2015 Q2 Form 10-Q Financial Statement

#000109087215000032 Filed on June 05, 2015

View on sec.gov

Income Statement

Concept 2015 Q2 2014 Q2
Revenue $963.0M $988.0M
YoY Change -2.53% -42.96%
Cost Of Revenue $483.0M $503.0M
YoY Change -3.98% -40.19%
Gross Profit $480.0M $485.0M
YoY Change -1.03% -45.57%
Gross Profit Margin 49.84% 49.09%
Selling, General & Admin $292.0M $304.0M
YoY Change -3.95% -38.83%
% of Gross Profit 60.83% 62.68%
Research & Development $81.00M $87.00M
YoY Change -6.9% -51.93%
% of Gross Profit 16.88% 17.94%
Depreciation & Amortization $63.00M $97.00M
YoY Change -35.05% 5.43%
% of Gross Profit 13.13% 20.0%
Operating Expenses $373.0M $391.0M
YoY Change -4.6% -42.33%
Operating Profit $107.0M $94.00M
YoY Change 13.83% -55.87%
Interest Expense $17.00M $30.00M
YoY Change -43.33% 20.0%
% of Operating Profit 15.89% 31.91%
Other Income/Expense, Net $4.000M $3.000M
YoY Change 33.33% -66.67%
Pretax Income $169.0M $167.0M
YoY Change 1.2% -50.0%
Income Tax $4.000M $29.00M
% Of Pretax Income 2.37% 17.37%
Net Earnings $87.00M $139.0M
YoY Change -37.41% -16.27%
Net Earnings / Revenue 9.03% 14.07%
Basic Earnings Per Share $0.26 $0.42
Diluted Earnings Per Share $0.26 $0.41
COMMON SHARES
Basic Shares Outstanding 334.0M shares 333.0M shares
Diluted Shares Outstanding 337.0M shares 337.0M shares

Balance Sheet

Concept 2015 Q2 2014 Q2
SHORT-TERM ASSETS
Cash & Short-Term Investments $2.197B $2.950B
YoY Change -25.53% 17.11%
Cash & Equivalents $2.197B $2.950B
Short-Term Investments
Other Short-Term Assets $291.0M $424.0M
YoY Change -31.37% 24.34%
Inventory $556.0M $1.100B
Prepaid Expenses
Receivables $576.0M $903.0M
Other Receivables $0.00 $0.00
Total Short-Term Assets $3.620B $5.377B
YoY Change -32.68% 11.6%
LONG-TERM ASSETS
Property, Plant & Equipment $593.0M $1.139B
YoY Change -47.94% -0.7%
Goodwill $2.341B $3.067B
YoY Change -23.67% 2.03%
Intangibles $516.0M $825.0M
YoY Change -37.45% -17.09%
Long-Term Investments $91.00M $133.0M
YoY Change -31.58% 10.83%
Other Assets $251.0M $485.0M
YoY Change -48.25% -3.19%
Total Long-Term Assets $3.792B $5.649B
YoY Change -32.87% -2.08%
TOTAL ASSETS
Total Short-Term Assets $3.620B $5.377B
Total Long-Term Assets $3.792B $5.649B
Total Assets $7.412B $11.03B
YoY Change -32.78% 4.15%
SHORT-TERM LIABILITIES
YoY Change
Accounts Payable $261.0M $481.0M
YoY Change -45.74% 7.37%
Accrued Expenses $389.0M $764.0M
YoY Change -49.08% 2.41%
Deferred Revenue
YoY Change
Short-Term Debt $0.00 $0.00
YoY Change -100.0%
Long-Term Debt Due
YoY Change
Total Short-Term Liabilities $930.0M $1.719B
YoY Change -45.9% -9.91%
LONG-TERM LIABILITIES
Long-Term Debt $1.656B $2.693B
YoY Change -38.51% 27.87%
Other Long-Term Liabilities $489.0M $724.0M
YoY Change -32.46% -8.01%
Total Long-Term Liabilities $2.145B $3.417B
YoY Change -37.23% 18.11%
TOTAL LIABILITIES
Total Short-Term Liabilities $930.0M $1.719B
Total Long-Term Liabilities $2.145B $3.417B
Total Liabilities $3.251B $5.397B
YoY Change -39.76% 2.24%
SHAREHOLDERS EQUITY
Retained Earnings $5.397B $6.384B
YoY Change -15.46% 10.56%
Common Stock $6.000M $6.000M
YoY Change 0.0% 0.0%
Preferred Stock
YoY Change
Treasury Stock (at cost) $9.975B $9.757B
YoY Change 2.23% 9.31%
Treasury Stock Shares 277.0M shares 272.0M shares
Shareholders Equity $4.158B $5.626B
YoY Change
Total Liabilities & Shareholders Equity $7.412B $11.03B
YoY Change -32.78% 4.15%

Cashflow Statement

Concept 2015 Q2 2014 Q2
OPERATING ACTIVITIES
Net Income $87.00M $139.0M
YoY Change -37.41% -16.27%
Depreciation, Depletion And Amortization $63.00M $97.00M
YoY Change -35.05% 5.43%
Cash From Operating Activities $183.0M $325.0M
YoY Change -43.69% 3.17%
INVESTING ACTIVITIES
Capital Expenditures -$20.00M -$53.00M
YoY Change -62.26% 3.92%
Acquisitions
YoY Change
Other Investing Activities $13.00M -$2.000M
YoY Change -750.0% -90.0%
Cash From Investing Activities -$7.000M -$55.00M
YoY Change -87.27% -22.54%
FINANCING ACTIVITIES
Cash Dividend Paid
YoY Change
Common Stock Issuance & Retirement, Net
YoY Change
Debt Paid & Issued, Net
YoY Change
Cash From Financing Activities -101.0M -72.00M
YoY Change 40.28% -56.36%
NET CHANGE
Cash From Operating Activities 183.0M 325.0M
Cash From Investing Activities -7.000M -55.00M
Cash From Financing Activities -101.0M -72.00M
Net Change In Cash 75.00M 198.0M
YoY Change -62.12% 150.63%
FREE CASH FLOW
Cash From Operating Activities $183.0M $325.0M
Capital Expenditures -$20.00M -$53.00M
Free Cash Flow $203.0M $378.0M
YoY Change -46.3% 3.28%

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us-gaap Other Comprehensive Income Loss Available For Sale Securities Adjustment Net Of Tax
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us-gaap Other Comprehensive Income Loss Reclassification Adjustment From Aoci Pension And Other Postretirement Benefit Plans For Net Gain Loss Before Tax
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us-gaap Other Comprehensive Income Loss Reclassification Adjustment From Aoci Pension And Other Postretirement Benefit Plans Tax
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us-gaap Other Comprehensive Income Unrealized Gain Loss On Derivatives Arising During Period Tax
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CY2015Q2 us-gaap Other Liabilities Current
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190000000 USD
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us-gaap Other Noncash Income Expense
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us-gaap Other Noncash Income Expense
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us-gaap Other Nonoperating Income Expense
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CY2015Q2 us-gaap Other Tax Expense Benefit
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us-gaap Other Tax Expense Benefit
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us-gaap Payments For Repurchase Of Common Stock
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150000000 USD
us-gaap Payments For Repurchase Of Common Stock
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us-gaap Payments For Restructuring
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us-gaap Payments Of Dividends Common Stock
PaymentsOfDividendsCommonStock
88000000 USD
us-gaap Payments Of Dividends Common Stock
PaymentsOfDividendsCommonStock
67000000 USD
us-gaap Payments Of Ordinary Dividends
PaymentsOfOrdinaryDividends
88000000 USD
us-gaap Payments Of Ordinary Dividends
PaymentsOfOrdinaryDividends
67000000 USD
us-gaap Payments To Acquire Businesses Net Of Cash Acquired
PaymentsToAcquireBusinessesNetOfCashAcquired
2000000 USD
us-gaap Payments To Acquire Businesses Net Of Cash Acquired
PaymentsToAcquireBusinessesNetOfCashAcquired
0 USD
us-gaap Payments To Acquire Equity Method Investments
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us-gaap Payments To Acquire Equity Method Investments
PaymentsToAcquireEquityMethodInvestments
1000000 USD
us-gaap Payments To Acquire Property Plant And Equipment
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98000000 USD
us-gaap Payments To Acquire Property Plant And Equipment
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52000000 USD
CY2014Q4 us-gaap Pension And Other Postretirement Defined Benefit Plans Liabilities Noncurrent
PensionAndOtherPostretirementDefinedBenefitPlansLiabilitiesNoncurrent
209000000 USD
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PensionAndOtherPostretirementDefinedBenefitPlansLiabilitiesNoncurrent
176000000 USD
us-gaap Proceeds From Sale Of Property Plant And Equipment
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CY2014Q2 us-gaap Profit Loss
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139000000 USD
us-gaap Profit Loss
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334000000 USD
CY2014Q4 us-gaap Preferred Stock Par Or Stated Value Per Share
PreferredStockParOrStatedValuePerShare
0.01
CY2015Q2 us-gaap Preferred Stock Par Or Stated Value Per Share
PreferredStockParOrStatedValuePerShare
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CY2014Q4 us-gaap Preferred Stock Shares Authorized
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125000000 shares
CY2015Q2 us-gaap Preferred Stock Shares Authorized
PreferredStockSharesAuthorized
125000000 shares
CY2014Q4 us-gaap Preferred Stock Shares Outstanding
PreferredStockSharesOutstanding
0 shares
CY2015Q2 us-gaap Preferred Stock Shares Outstanding
PreferredStockSharesOutstanding
0 shares
CY2014Q4 us-gaap Preferred Stock Value
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0 USD
CY2015Q2 us-gaap Preferred Stock Value
PreferredStockValue
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0 USD
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3000000 USD
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40000000 USD
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2000000 USD
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CY2014Q2 us-gaap Reclassification From Accumulated Other Comprehensive Income Current Period Net Of Tax
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us-gaap Reclassification From Accumulated Other Comprehensive Income Current Period Net Of Tax
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CY2015Q2 us-gaap Reclassification From Accumulated Other Comprehensive Income Current Period Net Of Tax
ReclassificationFromAccumulatedOtherComprehensiveIncomeCurrentPeriodNetOfTax
2000000 USD
us-gaap Reclassification From Accumulated Other Comprehensive Income Current Period Net Of Tax
ReclassificationFromAccumulatedOtherComprehensiveIncomeCurrentPeriodNetOfTax
0 USD
CY2014Q2 us-gaap Research And Development Expense
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87000000 USD
us-gaap Research And Development Expense
ResearchAndDevelopmentExpense
175000000 USD
CY2015Q2 us-gaap Research And Development Expense
ResearchAndDevelopmentExpense
81000000 USD
us-gaap Research And Development Expense
ResearchAndDevelopmentExpense
169000000 USD
us-gaap Restructuring And Related Cost Expected Number Of Positions Eliminated
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300
us-gaap Restructuring Charges
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CY2014Q4 us-gaap Restructuring Reserve
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17000000 USD
CY2015Q2 us-gaap Restructuring Reserve
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14000000 USD
us-gaap Restructuring Reserve Settled Without Cash1
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5000000 USD
CY2014Q4 us-gaap Retained Earnings Accumulated Deficit
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6466000000 USD
CY2015Q2 us-gaap Retained Earnings Accumulated Deficit
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CY2014Q2 us-gaap Sales Revenue Goods Net
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us-gaap Sales Revenue Goods Net
SalesRevenueGoodsNet
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CY2015Q2 us-gaap Sales Revenue Goods Net
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us-gaap Sales Revenue Goods Net
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CY2014Q2 us-gaap Sales Revenue Net
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us-gaap Sales Revenue Net
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1996000000 USD
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963000000 USD
us-gaap Sales Revenue Net
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SellingGeneralAndAdministrativeExpense
304000000 USD
us-gaap Selling General And Administrative Expense
SellingGeneralAndAdministrativeExpense
602000000 USD
CY2015Q2 us-gaap Selling General And Administrative Expense
SellingGeneralAndAdministrativeExpense
292000000 USD
us-gaap Selling General And Administrative Expense
SellingGeneralAndAdministrativeExpense
602000000 USD
us-gaap Share Based Compensation
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58000000 USD
us-gaap Share Based Compensation
ShareBasedCompensation
33000000 USD
CY2014Q2 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Discount From Market Price Purchase Date
ShareBasedCompensationArrangementByShareBasedPaymentAwardDiscountFromMarketPricePurchaseDate
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us-gaap Share Based Compensation Arrangement By Share Based Payment Award Discount From Market Price Purchase Date
ShareBasedCompensationArrangementByShareBasedPaymentAwardDiscountFromMarketPricePurchaseDate
0.85
CY2015Q2 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Discount From Market Price Purchase Date
ShareBasedCompensationArrangementByShareBasedPaymentAwardDiscountFromMarketPricePurchaseDate
0.85
us-gaap Share Based Compensation Arrangement By Share Based Payment Award Discount From Market Price Purchase Date
ShareBasedCompensationArrangementByShareBasedPaymentAwardDiscountFromMarketPricePurchaseDate
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CY2013Q4 us-gaap Standard Product Warranty Accrual
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CY2014Q2 us-gaap Standard Product Warranty Accrual
StandardProductWarrantyAccrual
28000000 USD
CY2014Q4 us-gaap Standard Product Warranty Accrual
StandardProductWarrantyAccrual
30000000 USD
CY2015Q2 us-gaap Standard Product Warranty Accrual
StandardProductWarrantyAccrual
28000000 USD
CY2014Q2 us-gaap Standard Product Warranty Accrual Current
StandardProductWarrantyAccrualCurrent
25000000 USD
CY2015Q2 us-gaap Standard Product Warranty Accrual Current
StandardProductWarrantyAccrualCurrent
26000000 USD
CY2014Q2 us-gaap Standard Product Warranty Accrual Noncurrent
StandardProductWarrantyAccrualNoncurrent
3000000 USD
CY2015Q2 us-gaap Standard Product Warranty Accrual Noncurrent
StandardProductWarrantyAccrualNoncurrent
2000000 USD
us-gaap Standard Product Warranty Accrual Payments
StandardProductWarrantyAccrualPayments
23000000 USD
us-gaap Standard Product Warranty Accrual Payments
StandardProductWarrantyAccrualPayments
24000000 USD
us-gaap Standard Product Warranty Accrual Warranties Issued
StandardProductWarrantyAccrualWarrantiesIssued
20000000 USD
us-gaap Standard Product Warranty Accrual Warranties Issued
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22000000 USD
CY2014Q4 us-gaap Stockholders Equity
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StockholdersEquity
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CY2014Q4 us-gaap Stockholders Equity Including Portion Attributable To Noncontrolling Interest
StockholdersEquityIncludingPortionAttributableToNoncontrollingInterest
5301000000 USD
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StockholdersEquityIncludingPortionAttributableToNoncontrollingInterest
4161000000 USD
CY2014Q4 us-gaap Trade Receivables Held For Sale Net
TradeReceivablesHeldForSaleNet
357000000 USD
CY2014Q4 us-gaap Treasury Stock Shares
TreasuryStockShares
273000000 shares
CY2015Q2 us-gaap Treasury Stock Shares
TreasuryStockShares
277000000 shares
us-gaap Treasury Stock Shares Acquired
TreasuryStockSharesAcquired
3000000 shares
us-gaap Treasury Stock Shares Acquired
TreasuryStockSharesAcquired
4000000 shares
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TreasuryStockValue
9807000000 USD
CY2015Q2 us-gaap Treasury Stock Value
TreasuryStockValue
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CY2014Q2 us-gaap Weighted Average Number Of Diluted Shares Outstanding
WeightedAverageNumberOfDilutedSharesOutstanding
337000000 shares
us-gaap Weighted Average Number Of Diluted Shares Outstanding
WeightedAverageNumberOfDilutedSharesOutstanding
338000000 shares
CY2015Q2 us-gaap Weighted Average Number Of Diluted Shares Outstanding
WeightedAverageNumberOfDilutedSharesOutstanding
337000000 shares
us-gaap Weighted Average Number Of Diluted Shares Outstanding
WeightedAverageNumberOfDilutedSharesOutstanding
337000000 shares
CY2014Q2 us-gaap Weighted Average Number Of Shares Outstanding Basic
WeightedAverageNumberOfSharesOutstandingBasic
333000000 shares
us-gaap Weighted Average Number Of Shares Outstanding Basic
WeightedAverageNumberOfSharesOutstandingBasic
333000000 shares
CY2015Q2 us-gaap Weighted Average Number Of Shares Outstanding Basic
WeightedAverageNumberOfSharesOutstandingBasic
334000000 shares
us-gaap Weighted Average Number Of Shares Outstanding Basic
WeightedAverageNumberOfSharesOutstandingBasic
335000000 shares
us-gaap Use Of Estimates
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<div style="font-family:Times New Roman;font-size:10pt;"><div style="line-height:120%;text-align:justify;text-indent:33px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;font-style:italic;">Use of estimates.</font><font style="font-family:inherit;font-size:10pt;"> The preparation of condensed consolidated financial statements in accordance with GAAP in the U.S. requires management to make estimates and assumptions that affect the amounts reported in our condensed consolidated financial statements and accompanying notes. Management bases its estimates on historical experience and various other assumptions believed to be reasonable. Although these estimates are based on management&#8217;s best knowledge of current events and actions that may impact the company in the future, actual results may be different from the estimates. Our critical accounting policies are those that affect our financial statements materially and involve difficult, subjective or complex judgments by management. Those policies are revenue recognition, valuation of goodwill and purchased intangible assets, inventory valuation, share-based compensation, retirement and post-retirement plan assumptions, restructuring and accounting for income taxes.</font></div><div style="line-height:120%;text-align:justify;text-indent:33px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br clear="none"/></font></div></div>

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