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While net income is useful, it doesn’t tell the whole story. Net income helps you understand how much you can retain and reinvest, giving your team more confidence in planning for the future. For instance, a company that issues cumulative preference shares accrues a liability if it can’t pay dividends. If your net income is
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No, net cash flow does not directly equate to profit. Cash flow is quite non-specific in its definition and raises the key question of ‘which cash flow? Looking a net cash flow is only the tip of the iceberg. Had it already raised capital in the previous year to do this, or is it now
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