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).

0883 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 CNOOC Limited (0883), the free cash flow value is 65.456B.

All amounts in CNY

Operating Cash
Capital Expenditure
Free Cash Flow

CNOOC 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).

0883 Cash Flow Statement History

Following table shows the history of Cash Flow Statements sheet for CNOOC Limited (HKEX:0883).

31 Dec 2021 31 Dec 2020 31 Dec 2019 31 Dec 2018
Net Income 70.32B 24.96B 61.05B 52.67B
Depreciation 64.68B 60.22B 58.43B 56.44B
Change To Netincome 15.03B -7.62B 6.9B 13.94B
Change To Account Receivables -9.8B 5.62B -3.21B -940M
Change To Liabilities 7.44B -3.33B 1.44B 301M
Change To Inventory -99M 2.25B -1.3B 1.72B
Total Cash From Operating Activities 147.89B 82.34B 123.52B 124.4B
Capital Expenditures -82.44B -75.42B -72.01B -51.27B
Investments -17.23B 19.1B -655M -48.66B
Other Cashflows From Investing Activities 3.4B 5.46B 5.15B 3.89B
Total Cashflows From Investing Activities -96.23B -50.85B -67.46B -95.45B
Dividends Paid -20.47B -25.85B -28.97B -23.59B
Net Borrowings -6.88B -7.03B 2.59B 1.72B
Other Cashflows From Financing Activities -5.98B -5.82B -11.3B -5.24B
Total Cash From Financing Activities -33.33B -38.7B -37.69B -27.11B
Effect Of Exchange Rate -912M -2.45B 311M 208M
Change In Cash 17.41B -9.66B 18.68B 2.05B