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).

SPK 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 Spark New Zealand Limited (SPK), the free cash flow value is 408.00M.

All amounts in NZD

Operating Cash
Capital Expenditure
Free Cash Flow

Spark New Zealand 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).

SPK Cash Flow Statement History

Following table shows the history of Cash Flow Statements sheet for Spark New Zealand Limited (NZX:SPK).

30 Jun 2022 30 Jun 2021 30 Jun 2020 30 Jun 2019
Net Income 410M 381M 420M 409M
Depreciation 379M 385M 361M 344M
Change To Netincome -22M -32M -8M 13M
Change To Account Receivables -52M -1M 26M -122M
Change To Liabilities 9M -27M -34M -14M
Change To Inventory -41M 31M -10M -21M
Total Cash From Operating Activities 841M 853M 903M 777M
Capital Expenditures -433M -336M -401M -423M
Investments -55M -7M -35M -4M
Total Cashflows From Investing Activities -492M -376M -411M -426M
Dividends Paid -449M -330M -403.92M -403.92M
Net Borrowings 99M -128M -34M 107M
Total Cash From Financing Activities -350M -458M -493M -352M
Change In Cash -1M 19M -1M -1M