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).

GEO 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 Geo Limited (GEO), the free cash flow value is -1.68M.

All amounts in NZD

Operating Cash
Capital Expenditure
Free Cash Flow

Geo 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).

GEO Cash Flow Statement History

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

30 Jun 2022 30 Jun 2021 30 Jun 2020 30 Jun 2019
Net Income -3.18M -1.79M -2.05M -5.5M
Depreciation 168k 138k 149k 33k
Change To Netincome 421k 233k 163k 3.25M
Change To Account Receivables 131k -277k 334k 182k
Change To Liabilities -92k 249k 310k -94k
Total Cash From Operating Activities -1.65M -670k -439k -1.22M
Capital Expenditures -29k -6k -4k -35k
Investments -1.26M 10k -2k -27k
Other Cashflows From Investing Activities -2k 180k 180k 180k
Total Cashflows From Investing Activities -2.35M -611k -998k -1.2M
Net Borrowings -120k 175k 1.06M -357k
Other Cashflows From Financing Activities -484k -288k -21k -101k
Total Cash From Financing Activities 6.42M 1.89M 985k 1.18M
Effect Of Exchange Rate -559k 3k -259k 270k
Change In Cash 1.86M 614k -711k -971k
Issuance Of Stock 7.02M 2M 2M 1.63M