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Campbell Soup Co (NYSE:CPB)
Cash Flow from Operations
$1,325 Mil (TTM As of Jan. 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 Jan. 2016, Campbell Soup Co's Net Income From Continuing Operations was $265 Mil. Its DDA was $78 Mil. Its Change In Working Capital was $145 Mil. Its cash flow from deferred tax was $21 Mil. Its Cash Flow from Discontinued Operations was $0 Mil. Its Stock Based Compensation was $21 Mil. And its Cash Flow from Others was $-21 Mil. In all, Campbell Soup Co's Cash Flow from Operations for the three months ended in Jan. 2016 was $509 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.

Campbell Soup Co's Cash Flow from Operations for the fiscal year that ended in Jul. 2015 is calculated as:

Campbell Soup Co's Cash Flow from Operations for the quarter that ended in Jan. 2016 is

Campbell Soup Co Cash Flow from Operations for the trailing twelve months (TTM) ended in Jan. 2016 was 387 (Apr. 2015 ) + 211 (Jul. 2015 ) + 218 (Oct. 2015 ) + 509 (Jan. 2016 ) = $1,325 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.

Campbell Soup Co's net income from continuing operations for the three months ended in Jan. 2016 was $265 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

Campbell Soup Co's depreciation, depletion and amortization for the three months ended in Jan. 2016 was $78 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.

Campbell Soup Co's change in working capital for the three months ended in Jan. 2016 was $145 Mil. It means Campbell Soup Co's working capital increased by $145 Mil from Oct. 2015 to Jan. 2016 .

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

Campbell Soup Co's cash flow from deferred tax for the three months ended in Jan. 2016 was $21 Mil.

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

Campbell Soup Co's cash flow from discontinued operations for the three months ended in Jan. 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.

Campbell Soup Co's stock based compensation for the three months ended in Jan. 2016 was $21 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).

Campbell Soup Co's cash flow from others for the three months ended in Jan. 2016 was $-21 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.

Campbell Soup Co Annual Data

Jul06Jul07Jul08Jul09Jul10Jul11Jul12Jul13Jul14Jul15
NetIncomeFromContinuingOperations 7668541,165736844802764449807691
CF_DDA 289283294264251268262407305303
ChangeInWorkingCapital 148-507-333-8483-36-8-258-20914
CF_DeferredTax 291029144544645-17111-33
Cash Flow from Disc. Op. 0000000000
Stock Based Compensation 000848887791135757
Cash Flow from Others -634-38922-263-25-22479-72150
Cash Flow from Operations 1,2266747661,1661,0571,1421,1201,0198991,182

Campbell Soup Co Quarterly Data

Oct13Jan14Apr14Jul14Oct14Jan15Apr15Jul15Oct15Jan16
NetIncomeFromContinuingOperations 17131818313524822215368194265
CF_DDA 74747483757474807478
ChangeInWorkingCapital -2447385-123-1437297-12-174145
CF_DeferredTax 43-307-999-6-45-3521
Cash Flow from Disc. Op. 0000000000
Stock Based Compensation 2116911131815111321
Cash Flow from Others -27-1264239-14154109146-21
Cash Flow from Operations 38325400136188396387211218509
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