Cash flow is the net amount of cash and cash-equivalents being transferred into and out of a business. At the most fundamental level, a company’s ability to create value for shareholders is determined by its ability to generate positive cash flows, or more specifically, maximize long-term free cash flow (FCF).

1ST Free Cash Flow Analysis

Free cash flow, a measure commonly used by analysts to assess a company's profitability, represents the cash a company generates after accounting for cash outflows to support operations and maintain its capital assets.

The Free Cash Flow is calculated using a number of methods including using Operating Cash Flow. Following is the formula to calculate Free Cash Flow based on Operating Cash Flow.

Free Cash Flow = Operating Cash Flow - Capital Expenditures

Using above formula to calculate Free Cash Flow for 1st Group Limited (1ST), the free cash flow value is -3.52M.

All amounts in AUD

Operating Cash
Capital Expenditure
Free Cash Flow

1st Group Limited has a negative free cash flow as per the latest annual Cash flow statement released by the company. Positive free cash flow is cruscial for the financial health of a company, which can be used to pay dividends, expand operations, and deleverage its balance sheet (i.e., reduce debt).

1ST Cash Flow Statement History

Following table shows the history of Cash Flow Statements sheet for 1st Group Limited (ASX:1ST).

30 Jun 202130 Jun 202030 Jun 201930 Jun 2018
Net Income-6.47M-5.01M-4.3M-4.64M
Change To Netincome3.26M250.99k-96.64k143.12k
Change To Account Receivables-104.82k-117.74k143.41k-226.8k
Change To Liabilities-369.49k564.84k457.26k-290.62k
Change To Operating Activities13.99k-194.93k-202.68k39.95k
Total Cash From Operating Activities-3.49M-4.34M-3.58M-3.65M
Capital Expenditures-24.55k-83.47k-8.57k-9.41k
Total Cashflows From Investing Activities-24.55k-83.47k-8.57k-9.41k
Net Borrowings1.7M-350k900k1M
Total Cash From Financing Activities1.7M3.71M6.09M1M
Change In Cash-1.82M-718.76k2.5M-2.66M