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).

MMH 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 Marsden Maritime Holdings Limited (MMH), the free cash flow value is 10.41M.

All amounts in NZD

Operating Cash
Capital Expenditure
Free Cash Flow

Marsden Maritime Holdings 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).

MMH Cash Flow Statement History

Following table shows the history of Cash Flow Statements sheet for Marsden Maritime Holdings Limited (NZX:MMH).

30 Jun 2022 30 Jun 2021 30 Jun 2020 30 Jun 2019
Net Income 13.11M 14.26M 6.68M 9.69M
Depreciation 542.15k 530.22k 447.82k 409.45k
Change To Netincome -2.73M -4.89M 2.94M -251.12k
Change To Account Receivables 17.17k 31.12k 270.68k 239.33k
Change To Liabilities 87.19k 1.66M -500.19k 1.07M
Change To Inventory -65.01k -21.43k 23.17k -53.54k
Change To Operating Activities -116.34k -838.53k 752.68k -1.07M
Total Cash From Operating Activities 10.83M 10.73M 10.61M 10.04M
Capital Expenditures -428.93k -1.12M -2.73M -1.93M
Total Cashflows From Investing Activities -11.23M -11.51M -8.57M -9.38M
Dividends Paid -7.12M -6.61M -6.61M -6.5M
Net Borrowings 7.6M 7.4M 4.4M 6.1M
Total Cash From Financing Activities 475.64k 791.89k -2.21M -404.85k
Change In Cash 76.69k 9.01k -161.82k 261.41k