Switch to:
E*Trade Financial Corp (NAS:ETFC)
Cash Flow from Operations
$1,148 Mil (TTM As of Jun. 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 Jun. 2014, E*Trade Financial Corp's Net Income From Continuing Operations was $69 Mil. Its DDA was $80 Mil. Its Change In Working Capital was $234 Mil. Its cash flow from deferred tax was $50 Mil. Its Cash Flow from Discontinued Operations was $0 Mil. And its Cash Flow from Others was $10 Mil. In all, E*Trade Financial Corp's Cash Flow from Operations for the three months ended in Jun. 2014 was $443 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.

E*Trade Financial Corp's Cash Flow from Operations for the fiscal year that ended in Dec. 2013 is calculated as:

E*Trade Financial Corp's Cash Flow from Operations for the quarter that ended in Jun. 2014 is

E*Trade Financial Corp Cash Flow from Operations for the trailing twelve months (TTM) ended in Jun. 2014 was 619.499 (Sep. 2013 ) + 228.583 (Dec. 2013 ) + -143 (Mar. 2014 ) + 443 (Jun. 2014 ) = $1,148 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.

E*Trade Financial Corp's net income from continuing operations for the three months ended in Jun. 2014 was $69 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

E*Trade Financial Corp's depreciation, depletion and amortization for the three months ended in Jun. 2014 was $80 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.

E*Trade Financial Corp's change in working capital for the three months ended in Jun. 2014 was $234 Mil. It means E*Trade Financial Corp's working capital increased by $234 Mil from Mar. 2014 to Jun. 2014 .

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

E*Trade Financial Corp's cash flow from deferred tax for the three months ended in Jun. 2014 was $50 Mil.

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

E*Trade Financial Corp's cash flow from discontinued operations for the three months ended in Jun. 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).

E*Trade Financial Corp's cash flow from others for the three months ended in Jun. 2014 was $10 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.

E*Trade Financial Corp Annual Data

Dec04Dec05Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13
NetIncomeFromContinuingOperations 680431629-1,442-512-1,298-28157-11386
CF_DDA 403363287282293346339341410395
ChangeInWorkingCapital 1,022-7,03514-1,226-18-77159237-643286
CF_DeferredTax 804900-447-489-868-137107
Cash Flow from Disc. Op. 0000000000
Cash Flow from Others -5727,048-493,1802,9312,489666353325243
Cash Flow from Operations 1,6148578817952,2479721,0491,096-1591,117

E*Trade Financial Corp Quarterly Data

Mar12Jun12Sep12Dec12Mar13Jun13Sep13Dec13Mar14Jun14
NetIncomeFromContinuingOperations 6340-29-18635-5447589769
CF_DDA 9310010810911410196847980
ChangeInWorkingCapital -325-12940-230259-41941036-349234
CF_DeferredTax -67142104-31618834473650
Cash Flow from Disc. Op. 0000000000
Cash Flow from Others 474712510633174324-610
Cash Flow from Operations -189200348-517459-190619229-143443
Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names | Earn affiliate commissions by embedding GuruFocus Charts
GuruFocus Affiliate Program: Earn up to $400 per referral. ( Learn More)
Free 7-day Trial
FEEDBACK