Cloudflare, Inc. (NET) FY2024 Q3 Statement of Cash Flows

Income StatementCash FlowBalance Sheet

Statement of Cash Flows

2024-07-01 to 2024-09-30

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Cloudflare, Inc. cash flow reconciliation, Jul 1, 2024 through Sep 30, 2024One connected Sankey reconciles operating, investing and financing net cash flows through a shared cash pool, from beginning cash to ending cash. Ribbons flow left to right on one dollar scale. Activity totals are dark gray; beginning and ending cash are blue. Cash basis for beginning and ending balances and net cash change: Cash, cash equivalents, and restricted cash. Intermediate calculation bars are lighter gray. Net income is green for profit and red for loss. Identified asset purchases, sales and maturities are blue in either cash direction. Orange marks positive customer-advance and deferred-revenue changes that add to operating cash in the reconciliation. These are net changes, not gross customer receipts. Negative changes are neutral reconciliation adjustments; they do not by themselves identify cash payments. Purple identifies capital transactions such as borrowing, repayments, share issuance and dividends. Free cash flow is a separate comparison, not an added cash flow. Read chart description and values below for full signed amounts, including zero items.Stock-based compensation expense → operating reconciliation: $88,255,000.00Depreciation and amortization expense → operating reconciliation: $31,709,000.00Amortization of deferred contract acquisition costs → operating reconciliation: $19,716,000.00Deferred revenue → operating reconciliation: $17,238,000.00Non-cash operating lease costs → operating reconciliation: $12,500,000.00Accrued expenses and other current liabilities → operating reconciliation: $11,062,000.00Provision for bad debt → operating reconciliation: $2,587,000.00Amortization of debt issuance costs → operating reconciliation: $990,000.00Other noncurrent liabilities → operating reconciliation: $594,000.00Other → operating reconciliation: $70,000.00operating reconciliation → Net cash from operating activities: $104,727,000.00operating reconciliation → Net loss: $15,331,000.00operating reconciliation → Deferred contract acquisition costs: $27,766,000.00operating reconciliation → Operating lease liabilities: $10,989,000.00operating reconciliation → Net accretion of discounts and amortization of premiums on available-for-sale securities: $9,952,000.00operating reconciliation → Accounts payable: $8,179,000.00operating reconciliation → Accounts receivable, net: $5,301,000.00operating reconciliation → Other noncurrent assets: $1,320,000.00operating reconciliation → Prepaid expenses and other current assets: $587,000.00operating reconciliation → Contract assets: $541,000.00operating reconciliation → Deferred income taxes: $28,000.00Maturities of available-for-sale securities → investing reconciliation: $380,687,000.00Other investing activities → investing reconciliation: $11,000.00investing reconciliation → Purchases of available-for-sale securities: $396,612,000.00investing reconciliation → Purchases of property and equipment: $50,203,000.00investing reconciliation → Capitalized internal-use software: $9,245,000.00investing reconciliation → Asset acquisitions and business combinations, net of cash acquired: $1,038,000.00Net cash used in financing activities → financing reconciliation: $2,411,000.00Proceeds from the exercise of stock options → financing reconciliation: $1,417,000.00financing reconciliation → Payment of tax withholding obligation on RSU settlement: $3,828,000.00Net cash used in investing activities → investing reconciliation: $76,400,000.00Beginning cash: Cash, cash equivalents, and restricted cash → Cash sources and uses: $159,990,000.00Net cash from operating activities → Cash sources and uses: $104,727,000.00Cash sources and uses → Ending cash: Cash, cash equivalents, and restricted cash: $185,906,000.00Cash sources and uses → Net cash used in investing activities: $76,400,000.00Cash sources and uses → Net cash used in financing activities: $2,411,000.00Operating lease liabilities: -$10,989,000.00Operating lease liabilities−$10.99 MProvision for bad debt: $2,587,000.00Credit loss provision+$2.59 MDeferred contract acquisition costs: -$27,766,000.00Deferred contract costs, net−$27.77 MDeferred revenue: $17,238,000.00Deferred revenue+$17.24 MNon-cash operating lease costs: $12,500,000.00Non-cash operating lease costs+$12.50 MStock-based compensation expense: $88,255,000.00Stock-based compensation+$88.26 MContract assets: -$541,000.00Contract assets−$541.00 KDepreciation and amortization expense: $31,709,000.00Depreciation & amortization+$31.71 MOther: $70,000.00Other operating, net+$70.00 KAccounts payable: -$8,179,000.00Accounts payable−$8.18 MNet loss: -$15,331,000.00Net loss−$15.33 MPrepaid expenses and other current assets: -$587,000.00Prepaid & other assets−$587.00 KNet accretion of discounts and amortization of premiums on available-for-sale securities: -$9,952,000.00Investment discount & premium−$9.95 MDeferred income taxes: -$28,000.00Deferred income taxes−$28.00 KAmortization of deferred contract acquisition costs: $19,716,000.00Contract cost amortization+$19.72 MAmortization of debt issuance costs: $990,000.00Debt cost amortization+$990.00 KOther noncurrent liabilities: $594,000.00Other noncurrent liabilities+$594.00 KAccounts receivable, net: -$5,301,000.00Accounts receivable−$5.30 MOther noncurrent assets: -$1,320,000.00Other noncurrent assets−$1.32 MAccrued expenses and other current liabilities: $11,062,000.00Accrued & other liabilities+$11.06 MLoss on extinguishment of debt: $0.00Net cash from operating activities: $104,727,000.00Operating cash+$104.73 Moperating reconciliation: $184,721,000.00Payment of tax withholding obligation on RSU settlement: -$3,828,000.00Stock-award tax withholding−$3.83 MProceeds from the exercise of stock options: $1,417,000.00Stock option exercises+$1.42 MRepayments of convertible senior notes: $0.00Cash paid for issuance costs on revolving credit facility: $0.00Proceeds from the early exercise of stock options: $0.00Payment of indemnity holdback: $0.00Proceeds from the issuance of common stock for employee stock purchase plan: $0.00Repurchases of unvested common stock: $0.00Net cash used in financing activities: -$2,411,000.00. Cash required to fund net payments.Financing cash−$2.41 Mfinancing reconciliation: $3,828,000.00Purchases of property and equipment: -$50,203,000.00PP&E purchases−$50.20 MCapitalized internal-use software: -$9,245,000.00Intangible asset purchases−$9.25 MPurchases of available-for-sale securities: -$396,612,000.00AFS securities purchases−$396.61 MSales of available-for-sale securities: $0.00Maturities of available-for-sale securities: $380,687,000.00AFS securities maturities+$380.69 MAsset acquisitions and business combinations, net of cash acquired: -$1,038,000.00Acquisitions, net of cash−$1.04 MOther investing activities: $11,000.00Other investing, net+$11.00 KNet cash used in investing activities: -$76,400,000.00. Cash required to fund net payments.Investing cash−$76.40 Minvesting reconciliation: $457,098,000.00Cash sources and uses: $264,717,000.00Beginning cash: Cash, cash equivalents, and restricted cash: $159,990,000.00Beginning cash$159.99 MEnding cash: Cash, cash equivalents, and restricted cash: $185,906,000.00Ending cash$185.91 MCASH RECONCILIATIONOperatingflowsInvestingflowsFinancingflowsNet loss −$15.33M + net operating adjustments $120.06M = operating cash +$104.73MFree cash flow$54.52 MOperating cash − cash spent on PP&ECash flow / Net incomeNot meaningfulOperating cash flow ÷ net incomeNet cash change+$25.92 MEnding cash − beginning cash
Chart details

Cloudflare, Inc. cash flow reconciliation, Jul 1, 2024 through Sep 30, 2024

Cash flows for Jul 1, 2024 through Sep 30, 2024. Cash basis: Cash, cash equivalents, and restricted cash. Beginning cash: Jun 30, 2024. Ending cash: Sep 30, 2024. Beginning and ending cash are dated balances. Positive cash flows add cash; negative cash flows reduce it.

Beginning cash on Jun 30, 2024
159,990,000 US dollars. Beginning cash: Cash, cash equivalents, and restricted cash
Operating activities
104,727,000 US dollars. Net cash provided.
Net loss
negative 15,331,000 US dollars
Operating lease liabilities
negative 10,989,000 US dollars
Provision for bad debt
2,587,000 US dollars
Deferred contract acquisition costs
negative 27,766,000 US dollars
Deferred revenue
17,238,000 US dollars
Non-cash operating lease costs
12,500,000 US dollars
Stock-based compensation expense
88,255,000 US dollars
Contract assets
negative 541,000 US dollars
Depreciation and amortization expense
31,709,000 US dollars
Other
70,000 US dollars
Accounts payable
negative 8,179,000 US dollars
Prepaid expenses and other current assets
negative 587,000 US dollars
Net accretion of discounts and amortization of premiums on available-for-sale securities
negative 9,952,000 US dollars
Deferred income taxes
negative 28,000 US dollars
Amortization of deferred contract acquisition costs
19,716,000 US dollars
Amortization of debt issuance costs
990,000 US dollars
Other noncurrent liabilities
594,000 US dollars
Accounts receivable, net
negative 5,301,000 US dollars
Other noncurrent assets
negative 1,320,000 US dollars
Accrued expenses and other current liabilities
11,062,000 US dollars
Loss on extinguishment of debt
0 US dollars
Investing activities
negative 76,400,000 US dollars. Net cash used.
Purchases of property and equipment
negative 50,203,000 US dollars
Capitalized internal-use software
negative 9,245,000 US dollars
Purchases of available-for-sale securities
negative 396,612,000 US dollars
Sales of available-for-sale securities
0 US dollars
Maturities of available-for-sale securities
380,687,000 US dollars
Asset acquisitions and business combinations, net of cash acquired
negative 1,038,000 US dollars
Other investing activities
11,000 US dollars
Financing activities
negative 2,411,000 US dollars. Net cash used.
Payment of tax withholding obligation on RSU settlement
negative 3,828,000 US dollars
Proceeds from the exercise of stock options
1,417,000 US dollars
Repayments of convertible senior notes
0 US dollars
Cash paid for issuance costs on revolving credit facility
0 US dollars
Proceeds from the early exercise of stock options
0 US dollars
Payment of indemnity holdback
0 US dollars
Proceeds from the issuance of common stock for employee stock purchase plan
0 US dollars
Repurchases of unvested common stock
0 US dollars
Operating adjustment reconciliation
184,721,000 US dollars. Intermediate calculation joining the operating reconciliation branches. Its gross amount includes any portion of net income routed through this junction. It is not an additional cash source or use.
financing gross reconciliation
3,828,000 US dollars. Gross amount at the activity's junction before offsetting its receipts and deductions. It is not an additional cash source or use.
investing gross reconciliation
457,098,000 US dollars. Gross amount at the activity's junction before offsetting its receipts and deductions. It is not an additional cash source or use.
Exchange-rate effect
0 US dollars
Ending cash on Sep 30, 2024
185,906,000 US dollars. Ending cash: Cash, cash equivalents, and restricted cash
Cash sources and uses
264,717,000 US dollars. Opening cash plus net sources, equal to net uses plus ending cash.
Net cash change
25,916,000 US dollars. Ending cash minus beginning cash.
Cash flow / Net income
Not meaningful. Operating cash flow divided by reconciliation net income for the same period. The ratio is not meaningful when net income is zero or negative.
Operating cash flow
104,727,000 US dollars. Operating cash flow used in the free cash flow calculation.
Cash purchases of property, plant and equipment
50,203,000 US dollars. These cash purchases are already included in investing activities above.
Free cash flow
54,524,000 US dollars. A supplemental measure; finance-lease payments are excluded from this definition.

Chart connections

  • Beginning cash plus operating, investing and financing cash flows plus the exchange-rate effect equals ending cash. Negative amounts reduce cash.
  • Financing contributions meet at a reconciliation junction before connecting to the net cash total.
  • Investing contributions meet at a reconciliation junction before connecting to the net cash total.
  • Operating reconciliation adjustments are not all independent cash receipts.
  • Net loss −$15.33M + net operating adjustments $120.06M = operating cash +$104.73M. The loss reduces the earnings basis of the reconciliation; it is not a cash payment. The signed loss remains a deduction at the operating reconciliation junction.
  • Each activity has one net cash bar connected to the shared cash pool. Positive activity totals enter the pool; negative activity totals leave the pool to fund that activity's net payments. The central pool does not assign a particular funding source to a particular payment.
  • The intermediate calculation bars include both sides of the displayed activity breakdowns; they are not additional cash flows.
  • Operating cash flow minus cash purchases of property, plant and equipment equals free cash flow: 104,727,000 US dollars minus 50,203,000 US dollars equals 54,524,000 US dollars.
Cloudflare, Inc. (NET) FY2024 Q3 Statement of Cash Flows Sankey chart
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