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).

AGD 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 Austral Gold Limited (AGD), the free cash flow value is 18.49M.

All amounts in USD

Operating Cash
30.48M
Capital Expenditure
-11.99M
Free Cash Flow
18.49M

Austral Gold 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).

AGD Cash Flow Statement History

Following table shows the history of Cash Flow Statements sheet for Austral Gold Limited (ASX:AGD).

31 Dec 202031 Dec 201931 Dec 201831 Dec 2017
Net Income7.67M5.22M-26.06M-26.6M
Depreciation17.02M21.12M23.43M27.82M
Change To Netincome12.27M7M16.77M2.79M
Change To Account Receivables1.32M1.42M3.88M4.63M
Change To Liabilities-1.86M-6.32M-5.17M16.69M
Change To Inventory-4.65M2.48M8.68M-6.97M
Change To Operating Activities-1.27M-1.29M-189k-189k
Total Cash From Operating Activities30.48M29.64M21.34M18.36M
Capital Expenditures-11.99M-12.81M-17.62M-16.64M
Investments-2.61M-1.73M-409k492k
Other Cashflows From Investing Activities-2M27k84k84k
Total Cashflows From Investing Activities-16.23M-14.67M-17.74M-16.14M
Net Borrowings-7.54M-8.26M-8.49M-1.18M
Other Cashflows From Financing Activities-434k-524k-524k-524k
Total Cash From Financing Activities-11.05M-7.48M-8.49M-1.18M
Change In Cash3.21M7.48M-4.9M1.04M
Issuance Of Stock421k1.3M1.3M1.3M