Free Cash Flow to Firm (FCFF

Free Cash Flow to Firm (FCFF) represents the total unlevered cash generated by core operations available to all capital suppliers (both bondholders and shareholders) after paying operating costs, taxes, CapEx, and working capital.

To use the Free Cash Flow to Firm (FCFF) Unlevered Valuation Calculator, enter your EBIT (Operating Income), Effective Corporate Tax Rate, Depreciation & Amortization (D&A) and other values. The calculator instantly computes Free Cash Flow to Firm (FCFF), Net Operating Profit After Taxes (NOPAT) and more. Results update in real time as you change any input — no submit button needed.

How to Use This Calculator

Enter your EBIT (Operating Income) (e.g. 2000000 in ), Effective Corporate Tax Rate (e.g. 25 in %), Depreciation & Amortization (D&A) (e.g. 350000 in ), Capital Expenditures (CapEx) (e.g. 500000 in ), and Change in Net Working Capital (ΔNWC) (e.g. 80000 in ). Results update instantly as you type — adjust any value to compare scenarios.

The Formula

NOPAT = EBIT × (1 - Effective Tax Rate %)

Free Cash Flow to Firm (FCFF) = NOPAT + D&A - CapEx - Change in Net Working Capital (ΔNWC)

Worked Example

2,000,000 EBIT at 25% tax rate:

NOPAT = 2,000,000 × (1 - 0.25) = 1,500,

000.

FCFF = 1,500,000 + 350,000 - 50,0000 - 80,000 = 1,270,000.00 (POSITIVE UNLEVERED CASH FLOW).

Understanding Your Result

Unit conversion precision: round to the same number of significant figures as your original measurement. Converting 6 feet to meters gives 1.8288 m — but if your measurement was approximate (±1 inch), expressing more than 2 decimal places is false precision. For international trade and technical specifications, SI units (meters, kilograms, liters) are the standard. US customary units (feet, pounds, gallons) differ from Imperial UK units: 1 US gallon = 3.785 L vs. 1 UK gallon = 4.546 L.