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Bank of New York Mellon Corp (NYSE:BK)
Cash Flow from Operations
\$5,992 Mil (TTM As of Mar. 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 Mar. 2016, Bank of New York Mellon Corp's Net Income From Continuing Operations was \$817 Mil. Its DDA was \$364 Mil. Its Change In Working Capital was \$588 Mil. Its cash flow from deferred tax was \$-10 Mil. Its Cash Flow from Discontinued Operations was \$0 Mil. Its Stock Based Compensation was \$0 Mil. And its Cash Flow from Others was \$35 Mil. In all, Bank of New York Mellon Corp's Cash Flow from Operations for the three months ended in Mar. 2016 was \$1,794 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.

Bank of New York Mellon Corp's Cash Flow from Operations for the fiscal year that ended in Dec. 2015 is calculated as:

 Cash Flow from Operations (A: Dec. 2015 ) = Net Income From Continuing Operations + DDA + Change In Working Capital + Deferred Tax = 3222 + 1457 + -160 + 47 + Cash Flow from Discontinued Operations + Stock Based Compensation + Cash Flow from Others + 0 + 0 + -439 = 4,127

Bank of New York Mellon Corp's Cash Flow from Operations for the quarter that ended in Mar. 2016 is

 Cash Flow from Operations (Q: Mar. 2016 ) = Net Income From Continuing Operations + DDA + Change In Working Capital + Deferred Tax = 817 + 364 + 588 + -10 + Cash Flow from Discontinued Operations + Stock Based Compensation + Cash Flow from Others + 0 + 0 + 35 = 1,794

Bank of New York Mellon Corp Cash Flow from Operations for the trailing twelve months (TTM) ended in Mar. 2016 was 2705 (Jun. 2015 ) + 1351 (Sep. 2015 ) + 142 (Dec. 2015 ) + 1794 (Mar. 2016 ) = \$5,992 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.

Bank of New York Mellon Corp's net income from continuing operations for the three months ended in Mar. 2016 was \$817 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

Bank of New York Mellon Corp's depreciation, depletion and amortization for the three months ended in Mar. 2016 was \$364 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.

Bank of New York Mellon Corp's change in working capital for the three months ended in Mar. 2016 was \$588 Mil. It means Bank of New York Mellon Corp's working capital increased by \$588 Mil from Dec. 2015 to Mar. 2016 .

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

Bank of New York Mellon Corp's cash flow from deferred tax for the three months ended in Mar. 2016 was \$-10 Mil.

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

Bank of New York Mellon Corp's cash flow from discontinued operations for the three months ended in Mar. 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.

Bank of New York Mellon Corp's stock based compensation for the three months ended in Mar. 2016 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).

Bank of New York Mellon Corp's cash flow from others for the three months ended in Mar. 2016 was \$35 Mil.

Related Terms

Historical Data

* All numbers are in millions except for per share data and ratio. All numbers are in their own currency.

Bank of New York Mellon Corp Annual Data

 Dec06 Dec07 Dec08 Dec09 Dec10 Dec11 Dec12 Dec13 Dec14 Dec15 NetIncomeFromContinuingOperations 1,476 2,227 1,431 -814 2,515 2,516 2,437 2,185 2,651 3,222 CF_DDA 494 826 878 711 629 776 1,246 1,389 1,292 1,457 ChangeInWorkingCapital 0 -992 65 162 -270 -958 -1,607 -4,411 1,695 -160 CF_DeferredTax 398 -148 -1,257 -1,970 1,199 12 244 526 -853 47 Cash Flow from Disc. Op. 0 0 0 0 0 0 0 0 0 0 Stock Based Compensation 0 0 0 0 0 0 0 0 0 0 Cash Flow from Others 915 2,057 1,797 5,692 -23 -135 -691 -331 -301 -439 Cash Flow from Operations 3,283 3,970 2,914 3,781 4,050 2,211 1,629 -642 4,484 4,127

Bank of New York Mellon Corp Quarterly Data

 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16 NetIncomeFromContinuingOperations 694 594 1,106 257 779 920 827 696 817 875 CF_DDA 333 313 330 316 340 368 376 373 364 0 ChangeInWorkingCapital -1,953 2,640 -38 1,046 -1,051 1,427 346 -882 588 0 CF_DeferredTax -52 -49 -409 -343 -107 94 -166 226 -10 0 Cash Flow from Disc. Op. 0 0 0 0 0 0 0 0 0 0 Stock Based Compensation 0 0 0 0 0 0 0 0 0 0 Cash Flow from Others -77 -58 -76 -90 -32 -104 -32 -271 35 -875 Cash Flow from Operations -1,055 3,440 913 1,186 -71 2,705 1,351 142 1,794 0
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