Telefonaktiebolaget LM Ericsson (publ) (ERCA) — Cash Flow Reinvestment Rate
Telefonaktiebolaget LM Ericsson (publ) (ERCA) has a Cash Flow Reinvestment Rate of 0.86x as of September 2025, reinvesting €6.86 Billion (capex €777.00 Million plus investments €-6.08 Billion) from operating cash flow of €7.94 Billion. Check ERCA operating cash flow to net income to evaluate the quality of earnings relative to operating cash generation.
Reinvestment Rate
Total Reinvested
Operating Cash Flow
Capital Expenditures
Telefonaktiebolaget LM Ericsson (publ) Cash Flow Reinvestment Rate (2016–2024)
Historical reinvestment intensity for Telefonaktiebolaget LM Ericsson (publ) across 9 annual periods. Explore ERCA long-term asset investment ratio to see how much of total assets are deployed in long-term investments.
Annual Cash Flow Reinvestment Rate for Telefonaktiebolaget LM Ericsson (publ) (2016–2024)
Year-by-year capital reinvestment analysis for Telefonaktiebolaget LM Ericsson (publ). For live market cap and broader valuation context, see Telefonaktiebolaget LM Ericsson (publ) market cap and net worth.
| Year | Reinvestment Rate | Total Reinvested (EUR) | Operating CF | Capex | YoY Change |
|---|---|---|---|---|---|
| 2024 | 0.26x | €12.02 Billion | €46.26 Billion | €3.64 Billion | ▼ -83.8% |
| 2023 | 1.61x | €20.22 Billion | €12.59 Billion | €6.42 Billion | ▲ +57.8% |
| 2022 | 1.02x | €31.41 Billion | €30.86 Billion | €4.43 Billion | ▲ +110.7% |
| 2021 | 0.48x | €18.87 Billion | €39.06 Billion | €3.61 Billion | ▲ +136.5% |
| 2020 | 0.20x | €5.91 Billion | €28.93 Billion | €4.49 Billion | ▼ -62.5% |
| 2019 | 0.55x | €9.20 Billion | €16.87 Billion | €5.04 Billion | ▼ -14.0% |
| 2018 | 0.63x | €5.93 Billion | €9.34 Billion | €3.98 Billion | ▼ -60.9% |
| 2017 | 1.62x | €15.58 Billion | €9.60 Billion | €3.88 Billion | ▲ +20.3% |
| 2016 | 1.35x | €18.89 Billion | €14.01 Billion | €10.61 Billion | — |