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).

0019 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 Swire Pacific Limited (0019), the free cash flow value is 7.853B.

All amounts in HKD

Operating Cash
11.66B
Capital Expenditure
-3.81B
Free Cash Flow
7.853B

Swire Pacific 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).

0019 Cash Flow Statement History

Following table shows the history of Cash Flow Statements sheet for Swire Pacific Limited (HKEX:0019).

31 Dec 2021 31 Dec 2020 31 Dec 2019 31 Dec 2018
Net Income 3.36B -11B 9.01B 23.63B
Depreciation 4.04B 4.14B 4.71B 3.69B
Change To Netincome 5.61B 17.91B -437M -15.89B
Change To Account Receivables -139M -781M 808M 604M
Change To Liabilities 2.19B 464M -2.41B 3.06B
Change To Inventory -3.43B 691M -1.25B 185M
Total Cash From Operating Activities 11.66B 11.46B 10.54B 15.44B
Capital Expenditures -3.81B -2.82B -3.78B -4.47B
Investments -4.47B -6.16B 2.19B 2.03B
Other Cashflows From Investing Activities 446M 807M -1.46B -1.35B
Total Cashflows From Investing Activities -6.34B 1.73B 12.37B 2.48B
Dividends Paid -3B -3.53B -4.73B -3.45B
Net Borrowings -7.92B -805M -4.52B -6.95B
Other Cashflows From Financing Activities -1.42B -1.35B -1.3B -4.15B
Total Cash From Financing Activities -12.34B -5.69B -10.55B -14.57B
Effect Of Exchange Rate 307M 415M -138M -200M
Change In Cash -6.71B 7.91B 12.22B 3.15B