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).

## ANL 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 Amani Gold Limited (ANL), the free cash flow value is -9.05M.

All amounts in AUD

Operating Cash
-1.33M
Capital Expenditure
-7.72M
Free Cash Flow
-9.05M

Amani Gold 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).

## ANL Cash Flow Statement History

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

30 Jun 202030 Jun 201930 Jun 201830 Jun 2017
Net Income-3.8M-18.96M-1.45M245.08k
Depreciation73.14k31.01M33.02k25.11k
Change To Netincome438.79k-13.83M-142.93k-1.76M
Change To Account Receivables-74.54k14.16k-14.51k-128.78k
Change To Liabilities2.04M289.9k-75.54k125.9k
Total Cash From Operating Activities-1.33M-1.48M-1.65M-1.5M
Capital Expenditures-7.72M-4.57M-14.12M-8.48M
Total Cashflows From Investing Activities-7.72M-4.57M-14.13M-8.81M
Net Borrowings2.1M1.35M583.97k-148.84k
Other Cashflows From Financing Activities-256.4k-467.83k-25.73k-661.43k
Total Cash From Financing Activities6.64M8.7M15.57M11.02M
Effect Of Exchange Rate16.83k2.45k18.16k-65.75k
Change In Cash-2.39M2.65M-195.11k646.02k
Issuance Of Stock4.8M7.81M15.01M11.83M