Willis Towers Watson (WTW) FY2018 results: revenue $8.5 billion, up 3.8% on the year
Willis Towers Watson plc (WTW) reported revenue of $8.5 billion for fiscal 2018, the year ended 31 December 2018, up 3.8% on the year before. Net income was $695 million, up 22.4%, and diluted earnings per share $5.27. The figures are the company's own, from the 10-K it filed with the SEC on 27 February 2019.
Revenue
$8.5 billion
+3.8% on the year
FY2011FY2018
Operating margin
9.5%
6.3% a year earlier
FY2011FY2018
Net income
$695 million
+22.4% on the year
FY2011FY2018
Diluted EPS
$5.27
+26.1% 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
8,513
8,202
7,887
+3.8%
Operating income
809
516
348
+56.8%
Operating margin
9.5%
6.3%
4.4%
Interest expense
208
188
184
+10.6%
Pre-tax income
851
492
342
+73.0%
Income tax
136
-100
-96.0
Effective tax rate
16.0%
-20.3%
-28.1%
Net income
695
568
420
+22.4%
Net margin
8.2%
6.9%
5.3%
Diluted EPS
$5.27
$4.18
$3.04
+26.1%
$ 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
1,288
862
933
+49.4%
Capital expenditure
268
300
218
-10.7%
Free cash flow
1,020
562
715
+81.5%
Free cash flow margin
12.0%
6.9%
9.1%
Cash from investing
-341
-335
195
Cash from financing
-903
-479
-775
Depreciation and amortisation
747
833
769
-10.3%
Share-based compensation
50.0
67.0
123
-25.4%
Buybacks
602
532
396
+13.2%
Dividends paid
306
277
199
+10.5%
Dividend per share
$2.40
$2.12
$1.92
+13.2%
Diluted shares, weighted
132m
136m
138m
-2.9%
Balance sheet
$ million
FY2018
FY2017
FY2016
On the year
Last 8 years
Shareholders' equity
9,852
10,126
10,065
-2.7%
Non-controlling interest
119
123
118
-3.3%
Redeemable equity
26.0
28.0
51.0
-7.1%
Debt
6,400
5,638
4,943
+13.5%
Operating lease liabilities
0.0
n/a
n/a
Finance lease liabilities
26.0
n/a
n/a
Other liabilities
15,962
16,543
15,076
-3.5%
Total liabilities and equity
32,385
32,458
30,253
-0.2%
Fixed assets
942
985
839
-4.4%
Goodwill
10,465
10,519
10,413
-0.5%
Intangible assets
3,318
3,882
4,368
-14.5%
Cash and equivalents
1,033
1,030
870
+0.3%
Receivables
2,379
2,246
2,080
+5.9%
Other assets
14,248
13,796
11,683
+3.3%
Total assets
32,385
32,458
30,253
-0.2%
10-K for the year ended 31 December 2018, filed 27 February 2019: the filing.