free cash flow
Word Rarity
Uncommon
Frequency: Zipf frequency 4.45 in modern English
26
Scrabble Score
12
Letters
2
Syllables
10
Unique Chars
Meaning
noun
A measure of a company's financial performance, calculated as net income plus depreciation and amortization, less changes in working capital, less capital expenditure.
Example Sentences
- "Free cash flow can be very negative for profitable, fast-growing businesses and very positive for unprofitable, declining ones."
- "But its [Amazon's] dominance in its market helped it become a cash machine over time: $33bn in free cash flow in 2024, against $2bn 10 years before."