Find an annual report for a comany of interest perhaps your

Find an annual report for a comany of interest (perhaps your employer). Publicly held company annual reports (10K) can be located via a seach link at http://www.sec.govledgar/searchedgar/webusers.htm NOTE: To perform the search in the Edgar Archives the best way is to enter the \"ticker symbo\" for the company. In Yahoo finance (MSN, or other investment websites) enter the company\'s name next to the icon \"Get Quotes\". For example, Tech Data Corp\'s ticker symbol is \"TECD\" and Bloomin\' Brands ticker symbol is BLMN\". If you need assistance, please e-mail me Click on the link to \"Interactive Data\" and then the link to the \"Financial Statements\". Locate and review the Statement of Cash Flows. Share in your post why you are interested in this company and information you found useful in the Statement of Cash Flows. For example, where is most of the company\'s cash coming from. If it is operating activities it is a \"good\" sign. If net cash flow from operating activities is negative (using) cash how is the company generating cash (i.e., discuss the investing and financing activities). Calculate \"free cash flow\". Share with the class your insights regarding the performance of this company based on your analysis of this financial statement.

Solution

Cash flow

Period ending

The Home Depot, Inc. (HD)
Cash flow
Fig.in \'000s
Period ending	29/1/2017	31/1/2016	1/2/2015
Net income	79,57,000	70,09,000	63,45,000
Operating activities, cash flow provided by or used in
Depreciation	19,73,000	18,63,000	17,86,000
Adjustments to net income	2,67,000	1,00,000	-98,000
Changes in accounts receivable	-1,38,000	-1,81,000	-81,000
Changes in liabilities	6,54,000	11,51,000	5,58,000
Changes in inventory	-7,69,000	-5,46,000	-1,24,000
Changes in other operating activities	-1,61,000	-23,000	-1,44,000
Total cash flow from operating activities	9783000	9373000	8242000	Increasingly positive cash generated from operations,mainly due to depreciation& delayed settlement of liabilities
Investment activities, cash flow provided by or used in
Capital expenditure	-1621000	-1503000	-1442000
Investments	-	1,44,000	3,23,000
Other cash flow from investment activities	38,000	-16,23,000	-1,52,000
Total cash flow from investment activities	-1583000	-29,82,000	-12,71,000	Cash is used in investing activities especially purchase of capital assets
Financing activities, cash flow provided by or used in
Dividends paid	-34,04,000	-30,31,000	-25,30,000
Sale purchase of stock	-66,62,000	-67,72,000	-67,48,000
Net borrowings	22,74,000	40,12,000	22,32,000	Cash is generated from borrowings
Other cash flow from financing activities	-78,000	4,000	-25,000
Total cash flow from financing activities	-78,70,000	-57,87,000	-70,71,000	Net Cash is used in investing activities especially payment of dividends & repurchase of stocks
Effect of exchange rate changes	-8,000	-1,11,000	-1,06,000
Change in cash and cash equivalents	3,30,000	6,04,000	-1,00,000	Positive cash mainly due to depreciation funds,postponing trade liabilities & borrowing long-term funds.
Free cash flow (CFO-capital expenditure)	8162000	7870000	6800000	FCFF has been consistently increasing