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).

ALY 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 Alchemy Resources Limited (ALY), the free cash flow value is -947243.

All amounts in AUD

Operating Cash
-399.09k
Capital Expenditure
-548.15k
Free Cash Flow
-947243

Alchemy Resources 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).

ALY Cash Flow Statement History

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

30 Jun 202030 Jun 201930 Jun 201830 Jun 2017
Net Income-390.9k-10.28M-528.83k-753.35k
Depreciation13.61k9.9M67.01k328.91k
Change To Netincome37.15k11.29k32.24k21.91k
Change To Account Receivables-33.79k1.8k5.31k-5.99k
Change To Liabilities-9.53k-20.33k-178-2.4k
Change To Operating Activities-15.64k11.29k8.66k4.12k
Total Cash From Operating Activities-399.09k-377.36k-415.79k-406.8k
Capital Expenditures-548.15k-1.13M-838.03k-452.88k
Total Cashflows From Investing Activities-548.15k-1.13M-838.03k-452.88k
Other Cashflows From Financing Activities-34.5k-21.23k-21.23k-72.16k
Total Cash From Financing Activities1.29M1.3M1.3M1.6M
Change In Cash339.51k-208.97k-1.25M741.37k
Issuance Of Stock1.32M1.32M1.32M1.67M