Inve Blog · Topic
Cash Flow
13 articles on cash flow.
Cash Conversion Cycle Explained: DSO, DIO, DPO
Cash conversion cycle explained: the formula, how to read DSO, DIO and DPO, and why a negative cycle shows who funds growth — with real Indian examples.
Cumulative Cash Flow vs Profit: The 10-Year Test
Cumulative cash flow vs profit should match over a decade. Learn to run the cumulative CFO vs PAT test and tell a structural earnings leak from growth.
How to Read a Cash Flow Statement for Indian Stocks
Learn to read a cash flow statement for Indian stocks: what CFO, CFI and CFF mean and why the +/-/- pattern reveals if a profitable company is short on cash.
Other Income in P&L: Is It Inflating Profit?
Other income can quietly carry a company's PAT. A worked GMDC case — record FY26 profit on a one-off GST credit while operating profit fell — shows the test.
Working Capital Warnings: Debtor & Inventory Days
Spot working-capital warning signs early: rising debtor days, inventory days and working capital that grows faster than revenue.
Cash Conversion Cycle: FMCG vs Projects in India
The cash conversion cycle counts the days a business funds itself before customers pay. Why FMCG races and projects crawl, with HUL and L&T figures shown.
Profit vs Cash Flow: Why Reported Profit Can Lie
Profit is an opinion; cash is a fact. A beginner's guide to why a booked sale can quietly never arrive, plus the receivables signal that gives it away.
Dividend Payout Ratio: Is the Dividend Safe?
Dividend payout ratio shows how much profit a company distributes—and whether its dividend is supported by earnings and cash flow or funded by debt.
Free Cash Flow Explained: The Number Hardest to Fake
Free cash flow is operating cash minus capex — the cash owners actually keep. Learn the formula through market-specific, filing-backed examples.
CWIP and the Capex Trap: Projects That Never Earn
What CWIP means and how to spot the capex trap: big projects that swell the balance sheet but never earn their interest. A real Indian case, read line by line.
Other Income Trap: When Profit Isn't From the Business
A company can post a fat net profit while its core business loses money, propped up by treasury and one-off gains. How to spot the other-income trap fast.
Working Capital Explained: The Silent Choke on Profit
Working capital explained: why a profitable company can still gasp for cash when money is frozen in inventory and unpaid bills, read on a real Indian EPC stock.
Quality of Earnings: PAT vs Operating Cash Flow
A rising PAT that is not backed by operating cash flow is a classic red flag. Learn how to read earnings quality and catch accounting sleight of hand.