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).

## JLG 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 Just Life Group Limited (JLG), the free cash flow value is 1.74M.

All amounts in NZD

Operating Cash
3.04M
Capital Expenditure
-1.31M
Free Cash Flow
1.74M

Just Life Group 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).

## JLG Cash Flow Statement History

Following table shows the history of Cash Flow Statements sheet for Just Life Group Limited (NZX:JLG).

30 Jun 2022 30 Jun 2021 30 Jun 2020 30 Jun 2019
Net Income 2.27M 3.31M 2.93M 1.91M
Depreciation 2.52M 2.04M 2.06M 2.28M
Change To Netincome 602k -1k 919k 2k
Change To Account Receivables -619k 332k 61k -63k
Change To Liabilities 542k -942k -321k 512k
Change To Inventory -2.56M 1.59M -545k -550k
Total Cash From Operating Activities 3.04M 6.7M 5.62M 4.73M
Capital Expenditures -1.31M -733k -975k -1.81M
Total Cashflows From Investing Activities -3.42M -19.93M -1.16M -2.16M
Dividends Paid -1.39M -574k -1.55M -1.89M
Net Borrowings 1.52M 10.07M -2.92M -36k
Total Cash From Financing Activities 133k 13.55M -4.46M -1.93M
Change In Cash -243k 315k -4k 644k