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Rockwell Automation Inc (NYSE:ROK)
Cash Flow from Operations
$1,051 Mil (TTM As of Mar. 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 Mar. 2014, Rockwell Automation Inc's Net Income From Continuing Operations was $180 Mil. Its DDA was $38 Mil. Its Change In Working Capital was $-38 Mil. Its cash flow from deferred tax was $0 Mil. Its Cash Flow from Discontinued Operations was $0 Mil. And its Cash Flow from Others was $22 Mil. In all, Rockwell Automation Inc's Cash Flow from Operations for the three months ended in Mar. 2014 was $203 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.

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

Rockwell Automation Inc's Cash Flow from Operations for the quarter that ended in Mar. 2014 is

Rockwell Automation Inc Cash Flow from Operations for the trailing twelve months (TTM) ended in Mar. 2014 was 293.9 (Jun. 2013 ) + 351 (Sep. 2013 ) + 203.5 (Dec. 2013 ) + 202.8 (Mar. 2014 ) = $1,051 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.

Rockwell Automation Inc's net income from continuing operations for the three months ended in Mar. 2014 was $180 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

Rockwell Automation Inc's depreciation, depletion and amortization for the three months ended in Mar. 2014 was $38 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.

Rockwell Automation Inc's change in working capital for the three months ended in Mar. 2014 was $-38 Mil. It means Rockwell Automation Inc's working capital declined by $38 Mil from Dec. 2013 to Mar. 2014 .

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

Rockwell Automation Inc's cash flow from deferred tax for the three months ended in Mar. 2014 was $0 Mil.

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

Rockwell Automation Inc's cash flow from discontinued operations for the three months ended in Mar. 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).

Rockwell Automation Inc's cash flow from others for the three months ended in Mar. 2014 was $22 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.

Rockwell Automation Inc Annual Data

Sep04Sep05Sep06Sep07Sep08Sep09Sep10Sep11Sep12Sep13
NetIncomeFromContinuingOperations 3545406071,488578218440697737756
CF_DDA 187127117118137134127131139145
ChangeInWorkingCapital 65-10486-207-129110-65-151-31-21
CF_DeferredTax 641183-44-1615584782-7
Cash Flow from Disc. Op. 0000-6-1-1-4-1-7
Cash Flow from Others -47-17-390-8972850-65-77-208148
Cash Flow from Operations 6236654244595915264946447191,015

Rockwell Automation Inc Quarterly Data

Dec11Mar12Jun12Sep12Dec12Mar13Jun13Sep13Dec13Mar14
NetIncomeFromContinuingOperations 183168191195161176204215198180
CF_DDA 33353536353638363638
ChangeInWorkingCapital -124291252-64-421174-53-38
CF_DeferredTax 00082000-700
Cash Flow from Disc. Op. -0-0-0-0-700000
Cash Flow from Others -281222725423342322322
Cash Flow from Operations -189254264390167203294351204203
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