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Best Buy Co Inc (NYSE:BBY)
Cash Flow from Operations
$2,302 Mil (TTM As of Jul. 2016)

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 Jul. 2016, Best Buy Co Inc's Net Income From Continuing Operations was $198 Mil. Its DDA was $165 Mil. Its Change In Working Capital was $450 Mil. Its cash flow from deferred tax was $-8 Mil. Its Cash Flow from Discontinued Operations was $0 Mil. Its Stock Based Compensation was $26 Mil. And its Cash Flow from Others was $-26 Mil. In all, Best Buy Co Inc's Cash Flow from Operations for the three months ended in Jul. 2016 was $805 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.

Best Buy Co Inc's Cash Flow from Operations for the fiscal year that ended in Jan. 2016 is calculated as:

Best Buy Co Inc's Cash Flow from Operations for the quarter that ended in Jul. 2016 is

Best Buy Co Inc Cash Flow from Operations for the trailing twelve months (TTM) ended in Jul. 2016 was 155 (Oct. 2015 ) + 859 (Jan. 2016 ) + 483 (Apr. 2016 ) + 805 (Jul. 2016 ) = $2,302 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.

Best Buy Co Inc's net income from continuing operations for the three months ended in Jul. 2016 was $198 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

Best Buy Co Inc's depreciation, depletion and amortization for the three months ended in Jul. 2016 was $165 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.

Best Buy Co Inc's change in working capital for the three months ended in Jul. 2016 was $450 Mil. It means Best Buy Co Inc's working capital increased by $450 Mil from Apr. 2016 to Jul. 2016 .

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

Best Buy Co Inc's cash flow from deferred tax for the three months ended in Jul. 2016 was $-8 Mil.

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

Best Buy Co Inc's cash flow from discontinued operations for the three months ended in Jul. 2016 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.

Best Buy Co Inc's stock based compensation for the three months ended in Jul. 2016 was $26 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).

Best Buy Co Inc's cash flow from others for the three months ended in Jul. 2016 was $-26 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.

Best Buy Co Inc Annual Data

Feb06Feb07Feb08Feb09Feb10Feb11Feb12Jan14Jan15Jan16
NetIncomeFromContinuingOperations 1,1401,3771,4071,0031,3941,366225231,235897
CF_DDA 456509580793926978945716656657
ChangeInWorkingCapital 217-298-114-277-247-1,363713-671224-525
CF_DeferredTax -1518274-43-30-13428-28-29749
Cash Flow from Disc. Op. 0000000000
Stock Based Compensation 0001101181211209087104
Cash Flow from Others 789278291452221,46546430140
Cash Flow from Operations 1,7401,7622,0251,8772,2061,1903,2931,0941,9351,322

Best Buy Co Inc Quarterly Data

Apr14Jul14Oct14Jan15Apr15Jul15Oct15Jan16Apr16Jul16
NetIncomeFromContinuingOperations 461147107520129164125479229198
CF_DDA 161158165172163163168163162165
ChangeInWorkingCapital 58-159-26351-394-24-1615436450
CF_DeferredTax -40171384-25-16-2928-8
Cash Flow from Disc. Op. 0000000000
Stock Based Compensation 23172324272825243126
Cash Flow from Others 6951090304717-26
Cash Flow from Operations 3081792871,161-10318155859483805
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