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).

TAH 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 Third Age Health Services Limited (TAH), the free cash flow value is 1.04M.

All amounts in NZD

Operating Cash
Capital Expenditure
Free Cash Flow

Third Age Health Services 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).

TAH Cash Flow Statement History

Following table shows the history of Cash Flow Statements sheet for Third Age Health Services Limited (NZX:TAH).

31 Mar 2022 31 Mar 2021 31 Mar 2020 31 Mar 2019
Net Income 1.17M 1.04M 1.32M 1.05M
Depreciation 142k 114k 57.13k 57.25k
Change To Netincome -294k 254k -90.51k -152.36k
Change To Account Receivables -61k -39k 52.52k -65.07k
Change To Liabilities 83k 180k -818 163.82k
Change To Operating Activities -3k -3k -3k -3k
Total Cash From Operating Activities 1.04M 1.55M 1.34M 1.05M
Capital Expenditures -3k -3k -4.92k -7.5k
Total Cashflows From Investing Activities -970k -970k 91.84k -798.37k
Dividends Paid -831k -400k -586.8k -285.86k
Net Borrowings -63k -724k -650.56k 336.9k
Other Cashflows From Financing Activities 47k -57k -57k 1.61k
Total Cash From Financing Activities -775k -607k -954.68k 124.55k
Change In Cash -705k 943k 478.11k 380.11k
Repurchase Of Stock -342k -342k -3.59k -3.59k
Issuance Of Stock 414k 1.57M 286.28k 71.89k