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).

BARC 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 Barclays PLC (BARC), the free cash flow value is 8.802B.

All amounts in GBP

Operating Cash
10.52B
Capital Expenditure
-1.72B
Free Cash Flow
8.802B

Barclays PLC 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).

BARC Cash Flow Statement History

Following table shows the history of Cash Flow Statements sheet for Barclays PLC (LSE:BARC).

31 Dec 2021 31 Dec 2020 31 Dec 2019 31 Dec 2018
Net Income 7.01B 2.38B 3.27B 2.35B
Depreciation 755M 718M 1.49B 1.25B
Change To Netincome 3.2B 3.47B 4.86B 208M
Change To Liabilities
Change To Operating Activities 33.35B -4.75B -25.12B -15.86B
Total Cash From Operating Activities 10.52B -7.74B -21.45B -14.78B
Capital Expenditures -1.72B -1.32B -1.79B -1.4B
Investments 4.93B -17.04B -22.3B 1.44B
Other Cashflows From Investing Activities 7M -12M 84M 1.19B
Total Cashflows From Investing Activities 4.27B -18.38B -23.96B 1.25B
Dividends Paid -1.32B -857M -1.91B -1.66B
Net Borrowings 2.02B 3.92B 2.1B -3.02B
Other Cashflows From Financing Activities 38.35B 65.17B 20.95B 23.97B
Total Cash From Financing Activities 38.5B 67.98B 21.64B 17.18B
Effect Of Exchange Rate -4.23B 1.67B -3.35B 4.16B
Change In Cash 49.06B 43.53B -27.12B 7.81B
Repurchase Of Stock -1.67B -1.41B -3.08B -4.07B
Issuance Of Stock 1.12B 1.17B 3.58B 1.96B