What does CFAT mean? What is the full form of CFAT?
The Full Form of CFAT is Cash flow after taxes.
Cash flow after taxes (CFAT) is a measure of financial performance that shows a company’s ability to generate cash flow through its operations. It is calculated by adding back non-cash charges such as amortization, depreciation, restructuring costs, and impairment to net income. CFAT is also known as after-tax cash flow.
KEY TAKEAWAYS:
- Cash flow after taxes (CFAT) examines a company’s ability to generate cash flow through its operations.
- To calculate CFAT, non-cash charges such as amortization, depreciation, restructuring costs, and impairment are added back to net income.
- CFAT can determine the cash flow of an investment or project undertaken by a corporation.
- CFAT measures a company’s financial health and performance over time and can be compared to the CFAT of competitors within the same industry.
CFAT
means
Cash flow after taxes
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