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Ensco PLC (NYSE:ESV)
Cash Flow from Operations
$2,238 Mil (TTM As of Jun. 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 Jun. 2014, Ensco PLC's Net Income From Continuing Operations was $-598 Mil. Its DDA was $114 Mil. Its Change In Working Capital was $36 Mil. Its cash flow from deferred tax was $-4 Mil. Its Cash Flow from Discontinued Operations was $-9 Mil. And its Cash Flow from Others was $1,033 Mil. In all, Ensco PLC's Cash Flow from Operations for the three months ended in Jun. 2014 was $573 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.

Ensco PLC's Cash Flow from Operations for the fiscal year that ended in Dec. 2013 is calculated as:

Ensco PLC's Cash Flow from Operations for the quarter that ended in Jun. 2014 is

Ensco PLC Cash Flow from Operations for the trailing twelve months (TTM) ended in Jun. 2014 was 701.1 (Sep. 2013 ) + 547.9 (Dec. 2013 ) + 416.6 (Mar. 2014 ) + 572.7 (Jun. 2014 ) = $2,238 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.

Ensco PLC's net income from continuing operations for the three months ended in Jun. 2014 was $-598 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

Ensco PLC's depreciation, depletion and amortization for the three months ended in Jun. 2014 was $114 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.

Ensco PLC's change in working capital for the three months ended in Jun. 2014 was $36 Mil. It means Ensco PLC's working capital increased by $36 Mil from Mar. 2014 to Jun. 2014 .

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

Ensco PLC's cash flow from deferred tax for the three months ended in Jun. 2014 was $-4 Mil.

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

Ensco PLC's cash flow from discontinued operations for the three months ended in Jun. 2014 was $-9 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).

Ensco PLC's cash flow from others for the three months ended in Jun. 2014 was $1,033 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.

Ensco PLC Annual Data

Dec04Dec05Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13
NetIncomeFromContinuingOperations 932857709921,1517855866061,2221,433
CF_DDA 139159181192219237248377532589
ChangeInWorkingCapital -25-110-3827-291148-57-264427-103
CF_DeferredTax 19716062014-20186
Cash Flow from Disc. Op. 0000000013416
Cash Flow from Others 2917183076502734-14639
Cash Flow from Operations 2563589481,2421,1611,2398187322,1871,980

Ensco PLC Quarterly Data

Mar12Jun12Sep12Dec12Mar13Jun13Sep13Dec13Mar14Jun14
NetIncomeFromContinuingOperations 267343345922321340403369297-598
CF_DDA 126135141129140105190154161114
ChangeInWorkingCapital 135-2062251-114-70106-25-2536
CF_DeferredTax 5716-111-1531-4-4
Cash Flow from Disc. Op. 0001341645-4500-9
Cash Flow from Others 15-128-843-10-326218-121,033
Cash Flow from Operations 547463577600342389701548417573
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