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).

AX1 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 Accent Group Limited (AX1), the free cash flow value is 142.84M.

All amounts in AUD

Operating Cash
166.67M
Capital Expenditure
-23.84M
Free Cash Flow
142.84M

Accent Group Limited 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).

AX1 Cash Flow Statement History

Following table shows the history of Cash Flow Statements sheet for Accent Group Limited (ASX:AX1).

28 Jun 202030 Jun 201901 Jul 201802 Jul 2017
Net Income55.68M53.87M43.96M29.16M
Depreciation105.84M28.27M24.13M21.4M
Change To Netincome-5.09M-5.12M-5.21M10.58M
Change To Account Receivables-5.94M-11.74M3.74M5.35M
Change To Liabilities11.62M33.33M-9.95M1.39M
Change To Inventory4.56M-32.91M13.39M-22.46M
Total Cash From Operating Activities166.67M65.69M70.07M45.42M
Capital Expenditures-23.84M-24.84M-15.93M-23.89M
Total Cashflows From Investing Activities-32.79M-36.64M-16.32M-54.75M
Dividends Paid-48.76M-44.65M-32.54M-32.48M
Net Borrowings-67.31M12.5M-29.5M40M
Total Cash From Financing Activities-115.22M-30.46M-60.27M10.5M
Effect Of Exchange Rate-445k-658k-388k-62k
Change In Cash18.21M-2.07M-6.91M1.11M
Issuance Of Stock844k1.78M1.85M3.06M