2018 Q1 Form 10-Q Financial Statement

#000150630718000019 Filed on April 24, 2018

View on sec.gov

Income Statement

Concept 2018 Q1 2017 Q1
Revenue $3.418B $3.424B
YoY Change -0.18% 7.17%
Cost Of Revenue $1.019B $1.061B
YoY Change -3.96% 45.14%
Gross Profit $2.399B $2.363B
YoY Change 1.52% -4.1%
Gross Profit Margin 70.19% 69.01%
Selling, General & Admin $261.0M $285.0M
YoY Change -8.42% -4.36%
% of Gross Profit 10.88% 12.06%
Research & Development
YoY Change
% of Gross Profit
Depreciation & Amortization $570.0M $558.0M
YoY Change 2.15% 1.27%
% of Gross Profit 23.76% 23.61%
Operating Expenses $831.0M $844.0M
YoY Change -1.54% -0.47%
Operating Profit $949.0M $977.0M
YoY Change -2.87% 19.73%
Interest Expense -$247.0M -$290.0M
YoY Change -14.83% -16.43%
% of Operating Profit -26.03% -29.68%
Other Income/Expense, Net -$243.0M -$286.0M
YoY Change -15.03% -17.82%
Pretax Income $706.0M $691.0M
YoY Change 2.17% 47.65%
Income Tax $164.0M $246.0M
% Of Pretax Income 23.23% 35.6%
Net Earnings $524.0M $440.0M
YoY Change 19.09% 39.68%
Net Earnings / Revenue 15.33% 12.85%
Basic Earnings Per Share $0.22 $0.18
Diluted Earnings Per Share $237.4K $0.18
COMMON SHARES
Basic Shares Outstanding 2.207B shares 2.230B shares
Diluted Shares Outstanding 2.230B shares

Balance Sheet

Concept 2018 Q1 2017 Q1
SHORT-TERM ASSETS
Cash & Short-Term Investments $294.0M $396.0M
YoY Change -25.76% 126.29%
Cash & Equivalents $294.0M $396.0M
Short-Term Investments
Other Short-Term Assets $217.0M $156.0M
YoY Change 39.1% -45.26%
Inventory $442.0M $380.0M
Prepaid Expenses
Receivables $1.349B $1.263B
Other Receivables $163.0M $177.0M
Total Short-Term Assets $2.628B $2.675B
YoY Change -1.76% 7.82%
LONG-TERM ASSETS
Property, Plant & Equipment $40.33B $39.02B
YoY Change 3.36% -4.92%
Goodwill $22.16B $22.15B
YoY Change 0.01% -6.92%
Intangibles $3.044B $3.263B
YoY Change -6.71% -6.66%
Long-Term Investments $7.420B $7.136B
YoY Change 3.98% 18.24%
Other Assets $1.543B $1.478B
YoY Change 4.4% -34.92%
Total Long-Term Assets $76.38B $77.12B
YoY Change -0.95% -5.66%
TOTAL ASSETS
Total Short-Term Assets $2.628B $2.675B
Total Long-Term Assets $76.38B $77.12B
Total Assets $79.01B $79.79B
YoY Change -0.98% -5.27%
SHORT-TERM LIABILITIES
YoY Change
Accounts Payable $1.221B $1.214B
YoY Change 0.58% 19.37%
Accrued Expenses $716.0M $708.0M
YoY Change 1.13% -9.46%
Deferred Revenue $88.00M
YoY Change
Short-Term Debt $0.00 $0.00
YoY Change
Long-Term Debt Due $2.494B $3.928B
YoY Change -36.51% 130.79%
Total Short-Term Liabilities $5.429B $6.689B
YoY Change -18.84% 52.16%
LONG-TERM LIABILITIES
Long-Term Debt $35.54B $35.46B
YoY Change 0.22% -15.77%
Other Long-Term Liabilities $2.381B $2.635B
YoY Change -9.64% 20.76%
Total Long-Term Liabilities $37.92B $38.10B
YoY Change -0.46% -13.97%
TOTAL LIABILITIES
Total Short-Term Liabilities $5.429B $6.689B
Total Long-Term Liabilities $37.92B $38.10B
Total Liabilities $43.35B $44.79B
YoY Change -3.2% -8.0%
SHAREHOLDERS EQUITY
Retained Earnings -$7.365B -$6.540B
YoY Change 12.61% 7.11%
Common Stock $22.00M $22.00M
YoY Change 0.0% 0.0%
Preferred Stock
YoY Change
Treasury Stock (at cost)
YoY Change
Treasury Stock Shares
Shareholders Equity $33.67B $34.65B
YoY Change
Total Liabilities & Shareholders Equity $79.01B $79.79B
YoY Change -0.98% -5.27%

Cashflow Statement

Concept 2018 Q1 2017 Q1
OPERATING ACTIVITIES
Net Income $524.0M $440.0M
YoY Change 19.09% 39.68%
Depreciation, Depletion And Amortization $570.0M $558.0M
YoY Change 2.15% 1.27%
Cash From Operating Activities $974.0M $886.0M
YoY Change 9.93% -15.62%
INVESTING ACTIVITIES
Capital Expenditures $707.0M $664.0M
YoY Change 6.48% -18.13%
Acquisitions $20.00M $4.000M
YoY Change 400.0% -98.79%
Other Investing Activities -$18.00M -$13.00M
YoY Change 38.46% 225.0%
Cash From Investing Activities -$725.0M -$650.0M
YoY Change 11.54% -43.18%
FINANCING ACTIVITIES
Cash Dividend Paid $277.0M $280.0M
YoY Change -1.07% 0.36%
Common Stock Issuance & Retirement, Net $250.0M
YoY Change
Debt Paid & Issued, Net
YoY Change
Cash From Financing Activities -$209.0M -$538.0M
YoY Change -61.15% -1637.14%
NET CHANGE
Cash From Operating Activities $974.0M $886.0M
Cash From Investing Activities -$725.0M -$650.0M
Cash From Financing Activities -$209.0M -$538.0M
Net Change In Cash $37.00M -$301.0M
YoY Change -112.29% 410.17%
FREE CASH FLOW
Cash From Operating Activities $974.0M $886.0M
Capital Expenditures $707.0M $664.0M
Free Cash Flow $267.0M $222.0M
YoY Change 20.27% -7.11%

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CY2016Q4 us-gaap Stockholders Equity Including Portion Attributable To Noncontrolling Interest
StockholdersEquityIncludingPortionAttributableToNoncontrollingInterest
34802000000 USD
CY2017Q1 us-gaap Stockholders Equity Including Portion Attributable To Noncontrolling Interest
StockholdersEquityIncludingPortionAttributableToNoncontrollingInterest
35005000000 USD
CY2017Q4 us-gaap Stockholders Equity Including Portion Attributable To Noncontrolling Interest
StockholdersEquityIncludingPortionAttributableToNoncontrollingInterest
35124000000 USD
CY2018Q1 us-gaap Stockholders Equity Including Portion Attributable To Noncontrolling Interest
StockholdersEquityIncludingPortionAttributableToNoncontrollingInterest
35135000000 USD
CY2018Q1 us-gaap Stockholders Equity Including Portion Attributable To Noncontrolling Interest
StockholdersEquityIncludingPortionAttributableToNoncontrollingInterest
35196000000 USD
CY2017Q1 us-gaap Stockholders Equity Other
StockholdersEquityOther
14000000 USD
CY2017Q1 us-gaap Taxes Excluding Income And Excise Taxes
TaxesExcludingIncomeAndExciseTaxes
104000000 USD
CY2018Q1 us-gaap Taxes Excluding Income And Excise Taxes
TaxesExcludingIncomeAndExciseTaxes
88000000 USD
CY2017Q1 us-gaap Weighted Average Number Of Shares Outstanding Basic
WeightedAverageNumberOfSharesOutstandingBasic
2230000000 shares
CY2018Q1 us-gaap Weighted Average Number Of Shares Outstanding Basic
WeightedAverageNumberOfSharesOutstandingBasic
2207000000 shares
CY2018Q1 us-gaap Description Of New Accounting Pronouncements Not Yet Adopted
DescriptionOfNewAccountingPronouncementsNotYetAdopted
<div style="font-family:Times New Roman;font-size:10pt;"><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;font-weight:bold;">Recent Accounting Pronouncements</font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br clear="none"/></font></div><div style="line-height:120%;text-align:left;text-indent:24px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;font-style:italic;font-weight:bold;">ASU No. 2016-02</font></div><div style="line-height:120%;text-align:left;text-indent:24px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br clear="none"/></font></div><div style="line-height:120%;text-align:left;text-indent:24px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">On February 25, 2016, the FASB issued ASU No. 2016-02, &#8220;</font><font style="font-family:inherit;font-size:10pt;font-style:italic;">Leases (Topic 842)</font><font style="font-family:inherit;font-size:10pt;">.&#8221; This ASU requires that a lessee recognizes assets and liabilities on the balance sheet for the present value of the rights and obligations created by all leases with terms of more than 12 months. The ASU also will require disclosures designed to give financial statement users information on the amount, timing, and uncertainty of cash flows arising from leases. ASU No. 2016-02 will be effective for us as of January 1, 2019. We are currently reviewing the effect of this ASU to our financial statements.</font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br clear="none"/></font></div><div style="line-height:120%;text-align:left;text-indent:24px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;font-style:italic;font-weight:bold;">ASU No. 2016-13</font></div><div style="line-height:120%;text-align:left;text-indent:24px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br clear="none"/></font></div><div style="line-height:120%;text-align:left;text-indent:24px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">On June 16, 2016, the FASB issued ASU No. 2016-13, &#8220;</font><font style="font-family:inherit;font-size:10pt;font-style:italic;">Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments</font><font style="font-family:inherit;font-size:10pt;">.&#8221; This ASU modifies the impairment model to utilize an expected loss methodology in place of the currently used incurred loss methodology, which will result in the more timely recognition of losses. ASU No. 2016-13 will be effective for us as of January 1, 2020. We are currently reviewing the effect of this ASU to our financial statements.</font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br clear="none"/></font></div><div style="line-height:120%;text-align:left;text-indent:24px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;font-style:italic;font-weight:bold;">ASU No. 2017-04</font></div><div style="line-height:120%;text-align:left;text-indent:24px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br clear="none"/></font></div><div style="line-height:120%;text-align:left;text-indent:24px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">On January 26, 2017, the FASB issued ASU No. 2017-04, &#8220;</font><font style="font-family:inherit;font-size:10pt;font-style:italic;">Simplifying the Test for Goodwill Impairment (Topic 350)</font><font style="font-family:inherit;font-size:10pt;">&#8221; to simplify the accounting for goodwill impairment. The guidance removes Step 2 of the goodwill impairment test, which requires a hypothetical purchase price allocation. Goodwill impairment will now be the amount by which a reporting unit&#8217;s carrying value exceeds its fair value, not to exceed the carrying amount of goodwill. ASU No. 2017-04 will be effective for us as of January 1, 2020. We are currently reviewing the effect of this ASU to our financial statements.</font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br clear="none"/></font></div><div style="line-height:120%;text-align:left;text-indent:24px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;font-style:italic;font-weight:bold;">ASU No. 2017-12</font></div><div style="line-height:120%;text-align:left;text-indent:24px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br clear="none"/></font></div><div style="line-height:120%;text-align:left;text-indent:24px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">On August 28, 2017, the FASB issued ASU No. 2017-12, &#8220;</font><font style="font-family:inherit;font-size:10pt;font-style:italic;">Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities</font><font style="font-family:inherit;font-size:10pt;">.&#8221; This ASU amends and simplifies existing guidance in order to allow companies to more accurately present the economic effects of risk management activities in the financial statements. ASU No. 2017-12 will be effective for us as of January 1, 2019, and earlier adoption is permitted. We are currently reviewing the effect of this ASU to our financial statements.</font></div><div style="line-height:120%;text-align:left;text-indent:24px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br clear="none"/></font></div><div style="line-height:120%;text-align:left;text-indent:24px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;font-style:italic;font-weight:bold;">ASU No. 2018-01</font></div><div style="line-height:120%;text-align:left;text-indent:24px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br clear="none"/></font></div><div style="line-height:120%;text-align:left;text-indent:24px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">On January 25, 2018, the FASB issued ASU No. 2018-01, &#8220;</font><font style="font-family:inherit;font-size:10pt;font-style:italic;">Land Easement Practical Expedient for Transition to Topic 842</font><font style="font-family:inherit;font-size:10pt;">.&#8221; This ASU provides an optional transition on practical expedient that, if elected, would not require companies to reconsider its accounting for existing or expired land easements before the adoption of Topic 842 and that were not previously accounted for as leases under Topic 840. ASU No. 2018-01 will be effective for us as of January 1, 2019, and earlier adoption is permitted. We are currently reviewing the effect of this ASU to our financial statements.</font></div></div>

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