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).

## ATR 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 Astron Corporation Limited (ATR), the free cash flow value is -3.48M.

All amounts in AUD

Operating Cash
-1.35M
Capital Expenditure
-2.12M
Free Cash Flow
-3.48M

Astron Corporation 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).

## ATR Cash Flow Statement History

Following table shows the history of Cash Flow Statements sheet for Astron Corporation Limited (ASX:ATR).

30 Jun 202030 Jun 201930 Jun 201830 Jun 2017
Net Income-6.29M-1.91M-4.67M-2.59M
Depreciation1.64M764.22k622.87k488.47k
Change To Netincome420.23k-384.76k938.47k-674.8k
Change To Account Receivables848.02k-1.3M-3.42M163.76k
Change To Liabilities4.61M1.97M2.66M397.74k
Change To Inventory-2.58M-5.94M480.65k-1.16M
Total Cash From Operating Activities-1.35M-6.73M-3.32M-3.3M
Capital Expenditures-2.12M-4.39M-1.78M-253.99k
Total Cashflows From Investing Activities-2.47M-4.07M290.35k5.44k
Net Borrowings3.85M6.8M6.8M76.08k
Other Cashflows From Financing Activities-834.77k-192k4.08M4.08M
Total Cash From Financing Activities3.01M6.61M4.08M76.08k
Effect Of Exchange Rate-321.76k2.71M795.41k-570.69k
Change In Cash-1.13M-1.48M1.85M-3.79M