Microsoft Corp (MSFT)
Earnings Release FY13 Q2
Cash Flows Statements (in millions)
   Three Months Ended
December 31,
   Six Months Ended
December 31,
2012 2011 2012 2011
Operations
Net income $ 6,377 $ 6,624 $ 10,843 $ 12,362
Adjustments to reconcile net income to net cash from operations:
Depreciation, amortization, and other 1,009 678 1,719 1,404
Stock-based compensation expense 603 575 1,206 1,133
Net recognized losses (gains) on investments and derivatives 22 (112) 33 (142)
Excess tax benefits from stock-based compensation (9) (4) (186) (74)
Deferred income taxes 140 14 178 416
Deferral of unearned revenue 10,737 7,544 18,946 13,683
Recognition of unearned revenue (10,483) (8,057) (19,253) (15,710)
Changes in operating assets and liabilities:
Accounts receivable (4,488) (3,652) 1,668 1,081
Inventories (33) 891 (506) (29)
Other current assets 150 605 (235) 865
Other long-term assets (80) 30 (313) (45)
Accounts payable 685 176 118 (266)
Other current liabilities 168 394 (1,119) (599)
Other long-term liabilities (18) 156 165 276
Net cash from operations 4,780 5,862 13,264 14,355
Financing
Proceeds from issuance of debt 2,232 0 2,232 0
Common stock issued 145 208 562 544
Common stock repurchased (1,658) (1,042) (3,290) (2,976)
Common stock cash dividends paid (1,933) (1,683) (3,609) (3,024)
Excess tax benefits from stock-based compensation 9 4 186 74
Other (16) 0 (16) 0
Net cash used in financing (1,221) (2,513) (3,935) (5,382)
Investing
Additions to property and equipment (930) (498) (1,533) (934)
Acquisition of companies, net of cash acquired, and purchases of intangible and other assets (311) (8,627) (1,456) (9,502)
Purchases of investments (10,074) (10,047) (30,212) (21,346)
Maturities of investments 1,989 6,061 3,248 8,886
Sales of investments 7,126 7,835 20,433 15,371
Securities lending payable (393) (292) (792) (358)
Net cash used in investing (2,593) (5,568) (10,312) (7,883)
Effect of exchange rates on cash and cash equivalents 15 (52) 62 (90)
Net change in cash and cash equivalents 981 (2,271) (921) 1,000
Cash and cash equivalents, beginning of period 5,036 12,881 6,938 9,610
Cash and cash equivalents, end of period $ 6,017 $ 10,610 $ 6,017 $ 10,610
 
Related Information
FY13 Earnings Release Schedule
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