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).

## A1M 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 AIC Mines Limited (A1M), the free cash flow value is -5.45M.

All amounts in AUD

Operating Cash
-5.41M
Capital Expenditure
-37k
Free Cash Flow
-5.45M

AIC Mines 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).

## A1M Cash Flow Statement History

Following table shows the history of Cash Flow Statements sheet for AIC Mines Limited (ASX:A1M).

31 Dec 202031 Dec 201931 Dec 201830 Jun 2018
Net Income-6.84M-8.16M-1.4M-2.31M
Depreciation35k84k80k45.11k
Change To Netincome1.36M4.89M-2.08M-87.37k
Change To Account Receivables-313k98k-104k-51.29k
Change To Liabilities325k669k-198k89.89k
Change To Operating Activities17k119k-158k-158k
Total Cash From Operating Activities-5.41M-2.31M-3.86M-2.31M
Capital Expenditures-37k-160k-109k-196.16k
Investments845k-321k-321k-321k
Total Cashflows From Investing Activities808k2.48M-109k-196.16k
Other Cashflows From Financing Activities-437k-31k-58k-643.99k
Total Cash From Financing Activities4.24M-31k-58k9.56M
Change In Cash-356k145k-4.03M7.05M
Issuance Of Stock4.68M4.68M4.68M10.2M