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).

TEM 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 Templeton Emerging Markets Investment Trust plc (TEM), the free cash flow value is 27.53M.

All amounts in GBP

Operating Cash
27.53M
Capital Expenditure
-
Free Cash Flow
27.53M

Templeton Emerging Markets Investment Trust plc 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).

TEM Cash Flow Statement History

Following table shows the history of Cash Flow Statements sheet for Templeton Emerging Markets Investment Trust plc (NZX:TEM).

31 Mar 2022 31 Mar 2021 31 Mar 2020 31 Mar 2019
Net Income -442.41M 934.43M -226.74M 17.61M
Change To Netincome 470.54M -883.81M 271.96M 15.12M
Change To Account Receivables 16k -104k -732k -908k
Change To Liabilities -614k 981k -108k 1.67M
Total Cash From Operating Activities 27.53M 51.49M 44.39M 33.49M
Investments 12.77M 68.06M 112.92M 195.69M
Total Cashflows From Investing Activities 12.77M 68.06M 112.92M 195.69M
Dividends Paid -11.81M -45.5M -39.61M -52.74M
Net Borrowings 50M 50M -24.68M -19.87M
Other Cashflows From Financing Activities -2.73M -2.56M -2.61M -3.69M
Total Cash From Financing Activities 346k -122.17M -142.69M -223.81M
Change In Cash 40.64M -2.62M 14.62M 5.37M
Repurchase Of Stock -2.04M -50.45M -69.45M -147.51M