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Mohawk Industries Inc (NYSE:MHK)
Cash Flow from Operations
$522 Mil (TTM As of Sep. 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 Sep. 2014, Mohawk Industries Inc's Net Income From Continuing Operations was $151 Mil. Its DDA was $85 Mil. Its Change In Working Capital was $-17 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 $29 Mil. In all, Mohawk Industries Inc's Cash Flow from Operations for the three months ended in Sep. 2014 was $226 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.

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

Mohawk Industries Inc's Cash Flow from Operations for the quarter that ended in Sep. 2014 is

Mohawk Industries Inc Cash Flow from Operations for the trailing twelve months (TTM) ended in Sep. 2014 was 198.19 (Dec. 2013 ) + -71.006 (Mar. 2014 ) + 168.88 (Jun. 2014 ) + 225.549 (Sep. 2014 ) = $522 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.

Mohawk Industries Inc's net income from continuing operations for the three months ended in Sep. 2014 was $151 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

Mohawk Industries Inc's depreciation, depletion and amortization for the three months ended in Sep. 2014 was $85 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.

Mohawk Industries Inc's change in working capital for the three months ended in Sep. 2014 was $-17 Mil. It means Mohawk Industries Inc's working capital declined by $17 Mil from Jun. 2014 to Sep. 2014 .

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

Mohawk Industries Inc's cash flow from deferred tax for the three months ended in Sep. 2014 was $-23 Mil.

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

Mohawk Industries Inc's cash flow from discontinued operations for the three months ended in Sep. 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).

Mohawk Industries Inc's cash flow from others for the three months ended in Sep. 2014 was $29 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.

Mohawk Industries Inc Annual Data

Dec04Dec05Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13
NetIncomeFromContinuingOperations 369358456707-1,458-1190178251349
CF_DDA 123149275306295303297298280309
ChangeInWorkingCapital -2985110613780322-167-20210-172
CF_DeferredTax 39-7-69-29070-21-21-59-63
Cash Flow from Disc. Op. 0000000000
Cash Flow from Others 111014141,58369223237102
Cash Flow from Operations 243562782875570672320301588525

Mohawk Industries Inc Quarterly Data

Jun12Sep12Dec12Mar13Jun13Sep13Dec13Mar14Jun14Sep14
NetIncomeFromContinuingOperations 73706651841209581153151
CF_DDA 72716460818286818485
ChangeInWorkingCapital -2247145-158-2616-4-236-67-17
CF_DeferredTax 762-6-10-24-23-10-12-23
Cash Flow from Disc. Op. 0000000000
Cash Flow from Others 1191214251944131129
Cash Flow from Operations 140203289-39153213198-71169226
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