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).

ADS 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 Adslot Limited (ADS), the free cash flow value is -3.39M.

All amounts in AUD

Operating Cash
-3.38M
Capital Expenditure
-6.1k
Free Cash Flow
-3.39M

Adslot 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).

ADS Cash Flow Statement History

Following table shows the history of Cash Flow Statements sheet for Adslot Limited (ASX:ADS).

30 Jun 202030 Jun 201930 Jun 201830 Jun 2017
Net Income-16.62M-7.04M-11.65M-8.63M
Depreciation851.42k1.8M3.52M3.43M
Change To Netincome12.93M-1.17M1.17M692.68k
Change To Account Receivables-151.81k-952.73k-786.3k-329.63k
Change To Liabilities-3.21M3.69M551.74k-540.11k
Total Cash From Operating Activities-3.38M-1.11M-5.27M-4.12M
Capital Expenditures-6.1k-33.11k-134.74k-177.95k
Other Cashflows From Investing Activities277.76k2.27M1.92M1.58M
Total Cashflows From Investing Activities-4.29M-2.79M-4.28M-3.12M
Net Borrowings167.31k167.31k167.31k167.31k
Other Cashflows From Financing Activities-1.01M-392.95k-392.95k-1.22M
Total Cash From Financing Activities5.56M7.11M7.11M16.84M
Effect Of Exchange Rate110.86k182.38k10.12k-22.73k
Change In Cash-2.01M3.39M-9.54M9.57M
Issuance Of Stock6.4M7.5M7.5M18.05M