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).

HMY 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 Harmoney Corp Limited (HMY), the free cash flow value is -1.37M.

All amounts in NZD

Operating Cash
5.38M
Capital Expenditure
-6.74M
Free Cash Flow
-1.37M

Harmoney Corp 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).

HMY Cash Flow Statement History

Following table shows the history of Cash Flow Statements sheet for Harmoney Corp Limited (NZX:HMY).

30 Jun 202230 Jun 202130 Jun 202031 Mar 2019
Net Income-20.18M-27.03M-12.3M7.22M
Depreciation747k819k41.6k96k
Change To Netincome32.52M18.97M8.2M-4.24M
Change To Account Receivables55k3.33M5.99M5.99M
Change To Liabilities-438k2.47M-1.84M
Change To Operating Activities-8.02M-369k4.83M4.83M
Total Cash From Operating Activities5.38M-1.59M4.94M3.08M
Capital Expenditures-6.74M-3.69M-26.4k-24k
Other Cashflows From Investing Activities-342.41M-180.04M-79.37M-41.51M
Total Cashflows From Investing Activities-349.16M-183.74M-79.39M-41.54M
Net Borrowings329.81M158.56M75.87M37M
Total Cash From Financing Activities329.81M226.11M94.64M37M
Effect Of Exchange Rate256k897k11.2k12k
Change In Cash-13.72M41.69M20.2M-1.45M