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).

RAD 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 Radius Residential Care Limited (RAD), the free cash flow value is -28.55M.

All amounts in NZD

Operating Cash
Capital Expenditure
Free Cash Flow

Radius Residential Care 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).

RAD Cash Flow Statement History

Following table shows the history of Cash Flow Statements sheet for Radius Residential Care Limited (NZX:RAD).

31 Mar 2022 31 Mar 2021 31 Mar 2020 31 Mar 2019
Net Income 2.67M 1.71M -2.83M 4.18M
Depreciation 11.19M 11.55M 10.91M 3.58M
Change To Netincome -3.24M -3.54M -835k -1.74M
Change To Account Receivables -2.41M 484k -465k 713k
Change To Liabilities 1.17M 798k 482k 1.61M
Change To Inventory -180k -240k -140k 13k
Change To Operating Activities 1.36M 3.3M 2.86M -37k
Total Cash From Operating Activities 9.88M 14.47M 10.2M 7.92M
Capital Expenditures -38.43M -4.14M -11.3M -4.6M
Total Cashflows From Investing Activities -52.79M -5.05M -14.91M -2.78M
Dividends Paid -2.48M -732k -225k -900k
Net Borrowings -1.08M -8.24M 3.02M -1.78M
Other Cashflows From Financing Activities -2.43M -2.43M -2.43M -2.43M
Total Cash From Financing Activities 42.24M -8.97M 2.79M -2.68M
Change In Cash -673k 444k -1.92M 2.47M
Issuance Of Stock 48.23M 48.23M 48.23M 48.23M