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Valeant Pharmaceuticals International Inc (NYSE:VRX)
Cash Flow from Operations
$1,271 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, Valeant Pharmaceuticals International Inc's Net Income From Continuing Operations was $-20 Mil. Its DDA was $401 Mil. Its Change In Working Capital was $-43 Mil. Its cash flow from deferred tax was $10 Mil. Its Cash Flow from Discontinued Operations was $0 Mil. And its Cash Flow from Others was $136 Mil. In all, Valeant Pharmaceuticals International Inc's Cash Flow from Operations for the three months ended in Mar. 2014 was $484 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.

Valeant Pharmaceuticals International Inc's Cash Flow from Operations for the fiscal year that ended in Dec. 2013 is calculated as:

Valeant Pharmaceuticals International Inc's Cash Flow from Operations for the quarter that ended in Mar. 2014 is

Valeant Pharmaceuticals International Inc Cash Flow from Operations for the trailing twelve months (TTM) ended in Mar. 2014 was 305.028 (Jun. 2013 ) + 201.712 (Sep. 2013 ) + 279.868 (Dec. 2013 ) + 484.3 (Mar. 2014 ) = $1,271 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.

Valeant Pharmaceuticals International Inc's net income from continuing operations for the three months ended in Mar. 2014 was $-20 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

Valeant Pharmaceuticals International Inc's depreciation, depletion and amortization for the three months ended in Mar. 2014 was $401 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.

Valeant Pharmaceuticals International Inc's change in working capital for the three months ended in Mar. 2014 was $-43 Mil. It means Valeant Pharmaceuticals International Inc's working capital declined by $43 Mil from Dec. 2013 to Mar. 2014 .

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

Valeant Pharmaceuticals International Inc's cash flow from deferred tax for the three months ended in Mar. 2014 was $10 Mil.

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

Valeant Pharmaceuticals International 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).

Valeant Pharmaceuticals International Inc's cash flow from others for the three months ended in Mar. 2014 was $136 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.

Valeant Pharmaceuticals International Inc Annual Data

Dec04Dec05Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13
NetIncomeFromContinuingOperations 161236212196200176-208160-116-864
CF_DDA 94108961011031492556139862,016
ChangeInWorkingCapital -41117-22-4844-10-22-137-253-378
CF_DeferredTax 0000-90-16-55-223-320-516
Cash Flow from Disc. Op. 0000000000
Cash Flow from Others 633723793-5261294228359784
Cash Flow from Operations 2774985223412043612636406571,042

Valeant Pharmaceuticals International Inc Quarterly Data

Dec11Mar12Jun12Sep12Dec12Mar13Jun13Sep13Dec13Mar14
NetIncomeFromContinuingOperations 160-13-228-89-2811-972125-20
CF_DDA 208216222235313341318946411401
ChangeInWorkingCapital -65-70-31-115-38-105-263-250-43
CF_DeferredTax -146-15-6-107-192-37-63-186-23010
Cash Flow from Disc. Op. 0000000000
Cash Flow from Others 334991146738466411224136
Cash Flow from Operations 19016725516768255305202280484
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