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