Definition of Operating Cash Flow (OCF)

Definition of Operating Cash Flow (OCF)

Definition: What is the Operating Cash Flow (OCF)?

Operating Cash Flow is the calculation that measures the cash production from the company’s principal operations and activities by subtracting the operating expenses from total revenue. OCF also called cash flow from operations.

Definition of Operating Cash Flow (OCF)

It not consider the interest and investment and shows the amount of cash flow that the operations of the company generated.

For the investors and creditors, this is a very important calculation because through this investors and creditors analyze, how much successful the operations of the company are.

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