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).

## 1109 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 China Resources Land Limited (1109), the free cash flow value is 4.840869B.

All amounts in CNY

Operating Cash
7.03B
Capital Expenditure
-2.19B
Free Cash Flow
4.840869B

China Resources Land 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).

## 1109 Cash Flow Statement History

Following table shows the history of Cash Flow Statements sheet for China Resources Land Limited (HKEX:1109).

31 Dec 202131 Dec 202031 Dec 201931 Dec 2018
Net Income32.4B30.03B29.07B24.53B
Depreciation1.31B926.46M787.39M579.01M
Change To Netincome-2.93B-31.93B-33.36B-31.03B
Change To Account Receivables-5.09B-3.4B-6.13B-1.13B
Change To Liabilities-3.41B17.6B49.79B80.91B
Change To Inventory-15.27B-21.16B-38.44B-73.72B
Change To Operating Activities14.9M111.38M111.38M-139.93M
Total Cash From Operating Activities7.03B22.33B33.8B27.23B
Capital Expenditures-2.19B-2.89B-3.2B-2.18B
Investments-4.87B-12.85B-20.58B-27.45B
Other Cashflows From Investing Activities6.37B-912.11M-7.69B-3.48B
Total Cashflows From Investing Activities-27.8B-32.84B-44.36B-45.12B
Dividends Paid-8.91B-7.76B-7.67B-5.83B
Net Borrowings48.04B52.01B-5.36B35.65B
Other Cashflows From Financing Activities1.07B-7.93B9.3B4.14B
Total Cash From Financing Activities40.2B36.33B2.31B33.96B
Effect Of Exchange Rate-185.33M-432.19M486.05M756.41M
Change In Cash19.24B25.38B-7.76B16.84B