Financial Statements

Automatic Data Processing, Inc. (ADP)

$249.74

+1.41 (+0.57%)

Cash Flow Statement

All numbers are in thousands
Year XLSX
2023
XLSX
2022
XLSX
2021
XLSX
2020
XLSX
2019
Operating Cash Flow 4,207,6003,099,5003,093,3003,026,2002,688,300
Net Income 3,412,0002,948,9002,598,5002,466,5002,292,800
Depreciation & Amortization 549,300515,100510,700480,000409,000
Deferred income taxes -80,10036,600-251,10026,0009,300
Stock-based compensation 220,400201,700175,300130,800167,300
Change in working capital -938,700-1,638,300-937,400-1,120,000-1,205,800
Other non-cash items 1,044,7001,035,500997,3001,042,9001,015,700
Investing Cash Flow -2,517,300-7,014,400-3,515,0003,156,300-2,197,700
Investments in PPE -571,600-553,400-505,900-616,400-566,500
Acquisitions -32,400-11,700505,900616,400-125,500
Investment purchases -6,618,800-10,733,200-9,266,300-3,905,100-4,422,600
Sales/Maturities of investments 4,705,5004,249,7006,238,4007,648,4002,909,000
Other Investing Activites -34,200-487,100-587,0007,900
Financing Cash Flow -15,680,70013,653,4006,437,500-5,890,600-207,700
Debt repayment -1,000-900-1,001,800-2,200-2,100
Dividends payments -1,903,600-1,659,000-1,575,500-1,470,500-1,293,000
Common Stock Repurchased -1,121,400-1,969,400-1,372,300-1,006,300-937,700
Common Stock Issuance 1,122,4001,970,3002,374,1001,008,500939,800
Other Financing Activites -13,777,10015,312,4008,013,000-4,420,1001,085,300
Accounts receivables 129,200-486,500-339,800-113,800-473,900
Accounts payables -11,800-16,40036,900-18,300-10,700
Inventory -938,700---77,500266,000
Other working capital -117,400-1,135,400-634,500-910,400-987,200
Cash at beginning of period 22,783,00013,143,2007,053,6006,796,2006,542,100
Cash at end of period 8,771,50022,783,00013,143,2007,053,6006,796,200
Capital Expenditure -571,600-553,400-505,900-616,400-566,500
Effect of forex changes on cash -21,100-98,70073,800-34,500-28,800
Net cash flow / Change in cash -14,011,5009,639,8006,089,600257,400254,100
Free Cash Flow 3,636,0002,546,1002,587,4002,409,8002,121,800

Automatic Data Processing, Inc. income statement is the only one that provides an overview of company sales and net income
The reasoning behind the adjustment, however, is that free cash flow is meant to measure money being spent right now, not transactions that happened in the past. This makes Automatic Data Processing, Inc. FCF a useful instrument for identifying growing companies with high up-front costs, which may eat into earnings now but have the potential to pay off later.