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).

## AUH 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 AustChina Holdings Limited (AUH), the free cash flow value is -744294.

All amounts in AUD

Operating Cash
-550.06k
Capital Expenditure
-194.24k
Free Cash Flow
-744294

AustChina Holdings 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).

## AUH Cash Flow Statement History

Following table shows the history of Cash Flow Statements sheet for AustChina Holdings Limited (ASX:AUH).

30 Jun 202130 Jun 202030 Jun 201930 Jun 2018
Net Income-1.12M-413.87k2.59M-951.98k
Depreciation89.31k556.11k556.11k646
Change To Netincome478.99k-662.88k-3.33M237.69k
Change To Account Receivables-6.36k-8.84k4.95k-15.57k
Change To Liabilities6.04k23.01k-375.56k150.02k
Total Cash From Operating Activities-550.06k-506.46k-1.11M-579.19k
Capital Expenditures-194.24k-267.71k-174.87k-214.89k
Other Cashflows From Investing Activities500k512.01k3.1M2.8k
Total Cashflows From Investing Activities305.76k244.3k2.92M-212.09k
Change In Cash-244.29k569.15k-49.69k-130.28k