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).

4DX 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 4DMedical Limited (4DX), the free cash flow value is -7.98M.

All amounts in AUD

Operating Cash
-7.65M
Capital Expenditure
-325.3k
Free Cash Flow
-7.98M

4DMedical 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).

4DX Cash Flow Statement History

Following table shows the history of Cash Flow Statements sheet for 4DMedical Limited (ASX:4DX).

30 Jun 202030 Jun 201930 Jun 201830 Jun 2017
Net Income-21.98M-6.49M-3.94M-3.97M
Depreciation584.65k103.94k164.23k126.49k
Change To Netincome10.76M368.03k25.17k799.06k
Change To Account Receivables-87.36k-465.68k108k-281.51k
Change To Liabilities1.44M535.44k-930.71k1.42M
Change To Inventory612.71k-605.96k677.89k-700.69k
Change To Operating Activities1.02M776.32k513.68k451.2k
Total Cash From Operating Activities-7.65M-5.78M-3.38M-2.16M
Capital Expenditures-325.3k-524.57k-157.57k-203.28k
Other Cashflows From Investing Activities372k253.41k523.04k184.91k
Total Cashflows From Investing Activities-786.45k-1.03M-905.71k-944.14k
Net Borrowings14.06M2M1M1M
Other Cashflows From Financing Activities-1.5M-1.5M-1.5M-1.5M
Total Cash From Financing Activities13.78M8.23M4.79M4.04M
Change In Cash5.34M1.42M509.08k934.66k
Issuance Of Stock1.22M6.23M3.79M4.04M