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Darden Restaurants Inc (NYSE:DRI)
Cash Flow from Operations
$471 Mil (TTM As of May. 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 May. 2015, Darden Restaurants Inc's Net Income From Continuing Operations was $118 Mil. Its DDA was $81 Mil. Its Change In Working Capital was $42 Mil. Its cash flow from deferred tax was $42 Mil. Its Cash Flow from Discontinued Operations was $0 Mil. Its Stock Based Compensation was $12 Mil. And its Cash Flow from Others was $-165 Mil. In all, Darden Restaurants Inc's Cash Flow from Operations for the three months ended in May. 2015 was $132 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. 2015 is calculated as:

Darden Restaurants Inc's Cash Flow from Operations for the quarter that ended in May. 2015 is

Darden Restaurants Inc Cash Flow from Operations for the trailing twelve months (TTM) ended in May. 2015 was 44.6 (Aug. 2014 ) + -70.3 (Nov. 2014 ) + 365.1 (Feb. 2015 ) + 131.6 (May. 2015 ) = $471 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 May. 2015 was $118 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 May. 2015 was $81 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 May. 2015 was $42 Mil. It means Darden Restaurants Inc's working capital increased by $42 Mil from Feb. 2015 to May. 2015 .

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 May. 2015 was $42 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 May. 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.

Darden Restaurants Inc's stock based compensation for the three months ended in May. 2015 was $12 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).

Darden Restaurants Inc's cash flow from others for the three months ended in May. 2015 was $-165 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.

Darden Restaurants Inc Annual Data

May06May07May08May09May10May11May12May13May14May15
NetIncomeFromContinuingOperations 338201377372405479477237183196
CF_DDA 200202246283301317349278304319
ChangeInWorkingCapital 130-1754-13914414-15715176
CF_DeferredTax -31-273190-102936-0-4542
Cash Flow from Disc. Op. 0056311-03701,583
Stock Based Compensation 004942546756403954
Cash Flow from Others 80247-791328-131376218-1,800
Cash Flow from Operations 717606734782902893762949770471

Darden Restaurants Inc Quarterly Data

Feb13May13Aug13Nov13Feb14May14Aug14Nov14Feb15May15
NetIncomeFromContinuingOperations 135-424268748-19-31128118
CF_DDA 101-157476767879808081
ChangeInWorkingCapital 145-33-4-192-87-60108442
CF_DeferredTax 26-15-6-9-7-23-23-113442
Cash Flow from Disc. Op. -010-01400000
Stock Based Compensation 74918666241112
Cash Flow from Others 9359102-31084161-14228-165
Cash Flow from Operations 4222602178636410345-70365132
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