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).

AER 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 Aeeris Limited (AER), the free cash flow value is -78878.

All amounts in AUD

Operating Cash
Capital Expenditure
Free Cash Flow

Aeeris 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).

AER Cash Flow Statement History

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

30 Jun 202030 Jun 201930 Jun 201830 Jun 2017
Net Income-154.8k-251.94k50.25k-2.04M
Change To Netincome162.44k162.44k113.33k1.58M
Change To Account Receivables-181.58k-6.57k33.36k-29.82k
Change To Liabilities84.11k71.36k116.77k4.49k
Change To Operating Activities7.59k9.13k-24.53k-9.67k
Total Cash From Operating Activities-77.16k-171.66k299.84k-470.37k
Capital Expenditures-1.72k-1.72k-726-2.05k
Total Cashflows From Investing Activities-1.72k-1.72k-726-512.7k
Change In Cash-78.88k-171.66k299.11k-983.06k