2018 Q4 Form 10-Q Financial Statement

#000007297118000471 Filed on November 06, 2018

View on sec.gov

Income Statement

Concept 2018 Q4 2018 Q3 2017 Q3
Revenue $21.94B $21.85B
YoY Change 0.42% 62.0%
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 $1.371B $1.387B $1.316B
YoY Change -14.95% 5.4% -3.59%
% of Gross Profit
Operating Expenses
YoY Change
Operating Profit
YoY Change
Interest Expense $3.792B $2.595B
YoY Change 46.13% 69.06%
% of Operating Profit
Other Income/Expense, Net
YoY Change
Pretax Income $7.120B $7.598B $6.781B
YoY Change 54.82% 12.05% -17.86%
Income Tax $970.0M $1.512B $2.181B
% Of Pretax Income 13.62% 19.9% 32.16%
Net Earnings $6.064B $6.007B $4.542B
YoY Change -1.41% 32.25% -19.53%
Net Earnings / Revenue 27.38% 20.79%
Basic Earnings Per Share $1.14 $0.83
Diluted Earnings Per Share $1.290M $1.13 $0.83
COMMON SHARES
Basic Shares Outstanding 4.707B shares 4.784B shares 4.949B shares
Diluted Shares Outstanding 4.823B shares 4.997B shares

Balance Sheet

Concept 2018 Q4 2018 Q3 2017 Q3
SHORT-TERM ASSETS
Cash & Short-Term Investments
YoY Change
Cash & Equivalents $173.3B $159.5B $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 $8.920B $8.802B $8.449B
YoY Change 0.83% 4.18% 1.53%
Goodwill $26.42B $26.43B $26.58B
YoY Change -0.64% -0.59% -0.4%
Intangibles
YoY Change
Long-Term Investments $15.89B
YoY Change 7.25%
Other Assets
YoY Change
Total Long-Term Assets
YoY Change
TOTAL ASSETS
Total Short-Term Assets
Total Long-Term Assets
Total Assets $1896B $1873B $1935B
YoY Change -2.86% -3.2% -0.37%
SHORT-TERM LIABILITIES
YoY Change
Accounts Payable
YoY Change
Accrued Expenses $69.32B $71.35B $79.21B
YoY Change -1.84% -9.92% -4.3%
Deferred Revenue
YoY Change
Short-Term Debt $105.8B $105.5B $93.81B
YoY Change 2.45% 12.41% -24.75%
Long-Term Debt Due
YoY Change
Total Short-Term Liabilities $69.32B $71.35B $79.21B
YoY Change -1.84% -9.92% -4.3%
LONG-TERM LIABILITIES
Long-Term Debt $229.0B $221.3B $238.9B
YoY Change 1.79% -7.35% -6.26%
Other Long-Term Liabilities $8.499B $8.586B $9.497B
YoY Change -3.38% -9.59%
Total Long-Term Liabilities $237.5B $229.9B $248.4B
YoY Change 1.59% -7.44% -2.53%
TOTAL LIABILITIES
Total Short-Term Liabilities $69.32B $71.35B $79.21B
Total Long-Term Liabilities $237.5B $229.9B $248.4B
Total Liabilities $1699B $1673B $1728B
YoY Change -2.57% -3.17% -0.58%
SHAREHOLDERS EQUITY
Retained Earnings $158.2B $154.6B $141.8B
YoY Change 8.88% 9.04% 8.81%
Common Stock $9.136B $9.136B $9.136B
YoY Change 0.0% 0.0% 0.0%
Preferred Stock $95.00M $105.0M $130.0M
YoY Change -22.13% -19.23% 0.0%
Treasury Stock (at cost) $47.19B $40.54B $27.77B
YoY Change 57.88% 45.97% 24.83%
Treasury Stock Shares 900.6M shares 770.3M shares 553.9M shares
Shareholders Equity $196.2B $198.7B $205.9B
YoY Change
Total Liabilities & Shareholders Equity $1896B $1873B $1935B
YoY Change -2.86% -3.2% -0.37%

Cashflow Statement

Concept 2018 Q4 2018 Q3 2017 Q3
OPERATING ACTIVITIES
Net Income $6.064B $6.007B $4.542B
YoY Change -1.41% 32.25% -19.53%
Depreciation, Depletion And Amortization $1.371B $1.387B $1.316B
YoY Change -14.95% 5.4% -3.59%
Cash From Operating Activities $15.03B $6.658B $9.532B
YoY Change 5366.91% -30.15% -497.66%
INVESTING ACTIVITIES
Capital Expenditures
YoY Change
Acquisitions
YoY Change
Other Investing Activities -$18.25B -$220.0M $6.652B
YoY Change -34.69% -103.31% -116.76%
Cash From Investing Activities -$18.25B -$220.0M $6.652B
YoY Change -34.69% -103.31% -116.76%
FINANCING ACTIVITIES
Cash Dividend Paid
YoY Change
Common Stock Issuance & Retirement, Net
YoY Change
Debt Paid & Issued, Net
YoY Change
Cash From Financing Activities 16.98B -10.36B -7.278B
YoY Change -7.73% 42.4% -117.77%
NET CHANGE
Cash From Operating Activities 15.03B 6.658B 9.532B
Cash From Investing Activities -18.25B -220.0M 6.652B
Cash From Financing Activities 16.98B -10.36B -7.278B
Net Change In Cash 13.76B -3.926B 8.906B
YoY Change -248.58% -144.08% -895.18%
FREE CASH FLOW
Cash From Operating Activities $15.03B $6.658B $9.532B
Capital Expenditures
Free Cash Flow
YoY Change

Facts In Submission

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0.0292
wfc Weighted Average Contractual Yield On Held To Maturity Debt Securities Net Carrying Amount
WeightedAverageContractualYieldOnHeldToMaturityDebtSecuritiesNetCarryingAmount
0.0287
CY2017Q3 wfc Weighted Average Rate Reduction Related To Loan Modifications
WeightedAverageRateReductionRelatedToLoanModifications
0.0656
wfc Weighted Average Rate Reduction Related To Loan Modifications
WeightedAverageRateReductionRelatedToLoanModifications
0.0564
CY2018Q3 wfc Weighted Average Rate Reduction Related To Loan Modifications
WeightedAverageRateReductionRelatedToLoanModifications
0.0788
wfc Weighted Average Rate Reduction Related To Loan Modifications
WeightedAverageRateReductionRelatedToLoanModifications
0.0790
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;">2017</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, trust and investments, mortgage banking, investment banking, retail banking, brokerage, and consumer and commercial finance through banking locations, 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, 2017</font><font style="font-family:Georgia,serif;font-size:9pt;"> (</font><font style="font-family:Georgia,serif;font-size:9pt;">2017</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 worse 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 (Note 6 (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 9 (Securitizations and Variable Interest Entities) and Note 10 (Mortgage Banking Activities)) and financial instruments (Note 15 (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;">liabilities for contingent litigation losses (Note 13 (Legal Actions)); 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;">income taxes.</font></div></td></tr></table><div style="line-height:120%;font-size:9pt;"><font style="font-family:Georgia,serif;font-size:9pt;"><br clear="none"/></font></div><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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