.9 9.4 1,077.4 26.4 958.5 24.1 12.4 Total revenues managed 1,117.6 100.0 1,092.1 100.0 2.3 4,078.3 100.0 3,976.7 100.0 2.6 Direct cost (1) 345.5 30.9 276.6 25.3 24.9 1,438.1 35.3 1,470.5 37.0 (2.2) Advertising and marketing cost 148.3 13.3 156.4 14.3 (5.1) 393.6 9.7 375.6 9.4 4.8 Centralized services cost 296.7 26.6 273.4 25.0 8.5 1,076.7 26.4 958.4 24.1 12.3 Total cost managed 790.5 70.7 706.3 64.7 11.9 2,908.4 71.3 2,804.5 70.5 3.7 Business Contribution IFRS managed 327.0 29.3 385.8 35.3 (15.2) 1,169.9 28.7 1,172.2 29.5 (0.2) Business Contribution IFRS non recoverable expenses 326.2 48.6 387.2 58.3 (15.8) 1,169.2 44.8 1,172.1 44.4 (0.2) Vacation Properties Revenues 469.6 100.0 415.7 100.0 13.0 1,908.9 100.0 1,613.7 100.0 18.3 Direct cost 336.2 71.6 322.9 77.7 4.1 1,455.1 76.2 1,301.9 80.7 11.8 Business Contribution 133.3 28.4 92.8 22.3 43.6 453.8 23.8 311.8 19.3 45.5 Other Businesses (1) Revenues 24.0 100.0 24.8 100.0 (3.2) 97.9 100.0 92.1 100.0 6.3 Direct cost 9.2 38.4 9.8 39.7 (6.3) 41.2 42.0 37.3 40.5 10.4 Business Contribution 14.8 61.6 14.9 60.3 (1.1) 56.7 58.0 54.8 59.5 3.5 Corporate Expenses 183.7 6.1 127.3 4.4 44.4 584.1 5.1 504.3 4.7 15.8 Depreciation/Amortization and asset impairment 242.5 8.0 226.1 7.8 7.3 1,030.8 9.0 875.5 8.2 17.7 Other expenses (revenue) (17.2) (0.6) (10.6) (0.4) 61.7 (70.5) (0.6) (42.0) (0.4) 67.7 Other 0.0 0.0 0.0 0.0 na 0.0 0.0 0.0 0.0 na Operating Profit 327.0 10.8 432.5 14.9 (24.4) 1,079.3 9.4 1,119.1 10.5 (3.6) EBITDA 569.5 18.9 658.6 22.7 (13.5) 2,110.0 18.4 1,994.7 18.7 5.8 Special operations (9.9) (0.3) 0.3 0.0 na (114.9) (1.0) (74.7) (0.7) 53.9 Otis Hurricane 0.0 0.0 104.9 3.6 na 0.0 0.0 104.9 1.0 na EBITDA IFRS 559.5 18.6 763.8 26.4 (26.7) 1,995.1 17.4 2,024.8 19.0 (1.5) Comprehensive financing cost 87.7 2.9 372.0 12.8 (76.4) 165.5 1.4 1,678.7 15.8 (90.1) Other 0.0 0.0 0.0 0.0 na 0.0 0.0 0.0 0.0 na Part. in results of Associated Companies 0.0 0.0 0.0 0.0 na 0.0 0.0 0.0 0.0 na Profit Before Taxes 229.4 7.6 165.7 5.7 38.4 798.9 7.0 (529.4) (5.0) na Discontinued Operations 0.0 0.0 0.0 0.0 na 0.0 0.0 na 0.0 na Income taxes 3.0 0.1 5.3 0.2 (44.3) 6.2 0.1 9.0 0.1 (31.1) Deferred taxes 93.2 3.1 (235.2) (8.1) na 209.3 1.8 (379.8) (3.6) na Net Income before Minority 133.2 4.4 395.5 13.6 (66.3) 583.4 5.1 (158.7) (1.5) na Minority Interest 1.9 0.1 7.1 0.2 (73.3) 3.5 0.0 5.9 0.1 (41.2) Net Majority Income 131.3 4.4 388.4 13.4 (66.2) 579.9 5.1 (164.6) (1.5) na
Page 10
Results: Fourth Quarter 2025 10 > Consolidated Balance Sheet as of December 31, 2025 and December 31st, 2024 IFRS (million pesos) CONCEPT DEC-25 % DEC-24 % VAR. % ASSETS Current Assets Cash and cash equivalents 2,979.9 12.9 2,602.4 11.4 14.5 Trade and other current receivables 3,361.3 14.6 3,508.5 15.3 (4.2) Current tax assets, current - 0.0 - - - Other current financial assets - 0.0 - - - Current inventories 428.2 1.9 377.6 1.6 13.4 Other current non-financial assets 288.9 1.3 207.6 0.9 39.2 Total 7,058.3 30.6 6,696.1 29.3 5.4 Assets held for sale 1,107.2 4.8 - 0.0 - Total current assets 8,165.5 35.4 6,696.1 29.3 21.9 Non current assets Trade and other non-current receivables 4,947.6 21.5 5,043.0 22.0 (1.9) Non-current inventories - 0.0 - 0.0 - Other non-current financial assets - 0.0 - - - Investments in subsidiaries, joint ventures and associates 129.1 0.6 129.1 0.6 0.0 Property, plant and equipment 6,171.1 26.8 6,937.3 30.3 (11.0) Right-of-use assets that do not meet definition of investment property 2,320.7 10.1 2,672.6 11.7 (13.2) Intangible assets other than goodwill 1,185.5 5.1 929.0 4.1 27.6 Deferred tax assets 136.0 0.6 483.1 2.1 (71.9) Other non-current non-financial assets - 0.0 - - - Total non-current assets 14,889.9 64.6 16,194.0 70.7 (8.1) Total assets 23,055.4 100.0 22,890.2 100.0 0.7 LIABILITIES Current Liabilities Trade and other current payables 2,937.3 12.7 2,663.5 11.6 10.3 Current tax liabilities, current 2.1 0.0 2.1 0.0 (1.7) Other current financial liabilities 18.0 0.1 18.0 0.1 0.0 Current lease liabilities 461.7 2.0 490.9 2.1 (5.9) Other current non-financial liabilities 1,362.9 5.9 1,466.5 6.4 (7.1) Current provisions for employee benefits 217.2 0.9 206.7 0.9 5.0 Total current liabilities other than liabilities included in disposal groups classified as held for sale 4,999.2 21.7 4,847.8 21.2 3.1 Liabilities included in disposal groups classified as held for sale - 0.0 - 0.0 - Total current liabilities 4,999.2 21.7 4,847.8 21.2 3.1 Non Current Liabilities Trade and other non-current payables 2,866.4 12.4 2,305.2 10.1 24.3 Non-current lease liabilities 2,280.8 9.9 2,783.1 12.2 (18.0) Bank Loans 43.0 0.2 60.7 0.3 (29.1) Stock market loans 6,527.6 28.3 7,541.0 32.9 (13.4) Other non-current financial liabilities 6,570.6 28.5 7,601.7 33.2 (13.6) Non-current provisions for employee benefits 492.9 2.1 390.9 1.7 26.1 Other non-current provisions - 0.0 - - - Total non-current provisions 492.9 2.1 390.9 1.7 26.1 Deferred tax liabilities 708.7 3.1 727.4 3.2 (2.6) Total non-current liabilities 12,919.4 56.0 13,808.3 60.3 (6.4) Total liabilities 17,918.6 77.7 18,656.1 81.5 (4.0) EQUITY Total equity attributable to owners of parent 4,805.0 20.8 3,954.7 17.3 21.5 Non-controlling interests 331.9 1.4 279.4 1.2 18.8 Total equity 5,136.8 22.3 4,234.1 18.5 21.3 Total equity and liabilities 23,055.4 100.0 22,890.2 100.0 0.7
Page 11
Results: Fourth Quarter 2025 11 >Consolidated Cash Flow Statement - IFRS (Million pesos from January 1st to December 31, 2025 & 2024) For further information please visit www.posadas.com STATEMENT OF CASH FLOWS 4Q25 4Q24 Cash flows from (used in) operating activities Profit (loss) 583.4 (158.7) Adjustments to reconcile profit (loss) Discontinued operations 0.0 0.0 Adjustments for income tax expense 215.5 (370.7) Adjustments for finance costs 723.5 750.3 Adjustments for depreciation and amortisation expense 1,030.8 875.5 Adjustments for unrealised foreign exchange losses (gains) (1,059.5) 1,604.9 Adjustments for fair value losses (gains) 0.0 0.0 Adjustments for losses (gains) on disposal of non-current assets (1.4) (1.0) Participation in associates and joint ventures 0.0 0.0 Adjustments for decrease (increase) in inventories (50.6) (73.4) Adjustments for decrease (increase) in trade accounts receivable 308.8 (985.2) Adjustments for decrease (increase) in other operating receivables (450.9) (187.0) Adjustments for increase (decrease) in trade accounts payable 16.2 126.5 Adjustments for increase (decrease) in other operating payables 668.3 872.8 Other adjustments for which cash effects are investing or financing cash flow 0.0 (134.3) Other adjustments to reconcile profit (loss) 0.0 0.0 Total adjustments to reconcile profit (loss) 1,400.7 2,478.3 Cash flows from (used in) operations 1,984.0 2,319.6 Income taxes paid (refund), classified as operating activities 1.7 1.4 Cash flows from (used in) operating activities 1,982.3 2,318.2 Other cash payments to acquire interests in joint ventures, classified as investing activities 0.0 0.0 Proceeds from sales of property, plant and equipment, classified as investing activities 3.2 2.2 Purchase of property, plant and equipment, classified as investing activities 303.6 397.9 Purchase of intangible assets, classified as investing activities 37.7 55.8 Interest received, classified as investing activities 145.7 127.7 Other inflows (outflows) of cash, classified as investing activities 77.6 134.3 Cash flows from (used in) investing activities (114.8) (189.5) Proceeds from borrowings, classified as financing activities 0.0 90.0 Repayments of borrowings, classified as financing activities 210.0 189.9 Payments of lease liabilities 786.5 741.3 Dividends paid, classified as financing activities 0.0 0.0 Interest paid, classified as financing activities 493.4 526.4 Income taxes paid (refund), classified as financing activities 0.0 0.0 Other inflows (outflows) of cash, classified as financing activities 0.0 0.0 Cash flows from (used in) financing activities (1,489.9) (1,367.5) Increase (decrease) in cash and cash equivalents before effect of exchange rate changes 377.5 761.2 Effect of exchange rate changes on cash and cash equivalents 0.0 0.0 Increase (decrease) in cash and cash equivalents 377.5 761.2 Cash and cash equivalents at beginning of period 2,602.4 1,841.2 Cash and cash equivalents at end of period 2,979.9 2,602.4