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).

PHL 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 Promisia Healthcare Limited (PHL), the free cash flow value is 4.31M.

All amounts in NZD

Operating Cash
Capital Expenditure
Free Cash Flow

Promisia Healthcare 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).

PHL Cash Flow Statement History

Following table shows the history of Cash Flow Statements sheet for Promisia Healthcare Limited (NZX:PHL).

31 Mar 2022 31 Mar 2021 31 Dec 2019 31 Dec 2018
Net Income 2.03M 44.8k -2.4M -2.41M
Depreciation 808k 301.6k 9k 11k
Change To Netincome -1.07M -1.22M -978k 429k
Change To Account Receivables 203k -1.54M 51k 167k
Change To Liabilities 1.34M 1.58M 294k -68k
Change To Operating Activities 904k 924.8k 924.8k 924.8k
Total Cash From Operating Activities 4.79M 452.8k -868k -1.8M
Capital Expenditures -485k -3.08M -3.08M -39k
Total Cashflows From Investing Activities -2.04M -20.35M 73k -47k
Net Borrowings -1.74M 13.92M 57k -135k
Total Cash From Financing Activities -1.55M 20.86M 304k 2.03M
Change In Cash 1.19M 958.4k -491k 188k
Issuance Of Stock 185k 6.93M 247k 2.3M