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).

## 0669 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 Techtronic Industries Company Limited (0669), the free cash flow value is -847.48M.

All amounts in USD

Operating Cash
-100.94M
Capital Expenditure
-746.54M
Free Cash Flow
-847.48M

Techtronic Industries Company Limited has a negative 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).

## 0669 Cash Flow Statement History

Following table shows the history of Cash Flow Statements sheet for Techtronic Industries Company Limited (HKEX:0669).

31 Dec 202131 Dec 202031 Dec 201931 Dec 2018
Net Income1.1B800.76M614.9M552.46M
Depreciation309.16M253.23M223.11M138.44M
Change To Netincome151.38M131.3M39.12M29.78M
Change To Account Receivables-700.34M-116.78M-150.99M-30.6M
Change To Liabilities734.3M1.1B257.99M364.11M
Change To Inventory-1.73B-1.12B-383.72M-348.65M
Change To Operating Activities-79.52M-29.39M21.69M-15.21M
Total Cash From Operating Activities-100.94M1.16B724.27M793.64M
Capital Expenditures-746.54M-458.93M-456.61M-259.11M
Investments-1.74M-1.98M-301k-6.75M
Other Cashflows From Investing Activities31.96M36.75M40.24M25.2M
Total Cashflows From Investing Activities-1.02B-580.27M-568.49M-423.78M
Dividends Paid-394.12M-261.64M-223.59M-183.42M
Net Borrowings1.86B-245.05M393.06M115.19M
Total Cash From Financing Activities1.47B-498.09M162.76M-105.97M
Effect Of Exchange Rate-5.71M41.35M-10.61M-23.53M
Change In Cash340.52M122.06M307.94M240.37M
Issuance Of Stock8.21M8.59M5.94M868k