Investing Basics - Feel free to ask the most basic questions

[dineshssairam]

The textbook definition is Operating Cash Flow (-) Investing Cash Flows. But in reality, there are several moving parts.

If you’d like to understand Valuation as a big picture, consider visiting my thread:

Numbers and Narratives: A Simple Discounted Cash Flow (DCF) Model for Equity Valuation

Operating Income is only Rs. 655.01 Cr (According to the Q4/Full Year Report). You do not include Finance Costs, because it’s already accounted for in Value of Debt. Even in the Accounting sense, Finance Costs do not relate to Operating Cash Flows. Looks like you are correct. KRBL’s Rating recently got reassigned and upgraded to AA from AA- (Source). The problem is, India doesn’t have a huge Debt market, a Corporate Debt market nonetheless. Here’s a list of the Corporate Debt being traded i…