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).

## KANSAINER 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 Kansai Nerolac Paints Limited (KANSAINER), the free cash flow value is -1.9424B.

All amounts in INR

Operating Cash
247.7M
Capital Expenditure
-2.19B
Free Cash Flow
-1.9424B

Kansai Nerolac Paints Limited has a negative 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).

## KANSAINER Cash Flow Statement History

Following table shows the history of Cash Flow Statements sheet for Kansai Nerolac Paints Limited (NSE:KANSAINER).

31 Mar 202231 Mar 202131 Mar 202031 Mar 2019
Net Income3.59B5.3B5.21B4.53B
Depreciation1.69B1.64B1.4B1.05B
Change To Netincome-781M296.7M-110.2M-988.6M
Change To Account Receivables-1.06B-2.11B-733.6M-819M
Change To Liabilities1.12B3.22B-863.8M-193.9M
Change To Inventory-4.32B-1.9B1.03B-2.59B
Total Cash From Operating Activities247.7M6.46B5.95B999.2M
Capital Expenditures-2.19B-1.04B-2.42B-5.27B
Investments4.65B-3.58B-989M6.72B
Other Cashflows From Investing Activities26.2M62.3M25.7M175.7M
Total Cashflows From Investing Activities2.5B-4.53B-3.76B884.5M
Dividends Paid-2.84B-2.39B-1.4B-1.4B
Net Borrowings-71.7M-387.7M448.4M-440M
Other Cashflows From Financing Activities-181M37.8M-454.4M-387.7M
Total Cash From Financing Activities-3.09B-2.74B-1.41B-2.23B
Change In Cash-350M-811.3M781.6M-345.2M