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Dover Corp (NYSE:DOV)
Cash Flow from Operations
$807 Mil (TTM As of Mar. 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 Mar. 2017, Dover Corp's Net Income From Continuing Operations was $172 Mil. Its DDA was $96 Mil. Its Change In Working Capital was $-112 Mil. Its cash flow from deferred tax was $0 Mil. Its Cash Flow from Discontinued Operations was $0 Mil. Its Stock Based Compensation was $13 Mil. And its Cash Flow from Others was $-90 Mil. In all, Dover Corp's Cash Flow from Operations for the three months ended in Mar. 2017 was $78 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.

Dover Corp's Cash Flow from Operations for the fiscal year that ended in Dec. 2016 is calculated as:

Dover Corp's Cash Flow from Operations for the quarter that ended in Mar. 2017 is

Dover Corp Cash Flow from Operations for the trailing twelve months (TTM) ended in Mar. 2017 was 207.868 (Jun. 2016 ) + 231.665 (Sep. 2016 ) + 289.029 (Dec. 2016 ) + 78.071 (Mar. 2017 ) = $807 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.

Dover Corp's net income from continuing operations for the three months ended in Mar. 2017 was $172 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

Dover Corp's depreciation, depletion and amortization for the three months ended in Mar. 2017 was $96 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.

Dover Corp's change in working capital for the three months ended in Mar. 2017 was $-112 Mil. It means Dover Corp's working capital declined by $112 Mil from Dec. 2016 to Mar. 2017 .

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

Dover Corp's cash flow from deferred tax for the three months ended in Mar. 2017 was $0 Mil.

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

Dover Corp's cash flow from discontinued operations for the three months ended in Mar. 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.

Dover Corp's stock based compensation for the three months ended in Mar. 2017 was $13 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).

Dover Corp's cash flow from others for the three months ended in Mar. 2017 was $-90 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.

Dover Corp Annual Data

Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14Dec15Dec16
NetIncomeFromContinuingOperations 661695372619773650798778596509
CF_DDA 245261258229290230278307327361
ChangeInWorkingCapital 11-1296-49-14477-149-126-15171
CF_DeferredTax -3333-23643-38-34-6-79
Cash Flow from Disc. Op. 0-9-7100117171666-1160
Stock Based Compensation 0251820253130323121
Cash Flow from Others -91082-4114112-52-13132-120
Cash Flow from Operations 8751,0037969431,0801,267980950949862

Dover Corp Quarterly Data

Dec14Mar15Jun15Sep15Dec15Mar16Jun16Sep16Dec16Mar17
NetIncomeFromContinuingOperations 17211715618613799118130161172
CF_DDA 81807877928988879796
ChangeInWorkingCapital 225-79-212957-552416185-112
CF_DeferredTax 0000000000
Cash Flow from Disc. Op. -224-16-82-2200000
Stock Based Compensation 7135751133313
Cash Flow from Others -64-47-17140-11-25-5-158-90
Cash Flow from Operations 39913120920140813320823228978
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