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).

IKE 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 ikeGPS Group Limited (IKE), the free cash flow value is -8.36M.

All amounts in NZD

Operating Cash
Capital Expenditure
Free Cash Flow

ikeGPS Group 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).

IKE Cash Flow Statement History

Following table shows the history of Cash Flow Statements sheet for ikeGPS Group Limited (NZX:IKE).

31 Mar 2022 31 Mar 2021 31 Mar 2020 31 Mar 2019
Net Income -7.86M -7.49M -6.04M -5.09M
Depreciation 1.12M 1.05M 729k 365k
Change To Netincome 665k 2.06M 2.13M 218k
Change To Account Receivables -2.4M -1.06M -524k -65k
Change To Liabilities 2M -59k 1.48M 187k
Change To Inventory -248k 260k 134k -470k
Change To Operating Activities -1.22M 860k 99k -157k
Total Cash From Operating Activities -6.6M -3.54M -1.1M -4.04M
Capital Expenditures -1.76M -844k -781k -477k
Investments -106k -106k -106k -106k
Total Cashflows From Investing Activities -3.69M -6.63M -4.04M -1.05M
Net Borrowings -308k -271k -161k -161k
Total Cash From Financing Activities 22.82M 18.36M 5.79M 5.87M
Effect Of Exchange Rate 480k -1.17M 211k 104k
Change In Cash 13.01M 7.01M 852k 889k
Issuance Of Stock 23.13M 18.63M 6.51M 6.25M