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Calculation of free cash flow


I am trying to understand the calculation of the FCF. Most other sites calculate FCF = Operating Cash flow - CapEx. https://www.investopedia.com/ask/answers/033015/what-formula-calculating-free-cash-flow.asp

The cash flow statements on simfin don't include CapEx directly - is Change in Fixed Assets & Intangibles the same? the value don't match CapEx from the cash flow statements. (I was looking at Macys as an example)

I am sure I am missing something very simple but can't figure it out :(

Thanks for your help!


  • Hi stefan,
    Yes, we take the total change, that is
    Change in fixed assets & intangibles =
    + disposition of fixed assets & intangibles
    - acquisition of fixed assets & intangibles
    The main reason is that a lot of companies don't report acquisition/disposition separately, so this is a bit of a workaround. In most cases the disposition is negligible though as it should be outweighed by the acquisitions - in my experience at least.
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