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Investments glossary

Free Cash Flow (FCF)


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Quotes of the day:

a good tooth, gets no gold

— Severin Meiland

Free cash flow (FCF) represents the cash a company generates after accounting for cash outflows to support operations and maintain its capital assets. Unlike earnings or net income, free cash flow is a measure of profitability that excludes the non-cash expenses of the income statement and includes spending on equipment and assets as well as changes in working capital from the balance sheet.

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