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).

## 0175 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 Geely Automobile Holdings Limited (0175), the free cash flow value is 12.50243B.

All amounts in CNY

Operating Cash
16.02B
Capital Expenditure
-3.52B
Free Cash Flow
12.50243B

Geely Automobile 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).

## 0175 Cash Flow Statement History

Following table shows the history of Cash Flow Statements sheet for Geely Automobile Holdings Limited (HKEX:0175).

31 Dec 2022 31 Dec 2021 31 Dec 2020 31 Dec 2019
Net Income 5.26B 4.85B 5.53B 8.19B
Depreciation 3.52B 2.67B 2.34B 1.52B
Change To Netincome -3.23B -1.55B -1.85B -1.36B
Change To Account Receivables -131.68M -2.94B -4.03B -3.77B
Change To Liabilities 11.11B 9.37B -4.65B 6.45B
Change To Inventory -5.3B -1.27B 1.1B -699.39M
Total Cash From Operating Activities 16.02B 15.35B 1.6B 12.54B
Capital Expenditures -3.52B -2.83B -2.81B -2.87B
Investments -2.19B -391.75M -49.49M -1.85B
Other Cashflows From Investing Activities 838.33M 1.63B 160.99M 118.62M
Total Cashflows From Investing Activities -12.13B -7.16B -5.43B -10.79B
Dividends Paid -1.93B -1.74B -2.26B -2.81B
Net Borrowings 3.99B -90.25M -35.32M 654.24M
Other Cashflows From Financing Activities -750.42M 2.71B -110.58M -150.43M
Total Cash From Financing Activities 1.33B 916.02M 3.76B 1.76B
Effect Of Exchange Rate 114.22M -68.04M -231.88M 34.06M
Change In Cash 5.33B 9.04B -304.37M 3.54B
Issuance Of Stock 8.61M 30.73M 6.17B 4.07B