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).

MCKPA 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 Millennium & Copthorne Hotels New Zealand Limited (MCKPA), the free cash flow value is 19.20M.

All amounts in NZD

Operating Cash
Capital Expenditure
Free Cash Flow

Millennium & Copthorne Hotels New Zealand 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).

MCKPA Cash Flow Statement History

Following table shows the history of Cash Flow Statements sheet for Millennium & Copthorne Hotels New Zealand Limited (NZX:MCKPA).

31 Dec 2022 31 Dec 2021 31 Dec 2020 31 Dec 2019
Net Income 21.71M 40.05M 48.48M 49.66M
Depreciation 8.32M 8.38M 9.13M 9.72M
Change To Netincome 9.49M -6.64M -13.16M 10.18M
Change To Account Receivables 998k -3.26M 8.97M -1.27M
Change To Liabilities 344k 7.2M 1.67M 2.02M
Change To Inventory -12.79M -16.19M 30.56M -8.46M
Change To Operating Activities -1.73M -513k 436k 1.69M
Total Cash From Operating Activities 26.35M 29.02M 86.1M 63.54M
Capital Expenditures -7.15M -3.98M -5.96M -6.92M
Investments 9.55M 55.78M -55.23M -13.76M
Total Cashflows From Investing Activities -11.14M 49.73M -64.4M -20.56M
Dividends Paid -5.54M -5.54M -11.87M -11.87M
Net Borrowings -4.24M -38.58M -30.43M 1.61M
Other Cashflows From Financing Activities -3.98M -3.91M -3.81M -4.3M
Total Cash From Financing Activities -13.76M -42.49M -46.11M -14.55M
Effect Of Exchange Rate 1.79M 1.12M 2M 326k
Change In Cash 3.24M 37.38M -22.42M 28.75M