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).

8IH 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 8I Holdings Limited (8IH), the free cash flow value is -3.15M.

All amounts in SGD

Operating Cash
-700.41k
Capital Expenditure
-2.44M
Free Cash Flow
-3.15M

8I Holdings 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).

8IH Cash Flow Statement History

Following table shows the history of Cash Flow Statements sheet for 8I Holdings Limited (ASX:8IH).

31 Mar 2022 31 Mar 2021 31 Mar 2020 31 Mar 2019
Net Income -4.16M 7.95M -3.68M -10.2M
Depreciation 1.86M 1.66M 1.74M 655.66k
Change To Netincome 6.59M -3.08M 2.61M 6.72M
Change To Account Receivables -1.41M -145.38k -69.07k -569.22k
Change To Liabilities 2.78M 7.87M 2.09M -170.2k
Total Cash From Operating Activities -700.41k 10.19M 5.69M -6.3M
Capital Expenditures -2.44M -587.43k -198.63k -377.64k
Investments -34.19k -8.13k 315.05k -1.04M
Total Cashflows From Investing Activities -3.73M -555.13k 2.79M 4.22M
Net Borrowings -231.15k -1.22M -1.39M 48.56k
Other Cashflows From Financing Activities 4.55M 604.69k -1.26M 225.19k
Total Cash From Financing Activities 3.96M -1.1M -2.69M 342.29k
Effect Of Exchange Rate 492 -164.12k 271.04k 175.46k
Change In Cash -471.64k 8.38M 6.06M -1.56M
Repurchase Of Stock -450.73k -483.39k -35.81k -136.8k
Issuance Of Stock 90k 90k 90k 205.34k