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FirstEnergy Corp (NYSE:FE)
Cash Flow from Operations
$3,506 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, FirstEnergy Corp's Net Income From Continuing Operations was $205 Mil. Its DDA was $392 Mil. Its Change In Working Capital was $-177 Mil. Its cash flow from deferred tax was $114 Mil. Its Cash Flow from Discontinued Operations was $0 Mil. Its Stock Based Compensation was $0 Mil. And its Cash Flow from Others was $251 Mil. In all, FirstEnergy Corp's Cash Flow from Operations for the three months ended in Mar. 2017 was $785 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.

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

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

FirstEnergy Corp Cash Flow from Operations for the trailing twelve months (TTM) ended in Mar. 2017 was 810 (Jun. 2016 ) + 1120 (Sep. 2016 ) + 791 (Dec. 2016 ) + 785 (Mar. 2017 ) = $3,506 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.

FirstEnergy Corp's net income from continuing operations for the three months ended in Mar. 2017 was $205 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

FirstEnergy Corp's depreciation, depletion and amortization for the three months ended in Mar. 2017 was $392 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.

FirstEnergy Corp's change in working capital for the three months ended in Mar. 2017 was $-177 Mil. It means FirstEnergy Corp's working capital declined by $177 Mil from Dec. 2016 to Mar. 2017 .

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

FirstEnergy Corp's cash flow from deferred tax for the three months ended in Mar. 2017 was $114 Mil.

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

FirstEnergy 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.

FirstEnergy Corp's stock based compensation for the three months ended in Mar. 2017 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).

FirstEnergy Corp's cash flow from others for the three months ended in Mar. 2017 was $251 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.

FirstEnergy Corp Annual Data

Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14Dec15Dec16
NetIncomeFromContinuingOperations 1,3091,339990718856755392299578-6,177
CF_DDA 1,7586777367501,0621,3472,0221,5921,9221,997
ChangeInWorkingCapital 67-3629968462-32-1735515950
CF_DeferredTax -9366384450798647243162284-3,063
Cash Flow from Disc. Op. 0000000000
Stock Based Compensation 0-6420-1-1000000
Cash Flow from Others -1,4312682361,091-105-39717860550410,564
Cash Flow from Operations 1,6942,2242,4653,0763,0632,3202,6622,7133,4473,371

FirstEnergy Corp Quarterly Data

Dec14Mar15Jun15Sep15Dec15Mar16Jun16Sep16Dec16Mar17
NetIncomeFromContinuingOperations -220222187395-226328-1,089380-5,796205
CF_DDA 478425444514539461461518557392
ChangeInWorkingCapital 210-480156105378-2041006985-177
CF_DeferredTax -16512792209-144206-134246-3,381114
Cash Flow from Disc. Op. 0000000000
Stock Based Compensation 0000000000
Cash Flow from Others 673-101-82104583-1411,472-939,326251
Cash Flow from Operations 9761937971,3271,1306508101,120791785
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