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McDonald's Corp (NYSE:MCD)
Cash from Financing
$-4,618 Mil (TTM As of Dec. 2014)

Cash from financing is the cash generated/spent from financial activities such as share issuance (buy back), debt issuance (repayment), and dividends paid to preferred and common stockholders.

For the three months ended in Dec. 2014, McDonald's Corp paid $1,111 Mil more to buy back shares than it received from issuing new shares. It received $124 Mil from issuing more debt. It paid $0 Mil more to buy back preferred shares than it received from issuing preferred shares. It spent $821 Mil paying cash dividends to shareholders. It received $37 Mil on other financial activities. In all, McDonald's Corp spent $1,772 Mil on financial activities for the three months ended in Dec. 2014.


Definition

This is the cash generated/spent from financial activities such as share issuance (buy back), debt issuance (repayment), and dividends paid to preferred and common stockholders. In the calculation of free cash flow, cash from financing is not calculated because it is not related to operating activities.

McDonald's Corp's Cash from Financing for the fiscal year that ended in Dec. 2014 is calculated as:

Cash from Financing(A: Dec. 2014 )
=Net Issuance of Stock+Net Issuance of Debt+Net Issuance of Preferred+Dividends+Other Financing
=-3198.6+1502.9+0+-3216.1+293.5
=-4,618

McDonald's Corp's Cash from Financing for the quarter that ended in Dec. 2014 is

Cash from Financing(Q: Dec. 2014 )
=Net Issuance of Stock+Net Issuance of Debt+Net Issuance of Preferred+Dividends+Other Financing
=-1111.2+123.6+0+-820.8+36.6
=-1,772

McDonald's Corp Cash Flow from Financing for the trailing twelve months (TTM) ended in Dec. 2014 was -1355.1 (Mar. 2014 ) + 51 (Jun. 2014 ) + -1542.4 (Sep. 2014 ) + -1771.8 (Dec. 2014 ) = $-4,618 Mil.

* All numbers are in millions except for per share data and ratio. All numbers are in their own currency.


Explanation

Cash from financing contains five items:

1. Net Issuance of Stock:
A company may raise cash from issuing new shares. It can also use cash to buy back shares. If this number is positive, it means that the company has received more cash from issuing shares than it has paid to buy back shares. If this number is negative, it means that company has paid more cash to buy back shares than it has received for issuing shares.

McDonald's Corp's net issuance of stock for the three months ended in Dec. 2014 was $-1,111 Mil. McDonald's Corp paid $1,111 Mil more to buy back shares than it received from issuing new shares.

2. Net Issuance of Debt:
Net issuance of debt is the cash a company received or spent through debt related activities such as debt issuance or debt repayment. If a company pays down its debt during the period, this number will be negative. If a company issued more debt, it receives cash and this number is positive.

McDonald's Corp's net issuance of debt for the three months ended in Dec. 2014 was $124 Mil. McDonald's Corp received $124 Mil from issuing more debt.

3. Net Issuance of Preferred:
A company may raise cash from issuing new preferred shares. It can also use cash to buy back preferred shares. If this number is positive, it means that the company has received more cash from issuing preferred shares than it has paid to buy back preferred shares. If this number is negative, it means that company has paid more cash to buy back preferred shares than it has received for issuing preferred shares.

McDonald's Corp's net issuance of preferred for the three months ended in Dec. 2014 was $0 Mil. McDonald's Corp paid $0 Mil more to buy back preferred shares than it received from issuing preferred shares.

4. Dividends:
Cash flow for dividends refers to the payment of cash to shareholders as dividends when the company generates income.

McDonald's Corp's cash flow for dividends for the three months ended in Dec. 2014 was $-821 Mil. McDonald's Corp spent $821 Mil paying cash dividends to shareholders.

5. Other Financing:
Money spent or earned by company from other financial activities.

McDonald's Corp's other financing for the three months ended in Dec. 2014 was $37 Mil. McDonald's Corp received $37 Mil on other financial activities.


Related Terms

Cash Flow from Operations, Cash Flow from Investing, Net Issuance of Stock, Net Issuance of Debt, Dividends, Net Issuance of Preferred


Historical Data

* All numbers are in millions except for per share data and ratio. All numbers are in their own currency.

McDonald's Corp Annual Data

Dec05Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14
Net Issuance of Stock -434-1,984-3,943-3,919-2,797-2,699-3,363-2,615-1,778-3,199
Net Issuance of Debt 1,612-2,2655731,0462197871,0041,2055351,503
Net Issuance of Preferred 0000000000
Dividends -842-1,217-1,766-1,823-2,236-2,408-2,610-2,897-3,115-3,216
Other Financing 10551,140583393591436457314293
Cash from Financing 442-5,460-3,996-4,115-4,421-3,729-4,533-3,850-4,043-4,618

McDonald's Corp Quarterly Data

Sep12Dec12Mar13Jun13Sep13Dec13Mar14Jun14Sep14Dec14
Net Issuance of Stock -651-381-339-433-501-505-440-704-944-1,111
Net Issuance of Debt -379414-622599-68626-2351,467148124
Net Issuance of Preferred 0000000000
Dividends -704-771-772-771-768-804-802-801-793-821
Other Financing 116132165803535121884737
Cash from Financing -1,618-607-1,569-525-1,302-648-1,35551-1,542-1,772
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