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).

SEK 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 Seeka Limited (SEK), the free cash flow value is 12.09M.

All amounts in NZD

Operating Cash
41.58M
Capital Expenditure
-29.49M
Free Cash Flow
12.09M

Seeka 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).

SEK Cash Flow Statement History

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

31 Dec 2021 31 Dec 2020 31 Dec 2019 31 Dec 2018
Net Income 14.86M 15.15M 6.88M 6.65M
Depreciation 23.16M 18.32M 16.24M 14.52M
Change To Netincome 7.83M -14.24M -6.08M -1.59M
Change To Account Receivables 6.17M -3.88M -343k 621k
Change To Liabilities -7.04M 5.42M 2.71M -2.72M
Change To Inventory 940k 2.3M -3.38M 244k
Total Cash From Operating Activities 41.58M 26.35M 18.59M 16.35M
Capital Expenditures -29.49M -21.34M -66.03M -67.5M
Investments -2.84M -1M -1M 9.38M
Other Cashflows From Investing Activities -6k 247k -1.34M -191k
Total Cashflows From Investing Activities -29.75M 20.99M -35.94M -52.86M
Dividends Paid -7.83M -2.73M -6.31M -3.63M
Net Borrowings -1.5M -43.44M 23.89M -8.46M
Total Cash From Financing Activities -3.88M -45.8M 19.14M 36.05M
Effect Of Exchange Rate -749k 771k -279k -587k
Change In Cash 7.2M 2.31M 1.51M -1.05M
Issuance Of Stock 9.33M 368k 1.56M 48.13M