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Darden Restaurants Inc (NYSE:DRI)
Cash Flow from Operations
$598 Mil (TTM As of Aug. 2014)

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 Aug. 2014, Darden Restaurants Inc's Net Income From Continuing Operations was $-19 Mil. Its DDA was $79 Mil. Its Change In Working Capital was $-60 Mil. Its cash flow from deferred tax was $-23 Mil. Its Cash Flow from Discontinued Operations was $0 Mil. And its Cash Flow from Others was $67 Mil. In all, Darden Restaurants Inc's Cash Flow from Operations for the three months ended in Aug. 2014 was $45 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.

Darden Restaurants Inc's Cash Flow from Operations for the fiscal year that ended in May. 2014 is calculated as:

Darden Restaurants Inc's Cash Flow from Operations for the quarter that ended in Aug. 2014 is

Darden Restaurants Inc Cash Flow from Operations for the trailing twelve months (TTM) ended in Aug. 2014 was 86 (Nov. 2013 ) + 363.7 (Feb. 2014 ) + 103.4 (May. 2014 ) + 44.6 (Aug. 2014 ) = $598 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.

Darden Restaurants Inc's net income from continuing operations for the three months ended in Aug. 2014 was $-19 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

Darden Restaurants Inc's depreciation, depletion and amortization for the three months ended in Aug. 2014 was $79 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.

Darden Restaurants Inc's change in working capital for the three months ended in Aug. 2014 was $-60 Mil. It means Darden Restaurants Inc's working capital declined by $60 Mil from May. 2014 to Aug. 2014 .

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

Darden Restaurants Inc's cash flow from deferred tax for the three months ended in Aug. 2014 was $-23 Mil.

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

Darden Restaurants Inc's cash flow from discontinued operations for the three months ended in Aug. 2014 was $0 Mil.

6. 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).

Darden Restaurants Inc's cash flow from others for the three months ended in Aug. 2014 was $67 Mil.


Related Terms

Net Income From Continuing Operations, Depreciation, Depletion and Amortization, Change In Working Capital, Cash Flow from Discontinued Operations, 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.

Darden Restaurants Inc Annual Data

May05May06May07May08May09May10May11May12May13May14
NetIncomeFromContinuingOperations 29133820137737240500413183
CF_DDA 224233202248283301317349395304
ChangeInWorkingCapital 29130-2137-6930712-1918437
CF_DeferredTax -25-30-273190-102936-2-45
Cash Flow from Disc. Op. 0000311-0342
Cash Flow from Others 644525141104-10153456957248
Cash Flow from Operations 583717606734782902893762949770

Darden Restaurants Inc Quarterly Data

May12Aug12Nov12Feb13May13Aug13Nov13Feb14May14Aug14
NetIncomeFromContinuingOperations 001451351337020110-16-19
CF_DDA 909310596102106108109-1879
ChangeInWorkingCapital -9052-1441512531-58141-77-60
CF_DeferredTax 12-16526-16-8-12-10-16-23
Cash Flow from Disc. Op. -03-0-01-001410
Cash Flow from Others 200122-96151517281418967
Cash Flow from Operations 212253144222602178636410345
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