Three Socially Responsible Companies with Big Free Cash Flows: Google, Microsoft, and Disney

  • 9 years ago
Can companies with “do good” strategies also generate good profits? That ongoing question from investors continues to get positive answers. Three companies with robust CSR practices—Google, Microsoft, and Disney—have gotten a “thumbs up” from investment advisory The Motley Fool for the huge free cash flow they generate.

Free cash flow is the money a company has left over after deducting capital expenditures from its operating cash flow. The Fool singled out the three corporations by using the Reputation Institute’s Global CSR RepTrak ranking, a scorecard that judges companies in several categories, including environmental, social, workplace, and regulatory records in 15 markets around the world. Google topped the RI’s list. Its mission of “do no evil” yielded a free cash flow of $13.1 billion dollars over the past 12 months. Microsoft’s community engagement partnerships and its renewable energy initiatives co-existed with $26.3 billion in free cash flow during the same time period. And Disney’s philanthropic and environmental efforts were matched by $6.8 billion dollars in free cash flow for the last 12 months, a rise of 9.7 percent over the previous 12 months. It’s the latest evidence that companies can do very well indeed by doing good.

Read the release: http://bit.ly/1Fmea2Q

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