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Enterprise Products Partners LP (NYSE:EPD)
Cash Flow from Operations
$4,162 Mil (TTM As of Dec. 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 Dec. 2014, Enterprise Products Partners LP's Net Income From Continuing Operations was $681 Mil. Its DDA was $368 Mil. Its Change In Working Capital was $328 Mil. Its cash flow from deferred tax was $4 Mil. Its Cash Flow from Discontinued Operations was $0 Mil. Its Stock Based Compensation was $0 Mil. And its Cash Flow from Others was $77 Mil. In all, Enterprise Products Partners LP's Cash Flow from Operations for the three months ended in Dec. 2014 was $1,458 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.

Enterprise Products Partners LP's Cash Flow from Operations for the fiscal year that ended in Dec. 2014 is calculated as:

Enterprise Products Partners LP's Cash Flow from Operations for the quarter that ended in Dec. 2014 is

Enterprise Products Partners LP Cash Flow from Operations for the trailing twelve months (TTM) ended in Dec. 2014 was 1404.1 (Mar. 2014 ) + 467.8 (Jun. 2014 ) + 832.5 (Sep. 2014 ) + 1457.8 (Dec. 2014 ) = $4,162 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.

Enterprise Products Partners LP's net income from continuing operations for the three months ended in Dec. 2014 was $681 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

Enterprise Products Partners LP's depreciation, depletion and amortization for the three months ended in Dec. 2014 was $368 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.

Enterprise Products Partners LP's change in working capital for the three months ended in Dec. 2014 was $328 Mil. It means Enterprise Products Partners LP's working capital increased by $328 Mil from Sep. 2014 to Dec. 2014 .

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

Enterprise Products Partners LP's cash flow from deferred tax for the three months ended in Dec. 2014 was $4 Mil.

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

Enterprise Products Partners LP's cash flow from discontinued operations for the three months ended in Dec. 2014 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.

Enterprise Products Partners LP's stock based compensation for the three months ended in Dec. 2014 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).

Enterprise Products Partners LP's cash flow from others for the three months ended in Dec. 2014 was $77 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.

Enterprise Products Partners LP Annual Data

Dec05Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14
NetIncomeFromContinuingOperations 4206015341,1891,1401,3842,0882,4282,6072,834
CF_DDA 4214485247388379851,0071,1051,2181,361
ChangeInWorkingCapital -26683441-411250-190267-583-98-108
CF_DeferredTax 914865812-66386
Cash Flow from Disc. Op. 0000000000
Stock Based Compensation 0000000000
Cash Flow from Others 49288445179114-44710170
Cash Flow from Operations 6321,1751,5911,5672,4102,3003,3312,8913,8664,162

Enterprise Products Partners LP Quarterly Data

Sep12Dec12Mar13Jun13Sep13Dec13Mar14Jun14Sep14Dec14
NetIncomeFromContinuingOperations 588617755553593706807647699681
CF_DDA 280287292308303315320331341368
ChangeInWorkingCapital -630328-8-401-105416343-541-237328
CF_DeferredTax -32-7211760024
Cash Flow from Disc. Op. 0000000000
Stock Based Compensation 0000000000
Cash Flow from Others 4241-33502756-65312777
Cash Flow from Operations 2781,2751,0005318351,4991,4044688331,458
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