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GuruFocus has detected 6 Warning Signs with Corning Inc $GLW.
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Corning Inc (NYSE:GLW)
Cash Flow from Operations
$2,521 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, Corning Inc's Net Income From Continuing Operations was $1,572 Mil. Its DDA was $305 Mil. Its Change In Working Capital was $368 Mil. Its cash flow from deferred tax was $739 Mil. Its Cash Flow from Discontinued Operations was $0 Mil. Its Stock Based Compensation was $9 Mil. And its Cash Flow from Others was $-1,567 Mil. In all, Corning Inc's Cash Flow from Operations for the three months ended in Dec. 2016 was $1,426 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.

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

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

Corning Inc Cash Flow from Operations for the trailing twelve months (TTM) ended in Dec. 2016 was -83 (Mar. 2016 ) + 526 (Jun. 2016 ) + 652 (Sep. 2016 ) + 1426 (Dec. 2016 ) = $2,521 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.

Corning Inc's net income from continuing operations for the three months ended in Dec. 2016 was $1,572 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

Corning Inc's depreciation, depletion and amortization for the three months ended in Dec. 2016 was $305 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.

Corning Inc's change in working capital for the three months ended in Dec. 2016 was $368 Mil. It means Corning Inc's working capital increased by $368 Mil from Sep. 2016 to Dec. 2016 .

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

Corning Inc's cash flow from deferred tax for the three months ended in Dec. 2016 was $739 Mil.

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

Corning Inc'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.

Corning Inc's stock based compensation for the three months ended in Dec. 2016 was $9 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).

Corning Inc's cash flow from others for the three months ended in Dec. 2016 was $-1,567 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.

Corning Inc Annual Data

Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14Dec15Dec16
NetIncomeFromContinuingOperations 2,1505,2572,0083,5582,8171,6361,9612,4721,3393,695
CF_DDA 6076957928549579971,0021,2001,1841,195
ChangeInWorkingCapital -14092152-88-332-187-265-33-11887
CF_DeferredTax -98-2,585-218681211818961254-308
Cash Flow from Disc. Op. 0000000000
Stock Based Compensation 13811812792867054584642
Cash Flow from Others -580-1,449-784-649-460672-154400304-2,190
Cash Flow from Operations 2,0772,1282,0773,8353,1893,2062,7874,7092,8092,521

Corning Inc Quarterly Data

Sep14Dec14Mar15Jun15Sep15Dec15Mar16Jun16Sep16Dec16
NetIncomeFromContinuingOperations 1,014988407496212224-3682,2072841,572
CF_DDA 303298291299292302295295300305
ChangeInWorkingCapital -4325-293-77-136388-3903574368
CF_DeferredTax 00-536156-133-345-553-149739
Cash Flow from Disc. Op. 0000000000
Stock Based Compensation 191110151110914109
Cash Flow from Others -215-510191-222162173716-1,472133-1,567
Cash Flow from Operations 1,1171,112601547697964-835266521,426
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