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Constellation Brands Inc (NYSE:STZ)
Cash Flow from Operations
$1,656 Mil (TTM As of Aug. 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 Aug. 2016, Constellation Brands Inc's Net Income From Continuing Operations was $353 Mil. Its DDA was $60 Mil. Its Change In Working Capital was $203 Mil. Its cash flow from deferred tax was $0 Mil. Its Cash Flow from Discontinued Operations was $0 Mil. Its Stock Based Compensation was $15 Mil. And its Cash Flow from Others was $67 Mil. In all, Constellation Brands Inc's Cash Flow from Operations for the three months ended in Aug. 2016 was $699 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.

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

Constellation Brands Inc's Cash Flow from Operations for the quarter that ended in Aug. 2016 is

Constellation Brands Inc Cash Flow from Operations for the trailing twelve months (TTM) ended in Aug. 2016 was 288.5 (Nov. 2015 ) + 322.1 (Feb. 2016 ) + 345.9 (May. 2016 ) + 699 (Aug. 2016 ) = $1,656 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.

Constellation Brands Inc's net income from continuing operations for the three months ended in Aug. 2016 was $353 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

Constellation Brands Inc's depreciation, depletion and amortization for the three months ended in Aug. 2016 was $60 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.

Constellation Brands Inc's change in working capital for the three months ended in Aug. 2016 was $203 Mil. It means Constellation Brands Inc's working capital increased by $203 Mil from May. 2016 to Aug. 2016 .

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

Constellation Brands Inc's cash flow from deferred tax for the three months ended in Aug. 2016 was $0 Mil.

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

Constellation Brands Inc's cash flow from discontinued operations for the three months ended in Aug. 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.

Constellation Brands Inc's stock based compensation for the three months ended in Aug. 2016 was $15 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).

Constellation Brands Inc's cash flow from others for the three months ended in Aug. 2016 was $67 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.

Constellation Brands Inc Annual Data

Feb07Feb08Feb09Feb10Feb11Feb12Feb13Feb14Feb15Feb16
NetIncomeFromContinuingOperations 332-613-301995604453881,9438361,061
CF_DDA 139166157156134104115155202221
ChangeInWorkingCapital -169-3-99-56-161102-68-2-142-161
CF_DeferredTax 53982-3171483942790
Cash Flow from Disc. Op. 0000000000
Stock Based Compensation 17324656464841505554
Cash Flow from Others -58840702178-303841-1,36251239
Cash Flow from Operations 3135205074036207845568261,0811,414

Constellation Brands Inc Quarterly Data

May14Aug14Nov14Feb15May15Aug15Nov15Feb16May16Aug16
NetIncomeFromContinuingOperations 207196222212240304271245319353
CF_DDA 50545247555751586060
ChangeInWorkingCapital -85158-23217-143192-136-74-103203
CF_DeferredTax 402800000000
Cash Flow from Disc. Op. 0000000000
Stock Based Compensation 12161413121415141615
Cash Flow from Others 10-162642413188795467
Cash Flow from Operations 23243682331206597289322346699
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