2017 Q4 Form 10-K Financial Statement

#000132442419000006 Filed on February 08, 2019

View on sec.gov

Income Statement

Concept 2017 Q4 2017 Q3 2017 Q2
Revenue $2.319B $2.966B $2.586B
YoY Change 10.82% 14.92% 17.77%
Cost Of Revenue $437.3M $459.0M $439.0M
YoY Change 17.93% 10.1% 8.03%
Gross Profit $1.882B $2.507B $2.147B
YoY Change 9.29% 15.84% 19.98%
Gross Profit Margin 81.14% 84.52% 83.02%
Selling, General & Admin $1.321B $1.602B $1.622B
YoY Change 15.64% 16.9% 20.37%
% of Gross Profit 70.21% 63.9% 75.55%
Research & Development $252.2M $237.1M $233.5M
YoY Change 13.55% -21.35% -26.55%
% of Gross Profit 13.4% 9.46% 10.88%
Depreciation & Amortization $236.5M $156.0M $152.0M
YoY Change 19.38% 26.26% 31.01%
% of Gross Profit 12.57% 6.22% 7.08%
Operating Expenses $1.765B $1.602B $1.622B
YoY Change 15.17% -4.17% -2.61%
Operating Profit $114.0M $481.0M $103.0M
YoY Change -22.55% 24.56% 301.37%
Interest Expense -$42.80M $44.00M $43.00M
YoY Change 14.13% 1.44% 0.14%
% of Operating Profit -37.54% 9.15% 41.75%
Other Income/Expense, Net $5.200M -$66.00M -$46.00M
YoY Change -3.7% 41.64% 21.51%
Pretax Income $75.90M $415.0M $57.00M
YoY Change -34.06% 22.22% -567.4%
Income Tax $37.20M $66.00M $3.000M
% Of Pretax Income 49.01% 15.9% 5.26%
Net Earnings $55.00M $352.0M $57.00M
YoY Change -30.78% 26.02% 80.1%
Net Earnings / Revenue 2.37% 11.87% 2.2%
Basic Earnings Per Share $0.36 $2.32 $0.37
Diluted Earnings Per Share $0.35 $2.23 $0.36
COMMON SHARES
Basic Shares Outstanding 152.1M shares 151.6M shares
Diluted Shares Outstanding 157.8M shares 157.0M shares

Balance Sheet

Concept 2017 Q4 2017 Q3 2017 Q2
SHORT-TERM ASSETS
Cash & Short-Term Investments $3.315B $3.780B $3.781B
YoY Change 77.37% 100.0% 61.93%
Cash & Equivalents $2.847B $3.240B $2.875B
Short-Term Investments $469.0M $541.0M $906.0M
Other Short-Term Assets $338.0M $333.0M $291.0M
YoY Change 54.34% 9.54% 21.76%
Inventory
Prepaid Expenses
Receivables $1.866B $1.835B $1.810B
Other Receivables $21.00M $36.00M $145.0M
Total Short-Term Assets $5.540B $5.984B $6.027B
YoY Change 60.57% 65.28% 44.73%
LONG-TERM ASSETS
Property, Plant & Equipment $1.575B $1.522B $1.479B
YoY Change 12.91% 13.59% 19.73%
Goodwill $8.229B $8.226B $8.157B
YoY Change 3.61% 2.48% 1.71%
Intangibles $2.309B $2.378B $2.390B
YoY Change -5.63% -7.62% -9.66%
Long-Term Investments $0.00 $0.00 $0.00
YoY Change -100.0%
Other Assets $18.00M $37.00M $32.00M
YoY Change -25.0% 184.62% 60.0%
Total Long-Term Assets $12.98B $13.05B $12.60B
YoY Change 5.26% 4.32% 0.26%
TOTAL ASSETS
Total Short-Term Assets $5.540B $5.984B $6.027B
Total Long-Term Assets $12.98B $13.05B $12.60B
Total Assets $18.52B $19.04B $18.62B
YoY Change 17.36% 18.0% 11.33%
SHORT-TERM LIABILITIES
YoY Change
Accounts Payable $2.535B $2.605B $2.516B
YoY Change 21.52% 21.62% 17.3%
Accrued Expenses $1.265B $1.181B $1.161B
YoY Change 15.97% 13.91% 9.01%
Deferred Revenue $326.0M
YoY Change
Short-Term Debt $0.00 $0.00 $0.00
YoY Change
Long-Term Debt Due $500.0M $500.0M
YoY Change
Total Short-Term Liabilities $7.879B $8.273B $8.745B
YoY Change 28.59% 24.97% 17.43%
LONG-TERM LIABILITIES
Long-Term Debt $3.749B $3.736B $3.221B
YoY Change 18.66% 16.59% 0.75%
Other Long-Term Liabilities $408.0M $395.8M $369.4M
YoY Change 30.38% 10.36% 14.7%
Total Long-Term Liabilities $4.157B $4.132B $3.590B
YoY Change 19.72% 15.96% 2.03%
TOTAL LIABILITIES
Total Short-Term Liabilities $7.879B $8.273B $8.745B
Total Long-Term Liabilities $4.157B $4.132B $3.590B
Total Liabilities $12.04B $12.40B $12.33B
YoY Change 25.38% 21.82% 12.49%
SHAREHOLDERS EQUITY
Retained Earnings $331.0M $321.6M $14.92M
YoY Change 156.52% 102.42%
Common Stock $9.163B $9.070B $9.024B
YoY Change 4.19% 5.29% 1.65%
Preferred Stock
YoY Change
Treasury Stock (at cost) $4.822B $4.665B $4.625B
YoY Change 6.9% 5.5% 5.52%
Treasury Stock Shares 89.53M shares 88.22M shares 87.95M shares
Shareholders Equity $4.523B $4.603B $4.226B
YoY Change
Total Liabilities & Shareholders Equity $18.52B $19.04B $18.62B
YoY Change 17.36% 18.0% 11.33%

Cashflow Statement

Concept 2017 Q4 2017 Q3 2017 Q2
OPERATING ACTIVITIES
Net Income $55.00M $352.0M $57.00M
YoY Change -30.78% 26.02% 80.1%
Depreciation, Depletion And Amortization $236.5M $156.0M $152.0M
YoY Change 19.38% 26.26% 31.01%
Cash From Operating Activities -$146.8M -$443.0M $701.0M
YoY Change -812.62% 142.87% 13.47%
INVESTING ACTIVITIES
Capital Expenditures -$184.3M -$169.0M -$190.0M
YoY Change 1.1% -9.63% -10.55%
Acquisitions
YoY Change
Other Investing Activities $80.90M -$8.000M -$162.0M
YoY Change 52.93% 8.11% 610.53%
Cash From Investing Activities -$103.4M -$177.0M -$352.0M
YoY Change -20.09% -8.95% 49.6%
FINANCING ACTIVITIES
Cash Dividend Paid
YoY Change
Common Stock Issuance & Retirement, Net
YoY Change
Debt Paid & Issued, Net
YoY Change
Cash From Financing Activities -173.5M 942.0M -33.00M
YoY Change -239.13% -1510.18% -75.65%
NET CHANGE
Cash From Operating Activities -146.8M -443.0M 701.0M
Cash From Investing Activities -103.4M -177.0M -352.0M
Cash From Financing Activities -173.5M 942.0M -33.00M
Net Change In Cash -423.7M 322.0M 316.0M
YoY Change -2764.78% -172.59% 27.94%
FREE CASH FLOW
Cash From Operating Activities -$146.8M -$443.0M $701.0M
Capital Expenditures -$184.3M -$169.0M -$190.0M
Free Cash Flow $37.50M -$274.0M $891.0M
YoY Change -81.52% -6056.52% 7.32%

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20000000 USD
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352000000 USD
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22000000 USD
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CY2016 us-gaap Share Based Compensation
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ShareBasedCompensation
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ShareBasedCompensationArrangementByShareBasedPaymentAwardEquityInstrumentsOtherThanOptionsVestedInPeriodTotalFairValue
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CY2017 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Equity Instruments Other Than Options Vested In Period Total Fair Value
ShareBasedCompensationArrangementByShareBasedPaymentAwardEquityInstrumentsOtherThanOptionsVestedInPeriodTotalFairValue
65000000 USD
CY2018 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Equity Instruments Other Than Options Vested In Period Total Fair Value
ShareBasedCompensationArrangementByShareBasedPaymentAwardEquityInstrumentsOtherThanOptionsVestedInPeriodTotalFairValue
68000000 USD
CY2018Q4 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Number Of Shares Authorized
ShareBasedCompensationArrangementByShareBasedPaymentAwardNumberOfSharesAuthorized
8000000 shares
CY2017Q4 us-gaap Short Term Investments
ShortTermInvestments
468000000 USD
CY2018Q4 us-gaap Short Term Investments
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28000000 USD
CY2016 us-gaap Stock Issued During Period Value Acquisitions
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0 USD
CY2017 us-gaap Stock Issued During Period Value Acquisitions
StockIssuedDuringPeriodValueAcquisitions
0 USD
CY2018 us-gaap Stock Issued During Period Value Acquisitions
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0 USD
CY2016 us-gaap Stock Issued During Period Value New Issues
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CY2017 us-gaap Stock Issued During Period Value New Issues
StockIssuedDuringPeriodValueNewIssues
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CY2018 us-gaap Stock Issued During Period Value New Issues
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CY2018 us-gaap Stock Issued During Period Value Treasury Stock Reissued
StockIssuedDuringPeriodValueTreasuryStockReissued
31000000 USD
CY2006Q4 us-gaap Stock Repurchase Program Number Of Shares Authorized To Be Repurchased
StockRepurchaseProgramNumberOfSharesAuthorizedToBeRepurchased
20000000 shares
CY2012Q4 us-gaap Stock Repurchase Program Number Of Shares Authorized To Be Repurchased
StockRepurchaseProgramNumberOfSharesAuthorizedToBeRepurchased
20000000 shares
CY2015Q4 us-gaap Stock Repurchase Program Number Of Shares Authorized To Be Repurchased
StockRepurchaseProgramNumberOfSharesAuthorizedToBeRepurchased
10000000 shares
CY2018Q4 us-gaap Stock Repurchase Program Number Of Shares Authorized To Be Repurchased
StockRepurchaseProgramNumberOfSharesAuthorizedToBeRepurchased
85000000 shares
CY2018Q4 us-gaap Stock Repurchase Program Number Of Shares Authorized To Be Repurchased
StockRepurchaseProgramNumberOfSharesAuthorizedToBeRepurchased
15000000 shares
CY2018Q4 us-gaap Stock Repurchase Program Remaining Number Of Shares Authorized To Be Repurchased
StockRepurchaseProgramRemainingNumberOfSharesAuthorizedToBeRepurchased
12200000 shares
CY2017Q4 us-gaap Stockholders Equity
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4523000000 USD
CY2018Q4 us-gaap Stockholders Equity
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4930000000 USD
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5693000000 USD
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CY2018 us-gaap Unrecognized Tax Benefits Increases Resulting From Current Period Tax Positions
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43000000 USD
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35000000 USD
CY2018 us-gaap Unrecognized Tax Benefits Decreases Resulting From Prior Period Tax Positions
UnrecognizedTaxBenefitsDecreasesResultingFromPriorPeriodTaxPositions
0 USD
CY2016 us-gaap Unrecognized Tax Benefits Decreases Resulting From Settlements With Taxing Authorities
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0 USD
CY2017 us-gaap Unrecognized Tax Benefits Decreases Resulting From Settlements With Taxing Authorities
UnrecognizedTaxBenefitsDecreasesResultingFromSettlementsWithTaxingAuthorities
1000000 USD
CY2018 us-gaap Unrecognized Tax Benefits Decreases Resulting From Settlements With Taxing Authorities
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0 USD
CY2017Q4 us-gaap Unrecognized Tax Benefits Income Tax Penalties And Interest Accrued
UnrecognizedTaxBenefitsIncomeTaxPenaltiesAndInterestAccrued
22000000 USD
CY2018Q4 us-gaap Unrecognized Tax Benefits Income Tax Penalties And Interest Accrued
UnrecognizedTaxBenefitsIncomeTaxPenaltiesAndInterestAccrued
30000000 USD
CY2016 us-gaap Unrecognized Tax Benefits Income Tax Penalties And Interest Expense
UnrecognizedTaxBenefitsIncomeTaxPenaltiesAndInterestExpense
5000000 USD
CY2017 us-gaap Unrecognized Tax Benefits Income Tax Penalties And Interest Expense
UnrecognizedTaxBenefitsIncomeTaxPenaltiesAndInterestExpense
7000000 USD
CY2018 us-gaap Unrecognized Tax Benefits Income Tax Penalties And Interest Expense
UnrecognizedTaxBenefitsIncomeTaxPenaltiesAndInterestExpense
8000000 USD
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8000000 USD
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4000000 USD
CY2018 us-gaap Unrecognized Tax Benefits Increases Resulting From Prior Period Tax Positions
UnrecognizedTaxBenefitsIncreasesResultingFromPriorPeriodTaxPositions
2000000 USD
CY2016 us-gaap Unrecognized Tax Benefits Reductions Resulting From Lapse Of Applicable Statute Of Limitations
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5000000 USD
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3000000 USD
CY2018 us-gaap Unrecognized Tax Benefits Reductions Resulting From Lapse Of Applicable Statute Of Limitations
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2000000 USD
CY2016Q4 us-gaap Unrecognized Tax Benefits That Would Impact Effective Tax Rate
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181000000 USD
CY2017Q4 us-gaap Unrecognized Tax Benefits That Would Impact Effective Tax Rate
UnrecognizedTaxBenefitsThatWouldImpactEffectiveTaxRate
155000000 USD
CY2018Q4 us-gaap Unrecognized Tax Benefits That Would Impact Effective Tax Rate
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180000000 USD
CY2018 us-gaap Valuation Allowance Deferred Tax Asset Change In Amount
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4000000 USD
CY2016 us-gaap Weighted Average Number Of Diluted Shares Outstanding
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154517000 shares
CY2017 us-gaap Weighted Average Number Of Diluted Shares Outstanding
WeightedAverageNumberOfDilutedSharesOutstanding
156385000 shares
CY2018 us-gaap Weighted Average Number Of Diluted Shares Outstanding
WeightedAverageNumberOfDilutedSharesOutstanding
152889000 shares
CY2016 us-gaap Weighted Average Number Of Shares Outstanding Basic
WeightedAverageNumberOfSharesOutstandingBasic
150367000 shares
CY2017 us-gaap Weighted Average Number Of Shares Outstanding Basic
WeightedAverageNumberOfSharesOutstandingBasic
151619000 shares
CY2018 us-gaap Weighted Average Number Of Shares Outstanding Basic
WeightedAverageNumberOfSharesOutstandingBasic
149961000 shares
CY2018 us-gaap Concentration Risk Credit Risk
ConcentrationRiskCreditRisk
<div style="font-family:Times New Roman;font-size:10pt;"><div style="line-height:120%;padding-top:18px;text-indent:16px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;font-style:italic;font-weight:bold;">Certain Risks and Concentrations</font></div><div style="line-height:120%;padding-top:6px;text-indent:32px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">Our business is subject to certain risks and concentrations including dependence on relationships with travel suppliers, primarily airlines and hotels, dependence on third-party technology providers, exposure to risks associated with online commerce security and payment related fraud. We also rely on global distribution system partners and third-party service providers for certain fulfillment services</font><font style="font-family:inherit;font-size:10pt;font-weight:bold;">.</font></div><div style="line-height:120%;padding-top:12px;text-indent:32px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">Financial instruments, which potentially subject us to concentration of credit risk, consist primarily of cash and cash equivalents and corporate debt securities. We maintain some cash and cash equivalents balances with financial institutions that are in excess of Federal Deposit Insurance Corporation insurance limits. Our cash and cash equivalents are primarily composed of time deposits as well as bank (both interest and non-interest bearing) account balances denominated in U.S. dollars, Euros, British pound sterling, Canadian dollar, Australian dollar, Japanese yen and Brazilian real.</font></div></div>
CY2018 us-gaap Prior Period Reclassification Adjustment Description
PriorPeriodReclassificationAdjustmentDescription
<div style="font-family:Times New Roman;font-size:10pt;"><div style="line-height:120%;padding-top:18px;text-indent:16px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;font-style:italic;font-weight:bold;">Reclassifications</font></div><div style="line-height:120%;padding-top:6px;text-indent:32px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">We have reclassified certain amounts related to our prior period results to conform to our current period presentation. </font></div></div>
CY2018 us-gaap Use Of Estimates
UseOfEstimates
<div style="font-family:Times New Roman;font-size:10pt;"><div style="line-height:120%;padding-top:18px;text-indent:16px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;font-style:italic;font-weight:bold;">Accounting Estimates</font></div><div style="line-height:120%;padding-top:6px;text-indent:32px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">We use estimates and assumptions in the preparation of our consolidated financial statements in accordance with accounting principles generally accepted in the United States (&#8220;GAAP&#8221;). Our estimates and assumptions affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the date of our consolidated financial statements. These estimates and assumptions also affect the reported amount of net income or loss during any period. Our actual financial results could differ significantly from these estimates. The significant estimates underlying our consolidated financial statements include revenue recognition; recoverability of current and long-lived assets, intangible assets and goodwill; income and transactional taxes, such as potential settlements related to occupancy and excise taxes; loss contingencies; deferred loyalty rewards; acquisition purchase price allocations; stock-based compensation and accounting for derivative instruments.</font></div></div>

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