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eBay Inc (NAS:EBAY)
Cash Flow from Operations
$4,995 Mil (TTM As of Dec. 2013)

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. 2013, eBay Inc's Net Income From Continuing Operations was $850 Mil. Its DDA was $367 Mil. Its Change In Working Capital was $293 Mil. Its cash flow from deferred tax was $-31 Mil. Its Cash Flow from Discontinued Operations was $0 Mil. And its Cash Flow from Others was $234 Mil. In all, eBay Inc's Cash Flow from Operations for the three months ended in Dec. 2013 was $1,713 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.

eBay Inc's Cash Flow from Operations for the fiscal year that ended in Dec. 2013 is calculated as:

eBay Inc's Cash Flow from Operations for the quarter that ended in Dec. 2013 is

eBay Inc Cash Flow from Operations for the trailing twelve months (TTM) ended in Dec. 2013 was 937 (Mar. 2013 ) + 1011 (Jun. 2013 ) + 1334 (Sep. 2013 ) + 1713 (Dec. 2013 ) = $4,995 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.

eBay Inc's net income from continuing operations for the three months ended in Dec. 2013 was $850 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

eBay Inc's depreciation, depletion and amortization for the three months ended in Dec. 2013 was $367 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.

eBay Inc's change in working capital for the three months ended in Dec. 2013 was $293 Mil. It means eBay Inc's working capital increased by $293 Mil from Sep. 2013 to Dec. 2013 .

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

eBay Inc's cash flow from deferred tax for the three months ended in Dec. 2013 was $-31 Mil.

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

eBay Inc's cash flow from discontinued operations for the three months ended in Dec. 2013 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).

eBay Inc's cash flow from others for the three months ended in Dec. 2013 was $234 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.

eBay Inc Annual Data

Dec04Dec05Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13
NetIncomeFromContinuingOperations 7781,0821,1263481,7792,3891,8013,2292,6092,856
CF_DDA 2603785456027208117629401,2001,400
ChangeInWorkingCapital -191-4205-172-107221-897-321-756-354
CF_DeferredTax 2992-228-123-207-17934917-35-31
Cash Flow from Disc. Op. 0000000000
Cash Flow from Others 4104626011,987696-334731-5918201,124
Cash Flow from Operations 1,2852,0102,2482,6412,8822,9082,7463,2743,8384,995

eBay Inc Quarterly Data

Sep11Dec11Mar12Jun12Sep12Dec12Mar13Jun13Sep13Dec13
NetIncomeFromContinuingOperations 4913,229570692597750677640689850
CF_DDA 266273281290311318329347357367
ChangeInWorkingCapital -147206-565-354-24187-355-33038293
CF_DeferredTax 017000-35000-31
Cash Flow from Disc. Op. 0000000000
Cash Flow from Others 199-2,742245140270165286354250234
Cash Flow from Operations 8099835317681,1541,3859371,0111,3341,713
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