Balance Sheet: Liabilities and Stockholders’ Equity

The balance sheet provides creditors, investors, and analysts with information on company resources (assets) and its sources of capital (its equity and liabilities). It normally also provides information about the future earnings capacity of a company assets as well as an indication of cash flows that may come from receivables and inventories.

Liabilities represents obligations of a company arising from past events, the settlement of which is expected to result in an outflow of economic benefits from the entity.

Yahoo! Inc., consolidated balance sheet: liabilities and stockholders’ equity

US$ in thousands

	Dec 31, 2016	Dec 31, 2015	Dec 31, 2014	Dec 31, 2013	Dec 31, 2012
Accounts payable	171,520)	208,691)	238,018)	138,031)	184,831)
Income taxes payable related to sale of Alibaba Group ADSs	—)	—)	3,282,293)	—)	—)
Accrued content, connection, traffic acquisition, and other costs	400,172)	252,612)	172,913)	119,431)	116,951)
Deferred income taxes	—)	—)	8,119)	(10)	200)
Accrued compensation and related expenses	342,354)	310,111)	373,749)	343,392)	337,727)
Income taxes payable	6,039)	4,181)	(264,993)	107,033)	10,619)
Accrued professional service expenses	30,827)	40,914)	49,651)	69,869)	67,736)
Accrued sales and marketing related expenses	13,936)	40,876)	16,424)	17,744)	11,988)
Accrued restructuring costs	27,041)	40,283)	47,356)	21,764)	58,718)
Current liability for uncertain tax contingencies	2,409)	12,586)	2,179)	—)	30,484)
Other	183,898)	233,095)	265,909)	228,559)	174,052)
Other accrued expenses and current liabilities	1,006,676)	934,658)	671,307)	907,782)	808,475)
Deferred revenue	109,228)	134,031)	336,963)	294,499)	296,926)
Current liabilities	1,287,424)	1,277,380)	4,528,581)	1,340,312)	1,290,232)
Convertible notes	1,299,945)	1,233,485)	1,170,423)	1,110,585)	—)
Long-term deferred revenue	39,583)	27,801)	20,774)	258,904)	407,560)
Net lease obligations	23,000)	33,000)	47,000)	44,000)	37,000)
Other long-term liabilities	72,597)	85,689)	96,095)	72,605)	87,587)
Capital lease and other long-term liabilities	95,597)	118,689)	143,095)	116,605)	124,587)
Deferred tax liabilities related to investment in Alibaba Group	13,633,988)	12,611,867)	16,154,906)	—)	—)
Deferred and other long-term tax liabilities	642,466)	855,324)	1,156,973)	847,956)	675,271)
Noncurrent liabilities	15,711,579)	14,847,166)	18,646,171)	2,334,050)	1,207,418)
Total liabilities	16,999,003)	16,124,546)	23,174,752)	3,674,362)	2,497,650)
Preferred stock, $0.001 par value; none issued or outstanding	—)	—)	—)	—)	—)
Common stock, $0.001 par value	969)	959)	945)	1,015)	1,187)
Additional paid-in capital	9,125,459)	8,807,273)	8,496,683)	8,688,304)	9,563,348)
Treasury stock at cost	(908,996)	(911,533)	(712,455)	(200,228)	(1,368,043)
Retained earnings	4,353,958)	4,570,807)	8,937,036)	4,267,429)	5,792,459)
Accumulated other comprehensive income	18,477,893)	16,576,031)	22,019,628)	318,389)	571,249)
Total Yahoo! Inc. stockholders’ equity	31,049,283)	29,043,537)	38,741,837)	13,074,909)	14,560,200)
Noncontrolling interests	34,793)	35,883)	43,755)	55,688)	45,403)
Total equity	31,084,076)	29,079,420)	38,785,592)	13,130,597)	14,605,603)
Total liabilities and equity	48,083,079)	45,203,966)	61,960,344)	16,804,959)	17,103,253)

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).

Accounts payable: The accounts payable decreased from $184.8 million in 2012 to $138.0 million in 2013, then sharply increased to $238.0 million in 2014 before declining in subsequent years to $171.5 million by 2016. This pattern suggests volatility in short-term obligations to suppliers over the period.
Income taxes payable related to sale of Alibaba Group ADSs: This liability was only recorded in 2014 at a substantial amount of approximately $3.28 billion, reflecting a one-time tax obligation linked to the transaction, with no related balances before or after that year.
Accrued content, connection, traffic acquisition, and other costs: There was a consistent upward trend, nearly doubling from $117.0 million in 2012 to over $400.2 million by 2016, indicative of increased accrued expenses related to content and traffic acquisition activities.
Deferred income taxes: Values fluctuated, with a negative figure in 2013 and a significant increase in 2014. No data was reported for 2015 and 2016, suggesting possible changes in reporting or reclassification.
Accrued compensation and related expenses: This liability remained relatively stable around $310 million to $373 million, with a dip in 2015 followed by a recovery in 2016, reflecting consistent obligations related to employee compensation.
Income taxes payable: The values were highly variable, including a negative amount in 2014, likely indicating tax refunds or adjustments, followed by small positive amounts in other years, showing irregular tax payment patterns.
Accrued professional service expenses: There was a steady decrease from $67.7 million in 2012 to $30.8 million in 2016, suggesting a reduction in professional services or better payment management over time.
Accrued sales and marketing related expenses: The accruals increased notably in 2015 to $40.9 million but otherwise remained modest, fluctuating without a clear upward or downward trend.
Accrued restructuring costs: These costs decreased from $58.7 million in 2012 to $27.0 million in 2016, demonstrating reduced restructuring activities or charges during the period.
Current liability for uncertain tax contingencies: Amounts reported were irregular and small relative to other liabilities, showing occasional recognition of uncertain tax liabilities without a clear trend.
Other accrued expenses and current liabilities: These liabilities varied, with a notable dip in 2014 to $671.3 million followed by an increase to over $1.0 billion in 2016, indicating fluctuations in miscellaneous accrued expenses and current obligations.
Deferred revenue: Deferred revenue generally decreased from $297.0 million in 2012 to $109.2 million in 2016, suggesting a reduction in unearned income or changes in the timing of revenue recognition.
Current liabilities: There was a significant spike in current liabilities in 2014, reaching approximately $4.53 billion, largely due to the inclusion of the significant income taxes payable related to the Alibaba sale, before normalizing around $1.28 billion in subsequent years.
Convertible notes: This liability, not present in 2012, increased steadily from $1.11 billion in 2013 to nearly $1.3 billion in 2016, indicating growing debt instruments convertible to equity.
Long-term deferred revenue: Long-term deferred revenue decreased sharply from $407.6 million in 2012 to under $40.0 million by 2016, implying accelerated recognition or decline in deferred income over the period.
Net lease obligations: Lease obligations slightly increased to $47.0 million by 2014 but decreased to $23.0 million by 2016, indicating a reduction in lease commitments.
Other long-term liabilities and capital lease obligations: Both categories exhibited overall decreases from 2012 to 2016, suggesting improved liability management or repayments of certain long-term obligations.
Deferred tax liabilities related to Alibaba investment: Substantial deferred tax liabilities were recorded from 2014 onwards, remaining above $12.6 billion, indicating significant tax considerations associated with the Alibaba investment.
Deferred and other long-term tax liabilities: These tax liabilities increased from $675 million in 2012 to a peak in 2014 over $1.15 billion, then decreased in the following years to $642 million in 2016.
Noncurrent liabilities: Noncurrent liabilities surged dramatically in 2014, largely due to deferred tax liabilities related to Alibaba, then decreased but remained elevated compared to earlier years through 2016.
Total liabilities: Total liabilities more than doubled between 2013 and 2014, from $3.67 billion to $23.17 billion, driven mainly by tax-related liabilities, then declined before stabilizing around $17 billion by 2016.
Common stock: Common stock value remained relatively stable around $1 million, indicating no significant issuance or buyback affecting par value.
Additional paid-in capital: There was a slight decrease from 2012 to 2014, followed by a steady increase through 2016, reflecting occasional equity issuances or adjustments.
Treasury stock at cost: The treasury stock balance showed significant fluctuation, with a major decrease in cost from 2012 to 2013, followed by increases and then stabilization, indicating active share repurchase programs.
Retained earnings: Retained earnings fluctuated markedly, with an initial decline in 2013, a significant increase in 2014, and subsequent decreases, showing volatility in accumulated profits or losses.
Accumulated other comprehensive income: This item increased dramatically from $0.6 billion in 2012 to over $22.0 billion in 2014, then slightly declined but remained elevated, mainly due to unrealized gains possibly related to the Alibaba investment.
Total stockholders’ equity: Equity followed a similar pattern as accumulated other comprehensive income, peaking at $38.7 billion in 2014 before decreasing and recovering to $31.0 billion in 2016, indicating the strong impact of investment valuation changes on equity.
Noncontrolling interests: Noncontrolling interests remained relatively stable around $35 million to $56 million, showing minimal influence on overall equity.
Total equity and total liabilities and equity: Total equity mirrored the trends in stockholders’ equity, with a peak in 2014 and subsequent adjustments. The sum of liabilities and equity substantially increased in 2014 due to deferred tax liabilities, followed by decreases but remaining significantly higher than pre-2014 levels through 2016.

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Yahoo! Inc. (NASDAQ:YHOO)

Balance Sheet: Liabilities and Stockholders’ Equity