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 -5.28M.

All amounts in NZD

Operating Cash
-1.59M
Capital Expenditure
-3.69M
Free Cash Flow
-5.28M

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 202130 Jun 202031 Mar 201931 Mar 2018
Net Income-27.03M-12.3M7.22M-1.83M
Depreciation819k41.6k96k270k
Change To Netincome18.97M8.2M-4.24M1.22M
Change To Account Receivables3.33M5.99M5.99M5.99M
Change To Liabilities2.47M-1.84M
Change To Operating Activities-369k4.83M4.83M4.83M
Total Cash From Operating Activities-1.59M4.94M3.08M-341k
Capital Expenditures-3.69M-26.4k-24k-97k
Other Cashflows From Investing Activities-180.04M-79.37M-41.51M-41.51M
Total Cashflows From Investing Activities-183.74M-79.39M-41.54M-97k
Net Borrowings158.56M75.87M37M37M
Total Cash From Financing Activities226.11M94.64M37M37M
Effect Of Exchange Rate897k11.2k12k-74k
Change In Cash41.69M20.2M-1.45M-512k
Issuance Of Stock67.55M18.78M18.78M18.78M