← All Xero reports
Built from your Xero data

Indirect cash flow statement for Xero, emailed on a schedule

The indirect cash flow statement starts with net profit and adjusts it for changes in debtors, creditors, equipment, loans and equity, so you can see why profit and cash moved differently. Xero's own statement of cash flows uses the direct method only.

Sample Cash Flow Statement (indirect) report for a demo company, as sent by Reportpost
A sample Cash Flow Statement (indirect) for a demo company, as Reportpost sends it.

What it shows

  • Net profit, adjusted for depreciation and changes in current assets and liabilities (operating activities)
  • Net spending on equipment and other non-current assets, account by account (investing activities)
  • Loans and equity movements (financing activities), then the net change in cash and your bank balances at the start and end of the period

The indirect method starts from profit and walks to cash: what got added back, what got tied up in debtors and stock, what went into equipment, what came from loans. That bridge is usually what a director or lender actually wants explained when profit and the bank balance tell different stories.

Where to find it in Xero

Xero has a Statement of Cash Flows - Direct Method under Reporting > All reports, but no indirect-method version.

Settings worth knowing

  • Xero's direct-method statement lets you choose the date range, compare periods and edit the layout
  • Xero has no indirect option; the usual workaround is exporting the profit and loss and two balance sheets into a spreadsheet

Things to watch out for

  • Accounts are placed by their Xero account type, so a short-term loan set up as a current liability shows under operating, not financing.
  • Depreciation is added back from the depreciation expense in your profit and loss (or, failing that, from the movement in accumulated depreciation). Gains or losses on selling assets stay in operating activities.
  • It works on whole months, because Xero reports balance sheets at month ends. Net profit is always on an accrual basis here, even if your other reports use cash basis.

Getting it by email on a schedule

Xero has no indirect cash flow statement to export, so this usually means rebuilding one in a spreadsheet every month. Reportpost builds the statement from your Profit and Loss for the period and your Balance Sheets on the day before it starts and on its last day. Each balance sheet account is placed in operating, investing or financing by its Xero account type (or its balance sheet section where the type doesn't say), bank accounts count as cash, and anything it can't read shows as an unexplained difference rather than being hidden. Choose weekly, every two weeks, monthly or quarterly, and the recipients. You can try the demo without connecting Xero.

Related: Xero cash flow reports explained and The Xero Bank Summary report and Sending monthly management accounts.

Other Xero reports

Xero reportProfit and LossWhat the Xero Profit and Loss report shows, where to find it, the settings that matter (comparisons, tracking, cash or accrual) and how to email it every month.Xero reportBalance SheetWhat the Xero Balance Sheet report shows, where to find it, comparison and tracking options, and how to send it to directors or lenders each month.Xero reportAged Receivables SummaryWhat the Xero Aged Receivables Summary (aged debtors) shows, how to read the ageing columns, key settings and how to get it emailed every week.Xero reportAged Payables SummaryWhat the Xero Aged Payables Summary (aged creditors) shows, its ageing and grouping options, common gotchas, and how to have it emailed before each payment run.Xero reportBank SummaryWhat the Xero Bank Summary report shows (cash received and spent per bank account), its options and gotchas, and how to send it automatically each week or month.Xero reportTrial BalanceWhat the Xero Trial Balance shows, its comparison and grouping options, the gotchas, and how to send it to your accountant at month end.Xero reportExecutive SummaryWhat the Xero Executive Summary includes (cash, profit, balance sheet and key ratios), its options and limits, and how to email it every month.Xero reportBudget SummaryWhat the Xero Budget Summary report shows, how budgets are set up in Budget Manager, and how to send the budget summary on a schedule.Xero reportBudget vs ActualHow to compare actuals with your budget in Xero (Budget Variance), what to look for, and how to have a budget vs actual report emailed every month.Xero reportUnpaid InvoicesHow to get a list of unpaid invoices from Xero (Aged Receivables Detail), what it shows, and how to have the list emailed every week.Xero reportInvoices RaisedHow to list the invoices raised in a period in Xero (Receivable Invoice Summary or Detail), the options and gotchas, and how to email the list automatically.Xero reportDraft InvoicesHow to keep track of draft invoices in Xero, why they matter at month end, and how to have a list of drafts emailed to you so nothing is left unapproved.Xero reportUnpaid BillsHow to get a list of unpaid bills from Xero (Aged Payables Detail), what it shows, and how to have the list emailed to you the day before each payment run.

Next month's pack could send itself.

Reportpost emails your Xero reports on a schedule, as PDF, Excel or CSV. 14 days free, no card.

Try the demo, no signupSee how it works