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Apple Inc (NAS:AAPL)
Cash Flow from Operations
$75,007 Mil (TTM As of Dec. 2015)

Cash flow from operations refers to the cash brought in through a company’'s normal business operations. It is the cash flow before any investment or financing activities. It is the cash version of net income.

For the three months ended in Dec. 2015, Apple Inc's Net Income From Continuing Operations was $18,361 Mil. Its DDA was $2,954 Mil. Its Change In Working Capital was $3,478 Mil. Its cash flow from deferred tax was $1,592 Mil. Its Cash Flow from Discontinued Operations was $0 Mil. Its Stock Based Compensation was $1,078 Mil. And its Cash Flow from Others was $0 Mil. In all, Apple Inc's Cash Flow from Operations for the three months ended in Dec. 2015 was $27,463 Mil.


Definition

Cash flow from operations refers to the cash brought in through a company’'s normal business operations. It is the cash flow before any investment or financing activities. It is the cash version of net income.

Apple Inc's Cash Flow from Operations for the fiscal year that ended in Sep. 2015 is calculated as:

Apple Inc's Cash Flow from Operations for the quarter that ended in Dec. 2015 is

Apple Inc Cash Flow from Operations for the trailing twelve months (TTM) ended in Dec. 2015 was 19081 (Mar. 2015 ) + 14988 (Jun. 2015 ) + 13475 (Sep. 2015 ) + 27463 (Dec. 2015 ) = $75,007 Mil.

* All numbers are in millions except for per share data and ratio. All numbers are in their own currency.


Explanation

Cash flow from operations contains six items:

1. Net Income From Continuing Operations:
Net Income From Continuing Operations indicates the net income that a firm brings in from ongoing business activities. These activities are expected to continue into the next reporting period. It excludes extraordinary items, income from the cumulative effects of accounting changes, non-recurring items, income from tax loss carry forward, and preferred dividends.

Apple Inc's net income from continuing operations for the three months ended in Dec. 2015 was $18,361 Mil.

2. Depreciation, Depletion and Amortization:
Depreciation is a present expense that accounts for the past cost of an asset that is now providing benefits.
Depletion and amortization are synonyms for depreciation.
Generally:
• The term “depreciation” is used when discussing man made tangible assets
• The term “depletion” is used when discussing natural tangible assets
• The term “amortization” is used when discussing intangible assets

Apple Inc's depreciation, depletion and amortization for the three months ended in Dec. 2015 was $2,954 Mil.

3. Change In Working Capital:
Working Capital is a measure of a company's short term liquidity or its ability to cover short term liabilities. It is defined as the difference between a company's current assets and current liabilities. Changes in Working Capital is reported in the cash flow statement since it is one of the major ways in which net income can differ from operating cash flow.

Apple Inc's change in working capital for the three months ended in Dec. 2015 was $3,478 Mil. It means Apple Inc's working capital increased by $3,478 Mil from Sep. 2015 to Dec. 2015 .

4. Deferred Tax:
It is the cash flow generated from deferred tax.

Apple Inc's cash flow from deferred tax for the three months ended in Dec. 2015 was $1,592 Mil.

5. Cash Flow from Discontinued Operations:
Cash received by a company that comes from the sale of part of business.

Apple Inc's cash flow from discontinued operations for the three months ended in Dec. 2015 was $0 Mil.

6. Stock Based Compensation:
It is a way corporations use stock options to reward employees. It provides executives and employees the opportunity to share in the growth of the company and, if structured properly, can align their interests with the interests of the company's shareholders and investors, without burning the company's cash on hand.

Apple Inc's stock based compensation for the three months ended in Dec. 2015 was $1,078 Mil.

7. Cash Flow from Others:
These are cash differences caused by the change of inventory, accounts payable, accounts receivable etc. For instance, if a company pays its suppliers slower, its cash position will build up faster. If a company receives payments from its customers slower, its account receivables will rise, and its cash position will grow more slowly (or even shrink).

Apple Inc's cash flow from others for the three months ended in Dec. 2015 was $0 Mil.


Related Terms

Net Income From Continuing Operations, Depreciation, Depletion and Amortization, Change In Working Capital, Cash Flow from Discontinued Operations, Stock Based Compensation, Cash Flow from Others, Cash Flow from Investing


Historical Data

* All numbers are in millions except for per share data and ratio. All numbers are in their own currency.

Apple Inc Annual Data

Sep06Sep07Sep08Sep09Sep10Sep11Sep12Sep13Sep14Sep15
NetIncomeFromContinuingOperations 1,9893,4966,1198,23514,01325,92241,73337,03739,51053,394
CF_DDA 2253174967341,0271,8143,2776,7577,94611,257
ChangeInWorkingCapital -2211,3252,045-5861,2365,757-2996,4787,04711,647
CF_DeferredTax 53783981,0401,4402,8684,4051,1412,3471,382
Cash Flow from Disc. Op. 0000000000
Stock Based Compensation 005167108791,1681,7402,2532,8633,586
Cash Flow from Others 1742542226000000
Cash Flow from Operations 2,2205,4709,59610,15918,59537,52950,85653,66659,71381,266

Apple Inc Quarterly Data

Sep13Dec13Mar14Jun14Sep14Dec14Mar15Jun15Sep15Dec15
NetIncomeFromContinuingOperations 7,51213,07210,2237,7488,46718,02413,56910,67711,12418,361
CF_DDA 1,7832,1441,8871,9461,9692,5752,4793,0843,1192,954
ChangeInWorkingCapital 1,4415,520-74-1,2582,85910,0382,424-570-2453,478
CF_DeferredTax -1,3831,2538061,095-8072,197-318941-1,4381,592
Cash Flow from Disc. Op. 0000000000
Stock Based Compensation 5556816967247628889278569151,078
Cash Flow from Others 0000000000
Cash Flow from Operations 9,90822,67013,53810,25513,25033,72219,08114,98813,47527,463
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