Interim cash flow statements are crucial financial documents that provide insights into a company’s cash inflows and outflows over a specific period, typically less than a year. They help stakeholders assess liquidity, operational efficiency, and overall financial health. Below are three diverse examples of interim cash flow statements that illustrate how different businesses may present their cash flows.
A mid-sized retail company prepares an interim cash flow statement for the first quarter to evaluate its cash management during the busy holiday season.
The interim cash flow statement helps the management analyze the cash generated from operating activities, cash used in investing activities, and cash from financing activities.
Cash Flow Statement | Q1 2023 |
---|---|
Cash Flows from Operating Activities | |
Cash Received from Customers | $250,000 |
Cash Paid to Suppliers | ($150,000) |
Cash Paid for Operating Expenses | ($50,000) |
Net Cash Provided by Operating Activities | $50,000 |
Cash Flows from Investing Activities | |
Purchase of Equipment | ($20,000) |
Net Cash Used in Investing Activities | ($20,000) |
Cash Flows from Financing Activities | |
Proceeds from Loan | $30,000 |
Net Cash Provided by Financing Activities | $30,000 |
Net Increase in Cash | $60,000 |
Cash at Beginning of Period | $100,000 |
Cash at End of Period | $160,000 |
A technology startup creates an interim cash flow statement for the first six months of operation to attract potential investors. This statement emphasizes the cash generated from operating activities and the high cash burn typical for startups.
Cash Flow Statement | H1 2023 |
---|---|
Cash Flows from Operating Activities | |
Cash Received from Customers | $40,000 |
Cash Paid for Salaries | ($120,000) |
Cash Paid for R&D | ($80,000) |
Net Cash Used in Operating Activities | ($160,000) |
Cash Flows from Investing Activities | |
Purchase of Software Licenses | ($10,000) |
Net Cash Used in Investing Activities | ($10,000) |
Cash Flows from Financing Activities | |
Proceeds from Equity Financing | $200,000 |
Net Cash Provided by Financing Activities | $200,000 |
Net Increase in Cash | $30,000 |
Cash at Beginning of Period | $10,000 |
Cash at End of Period | $40,000 |
A manufacturing firm prepares an interim cash flow statement for the third quarter to evaluate its cash position amidst fluctuating raw material costs and supply chain challenges.
The statement is essential for management to understand how operational changes affect cash flows.
Cash Flow Statement | Q3 2023 |
---|---|
Cash Flows from Operating Activities | |
Cash Received from Customers | $500,000 |
Cash Paid to Suppliers | ($300,000) |
Cash Paid for Operating Expenses | ($100,000) |
Net Cash Provided by Operating Activities | $100,000 |
Cash Flows from Investing Activities | |
Purchase of Machinery | ($50,000) |
Net Cash Used in Investing Activities | ($50,000) |
Cash Flows from Financing Activities | |
Loan Repayment | ($20,000) |
Net Cash Used in Financing Activities | ($20,000) |
Net Increase in Cash | $30,000 |
Cash at Beginning of Period | $70,000 |
Cash at End of Period | $100,000 |