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).

1299 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 AIA Group Limited (1299), the free cash flow value is 3.909B.

All amounts in USD

Operating Cash
3.91B
Capital Expenditure
-
Free Cash Flow
3.909B

AIA 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).

1299 Cash Flow Statement History

Following table shows the history of Cash Flow Statements sheet for AIA Group Limited (HKEX:1299).

31 Dec 202131 Dec 202031 Dec 201931 Dec 2018
Net Income7.43B5.78B5.98B2.92B
Depreciation347M347M322M144.92M
Change To Netincome-3.96B-3.86B-3.03B-1.25B
Change To Liabilities
Total Cash From Operating Activities3.91B2.36B3.34B1.86B
Investments-1.89B-6M-5M-2.77M
Total Cashflows From Investing Activities-2.78B-1.22B-245M-764.31M
Dividends Paid-2.15B-2B-1.81B-1.47B
Net Borrowings907M2.61B642M913.85M
Other Cashflows From Financing Activities-320M-233M-236M-167.08M
Total Cash From Financing Activities-1.66B392M-1.52B-723.69M
Effect Of Exchange Rate-165M110M35M-45.23M
Change In Cash-698M1.64B1.61B331.38M
Repurchase Of Stock-106M-16M-21M-11.08M
Issuance Of Stock5M26M56M7.38M