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).

## AQD 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 AusQuest Limited (AQD), the free cash flow value is -6.37M.

All amounts in AUD

Operating Cash
-397.7k
Capital Expenditure
-5.97M
Free Cash Flow
-6.37M

AusQuest 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).

## AQD Cash Flow Statement History

Following table shows the history of Cash Flow Statements sheet for AusQuest Limited (ASX:AQD).

30 Jun 202030 Jun 201930 Jun 201830 Jun 2017
Net Income-984.83k-275.63k767.79k-7.19M
Depreciation1.38M757.35k766.85k1.27M
Change To Netincome-866.78k-628.84k-198.12k5.98M
Change To Account Receivables29.33k-32.56k-46.48k13.54k
Change To Liabilities-22.36k-79.22k-25.2k21.87k
Change To Operating Activities68.85k-57.99k168.38k-141.9k
Total Cash From Operating Activities-397.7k-316.9k1.43M-42.76k
Capital Expenditures-5.97M-9.17M-5.32M-1.78M
Other Cashflows From Investing Activities5.68M6.68M6.68M1.95M
Total Cashflows From Investing Activities-289.77k-2.49M1.35M173.56k
Net Borrowings-104.31k-104.31k-104.31k750k
Other Cashflows From Financing Activities-115.13k-115.13k-115.13k-115.13k
Total Cash From Financing Activities1.56M1.56M921750k
Effect Of Exchange Rate31.34k102.77k38.77k2.84k
Change In Cash902.81k-2.7M2.83M883.63k
Issuance Of Stock1.78M1.78M921921