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).

AST 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 AusNet Services Ltd (AST), the free cash flow value is 99.30M.

All amounts in AUD

Operating Cash
844.5M
Capital Expenditure
-745.2M
Free Cash Flow
99.30M

AusNet Services Ltd 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).

AST Cash Flow Statement History

Following table shows the history of Cash Flow Statements sheet for AusNet Services Ltd (ASX:AST).

31 Mar 202131 Mar 202031 Mar 201931 Mar 2018
Net Income302.1M290.7M253.9M291.4M
Depreciation408.6M418.4M404M390.6M
Change To Netincome14.6M-37.3M84.7M98.1M
Change To Liabilities
Change To Operating Activities63.9M2.7M18.7M54.5M
Total Cash From Operating Activities844.5M720.6M813.7M886.4M
Capital Expenditures-745.2M-900.3M-893.1M-732.7M
Investments-470.1M-249.7M-249.7M-249.7M
Other Cashflows From Investing Activities8.8M8.8M8.8M8.8M
Total Cashflows From Investing Activities-1.2B-1.12B-882.9M-716.8M
Dividends Paid-234.7M-238.5M-342.5M-306.2M
Net Borrowings1.27B457.6M36.7M512.3M
Total Cash From Financing Activities1.03B219.1M-249.6M159.8M
Change In Cash672.6M-184.1M-318.8M329.4M
Repurchase Of Stock-600k-600k-3.1M-10.3M