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Capital One Financial Corp (NYSE:COF)
Cash Flow from Operations
$10,127 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, Capital One Financial Corp's Net Income From Continuing Operations was $908 Mil. Its DDA was $542 Mil. Its Change In Working Capital was $-1,416 Mil. Its cash flow from deferred tax was $0 Mil. Its Cash Flow from Discontinued Operations was $0 Mil. Its Stock Based Compensation was $40 Mil. And its Cash Flow from Others was $1,048 Mil. In all, Capital One Financial Corp's Cash Flow from Operations for the three months ended in Dec. 2015 was $1,122 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.

Capital One Financial Corp's Cash Flow from Operations for the fiscal year that ended in Dec. 2015 is calculated as:

Capital One Financial Corp's Cash Flow from Operations for the quarter that ended in Dec. 2015 is

Capital One Financial Corp Cash Flow from Operations for the trailing twelve months (TTM) ended in Dec. 2015 was 1993 (Mar. 2015 ) + 2355 (Jun. 2015 ) + 4657 (Sep. 2015 ) + 1122 (Dec. 2015 ) = $10,127 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.

Capital One Financial Corp's net income from continuing operations for the three months ended in Dec. 2015 was $908 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

Capital One Financial Corp's depreciation, depletion and amortization for the three months ended in Dec. 2015 was $542 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.

Capital One Financial Corp's change in working capital for the three months ended in Dec. 2015 was $-1,416 Mil. It means Capital One Financial Corp's working capital declined by $1,416 Mil from Sep. 2015 to Dec. 2015 .

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

Capital One Financial Corp's cash flow from deferred tax for the three months ended in Dec. 2015 was $0 Mil.

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

Capital One Financial Corp'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.

Capital One Financial Corp's stock based compensation for the three months ended in Dec. 2015 was $40 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).

Capital One Financial Corp's cash flow from others for the three months ended in Dec. 2015 was $1,048 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.

Capital One Financial Corp Annual Data

Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14Dec15
NetIncomeFromContinuingOperations 2,4142,592859872,7433,1473,5174,1594,4284,012
CF_DDA 5426796916835826001,8622,0652,0022,100
ChangeInWorkingCapital -1,2774,679-1,263-2,9456661,296-777127-386-450
CF_DeferredTax 0000000000
Cash Flow from Disc. Op. 0000000000
Stock Based Compensation 00112146149189199240205161
Cash Flow from Others 1,6975,0613,8583,9274,0022,2234,2593,3933,0554,304
Cash Flow from Operations 3,37713,0103,4832,7978,1427,4559,0609,9849,30410,127

Capital One Financial Corp Quarterly Data

Dec13Mar14Jun14Sep14Dec14Mar15Jun15Sep15Dec15Mar16
NetIncomeFromContinuingOperations 8901,1541,1941,0819991,1538631,1149081,018
CF_DDA 4185145035154704835295465420
ChangeInWorkingCapital -944764-258-182-710121-8141,659-1,4160
CF_DeferredTax 0000000000
Cash Flow from Disc. Op. 0000000000
Stock Based Compensation 68845330385074-3400
Cash Flow from Others 1,1136432691,3378061861,7031,3411,048-1,018
Cash Flow from Operations 1,5453,1591,7612,7811,6031,9932,3554,6571,1220
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