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).

## AII 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 Almonty Industries Inc. (AII), the free cash flow value is -18.44M.

Operating Cash
-8.44M
Capital Expenditure
-10M
Free Cash Flow
-18.44M

Almonty Industries Inc. 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).

## AII Cash Flow Statement History

Following table shows the history of Cash Flow Statements sheet for Almonty Industries Inc. (ASX:AII).

31 Dec 2021 31 Dec 2020 31 Dec 2019 30 Sep 2019
Net Income -7.75M -9.06M -12.49M 9.06M
Depreciation -2.39M 2.25M 11.86M 260k
Change To Netincome 3.41M 2.44M -3.5M -1.19M
Change To Account Receivables -1.25M 497k 1.46M 584k
Change To Liabilities 2.38M -1M -3.14M -8.46M
Change To Inventory -1.15M 1.05M -651.2k -2.56M
Change To Operating Activities -1.79M -1.45M 704k 97k
Total Cash From Operating Activities -8.44M -4.83M 3.37M -1.13M
Capital Expenditures -10M -6.29M -7.36M -4.77M
Total Cashflows From Investing Activities -10M -6.29M -6.24M -4.59M
Net Borrowings 8.17M 10.68M -3.38M -36k
Other Cashflows From Financing Activities -10.08M -772k -105.6k -105.6k
Total Cash From Financing Activities 17.19M 11.91M -2.84M -61k
Effect Of Exchange Rate -70k 95k -64.8k -49k
Change In Cash -1.32M 876k -5.78M -5.83M
Issuance Of Stock 19.1M 2M 660.8k 660.8k