Arch Capital Group (ACGL) FY2018 results: revenue $5.5 billion, down 3.1% on the year
Arch Capital Group Ltd. (ACGL) reported revenue of $5.5 billion for fiscal 2018, the year ended 31 December 2018, down 3.1% on the year before. Net income was $758 million, up 22.4%, and diluted earnings per share $1.73. The figures are the company's own, from the 10-K it filed with the SEC on 28 February 2019.
Revenue
$5.5 billion
-3.1% on the year
FY2011FY2018
Operating margin
15.4%
13.5% a year earlier
FY2011FY2018
Net income
$758 million
+22.4% on the year
FY2011FY2018
Diluted EPS
$1.73
+27.5% on the year
FY2011FY2018
this yearthe year beforeHover a bar for its figure.
The year in brief
Income statement (profit and loss)
$ million
FY2018
FY2017
FY2016
On the year
Last 8 years
Revenue
5,451
5,627
4,464
-3.1%
Operating income
842
757
856
+11.2%
Operating margin
15.4%
13.5%
19.2%
Interest expense
120
117
66.3
+2.6%
Pre-tax income
842
757
856
+11.2%
Income tax
114
128
31.4
-10.7%
Effective tax rate
13.5%
16.8%
3.7%
Net income
758
619
693
+22.4%
Net margin
13.9%
11.0%
15.5%
Diluted EPS
$1.73
$1.36
$1.78
+27.5%
$ 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
FY2018
FY2017
FY2016
On the year
Last 8 years
Operating cash flow
1,559
1,095
1,377
+42.4%
Capital expenditure
29.8
22.8
15.3
+30.5%
Free cash flow
1,530
1,072
1,362
+42.7%
Free cash flow margin
28.1%
19.1%
30.5%
Cash from investing
-554
-1,352
n/a
Cash from financing
-989
-3.4
n/a
Share-based compensation
55.8
67.8
56.6
-17.7%
Buybacks
283
0.0
75.3
Diluted shares, weighted
413m
418m
374m
-1.2%
Shares outstanding at period end
402m
393m
368m
+2.4%
Balance sheet
$ million
FY2018
FY2017
FY2016
On the year
Last 8 years
Shareholders' equity
9,440
9,197
8,254
+2.6%
Non-controlling interest
792
843
852
-6.1%
Debt
1,734
1,733
1,732
+0.0%
Other liabilities
20,253
20,279
18,534
-0.1%
Total liabilities and equity
32,218
32,052
29,372
+0.5%
Goodwill
250
198
204
+25.9%
Intangible assets
323
386
509
-16.3%
Securities held for sale or to maturity
14,699
13,876
13,427
+5.9%
Cash and equivalents
647
606
843
+6.7%
Other assets
16,300
16,985
14,389
-4.0%
Total assets
32,218
32,052
29,372
+0.5%
10-K for the year ended 31 December 2018, filed 28 February 2019: the filing.