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).

CNU 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 Chorus Limited (CNU), the free cash flow value is 50.00M.

All amounts in NZD

Operating Cash
570M
Capital Expenditure
-520M
Free Cash Flow
50.00M

Chorus Limited 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).

CNU Cash Flow Statement History

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

30 Jun 2022 30 Jun 2021 30 Jun 2020 30 Jun 2019
Net Income 64M 51M 52M 53M
Depreciation 362M 360M 346M 328M
Change To Netincome 57M 20M 4M 20M
Change To Account Receivables -2M 17M 6M -4M
Change To Liabilities 10M -6M -12M 5M
Total Cash From Operating Activities 570M 544M 474M 496M
Capital Expenditures -520M -649M -682M -810M
Total Cashflows From Investing Activities -517M -649M -682M -810M
Dividends Paid -97M -86M -76M -49M
Net Borrowings 36M 102M -156M 419M
Other Cashflows From Financing Activities 81M 147M 162M 167M
Total Cash From Financing Activities -18M 163M -70M 537M
Change In Cash 35M 58M -278M 223M
Repurchase Of Stock -38M -38M -38M -38M