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).

FBU 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 Fletcher Building Limited (FBU), the free cash flow value is 193.00M.

All amounts in NZD

Operating Cash
Capital Expenditure
Free Cash Flow

Fletcher Building 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).

FBU Cash Flow Statement History

Following table shows the history of Cash Flow Statements sheet for Fletcher Building Limited (NZX:FBU).

30 Jun 2022 30 Jun 2021 30 Jun 2020 30 Jun 2019
Net Income 432M 305M -196M 164M
Depreciation 350M 354M 370M 199M
Change To Netincome 171M 218M 178M 194M
Change To Account Receivables -48M -62M 95M 26M
Change To Liabilities 84M 160M -67M -59M
Change To Inventory -239M -22M -1M -69M
Change To Operating Activities -158M -74M 31M -302M
Total Cash From Operating Activities 592M 879M 410M 153M
Capital Expenditures -399M -221M -240M -348M
Investments -10M -10M -10M -10M
Total Cashflows From Investing Activities -356M -201M -234M 914M
Dividends Paid -292M -99M -128M -68M
Net Borrowings -20M -946M -159M -280M
Other Cashflows From Financing Activities 5M -31M -9M -7M
Total Cash From Financing Activities -557M -1.11B -443M -355M
Effect Of Exchange Rate 6M -5M -1M -5M
Change In Cash -315M -438M -268M 707M
Repurchase Of Stock -250M -35M -147M -147M