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).

0001 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 CK Hutchison Holdings Limited (0001), the free cash flow value is 25.128B.

All amounts in HKD

Operating Cash
52.18B
Capital Expenditure
-27.06B
Free Cash Flow
25.128B

CK Hutchison Holdings 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).

0001 Cash Flow Statement History

Following table shows the history of Cash Flow Statements sheet for CK Hutchison Holdings Limited (HKEX:0001).

31 Dec 202131 Dec 202031 Dec 201931 Dec 2018
Net Income33.48B29.14B39.83B39B
Depreciation41.46B38.94B36.56B18.13B
Change To Netincome-7.8B1.53B-3.43B-1.63B
Change To Account Receivables-5.74B98M-202M-2.17B
Change To Liabilities-11.48B-5.13B-4.81B5.22B
Change To Inventory-46M-148M-1.25B-2.43B
Change To Operating Activities-1.81B5.7B687M-2.24B
Total Cash From Operating Activities52.18B73.17B69.27B55.73B
Capital Expenditures-27.06B-27.1B-32.19B-27.54B
Investments-676M157M2.06B-10.64B
Other Cashflows From Investing Activities1.04B1.61B641M2.22B
Total Cashflows From Investing Activities-550M-6.46B-37.42B-59.08B
Dividends Paid-9.63B-11.24B-12.22B-11.34B
Net Borrowings-30B-29.98B-15.9B167M
Other Cashflows From Financing Activities-13.58B-6.67B-5.59B-6.82B
Total Cash From Financing Activities-54.45B-47.88B-33.72B-18.13B
Change In Cash-2.82B18.82B-1.87B-21.47B
Repurchase Of Stock-1.24B-1.24B-1.24B-131M