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).

## 8VI 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 8VI Holdings Limited (8VI), the free cash flow value is 6.77M.

All amounts in SGD

Operating Cash
8.59M
Capital Expenditure
-1.82M
Free Cash Flow
6.77M

8VI Holdings Limited has a positive 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).

## 8VI Cash Flow Statement History

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

31 Mar 2022 31 Mar 2021 31 Mar 2020 31 Mar 2019
Net Income 1.99M 5.86M 1.07M -4.87M
Depreciation 1.78M 1.63M 1.69M 567.36k
Change To Netincome 2.85M 1.77M -70.98k 3.28M
Change To Account Receivables -1.93M 12.34k -451.54k -279.45k
Change To Liabilities 3.37M 7.55M 1.54M 14.11k
Change To Operating Activities -84.71k -382.07k 45.94k 337.83k
Total Cash From Operating Activities 8.59M 16.75M 3.93M -1.4M
Capital Expenditures -1.82M -469.28k -168.81k -259.58k
Investments -7.21M -3.09M -206.17k 881.28k
Total Cashflows From Investing Activities -9.91M -4.23M 274.31k -2.45M
Net Borrowings -680.15k -1.22M -1.39M -20.89k
Other Cashflows From Financing Activities -114.45k -33.69k -81.57k -81.57k
Total Cash From Financing Activities -704.61k -1.25M -1.47M -20.89k
Effect Of Exchange Rate 64.98k -77.5k 1.69k 1.91k
Change In Cash -1.96M 11.2M 2.73M -3.87M
Issuance Of Stock 90k 90k 90k 90k