Free Cash Flow
Free Cash Flow Formula |
\( FCF \;=\; NI + NCC - WC - CapEx \) |
Symbol |
\( FCF \) = free cash flow |
\( CapEx \) = capital expenditure |
\( WC \) = change in working capitol |
\( NI \) = net income |
\( NCC \) = non-cash charges |
Free cash flow, abbreviated as FCF, is how much cash a business generates after capitol expenditures during a given period of time.