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).

## ASN 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 Anson Resources Limited (ASN), the free cash flow value is -2.93M.

All amounts in AUD

Operating Cash
-2.92M
Capital Expenditure
-4.83k
Free Cash Flow
-2.93M

Anson 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).

## ASN Cash Flow Statement History

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

30 Jun 202030 Jun 201930 Jun 201830 Jun 2017
Net Income-3.6M-6.18M-4.35M-1.74M
Depreciation158.02k91.81k32.11k13.38k
Change To Netincome854.48k257.71k536.54k-246.66k
Change To Account Receivables-20.58k18.14k11.79k-24.67k
Change To Liabilities-153.29k477.15k187.15k84.84k
Change To Operating Activities-163.3k729.87k-2.23k-2.23k
Total Cash From Operating Activities-2.92M-4.61M-3.59M-1.92M
Capital Expenditures-4.83k-14.55k-131.79k-55.43k
Investments13.93k-18.62k14.68k450.55k
Other Cashflows From Investing Activities110.24k-354.17k-360.58k-360.58k
Total Cashflows From Investing Activities-1.46M-1.46M-457.69k432.39k
Net Borrowings1.02M-8.52k-8.52k-8.52k
Other Cashflows From Financing Activities-33.12k-200.78k-79.71k-108.14k
Total Cash From Financing Activities3.08M6.25M5.18M1.55M
Effect Of Exchange Rate5.89k12.64k6631
Change In Cash-1.29M199.12k1.13M65.34k
Issuance Of Stock2.1M6.46M5.26M1.66M