2017 Q4 Form 10-Q Financial Statement

#000007297117000466 Filed on November 03, 2017

View on sec.gov

Income Statement

Concept 2017 Q4 2017 Q3 2016 Q3
Revenue $21.85B $13.49B
YoY Change 62.0% 8.37%
Cost Of Revenue
YoY Change
Gross Profit
YoY Change
Gross Profit Margin
Selling, General & Admin
YoY Change
% of Gross Profit
Research & Development
YoY Change
% of Gross Profit
Depreciation & Amortization $1.612B $1.316B $1.365B
YoY Change 17.49% -3.59% 62.89%
% of Gross Profit
Operating Expenses
YoY Change
Operating Profit
YoY Change
Interest Expense $2.595B $1.535B
YoY Change 69.06% 55.36%
% of Operating Profit
Other Income/Expense, Net
YoY Change
Pretax Income $4.599B $6.781B $8.255B
YoY Change -39.18% -17.86% -5.9%
Income Tax $775.0M $2.181B $2.601B
% Of Pretax Income 16.85% 32.16% 31.51%
Net Earnings $6.151B $4.542B $5.644B
YoY Change 16.63% -19.53% -2.62%
Net Earnings / Revenue 20.79% 41.85%
Basic Earnings Per Share $0.83 $1.04
Diluted Earnings Per Share $1.239M $0.83 $1.03
COMMON SHARES
Basic Shares Outstanding 4.924B shares 4.949B shares 5.043B shares
Diluted Shares Outstanding 4.997B shares 5.095B shares

Balance Sheet

Concept 2017 Q4 2017 Q3 2016 Q3
SHORT-TERM ASSETS
Cash & Short-Term Investments
YoY Change
Cash & Equivalents $215.9B $224.9B
Short-Term Investments
Other Short-Term Assets
YoY Change
Inventory
Prepaid Expenses
Receivables
Other Receivables
Total Short-Term Assets
YoY Change
LONG-TERM ASSETS
Property, Plant & Equipment $8.847B $8.449B $8.322B
YoY Change 6.17% 1.53% -5.43%
Goodwill $26.59B $26.58B $26.69B
YoY Change -0.4% -0.4% 3.91%
Intangibles
YoY Change
Long-Term Investments $16.35B $15.89B $14.81B
YoY Change 4.1% 7.25% 15.74%
Other Assets
YoY Change
Total Long-Term Assets
YoY Change
TOTAL ASSETS
Total Short-Term Assets
Total Long-Term Assets
Total Assets $1952B $1935B $1942B
YoY Change 1.12% -0.37% 10.9%
SHORT-TERM LIABILITIES
YoY Change
Accounts Payable
YoY Change
Accrued Expenses $70.62B $79.21B $82.77B
YoY Change 23.48% -4.3% 1.31%
Deferred Revenue
YoY Change
Short-Term Debt $103.3B $93.81B $124.7B
YoY Change 6.69% -24.75% 41.56%
Long-Term Debt Due
YoY Change
Total Short-Term Liabilities $70.62B $79.21B $82.77B
YoY Change 23.48% -4.3% 1.31%
LONG-TERM LIABILITIES
Long-Term Debt $225.0B $238.9B $254.8B
YoY Change -11.78% -6.26% 37.54%
Other Long-Term Liabilities $8.796B $9.497B
YoY Change -39.3%
Total Long-Term Liabilities $233.8B $248.4B $254.8B
YoY Change -13.26% -2.53% 37.54%
TOTAL LIABILITIES
Total Short-Term Liabilities $70.62B $79.21B $82.77B
Total Long-Term Liabilities $233.8B $248.4B $254.8B
Total Liabilities $1744B $1728B $1738B
YoY Change 0.81% -0.58% 11.62%
SHAREHOLDERS EQUITY
Retained Earnings $145.3B $141.8B $130.3B
YoY Change 9.16% 8.81% 10.8%
Common Stock $9.136B $9.136B $9.136B
YoY Change 0.0% 0.0% 0.0%
Preferred Stock $122.0M $130.0M $130.0M
YoY Change -3.17% 0.0% 1.56%
Treasury Stock (at cost) $29.89B $27.77B $22.25B
YoY Change 31.61% 24.83% 24.29%
Treasury Stock Shares 590.2M shares 553.9M shares 457.9M shares
Shareholders Equity $206.9B $205.9B $203.0B
YoY Change
Total Liabilities & Shareholders Equity $1952B $1935B $1942B
YoY Change 1.12% -0.37% 10.9%

Cashflow Statement

Concept 2017 Q4 2017 Q3 2016 Q3
OPERATING ACTIVITIES
Net Income $6.151B $4.542B $5.644B
YoY Change 16.63% -19.53% -2.62%
Depreciation, Depletion And Amortization $1.612B $1.316B $1.365B
YoY Change 17.49% -3.59% 62.89%
Cash From Operating Activities $275.0M $9.532B -$2.397B
YoY Change -94.23% -497.66% -112.66%
INVESTING ACTIVITIES
Capital Expenditures
YoY Change
Acquisitions
YoY Change
Other Investing Activities -$27.94B $6.652B -$39.68B
YoY Change 116.04% -116.76% -10.43%
Cash From Investing Activities -$27.94B $6.652B -$39.68B
YoY Change 116.04% -116.76% -10.43%
FINANCING ACTIVITIES
Cash Dividend Paid
YoY Change
Common Stock Issuance & Retirement, Net
YoY Change
Debt Paid & Issued, Net
YoY Change
Cash From Financing Activities 18.40B -7.278B 40.96B
YoY Change 91.46% -117.77% 77.49%
NET CHANGE
Cash From Operating Activities 275.0M 9.532B -2.397B
Cash From Investing Activities -27.94B 6.652B -39.68B
Cash From Financing Activities 18.40B -7.278B 40.96B
Net Change In Cash -9.264B 8.906B -1.120B
YoY Change -742.44% -895.18% -51.13%
FREE CASH FLOW
Cash From Operating Activities $275.0M $9.532B -$2.397B
Capital Expenditures
Free Cash Flow
YoY Change

Facts In Submission

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CY2017Q3 wfc Securities Purchased Under Agreements To Resell And Securities Borrowed Net
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CY2016Q3 wfc Segment Reporting Information Average Deposits
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wfc Servicing Asset At Fair Value Sum Of Changes In Fair Value Resulting From Changes In Valuation Inputs Or Changes In Assumptions And Net Derivative Gains Losses
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CY2017Q3 wfc Servicing Fees Non Interest Income
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wfc Servicing Fees Non Interest Income
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wfc Share Based Compensation And Preferred Stock Released By Employee Stock Option Plan
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wfc Share Based Compensation And Preferred Stock Released By Employee Stock Option Plan
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CY2016Q4 wfc Trading Assets
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CY2016Q4 wfc Unpaid Principal Balance Of Mortgage Loans Eligible For Repurchase
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CY2016 wfc Weighted Average Contractual Yield On Available For Sale Debt Securities Expected To Mature After Five And Through Ten Years
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us-gaap Comparability Of Prior Year Financial Data
ComparabilityOfPriorYearFinancialData
<div style="font-family:Times New Roman;font-size:10pt;"><div style="line-height:120%;text-indent:24px;font-size:9pt;"><font style="font-family:Georgia,serif;font-size:9pt;">These unaudited interim financial statements reflect all adjustments that are, in the opinion of management, necessary for a fair statement of the results for the periods presented. These adjustments are of a normal recurring nature, unless otherwise disclosed in this Form 10-Q. The results of operations in the interim financial statements do not necessarily indicate the results that may be expected for the full year. The interim financial information should be read in conjunction with our </font><font style="font-family:Georgia,serif;font-size:9pt;">2016</font><font style="font-family:Georgia,serif;font-size:9pt;"> Form 10-K.</font></div></div>
us-gaap Nature Of Operations
NatureOfOperations
<div style="font-family:Times New Roman;font-size:10pt;"><div style="line-height:120%;font-size:9pt;"><font style="font-family:Georgia,serif;font-size:9pt;">Wells&#160;Fargo &amp; Company is a diversified financial services company. We provide banking, insurance, trust and investments, mortgage banking, investment banking, retail banking, brokerage, and consumer and commercial finance through branches, the internet and other distribution channels to consumers, businesses and institutions in all 50 states, the District of Columbia, and in foreign countries. When we refer to &#8220;Wells&#160;Fargo,&#8221; &#8220;the Company,&#8221; &#8220;we,&#8221; &#8220;our&#8221; or &#8220;us,&#8221; we mean Wells&#160;Fargo &amp; Company and Subsidiaries (consolidated). Wells&#160;Fargo &amp; Company (the Parent) is a financial holding company and a bank holding company. We also hold a majority interest in a real estate investment trust, which has publicly traded preferred stock outstanding.</font></div></div>
us-gaap Use Of Estimates
UseOfEstimates
<div style="font-family:Times New Roman;font-size:10pt;"><div style="line-height:120%;text-indent:24px;font-size:9pt;"><font style="font-family:Georgia,serif;font-size:9pt;">Our accounting and reporting policies conform with U.S. generally accepted accounting principles (GAAP) and practices in the financial services industry. For discussion of our significant accounting policies, see Note 1 (Summary of Significant Accounting Policies) in our Annual Report on Form 10-K for the year ended </font><font style="font-family:Georgia,serif;font-size:9pt;">December&#160;31, 2016</font><font style="font-family:Georgia,serif;font-size:9pt;"> (</font><font style="font-family:Georgia,serif;font-size:9pt;">2016</font><font style="font-family:Georgia,serif;font-size:9pt;"> Form 10-K). To prepare the financial statements in conformity with GAAP, management must make estimates based on assumptions about future economic and market conditions (for example, unemployment, market liquidity, real estate prices, etc.) that affect the reported amounts of assets and liabilities at the date of the financial statements, income and expenses during the reporting period and the related disclosures. Although our estimates contemplate current conditions and how we expect them to change in the future, it is reasonably possible that actual conditions could be significantly different than anticipated in those estimates, which could materially affect our results of operations and financial condition. Management has made significant estimates in several areas, including:</font></div><table cellpadding="0" cellspacing="0" style="font-family:Times New Roman; font-size:10pt;"><tr><td style="width:24px;" rowspan="1" colspan="1"></td><td rowspan="1" colspan="1"></td></tr><tr><td style="vertical-align:top" rowspan="1" colspan="1"><div style="line-height:120%;font-size:9pt;padding-left:0px;"><font style="font-family:Georgia,serif;font-size:9pt;">&#8226;</font></div></td><td style="vertical-align:top;" rowspan="1" colspan="1"><div style="line-height:120%;font-size:9pt;"><font style="font-family:Georgia,serif;font-size:9pt;"> allowance for credit losses and purchased credit-impaired (PCI) loans (Note 5 (Loans and Allowance for Credit Losses)); </font></div></td></tr></table><table cellpadding="0" cellspacing="0" style="font-family:Times New Roman; font-size:10pt;"><tr><td style="width:24px;" rowspan="1" colspan="1"></td><td rowspan="1" colspan="1"></td></tr><tr><td style="vertical-align:top" rowspan="1" colspan="1"><div style="line-height:120%;font-size:9pt;padding-left:0px;"><font style="font-family:Georgia,serif;font-size:9pt;">&#8226;</font></div></td><td style="vertical-align:top;" rowspan="1" colspan="1"><div style="line-height:120%;font-size:9pt;"><font style="font-family:Georgia,serif;font-size:9pt;">valuations of residential mortgage servicing rights (MSRs) (Note 7 (Securitizations and Variable Interest Entities) and Note 8 (Mortgage Banking Activities)) and financial instruments (Note 13 (Fair Values of Assets and Liabilities));</font></div></td></tr></table><table cellpadding="0" cellspacing="0" style="font-family:Times New Roman; font-size:10pt;"><tr><td style="width:24px;" rowspan="1" colspan="1"></td><td rowspan="1" colspan="1"></td></tr><tr><td style="vertical-align:top" rowspan="1" colspan="1"><div style="line-height:120%;font-size:9pt;padding-left:0px;"><font style="font-family:Georgia,serif;font-size:9pt;">&#8226;</font></div></td><td style="vertical-align:top;" rowspan="1" colspan="1"><div style="line-height:120%;font-size:9pt;"><font style="font-family:Georgia,serif;font-size:9pt;">income taxes; and</font></div></td></tr></table><table cellpadding="0" cellspacing="0" style="font-family:Times New Roman; font-size:10pt;"><tr><td style="width:24px;" rowspan="1" colspan="1"></td><td rowspan="1" colspan="1"></td></tr><tr><td style="vertical-align:top" rowspan="1" colspan="1"><div style="line-height:120%;font-size:9pt;padding-left:0px;"><font style="font-family:Georgia,serif;font-size:9pt;">&#8226;</font></div></td><td style="vertical-align:top;" rowspan="1" colspan="1"><div style="line-height:120%;font-size:9pt;"><font style="font-family:Georgia,serif;font-size:9pt;">liabilities for contingent litigation losses (Note 11 (Legal Actions)). </font></div></td></tr></table><div style="line-height:120%;font-size:9pt;"><font style="font-family:Georgia,serif;font-size:9pt;">Actual results could differ from those estimates.</font></div></div>

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