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).

ADV 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 Ardiden Limited (ADV), the free cash flow value is -5.01M.

All amounts in AUD

Operating Cash
-854.73k
Capital Expenditure
-4.16M
Free Cash Flow
-5.01M

Ardiden 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).

ADV Cash Flow Statement History

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

30 Jun 202130 Jun 202030 Jun 201930 Jun 2018
Net Income-1.23M-978.69k-1.19M-2.76M
Depreciation29.72k12.62k46.91k1.61M
Change To Netincome250.26k140.45k167.67k140.79k
Change To Account Receivables-18.67k35.86k162.1k-16.69k
Change To Liabilities105.35k63.26k-339.81k-8.27k
Change To Operating Activities12.82k38.8k-28.75k18.76k
Total Cash From Operating Activities-854.73k-687.7k-1.18M-1.02M
Capital Expenditures-4.16M-981.39k-2.52M-4.23M
Investments-72.38k-72.38k-72.38k-72.38k
Total Cashflows From Investing Activities-4.23M-981.39k-2.52M-4.23M
Other Cashflows From Financing Activities-296.53k-20k-20k-295.04k
Total Cash From Financing Activities4.83M-20k-20k10.67M
Effect Of Exchange Rate-10k-28.96k4.3k4.3k
Change In Cash-265.08k-1.72M-3.7M5.43M
Issuance Of Stock5.13M5.13M5.13M10.97M