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).

0288 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 WH Group Limited (0288), the free cash flow value is 900.00M.

All amounts in USD

Operating Cash
1.82B
Capital Expenditure
-922M
Free Cash Flow
900.00M

WH 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).

0288 Cash Flow Statement History

Following table shows the history of Cash Flow Statements sheet for WH Group Limited (HKEX:0288).

31 Dec 202131 Dec 202031 Dec 201931 Dec 2018
Net Income1.07B828M1.47B943M
Depreciation679M644M581M437M
Change To Netincome480M373M342M436M
Change To Account Receivables-170M136M-3M-247M
Change To Liabilities159M272M263M26M
Change To Inventory-399M99M-1.19B-349M
Total Cash From Operating Activities1.82B2.36B1.46B1.25B
Capital Expenditures-922M-553M-710M-838M
Investments513M-355M-97M-340M
Other Cashflows From Investing Activities33M-9M15M7M
Total Cashflows From Investing Activities-409M-963M-796M-1.22B
Dividends Paid-332M-599M-375M-505M
Net Borrowings1.12B-646M-113M-1M
Other Cashflows From Financing Activities-291M747M-136M-293M
Total Cash From Financing Activities-1.43B-479M-593M-790M
Effect Of Exchange Rate23M86M-6M-43M
Change In Cash3M1B68M-795M
Repurchase Of Stock-1.93B-1.93B-1.93B-1.93B
Issuance Of Stock2M19M31M9M