Twenty-First Century Fox Inc. (NASDAQ:FOX)

The financial data over the six-year period reveals various trends in operational efficiency, liquidity, leverage, and profitability.

Asset Turnover

The reported total asset turnover remained relatively stable, fluctuating slightly around 0.54 to 0.58 between 2013 and 2018. The adjusted total asset turnover followed a similar pattern, with a gradual increase from 0.50 in 2013 to 0.55 in 2018. This indicates a consistent efficiency in utilizing total assets to generate revenue over the period.

Liquidity Ratios

The reported current ratio showed some variability but maintained a value above 1.7, increasing from 1.85 in 2013 to 2.35 in 2018. The adjusted current ratio followed an upward trend, rising from 2.13 to 2.68 during the same period. This suggests an improvement in the company’s short-term financial health and its ability to cover current liabilities with current assets.

Leverage Ratios

Both reported and adjusted debt to equity ratios rose from 2013 to 2016, peaking at 1.44 (reported) and 1.10 (adjusted), before declining to levels near those of 2013 by 2018. Similarly, debt to capital ratios increased until 2016 and subsequently decreased. Financial leverage peaked in 2016 and then diminished steadily towards 2018 in both reported and adjusted figures. These trends indicate a period of increased reliance on debt financing mid-cycle, followed by deleveraging towards the end of the period.

Profitability Margins

The reported net profit margin experienced significant fluctuations, with a notable peak at 28.65% in 2015 and lower values around 10-15% in other years. The adjusted net profit margin mirrored this volatility but with generally lower peaks. Return on equity (ROE) displayed a similar pattern: high in 2015 (48.23% reported), followed by a decline and modest recovery by 2018. Adjusted ROE figures were consistently lower but showed the same trend. Return on assets (ROA) followed a comparable trajectory, peaking in 2015 and tapering off subsequently, yet showing slight improvement toward 2018. These variations suggest periods of strong profitability interspersed with lower returns, reflecting potential cyclical influences or one-time impacts during the covered years.

Revenues

The revenues experienced fluctuations over the observed periods. Starting at 27,675 million US dollars in mid-2013, revenues increased significantly to 31,867 million US dollars in 2014. Subsequently, there was a decline to 28,987 million US dollars in 2015, followed by a further decrease to 27,326 million US dollars in 2016. From 2016 onwards, revenues showed a recovery trend, rising to 28,500 million US dollars in 2017 and reaching 30,400 million US dollars in 2018.

Total Assets

Total assets saw a general decline from 50,944 million US dollars in 2013 to 48,365 million US dollars in 2016. After this trough, assets reversed the trend and increased to 50,724 million US dollars in 2017 and further to 53,831 million US dollars in 2018.

Reported Total Asset Turnover

The reported total asset turnover ratio demonstrated relative stability over the period. It increased from 0.54 in 2013 to 0.58 in 2014 and remained around 0.56 to 0.58 in the subsequent years, ending at 0.56 in 2018. This indicates a consistent efficiency level in generating revenues from assets.

Adjusted Revenues

Adjusted revenues exhibit a similar pattern to reported revenues, starting at 27,472 million US dollars in 2013, peaking at 31,880 million US dollars in 2014, then declining through 2015 and 2016 to 27,383 million US dollars. A recovery is observed thereafter with increases to 28,575 million US dollars in 2017 and 30,498 million US dollars in 2018.

Adjusted Total Assets

Adjusted total assets show a declining trend from 55,240 million US dollars in 2013 to 50,169 million US dollars in 2016. Following this period, adjusted total assets increased steadily to 52,793 million US dollars in 2017 and 55,696 million US dollars in 2018.

Adjusted Total Asset Turnover

The adjusted total asset turnover ratio rose from 0.50 in 2013 to 0.54 in 2014 and further to 0.55 in 2015 and 2016. It then slightly decreased to 0.54 in 2017 before increasing again to 0.55 in 2018. The ratio reflects a moderate improvement in asset utilization efficiency over the period despite minor fluctuations.

Summary of Trends

Overall, both revenues and total assets experienced initial declines post-2014, with gradual recoveries apparent from 2016 onwards. The asset turnover ratios, both reported and adjusted, remained relatively stable, signifying consistent asset utilization efficiency throughout the period. The adjustments applied to revenues and assets have not significantly altered the observed trends, reinforcing the reliability of the underlying financial dynamics. The observed patterns suggest effective management of resources with a capacity to rebound from mid-period downturns.

The financial data reveals several key trends in the company's liquidity position over the six-year period ending June 30, 2018.

Current Assets

There is a general positive trend in current assets, which increased from $15,567 million in 2013 to $19,333 million in 2018. Despite a dip in 2016 to $14,949 million, the overall movement indicates growth in liquid resources available to meet short-term obligations.

Current Liabilities

Current liabilities have shown some variability but remained relatively stable overall, decreasing from $8,435 million in 2013 to $8,244 million in 2018. The lowest point was $7,068 million in 2016, followed by a gradual increase. This stability supports the management of short-term financial obligations.

Reported Current Ratio

The reported current ratio demonstrates an improving liquidity position, increasing from 1.85 in 2013 to 2.35 in 2018. There is a noticeable peak at 2.39 in 2015, indicating stronger buffer capacity, with a slight dip in 2016 before resuming the upward trend.

Adjusted Current Assets

Adjusted current assets follow a similar pattern to reported current assets but with consistently higher values, suggesting adjustments for items potentially excluded from the reported figures. These assets increased from $16,457 million in 2013 to $19,721 million in 2018, reaffirming the positive growth trend.

Adjusted Current Liabilities

Adjusted current liabilities have decreased more significantly than reported current liabilities, from $7,725 million in 2013 to $7,361 million in 2018, with a notable low in 2015 at $6,124 million. This decrease enhances the view of improved short-term financial health when considering adjustments.

Adjusted Current Ratio

The adjusted current ratio exhibits a more pronounced improvement than the reported ratio, rising substantially from 2.13 in 2013 to 2.68 in 2018. The highest ratio of 2.92 in 2015 coincides with the lowest adjusted liabilities, indicating a peak in liquidity strength during that year. The trend confirms an overall strengthening of the company's ability to cover short-term obligations after adjustments.

In summary, the company’s liquidity ratios reveal a strengthening short-term financial position over the period analyzed. Both reported and adjusted current assets display growth, and while liabilities have fluctuated, they have generally declined or remained stable. This has led to increasing current ratios, particularly the adjusted ratio, which suggests improving capacity to meet short-term liabilities when considering internal adjustments to assets and liabilities.

The financial data over the six-year period reveals notable trends in the company's capital structure, particularly concerning its debt and equity positions as well as their ratios.

Total Debt

The total debt exhibited an overall upward trend from 2013 to 2017, increasing from approximately $16.5 billion to nearly $20 billion. However, in 2018, total debt slightly decreased to about $19.5 billion, indicating a moderate reduction after several years of accumulation.

Total Stockholders’ Equity

Reported equity showed a moderate increase from 2013 to 2014, remained relatively stable through 2015, but then declined sharply in 2016 to around $13.7 billion. Following this decline, equity recovered substantially in 2017 and 2018, reaching nearly $19.6 billion by the end of the period.

Reported Debt to Equity Ratio

This ratio increased from 0.97 in 2013 to a peak of 1.44 in 2016, reflecting a rise in leverage primarily driven by the sharp decline in equity during that year. Subsequently, the ratio declined to 1.0 in 2018, suggesting improved balance between debt and equity financing.

Adjusted Total Debt

Adjusted total debt followed a similar pattern to reported debt, rising from about $20 billion in 2013 to over $21.6 billion in 2017, then decreasing slightly to approximately $21.1 billion by 2018. This adjustment suggests a broader consideration of liabilities beyond reported debt.

Adjusted Total Equity

Adjusted equity started higher than reported equity at roughly $24.6 billion in 2013, increased somewhat in 2014, then experienced a steady decline through 2016 reaching around $19.3 billion. Afterward, it recovered to about $24.7 billion in 2018, mirroring the pattern observed in reported equity but at higher absolute values.

Adjusted Debt to Equity Ratio

The adjusted ratio increased moderately from 0.81 to 1.10 between 2013 and 2016, indicating rising leverage when considering a wider scope of debt and equity adjustments. The ratio then decreased to 0.85 by 2018, showing a reduction in leverage and a more balanced capital structure relative to prior years.

Overall, the trends indicate a period of increasing leverage culminating in 2016, followed by a gradual deleveraging through improved equity positions and slight reductions in total debt held. The fluctuations in equity, particularly the sharp decline and subsequent recovery, appear to be primary drivers of changes in leverage ratios. Adjusted figures provide a more conservative view but exhibit similar patterns, confirming the company’s shift toward strengthened equity base and moderated debt exposure in the latter years.

Total Debt

Total debt exhibits an upward trend from 2013 to 2017, increasing from 16,458 million USD to 19,913 million USD. However, in 2018, there is a slight decline to 19,523 million USD, indicating a modest reduction in debt level after several years of growth.

Total Capital

Total capital fluctuates over the period with an increase from 33,456 million USD in 2013 to 36,476 million USD in 2014, followed by a mild decrease in 2015 and 2016 to 36,259 million USD and 33,386 million USD, respectively. Subsequently, total capital rises again in 2017 and 2018, reaching 39,087 million USD, representing overall growth over the six-year span.

Reported Debt to Capital Ratio

The reported debt to capital ratio increases steadily from 0.49 in 2013 to a peak of 0.59 in 2016, reflecting a growing proportion of debt relative to capital during this period. Afterward, it declines to 0.56 in 2017 and further to 0.50 in 2018, signaling improved capital structure with comparatively less reliance on debt.

Adjusted Total Debt

Adjusted total debt similarly rises from 19,912 million USD in 2013 to a high of 22,748 million USD in 2014, then declines to 20,609 million USD in 2015. A moderate increase follows in 2016 and 2017, but the figure decreases again to 21,076 million USD in 2018, displaying some variability but generally stable debt levels in the adjusted measure.

Adjusted Total Capital

Adjusted total capital shows a pattern of growth from 44,517 million USD in 2013 to a peak of 48,500 million USD in 2014, followed by a notable reduction to 40,491 million USD in 2016. Thereafter, it improves to 45,756 million USD by 2018, indicating recovery and expansion in capital base adjusted for specific considerations.

Adjusted Debt to Capital Ratio

The adjusted debt to capital ratio follows an upward trend from 0.45 in 2013 to 0.52 in 2016, suggesting an increasing share of debt in capital structure during this timeframe. This ratio then decreases to 0.50 in 2017 and further down to 0.46 in 2018, reflecting a shift towards reduced leverage and a stronger capital position on an adjusted basis.

Total assets

The total assets exhibit some fluctuations over the observed periods. Starting at $50,944 million in 2013, assets increased to a peak of $54,793 million in 2014, followed by a decline to $48,365 million in 2016. Subsequently, there is a recovery trend with assets rising to $53,831 million by 2018. This pattern suggests a period of asset reduction followed by gradual growth.

Total Twenty-First Century Fox, Inc. stockholders’ equity

Stockholders' equity shows an initial moderate increase from $16,998 million in 2013 to $17,418 million in 2014, remaining relatively stable through 2015. It then declines sharply to $13,661 million in 2016, indicating a significant reduction in equity. Following this, equity rebounds, reaching $19,564 million in 2018, surpassing the initial 2013 level. This volatility could reflect changes in retained earnings, dividend payments, or capital restructuring.

Reported financial leverage

Reported financial leverage ratios start at 3.00 in 2013, increase slightly to 3.15 in 2014, then decrease to 2.91 in 2015. A spike occurs in 2016 to 3.54, followed by a decline to 2.75 in 2018. The higher leverage in 2016 suggests increased debt relative to equity during that year, with a notable reduction thereafter, indicating potential deleveraging efforts or equity growth.

Adjusted total assets

Adjusted total assets display a similar trend to total assets but are consistently higher in value. The peak is at $59,237 million in 2014, followed by a decline until 2016 with $50,169 million, and then a rise to $55,696 million in 2018. The adjustments may account for off-balance sheet items or asset revaluations, reflecting a cautious approach in asset reporting.

Adjusted total equity

Adjusted equity begins at $24,605 million in 2013, increasing slightly to $25,752 million in 2014. It declines to $19,260 million in 2016, mirroring the trend in reported equity but at higher values. A recovery phase occurs post-2016, culminating in $24,680 million by 2018. This pattern indicates similar equity dynamics considering adjustments, possibly including revaluation or accumulated comprehensive income.

Adjusted financial leverage

The adjusted financial leverage ratio moves from 2.25 in 2013 to 2.3 in 2014 and further to 2.33 in 2015. An increase to 2.6 occurs in 2016, aligning with the peak in reported leverage, followed by a decline to 2.26 in 2018. This ratio, reflecting adjusted figures, suggests moderate leverage changes with a peak in 2016 and subsequent deleveraging or equity strengthening.

Overall trends and insights

The financial data indicate a period of increased leverage and decreased equity around 2016, accompanied by declines in both total and adjusted assets. This period potentially reflects strategic investments, debt-financed operations, or economic challenges impacting the company's financial structure. From 2017 onward, the data suggest a recovery phase characterized by asset growth, equity strengthening, and reduced financial leverage, implying improved capital structure and risk management. The presence of both reported and adjusted figures provides a comprehensive view, highlighting the impact of accounting adjustments or changes in asset valuation on financial analysis.

Net income attributable to stockholders

The net income experienced significant fluctuations over the six-year period. Starting at 7,097 million USD in 2013, it dropped to 4,514 million USD in 2014, followed by a recovery to 8,306 million USD in 2015. Subsequently, it declined sharply to 2,755 million USD in 2016, then showed a slight rise in 2017 to 2,952 million USD and further increased to 4,464 million USD in 2018. This pattern indicates volatility in profitability, with a peak in 2015 and a trough in 2016.

Revenues

Revenues demonstrated moderate variability during the period. There was an increase from 27,675 million USD in 2013 to 31,867 million USD in 2014, after which revenues declined to 28,987 million USD in 2015 and continued to decrease to 27,326 million USD in 2016. Revenues then recovered gradually to 28,500 million USD in 2017 and further to 30,400 million USD in 2018. Overall, revenues show a cyclical trend with a dip in the middle years and recovery towards the end of the period.

Reported net profit margin

The reported net profit margin exhibited considerable volatility, mirroring the fluctuations in net income. Starting at a high level of 25.64% in 2013, it decreased dramatically to 14.17% in 2014, rebounded to 28.65% in 2015, then fell sharply to 10.08% in 2016. It stabilized somewhat with marginal increases to 10.36% in 2017 and 14.68% in 2018. This indicates variability in profitability relative to revenue, with the highest margin in 2015 and the lowest in 2016.

Adjusted net income

The adjusted net income trend closely follows that of reported net income, though at slightly lower values. It began at 6,548 million USD in 2013 and decreased to 4,311 million USD in 2014. There was moderate recovery to 6,652 million USD in 2015, followed by a sharp drop to 2,634 million USD in 2016. It increased to 3,574 million USD in 2017 and reached 3,754 million USD in 2018. These figures suggest adjustments marginally reduce net income and reflect the same pattern of volatility.

Adjusted revenues

Adjusted revenues remained relatively stable and closely aligned with reported revenues. The trend shows an increase from 27,472 million USD in 2013 to 31,880 million USD in 2014, then a decline to 28,745 million USD in 2015 and 27,383 million USD in 2016. Adjusted revenues then rose to 28,575 million USD in 2017 and 30,498 million USD in 2018. The pattern indicates consistency in revenue recognition adjustments over time.

Adjusted net profit margin

Adjusted net profit margin followed a trajectory similar to the reported net profit margin but at slightly reduced levels. Starting at 23.84% in 2013, it fell sharply to 13.52% in 2014, climbed back to 23.14% in 2015, then decreased significantly to 9.62% in 2016. It improved to 12.51% in 2017 but declined slightly to 12.31% in 2018. This reflects a volatile yet generally lower profitability ratio when considering adjusted figures.

Net Income Attributable to Stockholders

The net income exhibits significant fluctuations over the six-year period. Starting at 7,097 million USD in 2013, it decreased substantially to 4,514 million USD in 2014. This was followed by a notable increase in 2015, reaching 8,306 million USD, the highest in the timeframe. Subsequently, net income declined sharply in 2016 to 2,755 million USD and remained relatively low through 2017 at 2,952 million USD, before increasing again to 4,464 million USD in 2018.

Total Stockholders’ Equity

Total stockholders’ equity showed moderate variability, beginning at 16,998 million USD in 2013. Equity increased slightly in 2014 to 17,418 million USD but then decreased over the next two years, reaching a low of 13,661 million USD in 2016. Equity subsequently recovered to 15,722 million USD in 2017 and further increased to 19,564 million USD in 2018, surpassing the initial level in 2013.

Reported Return on Equity (ROE)

The reported ROE follows a pattern similar to net income, exhibiting pronounced volatility. It peaked at 48.23% in 2015, more than doubling the 25.92% recorded in 2014. After 2015, the ROE declined steadily to 20.17% in 2016, then decreased slightly to 18.78% in 2017, before rising to 22.82% in 2018. Overall, the ROE demonstrates considerable variability, reflecting fluctuations in earnings relative to equity.

Adjusted Net Income

Adjusted net income mirrors the pattern of reported net income but with less extreme fluctuations. It started at 6,548 million USD in 2013, decreased to 4,311 million USD in 2014, and rose to 6,652 million USD in 2015. Adjusted net income declined sharply to 2,634 million USD in 2016, then showed a gradual increase through 2017 and 2018, ending at 3,754 million USD.

Adjusted Total Equity

Adjusted total equity begins at 24,605 million USD in 2013 and increased modestly to 25,752 million USD in 2014. It then fell to 22,263 million USD in 2015, followed by further decreases to 19,260 million USD in 2016. From this low, adjusted equity recovered to 21,511 million USD in 2017 and finally returned to its initial level of 24,680 million USD by 2018. The movements indicate some volatility with eventual recovery.

Adjusted Return on Equity (ROE)

Adjusted ROE shows a general declining trend over the period examined. It peaked at 29.88% in 2015 after starting at 26.61% in 2013 and declining to 16.74% in 2014. Thereafter, it decreased further to 13.68% in 2016, rose slightly to 16.61% in 2017, and then fell again to 15.21% in 2018. The overall trend suggests a reduction in efficiency of generating adjusted net income from adjusted equity.

The financial data indicates significant fluctuations in profitability and asset base over the six-year period. Net income attributable to stockholders exhibited notable volatility, with a peak of 8,306 million US dollars reported in 2015 followed by a sharp decline to 2,755 million in 2016. Since then, there has been a gradual recovery, reaching 4,464 million by 2018. This volatile pattern suggests periods of varying operational efficiency or external impact on earnings.

Total assets experienced moderate variation, starting at 50,944 million US dollars in 2013, increasing to a peak of 54,793 million in 2014, and then declining to a low of 48,365 million in 2016. Subsequently, total assets show a recovery trend, reaching 53,831 million by 2018. This fluctuation in asset base may reflect changes in investment strategies, asset disposals, or revaluations.

Reported Return on Assets (ROA) mirrors net income trends, declining from a high of 13.93% in 2013 to a low of 5.7% in 2016, then improving to 8.29% in 2018. This indicates that asset utilization efficiency diminished substantially during the middle years but showed signs of recovery toward the end of the period.

Adjusted figures, which presumably exclude non-recurring items or other adjustments, follow a similar trajectory. Adjusted net income declined from 6,548 million in 2013 to 2,634 million in 2016, before rising to 3,754 million in 2018. Adjusted total assets also decreased from 59,237 million in 2014 to 50,169 million in 2016 and then increased gradually to 55,696 million by 2018.

The adjusted ROA similarly shows a downward trend from 11.85% in 2013 to 5.25% in 2016, with a slight improvement to 6.74% in 2018. This pattern further confirms that the core operational profitability relative to assets declined during the middle years and marginally recovered towards the end.

Overall, both reported and adjusted data signify a period of decreased profitability and asset efficiency around 2015–2016, followed by a gradual recovery, although not reaching initial peak values by 2018. The fluctuations may indicate operational challenges, restructuring activities, or market conditions impacting the company's financial performance during the analyzed years.

Net Income

Volatile trend with peak in 2015, sharp decline in 2016, and moderate recovery by 2018.

Total Assets

Moderate fluctuations with a peak in 2014, lowest point in 2016, and recovery by 2018.

Reported ROA

Decline from 2013 through 2016, indicating reduced asset efficiency, followed by improvement to 2018.

Adjusted Net Income

Similar volatility pattern as net income, with reduced earnings in mid-period and partial recovery later.

Adjusted Total Assets

Decrease from 2014 to 2016 followed by gradual increase, reflecting asset base adjustments.

Adjusted ROA

Decrease over mid period indicating lower profitability relative to assets, slight recovery near end.