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).

MND 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 Monadelphous Group Limited (MND), the free cash flow value is 18.54M.

All amounts in AUD

Operating Cash
26.73M
Capital Expenditure
-8.19M
Free Cash Flow
18.54M

Monadelphous 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).

MND Cash Flow Statement History

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

30 Jun 202130 Jun 202030 Jun 201930 Jun 2018
Net Income47.06M36.48M50.56M71.48M
Depreciation32.76M31.05M19.49M17.85M
Change To Netincome-3.51M-4.81M-8.6M-2.99M
Change To Account Receivables-88.52M75.58M-65.8M-40.09M
Change To Liabilities-567k-16.98M22.79M-29.44M
Change To Inventory1.19M-179k36.7M22.68M
Change To Operating Activities19.83M-6.2M-31.77M7.23M
Total Cash From Operating Activities26.73M119.08M15.96M51.65M
Capital Expenditures-8.19M-12.13M-19.71M-25.04M
Other Cashflows From Investing Activities-6M1.23M600k-616k
Total Cashflows From Investing Activities-2.98M-8.27M-14.14M-23.63M
Dividends Paid-33.73M-41.52M-52.6M-53.63M
Net Borrowings-20.6M-25.38M4.76M-7.9M
Total Cash From Financing Activities-54.33M-66.9M-47.84M-61.53M
Effect Of Exchange Rate-2M342k1.28M379k
Change In Cash-32.58M44.25M-44.73M-33.14M