Operating Cash Flow (OCF) Calculator

Easily calculate your company's operating cash flow (OCF) with our intuitive calculator. Analyze cash inflows and outflows to assess financial health quickly.

Result Operating Cash Flow ($) $0

Operating Cash Flow Formula

OCF = Net Income + Depreciation - Changes in Working Capital + Other Adjustments

This formula calculates the cash generated from core business operations by adjusting net income for non-cash expenses, changes in working capital, and other relevant adjustments.

Operating Cash Flow Example

For example, a company reports a net income of $100,000, depreciation of $20,000 (a non-cash expense), and a $5,000 increase in accounts receivable. If there are no other adjustments, the OCF calculation would be:

OCF = $100,000 + $20,000 - $5,000 = $115,000

This means the company generated $115,000 from its operating activities.

Operating Cash Flow Meaning

Operating cash flow (OCF) represents the cash generated by a company’s regular business activities. It indicates the company’s ability to generate cash from its core operations, which is crucial for assessing its financial stability and operational efficiency.