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).

## AIS 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 Aeris Resources Limited (AIS), the free cash flow value is 9.87M.

All amounts in AUD

Operating Cash
30.24M
Capital Expenditure
-20.36M
Free Cash Flow
9.87M

Aeris Resources 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).

## AIS Cash Flow Statement History

Following table shows the history of Cash Flow Statements sheet for Aeris Resources Limited (ASX:AIS).

30 Jun 202030 Jun 201930 Jun 201830 Jun 2017
Net Income-38.35M-12.67M55.3M-33.3M
Depreciation58.67M31.88M24.82M24.88M
Change To Netincome3.22M2.13M-39.63M9M
Change To Account Receivables-10.99M2.53M-2.84M4.13M
Change To Liabilities7.66M4.13M7.92M10.91M
Change To Inventory5.05M52k-1.51M-837k
Change To Operating Activities4.97M7.57M4.98M1.04M
Total Cash From Operating Activities30.24M35.63M50.52M19.07M
Capital Expenditures-20.36M-28.28M-27.28M-33.16M
Other Cashflows From Investing Activities-5.56M-4.54M-2.24M60k
Total Cashflows From Investing Activities-25.89M-32.82M-29.34M-29.67M
Net Borrowings-6.2M-36.46M-7.54M8.88M
Total Cash From Financing Activities27.55M-3.8M-7.54M8.88M
Effect Of Exchange Rate-153k205k205k120k
Change In Cash31.75M-784k13.63M-1.6M
Issuance Of Stock33.75M35.1M35.1M35.1M