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).

AFC 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 AFC Group Holdings Limited (AFC), the free cash flow value is -130230.

All amounts in NZD

Operating Cash
-125.83k
Capital Expenditure
-4.4k
Free Cash Flow
-130230

AFC Group Holdings 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).

AFC Cash Flow Statement History

Following table shows the history of Cash Flow Statements sheet for AFC Group Holdings Limited (NZX:AFC).

31 Mar 2022 31 Mar 2021 31 Mar 2020 31 Mar 2019
Net Income -410.22k -632.46k -615.55k -583.18k
Depreciation 200.29k 240.09k 246.99k 109.07k
Change To Netincome -217.67k -72.51k -218.83k -207.9k
Change To Account Receivables 46.92k 119.4k -71.39k 353.63k
Change To Liabilities 53.08k -106.08k 54.02k -117.11k
Change To Inventory 31.4k -14.8k 31.06k -81.97k
Change To Operating Activities 170.37k 238k 423.86k 132.92k
Total Cash From Operating Activities -125.83k -228.36k -149.84k -394.53k
Capital Expenditures -4.4k -4.4k -4.18k -25.98k
Total Cashflows From Investing Activities -4.4k 1.74k -1.76k -24.92k
Net Borrowings 147.44k 25.16k 144.94k 144.94k
Total Cash From Financing Activities 147.44k 25.16k 144.94k 144.94k
Effect Of Exchange Rate -6.13k 6.93k -36.08k -5.68k
Change In Cash 11.08k -194.53k -42.74k -425.13k