2018 Q1 Form 10-Q Financial Statement

#000088488718000042 Filed on April 30, 2018

View on sec.gov

Income Statement

Concept 2018 Q1 2017 Q1
Revenue $2.028B $2.009B
YoY Change 0.96% 4.73%
Cost Of Revenue $1.176B $1.176B
YoY Change 0.02% -5.3%
Gross Profit $851.7M $832.7M
YoY Change 2.28% 23.15%
Gross Profit Margin 42.0% 41.46%
Selling, General & Admin $337.4M $317.5M
YoY Change 6.27% 5.01%
% of Gross Profit 39.61% 38.12%
Research & Development
YoY Change
% of Gross Profit
Depreciation & Amortization $240.2M $235.7M
YoY Change 1.91% 11.81%
% of Gross Profit 28.2% 28.3%
Operating Expenses $337.4M $317.5M
YoY Change 6.27% 5.01%
Operating Profit $274.1M $279.5M
YoY Change -1.92% 71.35%
Interest Expense $67.88M $80.32M
YoY Change -15.49% 22.72%
% of Operating Profit 24.76% 28.73%
Other Income/Expense, Net -$55.49M -$64.80M
YoY Change -14.36% 1.26%
Pretax Income $218.7M $214.7M
YoY Change 1.86% 116.65%
Income Tax
% Of Pretax Income
Net Earnings $218.7M $214.7M
YoY Change 1.83% 116.59%
Net Earnings / Revenue 10.78% 10.69%
Basic Earnings Per Share $1.03 $1.00
Diluted Earnings Per Share $1.02 $0.99
COMMON SHARES
Basic Shares Outstanding 212.6M shares 214.9M shares
Diluted Shares Outstanding 213.6M shares 215.8M shares

Balance Sheet

Concept 2018 Q1 2017 Q1
SHORT-TERM ASSETS
Cash & Short-Term Investments $111.0M $109.0M
YoY Change 1.83% -6.84%
Cash & Equivalents $111.2M $109.3M
Short-Term Investments
Other Short-Term Assets $425.0M $246.0M
YoY Change 72.76% -38.65%
Inventory $110.8M $108.4M
Prepaid Expenses
Receivables $388.0M $293.0M
Other Receivables $0.00 $0.00
Total Short-Term Assets $1.035B $756.7M
YoY Change 36.72% -15.2%
LONG-TERM ASSETS
Property, Plant & Equipment $21.21B $19.86B
YoY Change 6.78% 5.48%
Goodwill $288.5M $288.5M
YoY Change 0.0% 0.56%
Intangibles
YoY Change
Long-Term Investments $628.0M $515.0M
YoY Change 21.94% 67.75%
Other Assets $1.440B $1.111B
YoY Change 29.58% 16.31%
Total Long-Term Assets $22.94B $21.26B
YoY Change 7.88% 5.93%
TOTAL ASSETS
Total Short-Term Assets $1.035B $756.7M
Total Long-Term Assets $22.94B $21.26B
Total Assets $23.97B $22.02B
YoY Change 8.87% 5.03%
SHORT-TERM LIABILITIES
YoY Change
Accounts Payable $454.6M $363.0M
YoY Change 25.23% -2.38%
Accrued Expenses $680.4M $634.0M
YoY Change 7.32% 20.64%
Deferred Revenue
YoY Change
Short-Term Debt $0.00 $0.00
YoY Change
Long-Term Debt Due $1.056B $1.666B
YoY Change -36.61% 86.15%
Total Short-Term Liabilities $5.195B $5.272B
YoY Change -1.45% 19.87%
LONG-TERM LIABILITIES
Long-Term Debt $7.383B $6.558B
YoY Change 12.58% -16.0%
Other Long-Term Liabilities $464.3M $637.3M
YoY Change -27.14% -26.83%
Total Long-Term Liabilities $464.3M $637.3M
YoY Change -27.14% -26.83%
TOTAL LIABILITIES
Total Short-Term Liabilities $5.195B $5.272B
Total Long-Term Liabilities $464.3M $637.3M
Total Liabilities $5.659B $5.909B
YoY Change -4.22% 12.15%
SHAREHOLDERS EQUITY
Retained Earnings $9.091B $7.972B
YoY Change 14.03% 14.49%
Common Stock $3.392B $3.341B
YoY Change 1.55% 1.2%
Preferred Stock
YoY Change
Treasury Stock (at cost) $1.653B $1.153B
YoY Change 43.36% 9.49%
Treasury Stock Shares 24.01M shares 20.02M shares
Shareholders Equity $10.65B $9.267B
YoY Change
Total Liabilities & Shareholders Equity $23.97B $22.02B
YoY Change 8.87% 5.03%

Cashflow Statement

Concept 2018 Q1 2017 Q1
OPERATING ACTIVITIES
Net Income $218.7M $214.7M
YoY Change 1.83% 116.59%
Depreciation, Depletion And Amortization $240.2M $235.7M
YoY Change 1.91% 11.81%
Cash From Operating Activities $924.1M $796.5M
YoY Change 16.02% 66.67%
INVESTING ACTIVITIES
Capital Expenditures $1.720B $122.8M
YoY Change 1301.03% -50.86%
Acquisitions
YoY Change
Other Investing Activities $3.353M $2.440M
YoY Change 37.42% -65.69%
Cash From Investing Activities -$1.645B $123.6M
YoY Change -1431.02% -152.21%
FINANCING ACTIVITIES
Cash Dividend Paid $127.8M $102.9M
YoY Change 24.19% -36.8%
Common Stock Issuance & Retirement, Net $275.0M $0.00
YoY Change -100.0%
Debt Paid & Issued, Net $1.394B $1.840B
YoY Change -24.24% 33.14%
Cash From Financing Activities $711.9M -$944.4M
YoY Change -175.38% 282.71%
NET CHANGE
Cash From Operating Activities $924.1M $796.5M
Cash From Investing Activities -$1.645B $123.6M
Cash From Financing Activities $711.9M -$944.4M
Net Change In Cash -$8.867M -$24.27M
YoY Change -63.46% 332.43%
FREE CASH FLOW
Cash From Operating Activities $924.1M $796.5M
Capital Expenditures $1.720B $122.8M
Free Cash Flow -$796.1M $673.7M
YoY Change -218.16% 195.43%

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CY2018Q1 us-gaap Prior Period Reclassification Adjustment Description
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<div style="font-family:Times New Roman;font-size:10pt;"><div style="line-height:120%;text-align:justify;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;font-style:italic;">Change in Accounting Principle - Stock-based Compensation</font></div><div style="line-height:120%;text-align:justify;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br clear="none"/></font></div><div style="line-height:120%;text-align:justify;text-indent:24px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">In January 2018, we elected to change our accounting policy for recognizing stock-based compensation expense from the graded attribution method to the straight-line attribution method for time-based stock awards. The adoption of the straight-line attribution method for time-based stock awards represents a change in accounting principle which we believe to be preferable because it is the predominant method used in our industry. A change in accounting principle requires retrospective application, if material. The impact of the adoption of the straight-line attribution method to our time-based awards was immaterial to prior periods and is expected to be immaterial for our fiscal year ended December 31, 2018. As a result, we have accounted for this change in accounting principle in our consolidated results for the first quarter of 2018. The effect of this change was an increase to net income of </font><font style="font-family:inherit;font-size:10pt;">$9.2 million</font><font style="font-family:inherit;font-size:10pt;">, or </font><font style="font-family:inherit;font-size:10pt;">$0.04</font><font style="font-family:inherit;font-size:10pt;"> per share for basic and diluted earnings per share, and is reported within </font><font style="font-family:inherit;font-size:10pt;font-style:italic;">Marketing, selling and administrative expenses</font><font style="font-family:inherit;font-size:10pt;"> in our consolidated statements of comprehensive income (loss) for the quarter ended March 31, 2018.</font></div></div>

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