Verizon Communications (VZ) FY2016 results: revenue $126.0 billion, down 4.3% on the year
Verizon Communications Inc. (VZ) reported revenue of $126.0 billion for fiscal 2016, the year ended 31 December 2016, down 4.3% on the year before. Net income was $13.1 billion, down 26.6%, and diluted earnings per share $3.21. The figures are the company's own, from the 10-K it filed with the SEC on 21 February 2017.
Revenue
$126.0 billion
-4.3% on the year
FY2009FY2016
Operating margin
23.2%
23.3% a year earlier
FY2009FY2016
Net income
$13.1 billion
-26.6% on the year
FY2009FY2016
Diluted EPS
$3.21
-26.5% 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
125,980
131,620
127,079
-4.3%
Cost of revenue
52,701
53,361
49,931
-1.2%
Gross profit
73,279
78,259
77,148
-6.4%
Gross margin
58.2%
59.5%
60.7%
Selling, general and administrative
28,102
31,627
41,016
-11.1%
Operating income
29,249
30,615
19,599
-4.5%
Operating margin
23.2%
23.3%
15.4%
Interest expense
4,376
4,920
4,915
-11.1%
Pre-tax income
20,986
28,240
15,270
-25.7%
Income tax
7,378
9,865
3,314
-25.2%
Effective tax rate
35.2%
34.9%
21.7%
Net income
13,127
17,879
9,625
-26.6%
Net margin
10.4%
13.6%
7.6%
Diluted EPS
$3.21
$4.37
$2.42
-26.5%
$ 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
FY2016
FY2015
FY2014
On the year
Last 8 years
Operating cash flow
21,689
38,930
30,631
-44.3%
Capital expenditure
17,059
17,775
17,191
-4.0%
Free cash flow
4,630
21,155
13,440
-78.1%
Free cash flow margin
3.7%
16.1%
10.6%
Cash from investing
-9,874
-30,043
-15,856
Cash from financing
-13,376
-15,112
-57,705
Depreciation and amortisation
15,928
16,017
16,533
-0.6%
Share-based compensation
400
300
300
+33.3%
Buybacks
0.0
5,134
n/a
Dividends paid
9,262
8,538
7,803
+8.5%
Dividend per share
$2.29
$2.23
$2.16
+2.5%
Diluted shares, weighted
4,086m
4,093m
3,981m
-0.2%
Balance sheet
$ million
FY2016
FY2015
FY2014
On the year
Last 8 years
Shareholders' equity
24,032
17,842
13,676
+34.7%
Debt
108,078
109,729
113,271
-1.5%
Other liabilities
112,070
117,069
105,162
-4.3%
Total liabilities and equity
244,180
244,640
232,109
-0.2%
Fixed assets
84,751
83,541
89,947
+1.4%
Goodwill
27,205
25,331
24,639
+7.4%
Intangible assets
8,897
7,592
5,359
+17.2%
Investments
n/a
350
555
Loans
n/a
894
1,090
Cash and equivalents
2,880
4,470
10,598
-35.6%
Receivables
17,513
13,457
13,993
+30.1%
Inventory
1,202
1,252
1,153
-4.0%
Other assets
101,732
107,753
84,775
-5.6%
Total assets
244,180
244,640
232,109
-0.2%
10-K for the year ended 31 December 2016, filed 21 February 2017: the filing.