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Motorola Solutions Inc (NYSE:MSI)
Cash Flow from Operations
$-590 Mil (TTM As of Dec. 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 Dec. 2014, Motorola Solutions Inc's Net Income From Continuing Operations was $-926 Mil. Its DDA was $42 Mil. Its Change In Working Capital was $-1,094 Mil. Its cash flow from deferred tax was $-626 Mil. Its Cash Flow from Discontinued Operations was $6 Mil. And its Cash Flow from Others was $1,973 Mil. In all, Motorola Solutions Inc's Cash Flow from Operations for the three months ended in Dec. 2014 was $-605 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.

Motorola Solutions Inc's Cash Flow from Operations for the fiscal year that ended in Dec. 2014 is calculated as:

Motorola Solutions Inc's Cash Flow from Operations for the quarter that ended in Dec. 2014 is

Motorola Solutions Inc Cash Flow from Operations for the trailing twelve months (TTM) ended in Dec. 2014 was 46 (Mar. 2014 ) + 84 (Jun. 2014 ) + -115 (Sep. 2014 ) + -605 (Dec. 2014 ) = $-590 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.

Motorola Solutions Inc's net income from continuing operations for the three months ended in Dec. 2014 was $-926 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

Motorola Solutions Inc's depreciation, depletion and amortization for the three months ended in Dec. 2014 was $42 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.

Motorola Solutions Inc's change in working capital for the three months ended in Dec. 2014 was $-1,094 Mil. It means Motorola Solutions Inc's working capital declined by $1,094 Mil from Sep. 2014 to Dec. 2014 .

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

Motorola Solutions Inc's cash flow from deferred tax for the three months ended in Dec. 2014 was $-626 Mil.

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

Motorola Solutions Inc's cash flow from discontinued operations for the three months ended in Dec. 2014 was $6 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).

Motorola Solutions Inc's cash flow from others for the three months ended in Dec. 2014 was $1,973 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.

Motorola Solutions Inc Annual Data

Dec05Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14
NetIncomeFromContinuingOperations 4,5783,661-49-4,240-344261741878939-696
CF_DDA 540558903831642353366208158173
ChangeInWorkingCapital -26-1,442256-761-553-228-582-422-277-1,593
CF_DeferredTax 1,000838-7471,6985038463242-334-557
Cash Flow from Disc. Op. 0000-5029-46006
Cash Flow from Others -1,784-1164222,434621-140138-223381,983
Cash Flow from Operations 4,3083,4997852426298038481,068944-590

Motorola Solutions Inc Quarterly Data

Sep12Dec12Mar13Jun13Sep13Dec13Mar14Jun14Sep14Dec14
NetIncomeFromContinuingOperations 2063361921922622931273667-926
CF_DDA 45575224404255314542
ChangeInWorkingCapital -21788-301-114-109247-18839-350-1,094
CF_DeferredTax 11039-11-182-116-2541-3563-626
Cash Flow from Disc. Op. 0-1300000006
Cash Flow from Others -612-8-6-31383-25-5401,973
Cash Flow from Operations 182564-31-69759694684-115-605
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