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Teva Pharmaceutical Industries Ltd (NYSE:TEVA)
Cash Flow from Operations
$5,583 Mil (TTM As of Mar. 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 Mar. 2015, Teva Pharmaceutical Industries Ltd's Net Income From Continuing Operations was $444 Mil. Its DDA was $0 Mil. Its Change In Working Capital was $557 Mil. Its cash flow from deferred tax was $0 Mil. Its Cash Flow from Discontinued Operations was $0 Mil. Its Stock Based Compensation was $0 Mil. And its Cash Flow from Others was $353 Mil. In all, Teva Pharmaceutical Industries Ltd's Cash Flow from Operations for the three months ended in Mar. 2015 was $1,354 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.

Teva Pharmaceutical Industries Ltd's Cash Flow from Operations for the fiscal year that ended in Dec. 2014 is calculated as:

Teva Pharmaceutical Industries Ltd's Cash Flow from Operations for the quarter that ended in Mar. 2015 is

Teva Pharmaceutical Industries Ltd Cash Flow from Operations for the trailing twelve months (TTM) ended in Mar. 2015 was 1053 (Jun. 2014 ) + 1424 (Sep. 2014 ) + 1752 (Dec. 2014 ) + 1354 (Mar. 2015 ) = $5,583 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.

Teva Pharmaceutical Industries Ltd's net income from continuing operations for the three months ended in Mar. 2015 was $444 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

Teva Pharmaceutical Industries Ltd's depreciation, depletion and amortization for the three months ended in Mar. 2015 was $0 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.

Teva Pharmaceutical Industries Ltd's change in working capital for the three months ended in Mar. 2015 was $557 Mil. It means Teva Pharmaceutical Industries Ltd's working capital increased by $557 Mil from Dec. 2014 to Mar. 2015 .

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

Teva Pharmaceutical Industries Ltd's cash flow from deferred tax for the three months ended in Mar. 2015 was $0 Mil.

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

Teva Pharmaceutical Industries Ltd's cash flow from discontinued operations for the three months ended in Mar. 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.

Teva Pharmaceutical Industries Ltd's stock based compensation for the three months ended in Mar. 2015 was $0 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).

Teva Pharmaceutical Industries Ltd's cash flow from others for the three months ended in Mar. 2015 was $353 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.

Teva Pharmaceutical Industries Ltd Annual Data

Dec05Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14
NetIncomeFromContinuingOperations 1,0725461,9526352,0043,3392,7681,9101,2533,042
CF_DDA 2434315214939089771,0691,7081,6421,508
ChangeInWorkingCapital 89-218-85476445-253594414968290
CF_DeferredTax -7-8911127-140-199-500-690-1,380-226
Cash Flow from Disc. Op. 0000000000
Stock Based Compensation 00063548091826495
Cash Flow from Others -271,388831,9371021921121,148690418
Cash Flow from Operations 1,3702,0581,8133,2313,3734,1364,1344,5723,2375,127

Teva Pharmaceutical Industries Ltd Quarterly Data

Dec12Mar13Jun13Sep13Dec13Mar14Jun14Sep14Dec14Mar15
NetIncomeFromContinuingOperations 280626-456706377740745863694444
CF_DDA 39338740041943607783613690
ChangeInWorkingCapital 448601,150-601359-248-89120507557
CF_DeferredTax -187-100-337-229-7140-124-99-30
Cash Flow from Disc. Op. 0000000000
Stock Based Compensation 21187172204318340
Cash Flow from Others 622111111132336406-300161151353
Cash Flow from Operations 1,5771,1028754448168981,0531,4241,7521,354
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