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).

SBRY 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 J Sainsbury plc (SBRY), the free cash flow value is 593.00M.

All amounts in GBP

Operating Cash
1.01B
Capital Expenditure
-416M
Free Cash Flow
593.00M

J Sainsbury 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).

SBRY Cash Flow Statement History

Following table shows the history of Cash Flow Statements sheet for J Sainsbury plc (LSE:SBRY).

05 Mar 202206 Mar 202107 Mar 202009 Mar 2019
Net Income677M-201M152M186M
Depreciation1.06B1.11B1.15B1.16B
Change To Netincome96M270M283M143M
Change To Account Receivables33M62M-129M92M
Change To Liabilities28M321M-195M71M
Change To Inventory-179M117M197M-118M
Change To Operating Activities-949M284M-15M-496M
Total Cash From Operating Activities1.01B2.34B1.37B1.04B
Capital Expenditures-416M-423M-519M-474M
Other Cashflows From Investing Activities-1M15M132M11M
Total Cashflows From Investing Activities-649M-553M-426M-481M
Dividends Paid-242M-255M-270M-247M
Net Borrowings-741M-790M-799M-915M
Total Cash From Financing Activities-1.02B-1.31B-1.07B-1.17B
Change In Cash-658M482M-126M-608M
Repurchase Of Stock-56M-280M-18M-30M
Issuance Of Stock21M17M15M22M