Switch to:
Wisconsin Energy Corp (NYSE:WEC)
Cash Flow from Operations
$1,198 Mil (TTM As of Dec. 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 Dec. 2014, Wisconsin Energy Corp's Net Income From Continuing Operations was $121 Mil. Its DDA was $107 Mil. Its Change In Working Capital was $-160 Mil. Its cash flow from deferred tax was $70 Mil. Its Cash Flow from Discontinued Operations was $0 Mil. Its Stock Based Compensation was $0 Mil. And its Cash Flow from Others was $25 Mil. In all, Wisconsin Energy Corp's Cash Flow from Operations for the three months ended in Dec. 2014 was $163 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.

Wisconsin Energy Corp's Cash Flow from Operations for the fiscal year that ended in Dec. 2014 is calculated as:

Wisconsin Energy Corp's Cash Flow from Operations for the quarter that ended in Dec. 2014 is

Wisconsin Energy Corp Cash Flow from Operations for the trailing twelve months (TTM) ended in Dec. 2014 was 385.1 (Mar. 2014 ) + 336.2 (Jun. 2014 ) + 313.3 (Sep. 2014 ) + 163.1 (Dec. 2014 ) = $1,198 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.

Wisconsin Energy Corp's net income from continuing operations for the three months ended in Dec. 2014 was $121 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

Wisconsin Energy Corp's depreciation, depletion and amortization for the three months ended in Dec. 2014 was $107 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.

Wisconsin Energy Corp's change in working capital for the three months ended in Dec. 2014 was $-160 Mil. It means Wisconsin Energy Corp's working capital declined by $160 Mil from Sep. 2014 to Dec. 2014 .

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

Wisconsin Energy Corp's cash flow from deferred tax for the three months ended in Dec. 2014 was $70 Mil.

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

Wisconsin Energy Corp's cash flow from discontinued operations for the three months ended in Dec. 2014 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.

Wisconsin Energy Corp's stock based compensation for the three months ended in Dec. 2014 was $0 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).

Wisconsin Energy Corp's cash flow from others for the three months ended in Dec. 2014 was $25 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 own currency.

Wisconsin Energy Corp Annual Data

Dec05Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14
NetIncomeFromContinuingOperations 304316336359382457526546577588
CF_DDA 350366338332347317336372400419
ChangeInWorkingCapital -18230-1862360-111227-109-26
CF_DeferredTax 63-5420297187105431293313328
Cash Flow from Disc. Op. 0000000000
Stock Based Compensation 0000000000
Cash Flow from Others 417224-274-348-58-301-26449-112
Cash Flow from Operations 5777305337366298109931,1741,2311,198

Wisconsin Energy Corp Quarterly Data

Sep12Dec12Mar13Jun13Sep13Dec13Mar14Jun14Sep14Dec14
NetIncomeFromContinuingOperations 15699177119138144208133126121
CF_DDA 949498100100103104103106107
ChangeInWorkingCapital 167-18-447785-22618350-160
CF_DeferredTax 10844102417793112767170
Cash Flow from Disc. Op. 0000000000
Stock Based Compensation 0000000000
Cash Flow from Others -142-36-215-3167-39-59-3925
Cash Flow from Operations 384182330351369181385336313163
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