free cash flow

free cash flow
Net income plus depreciation and amortization, less changes in working capital, less capital expenditure.

Free cash flow can be very negative for profitable, fast-growing businesses and very positive for unprofitable, declining ones.


Wikipedia foundation.

Игры ⚽ Поможем сделать НИР

Look at other dictionaries:

  • free cash flow — Cash flow from operations minus capital expenditures and dividends. Cash flow from operations is reduced by those adjustments to generate a measure of cash available to meet other corporate purposes. While the above definition is commonly used by …   Financial and business terms

  • Free cash flow — In corporate finance, free cash flow (FCF) is a cash flow available for distribution among all the security holders of a company. They include equity holders, debt holders, preferred stock holders, convertibles holders, and so on.There are two… …   Wikipedia

  • free cash flow — A measure of the cash that a company is generating or consuming. Free cash flow is often defined as after tax operating profit less net capital expenditure: free cash flow = revenues – operating expenses + depreciation – taxes – capital… …   Accounting dictionary

  • free cash flow — A measure of the cash that a company is generating or consuming. Free cash flow is often defined as after tax operating profit less net capital expenditure: free cash flow = revenues operating expenses + depreciation taxes capital expenditure… …   Big dictionary of business and management

  • Free Cash Flow - FCF — A measure of financial performance calculated as operating cash flow minus capital expenditures. Free cash flow (FCF) represents the cash that a company is able to generate after laying out the money required to maintain or expand its asset base …   Investment dictionary

  • Free Cash Flow Yield — An overall return evaluation ratio of a stock, which standardizes the free cash flow per share a company is expected to earn against its market price per share. The ratio is calculated by taking the free cash flow per share divided by the share… …   Investment dictionary

  • Free Cash Flow To Sales — A ratio that illustrates the percentage of free cash flow to the amount of sales. The numerator is found by determining a company s free cash flow, which is available to debt and equity holders. The denominator is the company s annual sales. Free …   Investment dictionary

  • Free Cash Flow Per Share — A measure of a company s financial flexibility that is determined by dividing free cash flow by the total number of shares outstanding. This measure serves as a proxy for measuring changes in earnings per share. Calculated as: This measure… …   Investment dictionary

  • Free Cash Flow For The Firm - FCFF — A measure of financial performance that expresses the net amount of cash that is generated for the firm, consisting of expenses, taxes and changes in net working capital and investments. Calculated as: This is a measurement of a company s… …   Investment dictionary

  • free cash flow to the firm — laisvieji pinigų srautai verslo subjektui statusas T sritis turto vertinimas apibrėžtis Atlikus visas verslo subjekto veiklos finansavimo operacijas ir būtinąsias kapitalo investicijas likę pinigų srautai, skirti išmokoms akcininkams… …   Lithuanian dictionary (lietuvių žodynas)

Share the article and excerpts

Direct link
Do a right-click on the link above
and select “Copy Link”