Yahoo! Inc., balance sheet: debt

US$ in thousands

	Dec 31, 2016	Dec 31, 2015	Dec 31, 2014	Dec 31, 2013	Dec 31, 2012
Convertible notes	1,299,945)	1,233,485)	1,170,423)	1,110,585)	—)
Net lease obligations	23,000)	33,000)	47,000)	44,000)	37,000)
Total convertible notes and capital lease obligations (carrying amount)	1,322,945)	1,266,485)	1,217,423)	1,154,585)	37,000)

Based on: 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31).

The reported debt data over the five-year period reveals several significant trends and changes in the composition and total amounts of specific liabilities.

Convertible Notes: The balance of convertible notes shows a consistent upward trend from 2013 onward, increasing from approximately 1,110 million US dollars to nearly 1,300 million US dollars by the end of 2016. This indicates a steady rise in the company’s issuance or carrying value of convertible notes over these years. Notably, data for 2012 is absent, which limits the ability to analyze earlier trends.
Net Lease Obligations: Net lease obligations display a less stable trend with fluctuations during the period. Starting in 2012, they begin at 37 million US dollars, rise to 44 and 47 million US dollars in 2013 and 2014 respectively, but then decline significantly to 33 million and 23 million US dollars in 2015 and 2016. This downward trajectory in the latter years could suggest lease agreements being paid down, settled early, or a reduction in lease commitments.
Total Convertible Notes and Capital Lease Obligations (Carrying Amount): The combined measure of convertible notes and capital lease obligations closely mirrors the pattern of convertible notes due to their relative magnitudes. Starting at 37 million US dollars in 2012, it sharply increases in 2013 to approximately 1,155 million US dollars. Thereafter, it moves upward in a steady manner, reaching about 1,323 million US dollars by the end of 2016. The overall growth indicates increasing leverage through these forms of debt, with lease obligations constituting a much smaller portion relative to convertible notes.

In summary, the data suggests a significant reliance on convertible notes as a source of financing with a steady increase over the years, contrasted with declining net lease obligations in the latter part of the period. The total carrying amount of these liabilities demonstrates growing obligations, primarily driven by convertible notes, which may have implications for the company’s capital structure and financial risk profile.

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	Dec 31, 2016
Selected Financial Data (US$ in thousands)
Convertible senior notes	1,314,876)
Net capital lease obligations	23,000)
Total convertible notes and capital lease obligations (fair value)	1,337,876)
Financial Ratio
Debt, fair value to carrying amount ratio	1.01

Based on: 10-K (reporting date: 2016-12-31).

Weighted-average effective interest rate on debt: 5.34%

Interest rate	Debt amount¹	Interest rate × Debt amount
5.26%	1,299,945)	68,377)
9.74%	23,000)	2,240)
Total	1,322,945)	70,617)
5.34%

Based on: 10-K (reporting date: 2016-12-31).

¹ US$ in thousands

² Weighted-average interest rate = 100 × 70,617 ÷ 1,322,945 = 5.34%

Yahoo! Inc. (NASDAQ:YHOO)

Analysis of Debt

Total Debt (Carrying Amount)

Total Debt (Fair Value)

Weighted-average Interest Rate on Debt