Free Cash Flow to the Firm FCFF
The cash a business generates for all its investors — both debt and equity — after reinvestment.
What it is
FCFF is the cash left over from operations after paying for the capital spending and working capital the business needs, but before any payments to lenders or shareholders. Because it belongs to all capital providers, it is discounted at WACC in a firm-level DCF to estimate enterprise value. It is the most common cash-flow measure in valuation.
Why it matters
FCFF is the cash available to repay debt, pay dividends, and buy back stock, so it directly drives a company's value. Valuing the whole firm with FCFF, then subtracting net debt, is the standard route to an equity value and a per-share intrinsic value.
How it's calculated
Start from NOPAT, add back non-cash charges like depreciation and amortization, subtract capital expenditures, and subtract the increase in net working capital. An equivalent path starts from cash flow from operations, adds back after-tax interest, and subtracts capex.
How Quintarthai uses it
The cash-flow components for FCFF — operating cash flow, capex, and working-capital changes — are laid out across each company's Financials tab, including a 10-year history.