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TechnipFMC PLC (NYSE:FTI)
Cash Flow from Operations
$515 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, TechnipFMC PLC's Net Income From Continuing Operations was $194 Mil. Its DDA was $154 Mil. Its Change In Working Capital was $-305 Mil. Its cash flow from deferred tax was $0 Mil. Its Cash Flow from Discontinued Operations was $0 Mil. Its Stock Based Compensation was $0 Mil. And its Cash Flow from Others was $107 Mil. In all, TechnipFMC PLC's Cash Flow from Operations for the three months ended in Mar. 2017 was $151 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.

TechnipFMC PLC's Cash Flow from Operations for the fiscal year that ended in Dec. 2015 is calculated as:

Cash Flow from Operations(A: Dec. 2015 )
=Net Income From Continuing Operations+DDA+Change In Working Capital+Deferred Tax
=61.220043573+376.906318083+166.666666667+-69.4989106754
+Cash Flow from Discontinued Operations+Stock Based Compensation+Cash Flow from Others
+0+44.1176470588+107.952069717
=687

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

TechnipFMC PLC Cash Flow from Operations for the trailing twelve months (TTM) ended in Mar. 2017 was 157.606904232 (Mar. 2016 ) + 429.178651685 (Jun. 2016 ) + -223.232323232 (Sep. 2016 ) + 151.127272727 (Mar. 2017 ) = $515 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.

TechnipFMC PLC's net income from continuing operations for the three months ended in Mar. 2017 was $194 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

TechnipFMC PLC's depreciation, depletion and amortization for the three months ended in Mar. 2017 was $154 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.

TechnipFMC PLC's change in working capital for the three months ended in Mar. 2017 was $-305 Mil. It means TechnipFMC PLC's working capital declined by $305 Mil from Sep. 2016 to Mar. 2017 .

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

TechnipFMC PLC'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.

TechnipFMC PLC'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.

TechnipFMC PLC'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).

TechnipFMC PLC's cash flow from others for the three months ended in Mar. 2017 was $107 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.

TechnipFMC PLC Annual Data

Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14Dec15
NetIncomeFromContinuingOperations 26718661426054966171778154561
CF_DDA 211237255327193229256298349377
ChangeInWorkingCapital 785922-307381-663-172-576387-736167
CF_DeferredTax -34-115-27-85-673671322-69
Cash Flow from Disc. Op. 0000000000
Stock Based Compensation 014355636610634944
Cash Flow from Others 22-4344-153431152-56108
Cash Flow from Operations 1,2511,202614924518575841,563154687

TechnipFMC PLC Quarterly Data

Sep14Dec14Mar15Jun15Sep15Dec15Mar16Jun16Sep16Mar17
NetIncomeFromContinuingOperations 17210296-342189123145138206194
CF_DDA 82118781289087737576154
ChangeInWorkingCapital -40-45834460-27833-54276-537-305
CF_DeferredTax 22-291-11431100000
Cash Flow from Disc. Op. 0000000000
Stock Based Compensation 11137105220000
Cash Flow from Others 12-98271008-34-7-6032107
Cash Flow from Operations 259-351553-15945241158429-223151
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