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Deere & Co (NYSE:DE)
Cash Flow from Operations
$3,349 Mil (TTM As of Jul. 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 Jul. 2014, Deere & Co's Net Income From Continuing Operations was $851 Mil. Its DDA was $327 Mil. Its Change In Working Capital was $473 Mil. Its cash flow from deferred tax was $-111 Mil. Its Cash Flow from Discontinued Operations was $0 Mil. And its Cash Flow from Others was $-26 Mil. In all, Deere & Co's Cash Flow from Operations for the three months ended in Jul. 2014 was $1,514 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.

Deere & Co's Cash Flow from Operations for the fiscal year that ended in Oct. 2013 is calculated as:

Deere & Co's Cash Flow from Operations for the quarter that ended in Jul. 2014 is

Deere & Co Cash Flow from Operations for the trailing twelve months (TTM) ended in Jul. 2014 was 2666.5 (Oct. 2013 ) + -746.2 (Jan. 2014 ) + -85.7 (Apr. 2014 ) + 1514 (Jul. 2014 ) = $3,349 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.

Deere & Co's net income from continuing operations for the three months ended in Jul. 2014 was $851 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

Deere & Co's depreciation, depletion and amortization for the three months ended in Jul. 2014 was $327 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.

Deere & Co's change in working capital for the three months ended in Jul. 2014 was $473 Mil. It means Deere & Co's working capital increased by $473 Mil from Apr. 2014 to Jul. 2014 .

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

Deere & Co's cash flow from deferred tax for the three months ended in Jul. 2014 was $-111 Mil.

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

Deere & Co's cash flow from discontinued operations for the three months ended in Jul. 2014 was $0 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).

Deere & Co's cash flow from others for the three months ended in Jul. 2014 was $-26 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.

Deere & Co Annual Data

Oct04Oct05Oct06Oct07Oct08Oct09Oct10Oct11Oct12Oct13
NetIncomeFromContinuingOperations 1,4061,4471,6941,8222,0538731,8742,8083,0723,538
CF_DDA 6216376917448318739159151,0041,140
ChangeInWorkingCapital -1,988-839-1,21062-1,172-496-1,222-1,056-2,931-1,463
CF_DeferredTax 385-4916-490172175-168-92-173
Cash Flow from Disc. Op. 0000000000
Cash Flow from Others 7222-218136147563540-172115212
Cash Flow from Operations 4961,2179732,7591,9491,9852,2822,3261,1683,254

Deere & Co Quarterly Data

Apr12Jul12Oct12Jan13Apr13Jul13Oct13Jan14Apr14Jul14
NetIncomeFromContinuingOperations 1,0587906896501,084997807681981851
CF_DDA 255244262277277287299343287327
ChangeInWorkingCapital -1,560-434889-2,032-1,3716161,324-1,804-1,307473
CF_DeferredTax -96-81114-21-83-9325-9-129-111
Cash Flow from Disc. Op. 0000000000
Cash Flow from Others 42-127350-123186-622124282-26
Cash Flow from Operations -3013922,303-1,249931,7442,667-746-861,514
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