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Dover Corp (NYSE:DOV)
Cash Flow from Operations
$862 Mil (TTM As of Dec. 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 Dec. 2016, Dover Corp's Net Income From Continuing Operations was $161 Mil. Its DDA was $97 Mil. Its Change In Working Capital was $185 Mil. Its cash flow from deferred tax was $0 Mil. Its Cash Flow from Discontinued Operations was $0 Mil. Its Stock Based Compensation was $3 Mil. And its Cash Flow from Others was $-158 Mil. In all, Dover Corp's Cash Flow from Operations for the three months ended in Dec. 2016 was $289 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.

Dover Corp's Cash Flow from Operations for the fiscal year that ended in Dec. 2016 is calculated as:

Dover Corp's Cash Flow from Operations for the quarter that ended in Dec. 2016 is

Dover Corp Cash Flow from Operations for the trailing twelve months (TTM) ended in Dec. 2016 was 133.413 (Mar. 2016 ) + 207.868 (Jun. 2016 ) + 231.665 (Sep. 2016 ) + 289.029 (Dec. 2016 ) = $862 Mil.

* All numbers are in millions except for per share data and ratio. All numbers are in their local exchange's 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.

Dover Corp's net income from continuing operations for the three months ended in Dec. 2016 was $161 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

Dover Corp's depreciation, depletion and amortization for the three months ended in Dec. 2016 was $97 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.

Dover Corp's change in working capital for the three months ended in Dec. 2016 was $185 Mil. It means Dover Corp's working capital increased by $185 Mil from Sep. 2016 to Dec. 2016 .

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

Dover Corp's cash flow from deferred tax for the three months ended in Dec. 2016 was $0 Mil.

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

Dover Corp's cash flow from discontinued operations for the three months ended in Dec. 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.

Dover Corp's stock based compensation for the three months ended in Dec. 2016 was $3 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).

Dover Corp's cash flow from others for the three months ended in Dec. 2016 was $-158 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 local exchange's currency.

Dover Corp Annual Data

Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14Dec15Dec16
NetIncomeFromContinuingOperations 661695372619773650798778596509
CF_DDA 245261258229290230278307327361
ChangeInWorkingCapital 11-1296-49-14477-149-126-15171
CF_DeferredTax -3333-23643-38-34-6-79
Cash Flow from Disc. Op. 0-9-7100117171666-1160
Stock Based Compensation 0251820253130323121
Cash Flow from Others -91082-4114112-52-13132-120
Cash Flow from Operations 8751,0037969431,0801,267980950949862

Dover Corp Quarterly Data

Sep14Dec14Mar15Jun15Sep15Dec15Mar16Jun16Sep16Dec16
NetIncomeFromContinuingOperations 22617211715618613799118130161
CF_DDA 74818078779289888797
ChangeInWorkingCapital -16225-79-212957-552416185
CF_DeferredTax 0000000000
Cash Flow from Disc. Op. -3-224-16-82-220000
Stock Based Compensation 871357511333
Cash Flow from Others 2-64-47-17140-11-25-5-158
Cash Flow from Operations 291399131209201408133208232289
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