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).

## PYS 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 PaySauce Limited (PYS), the free cash flow value is 6.67M.

All amounts in NZD

Operating Cash
6.71M
Capital Expenditure
-42k
Free Cash Flow
6.67M

PaySauce 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).

## PYS Cash Flow Statement History

Following table shows the history of Cash Flow Statements sheet for PaySauce Limited (NZX:PYS).

31 Mar 2022 31 Mar 2021 31 Mar 2020 31 Mar 2019
Net Income -1.28M -1.69M -2.36M -4.38M
Depreciation 167k 109k 89k 25.06k
Change To Netincome 77k 178k 496k 2.66M
Change To Account Receivables -62k 161k -39k -108.53k
Change To Liabilities 156k -24k -196k 383.07k
Change To Operating Activities 7.4M 6.51M 7.27M 2.83M
Total Cash From Operating Activities 6.71M 5.4M 5.32M 1.52M
Capital Expenditures -42k -36k -98k -55.82k
Investments -1.68M 1.65M -1.65M -1.65M
Other Cashflows From Investing Activities -27k -27k -27k -27k
Total Cashflows From Investing Activities -2.18M 1.12M -2.07M -341.07k
Net Borrowings -32k -53k -836k 374.3k
Total Cash From Financing Activities -32k 1.65M 4.03M 1.52M
Change In Cash 4.5M 8.17M 7.28M 2.7M