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Deere & Co (NYSE:DE)
Cash Flow from Operations
$3,902 Mil (TTM As of Apr. 2017)

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 Apr. 2017, Deere & Co's Net Income From Continuing Operations was $802 Mil. Its DDA was $0 Mil. Its Change In Working Capital was $-313 Mil. Its cash flow from deferred tax was $-106 Mil. Its Cash Flow from Discontinued Operations was $0 Mil. Its Stock Based Compensation was $14 Mil. And its Cash Flow from Others was $170 Mil. In all, Deere & Co's Cash Flow from Operations for the three months ended in Apr. 2017 was $567 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.

Deere & Co's Cash Flow from Operations for the fiscal year that ended in Oct. 2016 is calculated as:

Deere & Co's Cash Flow from Operations for the quarter that ended in Apr. 2017 is

Deere & Co Cash Flow from Operations for the trailing twelve months (TTM) ended in Apr. 2017 was 1632.3 (Jul. 2016 ) + 2444.4 (Oct. 2016 ) + -742.4 (Jan. 2017 ) + 567.4 (Apr. 2017 ) = $3,902 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.

Deere & Co's net income from continuing operations for the three months ended in Apr. 2017 was $802 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

Deere & Co's depreciation, depletion and amortization for the three months ended in Apr. 2017 was $0 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.

Deere & Co's change in working capital for the three months ended in Apr. 2017 was $-313 Mil. It means Deere & Co's working capital declined by $313 Mil from Jan. 2017 to Apr. 2017 .

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

Deere & Co's cash flow from deferred tax for the three months ended in Apr. 2017 was $-106 Mil.

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

Deere & Co's cash flow from discontinued operations for the three months ended in Apr. 2017 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.

Deere & Co's stock based compensation for the three months ended in Apr. 2017 was $14 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).

Deere & Co's cash flow from others for the three months ended in Apr. 2017 was $170 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.

Deere & Co Annual Data

Oct07Oct08Oct09Oct10Oct11Oct12Oct13Oct14Oct15Oct16
NetIncomeFromContinuingOperations 1,8222,0538731,8742,8083,0723,5383,1631,9411,522
CF_DDA 7448318739153063391,1404941,382742
ChangeInWorkingCapital 62-1,172-496-1,222-1,322-2,698-1,416-654240314
CF_DeferredTax -490172175-168-92-173-280-18283
Cash Flow from Disc. Op. 0000000000
Stock Based Compensation 0717171697581796671
Cash Flow from Others 1367749346963447284725129833
Cash Flow from Operations 2,7591,9491,9852,2822,3261,1683,2543,5263,7403,764

Deere & Co Quarterly Data

Jan15Apr15Jul15Oct15Jan16Apr16Jul16Oct16Jan17Apr17
NetIncomeFromContinuingOperations 387691512352254495489285193802
CF_DDA 0000000000
ChangeInWorkingCapital -1,445-6415201,805-1,685-3538321,520-1,381-313
CF_DeferredTax 176000240-147006-106
Cash Flow from Disc. Op. 0000000000
Stock Based Compensation 18111918181520191814
Cash Flow from Others 354295296373396456292621421170
Cash Flow from Operations -5103551,3472,549-7784651,6322,444-742567
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