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).

## BRM 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 Barramundi Limited (BRM), the free cash flow value is -18.01M.

All amounts in NZD

Operating Cash
-18.01M
Capital Expenditure
-
Free Cash Flow
-18.01M

Barramundi 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).

## BRM Cash Flow Statement History

Following table shows the history of Cash Flow Statements sheet for Barramundi Limited (NZX:BRM).

30 Jun 2022 30 Jun 2021 30 Jun 2020 30 Jun 2019
Net Income -34.65M 52.32M 12.53M 7.43M
Change To Netincome 18.64M -45.5M -23.64M -5.04M
Change To Account Receivables -177k -1.05M 84k 21k
Change To Liabilities -1.27M 1.69M 902k -2.3M
Total Cash From Operating Activities -18.01M 6.68M -10.56M 1.01M
Dividends Paid -11.05M -8.14M -7.03M -5.84M
Other Cashflows From Financing Activities -13k 3k 3k -27k
Total Cash From Financing Activities 19.63M -8.14M 10.69M -6.3M
Effect Of Exchange Rate 8k -3k 13k -76k
Change In Cash 1.63M -1.47M 147k -5.38M
Issuance Of Stock 30.69M 30.69M 18.42M 18.42M