How To Use the Cash Flow Margin Calculator
- Fill in net income.
- Fill in depreciation and amortization.
- Fill in the increase in net working capital.
- Fill in sales revenue amount.
- Press Calculate.
Cash Flow Margin Defined
A cash flow ratio that measures cash from operating activities as a percentage of total sales revenue in a given period.
Cash Flow Margin Formula
Calculate the cash flow margin using the following formula:
Operating cash flow margin = cash flow from operations / net revenue
You can find your cash flow from operations using the following formula:
Operating Cash Flow = Net Income + Depreciation and Amortization – Increase in NWC