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).

NTL 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 New Talisman Gold Mines Limited (NTL), the free cash flow value is -696068.

All amounts in NZD

Operating Cash
Capital Expenditure
Free Cash Flow

New Talisman Gold Mines 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).

NTL Cash Flow Statement History

Following table shows the history of Cash Flow Statements sheet for New Talisman Gold Mines Limited (NZX:NTL).

31 Mar 202131 Mar 202031 Mar 201931 Mar 2018
Net Income-517.66k-3.69M-1.2M-1M
Change To Netincome-25.91k2.77M56.11k-28.19k
Change To Account Receivables748-881.11k-3.97k
Change To Liabilities59.99k-331.29k187.13k109.04k
Change To Inventory-244.75k-35.05k-34.48k-34.48k
Change To Operating Activities-10.27k28.58k-132.23k-54.5k
Total Cash From Operating Activities-696.07k-1.23M-1.08M-956.69k
Other Cashflows From Investing Activities-529.79k-1.12M-2.28M-1.78M
Total Cashflows From Investing Activities-692.96k-1.14M-2.49M-1.88M
Net Borrowings-9.18k-9.18k-9.18k-9.18k
Other Cashflows From Financing Activities-9.18k-9.18k-9.18k-9.18k
Total Cash From Financing Activities-9.18k3.63M3.63M1.93M
Effect Of Exchange Rate13.18k-4.67k-11.42k-10.27k
Change In Cash-1.39M1.25M-3.59M-925.65k