Arch Capital Group (ACGL) FY2017 results: revenue $5.6 billion, up 26.1% on the year
Arch Capital Group Ltd. (ACGL) reported revenue of $5.6 billion for fiscal 2017, the year ended 31 December 2017, up 26.1% on the year before. Net income was $619 million, down 10.6%, and diluted earnings per share $1.36. The figures are the company's own, from the 10-K it filed with the SEC on 28 February 2018.
Revenue
$5.6 billion
+26.1% on the year
FY2010FY2017
Operating margin
13.5%
19.2% a year earlier
FY2010FY2017
Net income
$619 million
-10.6% on the year
FY2010FY2017
Diluted EPS
$1.36
-23.6% on the year
FY2010FY2017
this yearthe year beforeHover a bar for its figure.
The year in brief
Income statement (profit and loss)
$ million
FY2017
FY2016
FY2015
On the year
Last 8 years
Revenue
5,627
4,464
3,937
+26.1%
Operating income
757
856
567
-11.5%
Operating margin
13.5%
19.2%
14.4%
Interest expense
117
66.3
45.9
+77.2%
Pre-tax income
757
856
567
-11.5%
Income tax
128
31.4
40.6
+306.6%
Effective tax rate
16.8%
3.7%
7.2%
Net income
619
693
538
-10.6%
Net margin
11.0%
15.5%
13.7%
Diluted EPS
$1.36
$1.78
$1.36
-23.6%
$ 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
FY2017
FY2016
FY2015
On the year
Last 8 years
Operating cash flow
1,095
1,377
998
-20.5%
Capital expenditure
22.8
15.3
15.7
+49.3%
Free cash flow
1,072
1,362
982
-21.3%
Free cash flow margin
19.1%
30.5%
24.9%
Cash from investing
-1,352
n/a
n/a
Cash from financing
-3.4
n/a
n/a
Share-based compensation
67.8
56.6
56.1
+19.8%
Buybacks
0.0
75.3
365
Diluted shares, weighted
418m
374m
378m
+11.7%
Shares outstanding at period end
393m
368m
368m
+6.7%
Balance sheet
$ million
FY2017
FY2016
FY2015
On the year
Last 8 years
Shareholders' equity
9,197
8,254
6,167
+11.4%
Non-controlling interest
843
852
739
-1.0%
Debt
1,733
1,732
791
+0.0%
Other liabilities
20,279
18,534
15,481
+9.4%
Total liabilities and equity
32,052
29,372
23,177
+9.1%
Goodwill
198
204
15.5
-2.8%
Intangible assets
386
509
48.5
-24.2%
Securities held for sale or to maturity
13,876
13,427
10,459
+3.3%
Cash and equivalents
606
843
553
-28.1%
Other assets
16,985
14,389
12,101
+18.0%
Total assets
32,052
29,372
23,177
+9.1%
10-K for the year ended 31 December 2017, filed 28 February 2018: the filing.