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 equity investors, bank credit analysts create similar measures of free cash flow that may involve more or different adjustments to cash flow from operations. American Banker Glossary
* * *free cash flow free cash flow ➔ cash flow
* * *A company's operating cash flow minus what it spends on capital assets. Operating cash flow is simply the change in a company's net cash position during a given trading period.► See also Operating Cash Flow.
Financial and business terms. 2012.
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