Arch Capital Group (ACGL) FY2016 results: revenue $4.5 billion, up 13.4% on the year
Arch Capital Group Ltd. (ACGL) reported revenue of $4.5 billion for fiscal 2016, the year ended 31 December 2016, up 13.4% on the year before. Net income was $693 million, up 28.8%, and diluted earnings per share $1.78. The figures are the company's own, from the 10-K it filed with the SEC on 1 March 2017.
Revenue
$4.5 billion
+13.4% on the year
FY2009FY2016
Operating margin
19.2%
14.4% a year earlier
FY2009FY2016
Net income
$693 million
+28.8% on the year
FY2009FY2016
Diluted EPS
$1.78
+30.3% on the year
FY2009FY2016
this yearthe year beforeHover a bar for its figure.
The year in brief
Income statement (profit and loss)
$ million
FY2016
FY2015
FY2014
On the year
Last 8 years
Revenue
4,464
3,937
3,989
+13.4%
Operating income
856
567
844
+50.8%
Operating margin
19.2%
14.4%
21.2%
Interest expense
66.3
45.9
45.6
+44.4%
Pre-tax income
856
567
844
+50.8%
Income tax
31.4
40.6
23.0
-22.7%
Effective tax rate
3.7%
7.2%
2.7%
Net income
693
538
834
+28.8%
Net margin
15.5%
13.7%
20.9%
Diluted EPS
$1.78
$1.36
$2.01
+30.3%
$ million except per share. Read moreFree cash flow is operating cash flow less capital expenditure; the effective tax rate is income tax over pre-tax income; margins are the line over revenue. Gross profit is revenue less cost of revenue, and operating income is revenue less the company's own total costs, where the statement does not print those lines. Those four are arithmetic on the filed numbers; everything else is as filed. Money is in $ million as the company files it, or in $ billion by the switch above the tables; per share figures and share counts are as they are.
Cash flow
$ million
FY2016
FY2015
FY2014
On the year
Last 8 years
Operating cash flow
1,377
998
1,037
+38.0%
Capital expenditure
15.3
15.7
19.9
-2.8%
Free cash flow
1,362
982
1,017
+38.7%
Free cash flow margin
30.5%
24.9%
25.5%
Share-based compensation
56.6
56.1
54.8
+0.9%
Buybacks
75.3
365
454
-79.4%
Diluted shares, weighted
374m
378m
405m
-1.0%
Shares outstanding at period end
368m
368m
382m
+0.1%
Balance sheet
$ million
FY2016
FY2015
FY2014
On the year
Last 8 years
Shareholders' equity
8,254
6,167
6,092
+33.8%
Non-controlling interest
852
739
769
+15.3%
Debt
1,732
791
791
+118.9%
Other liabilities
18,534
15,481
14,358
+19.7%
Total liabilities and equity
29,372
23,177
22,010
+26.7%
Goodwill
204
15.5
14.9
+1,213.2%
Intangible assets
509
48.5
61.1
+950.9%
Securities held for sale or to maturity
13,427
10,459
10,751
+28.4%
Cash and equivalents
843
553
486
+52.3%
Other assets
14,389
12,101
10,697
+18.9%
Total assets
29,372
23,177
22,010
+26.7%
10-K for the year ended 31 December 2016, filed 1 March 2017: the filing.