Compute free cash flow available to equity holders.
Please do not make financial decisions based on these results.
What is the FCFE Calculator?
Compute free cash flow available to equity holders. To use the FCFE Calculator, enter net income, depreciation, capex, increase in working capital, net borrowing; it returns fcfe, and shows them instantly as you type.
Where the FCFE Calculator fits
Compute free cash flow available to equity holders. The main figure it returns is the FCFE, worked out from the values you enter.
It belongs with the other accounting & microeconomics tools. If you are comparing options or checking a result from another angle, try the FCFF Calculator — Free Cash Flow to Firm, Free Cash Flow Calculator or the Operating Cash Flow Calculator.
How to use the FCFE Calculator
- Enter your numbers. The inputs are Net income ($), Depreciation ($), Capex ($), Increase in working capital ($), Net borrowing ($). Use numbers from the same accounting period so the ratios are comparable. Fields marked optional can stay at zero.
- Read the result. The highlighted box gives the FCFE. Tables and charts break it down further.
- Test other scenarios. Results update as you type. Change one value at a time to see what drives the answer, and press Reset to go back to the defaults.
Formula and how it works
Example with real numbers
Here is the FCFE Calculator using the default values shown in the calculator above:
Inputs
| Net income ($) | 700,000 |
|---|---|
| Depreciation ($) | 200,000 |
| Capex ($) | 350,000 |
| Increase in working capital ($) | 80,000 |
| Net borrowing ($) | 100,000 |
Results
| FCFE | $570,000.00 |
|---|
With these inputs the calculator returns FCFE: $570,000.00. Change any value in the calculator to see how the result moves.
What if you change one input?
Sensitivity check: raising Net income ($) from 700,000 to 840,000 (about 20% higher) and leaving everything else as in the example above changes the results like this:
| Result | Example | After the change | Change |
|---|---|---|---|
| FCFE | $570,000.00 | $710,000.00 | +24.6% |
The input that moves the result most is the one to check twice. Change it in the calculator above to test your own case.
Method and limits. This calculator applies the formula in the section above to your inputs, in your browser; nothing you enter is stored on our servers. The result is only as accurate as the numbers you enter and the formula shown above. It is for information, not financial, tax or legal advice.
Frequently asked questions
How is FCFE different from FCFF?
FCFE is after debt service and is the cash available to shareholders only.
What is the cash conversion cycle?
It is DIO plus DSO minus DPO: the days between paying suppliers and collecting from customers.
What is the difference between EBIT and EBITDA?
EBITDA also adds back depreciation and amortization, so it approximates operating cash profit.
Are the results guaranteed?
No. Results depend entirely on the numbers you enter and the formulas shown on this page. Please do not make financial decisions based on them alone; confirm important figures with a licensed professional.
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