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).

## WTB 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 Whitbread plc (WTB), the free cash flow value is 308.30M.

All amounts in GBP

Operating Cash
508.7M
Capital Expenditure
-200.4M
Free Cash Flow
308.30M

Whitbread 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).

## WTB Cash Flow Statement History

Following table shows the history of Cash Flow Statements sheet for Whitbread plc (LSE:WTB).

03 Mar 2022 25 Feb 2021 27 Feb 2020 28 Feb 2019
Net Income 42.5M -906.5M 217.9M 3.73B
Depreciation 326.9M 276.6M 249M 306.6M
Change To Netincome -43.2M 315M -188.5M -3.49B
Change To Account Receivables -45.4M 27.8M -4.1M -57.6M
Change To Liabilities 235.2M -129.1M -60.8M 54.9M
Change To Inventory -7.3M 1.5M 900k -2.1M
Total Cash From Operating Activities 508.7M -391.1M 234.2M 603.2M
Capital Expenditures -200.4M -217.4M -372.7M -479.6M
Investments -1.4M -1.3M -1.3M -6.9M
Other Cashflows From Investing Activities -1.8M -1.8M -2M 3.81B
Total Cashflows From Investing Activities -204.6M -228M -575.8M 3.26B
Net Borrowings -431M 400M -73.1M -203.1M
Other Cashflows From Financing Activities 2M -41M 1M 1M
Total Cash From Financing Activities -427.1M 1.37B -2.55B -551.9M
Effect Of Exchange Rate -600k 1.4M -8.1M -300k
Change In Cash -123.6M 753.4M -2.9B 3.31B
Issuance Of Stock 1.9M 1.01B 9.5M 8.5M