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).

SKL 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 Skellerup Holdings Limited (SKL), the free cash flow value is 33.84M.

All amounts in NZD

Operating Cash
Capital Expenditure
Free Cash Flow

Skellerup Holdings 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).

SKL Cash Flow Statement History

Following table shows the history of Cash Flow Statements sheet for Skellerup Holdings Limited (NZX:SKL).

30 Jun 2022 30 Jun 2021 30 Jun 2020 30 Jun 2019
Net Income 47.81M 40.17M 29.06M 29.06M
Depreciation 13.19M 12.09M 12.34M 6.96M
Change To Netincome -1.06M 351k 1.26M 636k
Change To Liabilities
Change To Operating Activities -17.1M 5.9M 5.17M -7.91M
Total Cash From Operating Activities 43.32M 58.8M 48.01M 28.92M
Capital Expenditures -9.48M -5.41M -3.94M -4.45M
Total Cashflows From Investing Activities -19.75M -7.07M -10.15M -12.75M
Dividends Paid -35.15M -27.3M -25.32M -24.34M
Net Borrowings 10.11M -22.17M -8.75M 5.82M
Total Cash From Financing Activities -25.04M -49.23M -34.07M -16.1M
Effect Of Exchange Rate 584k -433k 189k -117k
Change In Cash -877k 2.06M 3.98M -42k