Cash Flow Analysis

2016(RM) 2015(RM) 2014(RM)

Net cash flows generated from operating activities 64,302 94,379 47,352
Net cash flows used in investing activities (22,921) (41,774) (58,367)
Net cash flows used in financing activities (36,586) (32,245) 8,263
Net increase/(decrease) in cash and cash balances 4,795 20,360 (2,752)

There is an incremental of 274% in net cash flow from 2014 to 2016. This indicates the
company has improved its cash position. A good cash position is explained by looking at
three main activities.

First, positive cash flow indicate the cash inflow generated is more than cash outflow
incurred from operating activities. This company has performed good operating activity when
cash inflow increases by 35.80% over three years. This is due to high net income and low
expenses.

Second, the investing activities are negative cash flow, due to the accusation of new asset
PPE. However the company has reduced its cash flow by 61% over three years.

For the financing activities shows the negative cash flow. The company has incurred more
cash outflow with an increment of 13.46% from 2015 to 2016. This situation is possibly due
to the continue dividend payment and long term debt .However in year 2014 the company
has positive cash flow because the company borrowed more in that year.

Overall the sources from operating activities cover the investing and financing activities and
its leads to positive net cash flow.