Operating cash flow

The cash a company's normal business actually brings in during a period, after paying its everyday bills.

It can differ from profit, because profit includes some items that aren’t cash, like the gradual write-down of equipment.

Also called: cash from operations, operating cash.

Related terms

  • Free cash flow: The cash a company has left after paying for its day-to-day business and its capex. It's the money it could use to pay dividends, buy back shares or pay down debt.
  • Capex: Money a company spends on long-lasting things like buildings, data centers, factories and equipment. It's an investment in the future, so it doesn't show up as a normal cost all at once.

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