Adjusted Ratios
Difficulty: Advanced
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Adjusted Ratios (Summary)
Altria Group Inc., adjusted ratios
Dec 31, 2017 | Dec 31, 2016 | Dec 31, 2015 | Dec 31, 2014 | Dec 31, 2013 | ||
---|---|---|---|---|---|---|
Activity | ||||||
Total Asset Turnover | ||||||
| Reported | 0.59 | 0.56 | 0.78 | 0.71 | 0.70 |
| Adjusted | 0.58 | 0.55 | 0.79 | 0.72 | 0.71 |
Liquidity | ||||||
Current Ratio | ||||||
| Reported | 0.64 | 0.98 | 0.86 | 0.90 | 0.93 |
| Adjusted | 0.74 | 1.08 | 0.79 | 0.84 | 0.88 |
Solvency | ||||||
Debt to Equity | ||||||
| Reported | 0.90 | 1.09 | 4.49 | 4.87 | 3.52 |
| Adjusted | 0.66 | 0.65 | 1.67 | 1.76 | 1.41 |
Debt to Capital | ||||||
| Reported | 0.47 | 0.52 | 0.82 | 0.83 | 0.78 |
| Adjusted | 0.40 | 0.39 | 0.62 | 0.64 | 0.58 |
Financial Leverage | ||||||
| Reported | 2.81 | 3.60 | 11.30 | 11.44 | 8.46 |
| Adjusted | 2.08 | 2.16 | 4.09 | 4.04 | 3.31 |
Profitability | ||||||
Net Profit Margin | ||||||
| Reported | 39.97% | 55.31% | 20.61% | 20.68% | 18.54% |
| Adjusted | 28.19% | 72.52% | 17.74% | 14.83% | 21.15% |
Return on Equity (ROE) | ||||||
| Reported | 66.48% | 111.50% | 181.98% | 168.21% | 110.10% |
| Adjusted | 34.07% | 86.22% | 57.09% | 42.83% | 49.41% |
Return on Assets (ROA) | ||||||
| Reported | 23.66% | 31.00% | 16.11% | 14.71% | 13.01% |
| Adjusted | 16.36% | 39.85% | 13.97% | 10.61% | 14.92% |
Ratio | Description | The company |
---|---|---|
Adjusted total asset turnover | An activity ratio calculated as total revenue divided by adjusted total assets. | Altria Group Inc.'s adjusted total asset turnover deteriorated from 2015 to 2016 but then slightly improved from 2016 to 2017. |
Adjusted current ratio | A liquidity ratio calculated as adjusted current assets divided by adjusted current liabilities. | Altria Group Inc.'s adjusted current ratio improved from 2015 to 2016 but then deteriorated significantly from 2016 to 2017. |
Adjusted debt-to-equity ratio | A solvency ratio calculated as adjusted total debt divided by adjusted total equity. | Altria Group Inc.'s adjusted debt-to-equity ratio improved from 2015 to 2016 but then slightly deteriorated from 2016 to 2017. |
Adjusted debt-to-capital ratio | A solvency ratio calculated as adjusted total debt divided by adjusted total debt plus adjusted total equity. | Altria Group Inc.'s adjusted debt-to-capital ratio improved from 2015 to 2016 but then slightly deteriorated from 2016 to 2017. |
Adjusted financial leverage | A measure of financial leverage calculated as adjusted total assets divided by adjusted total equity. Financial leverage is the extent to which a company can effect, through the use of debt, a proportional change in the return on common equity that is greater than a given proportional change in operating income. |
Altria Group Inc.'s adjusted financial leverage declined from 2015 to 2016 and from 2016 to 2017. |
Adjusted net profit margin | An indicator of profitability, calculated as adjusted comprehensive income divided by total revenue. | Altria Group Inc.'s adjusted net profit margin improved from 2015 to 2016 but then slightly deteriorated from 2016 to 2017 not reaching 2015 level. |
Adjusted ROE | A profitability ratio calculated as adjusted comprehensive income divided by adjusted total equity. | Altria Group Inc.'s adjusted ROE improved from 2015 to 2016 but then deteriorated significantly from 2016 to 2017. |
Adjusted ROA | A profitability ratio calculated as adjusted comprehensive income divided by adjusted total assets. | Altria Group Inc.'s adjusted ROA improved from 2015 to 2016 but then slightly deteriorated from 2016 to 2017 not reaching 2015 level. |
Adjusted Total Asset Turnover
Dec 31, 2017 | Dec 31, 2016 | Dec 31, 2015 | Dec 31, 2014 | Dec 31, 2013 | ||
---|---|---|---|---|---|---|
Reported | ||||||
Selected Financial Data (USD $ in millions) | ||||||
| Net revenues | 25,576 | 25,744 | 25,434 | 24,522 | 24,466 |
| Total assets | 43,202 | 45,932 | 32,535 | 34,475 | 34,859 |
Ratio | ||||||
| Total asset turnover^{1} | 0.59 | 0.56 | 0.78 | 0.71 | 0.70 |
Adjusted | ||||||
Selected Financial Data (USD $ in millions) | ||||||
| Adjusted total assets^{2} | 44,064 | 46,849 | 32,311 | 34,285 | 34,684 |
Ratio | ||||||
| Adjusted total asset turnover^{3} | 0.58 | 0.55 | 0.79 | 0.72 | 0.71 |
2017 Calculations
^{1} Total asset turnover = Net revenues ÷ Total assets
= 25,576 ÷ 43,202 = 0.59
^{2} Adjusted total assets. See Details »
^{3} Adjusted total asset turnover = Net revenues ÷ Adjusted total assets
= 25,576 ÷ 44,064 = 0.58
Ratio | Description | The company |
---|---|---|
Adjusted total asset turnover | An activity ratio calculated as total revenue divided by adjusted total assets. | Altria Group Inc.'s adjusted total asset turnover deteriorated from 2015 to 2016 but then slightly improved from 2016 to 2017. |
Adjusted Current Ratio
Dec 31, 2017 | Dec 31, 2016 | Dec 31, 2015 | Dec 31, 2014 | Dec 31, 2013 | ||
---|---|---|---|---|---|---|
Reported | ||||||
Selected Financial Data (USD $ in millions) | ||||||
| Current assets | 4,344 | 7,260 | 6,086 | 6,878 | 6,590 |
| Current liabilities | 6,792 | 7,375 | 7,078 | 7,673 | 7,058 |
Ratio | ||||||
| Current ratio^{1} | 0.64 | 0.98 | 0.86 | 0.90 | 0.93 |
Adjusted | ||||||
Selected Financial Data (USD $ in millions) | ||||||
| Adjusted current assets^{2} | 5,044 | 7,960 | 5,611 | 6,435 | 6,190 |
Ratio | ||||||
| Adjusted current ratio^{3} | 0.74 | 1.08 | 0.79 | 0.84 | 0.88 |
2017 Calculations
^{1} Current ratio = Current assets ÷ Current liabilities
= 4,344 ÷ 6,792 = 0.64
^{2} Adjusted current assets. See Details »
^{3} Adjusted current ratio = Adjusted current assets ÷ Current liabilities
= 5,044 ÷ 6,792 = 0.74
Ratio | Description | The company |
---|---|---|
Adjusted current ratio | A liquidity ratio calculated as adjusted current assets divided by adjusted current liabilities. | Altria Group Inc.'s adjusted current ratio improved from 2015 to 2016 but then deteriorated significantly from 2016 to 2017. |
Adjusted Debt to Equity
Dec 31, 2017 | Dec 31, 2016 | Dec 31, 2015 | Dec 31, 2014 | Dec 31, 2013 | ||
---|---|---|---|---|---|---|
Reported | ||||||
Selected Financial Data (USD $ in millions) | ||||||
| Total debt | 13,894 | 13,881 | 12,919 | 14,693 | 14,517 |
| Stockholders’ equity attributable to Altria Group, Inc. | 15,377 | 12,770 | 2,880 | 3,014 | 4,119 |
Ratio | ||||||
| Debt to equity^{1} | 0.90 | 1.09 | 4.49 | 4.87 | 3.52 |
Adjusted | ||||||
Selected Financial Data (USD $ in millions) | ||||||
| Adjusted total debt^{2} | 14,056 | 14,098 | 13,170 | 14,946 | 14,742 |
| Adjusted total stockholders’ equity^{3} | 21,163 | 21,654 | 7,905 | 8,491 | 10,471 |
Ratio | ||||||
| Adjusted debt to equity^{4} | 0.66 | 0.65 | 1.67 | 1.76 | 1.41 |
2017 Calculations
^{1} Debt to equity = Total debt ÷ Stockholders’ equity attributable to Altria Group, Inc.
= 13,894 ÷ 15,377 = 0.90
^{2} Adjusted total debt. See Details »
^{3} Adjusted total stockholders’ equity. See Details »
^{4} Adjusted debt to equity = Adjusted total debt ÷ Adjusted total stockholders’ equity
= 14,056 ÷ 21,163 = 0.66
Ratio | Description | The company |
---|---|---|
Adjusted debt-to-equity ratio | A solvency ratio calculated as adjusted total debt divided by adjusted total equity. | Altria Group Inc.'s adjusted debt-to-equity ratio improved from 2015 to 2016 but then slightly deteriorated from 2016 to 2017. |
Adjusted Debt to Capital
Dec 31, 2017 | Dec 31, 2016 | Dec 31, 2015 | Dec 31, 2014 | Dec 31, 2013 | ||
---|---|---|---|---|---|---|
Reported | ||||||
Selected Financial Data (USD $ in millions) | ||||||
| Total debt | 13,894 | 13,881 | 12,919 | 14,693 | 14,517 |
| Total capital | 29,271 | 26,651 | 15,799 | 17,707 | 18,636 |
Ratio | ||||||
| Debt to capital^{1} | 0.47 | 0.52 | 0.82 | 0.83 | 0.78 |
Adjusted | ||||||
Selected Financial Data (USD $ in millions) | ||||||
| Adjusted total debt^{2} | 14,056 | 14,098 | 13,170 | 14,946 | 14,742 |
| Adjusted total capital^{3} | 35,219 | 35,752 | 21,075 | 23,437 | 25,213 |
Ratio | ||||||
| Adjusted debt to capital^{4} | 0.40 | 0.39 | 0.62 | 0.64 | 0.58 |
2017 Calculations
^{1} Debt to capital = Total debt ÷ Total capital
= 13,894 ÷ 29,271 = 0.47
^{2} Adjusted total debt. See Details »
^{3} Adjusted total capital. See Details »
^{4} Adjusted debt to capital = Adjusted total debt ÷ Adjusted total capital
= 14,056 ÷ 35,219 = 0.40
Ratio | Description | The company |
---|---|---|
Adjusted debt-to-capital ratio | A solvency ratio calculated as adjusted total debt divided by adjusted total debt plus adjusted total equity. | Altria Group Inc.'s adjusted debt-to-capital ratio improved from 2015 to 2016 but then slightly deteriorated from 2016 to 2017. |
Adjusted Financial Leverage
Dec 31, 2017 | Dec 31, 2016 | Dec 31, 2015 | Dec 31, 2014 | Dec 31, 2013 | ||
---|---|---|---|---|---|---|
Reported | ||||||
Selected Financial Data (USD $ in millions) | ||||||
| Total assets | 43,202 | 45,932 | 32,535 | 34,475 | 34,859 |
| Stockholders’ equity attributable to Altria Group, Inc. | 15,377 | 12,770 | 2,880 | 3,014 | 4,119 |
Ratio | ||||||
| Financial leverage^{1} | 2.81 | 3.60 | 11.30 | 11.44 | 8.46 |
Adjusted | ||||||
Selected Financial Data (USD $ in millions) | ||||||
| Adjusted total assets^{2} | 44,064 | 46,849 | 32,311 | 34,285 | 34,684 |
| Adjusted total stockholders’ equity^{3} | 21,163 | 21,654 | 7,905 | 8,491 | 10,471 |
Ratio | ||||||
| Adjusted financial leverage^{4} | 2.08 | 2.16 | 4.09 | 4.04 | 3.31 |
2017 Calculations
^{1} Financial leverage = Total assets ÷ Stockholders’ equity attributable to Altria Group, Inc.
= 43,202 ÷ 15,377 = 2.81
^{2} Adjusted total assets. See Details »
^{3} Adjusted total stockholders’ equity. See Details »
^{4} Adjusted financial leverage = Adjusted total assets ÷ Adjusted total stockholders’ equity
= 44,064 ÷ 21,163 = 2.08
Ratio | Description | The company |
---|---|---|
Adjusted financial leverage | A measure of financial leverage calculated as adjusted total assets divided by adjusted total equity. Financial leverage is the extent to which a company can effect, through the use of debt, a proportional change in the return on common equity that is greater than a given proportional change in operating income. |
Altria Group Inc.'s adjusted financial leverage declined from 2015 to 2016 and from 2016 to 2017. |
Adjusted Net Profit Margin
Dec 31, 2017 | Dec 31, 2016 | Dec 31, 2015 | Dec 31, 2014 | Dec 31, 2013 | ||
---|---|---|---|---|---|---|
Reported | ||||||
Selected Financial Data (USD $ in millions) | ||||||
| Net earnings attributable to Altria Group, Inc. | 10,222 | 14,239 | 5,241 | 5,070 | 4,535 |
| Net revenues | 25,576 | 25,744 | 25,434 | 24,522 | 24,466 |
Ratio | ||||||
| Net profit margin^{1} | 39.97% | 55.31% | 20.61% | 20.68% | 18.54% |
Adjusted | ||||||
Selected Financial Data (USD $ in millions) | ||||||
| Adjusted comprehensive earnings^{2} | 7,211 | 18,670 | 4,513 | 3,637 | 5,174 |
Ratio | ||||||
| Adjusted net profit margin^{3} | 28.19% | 72.52% | 17.74% | 14.83% | 21.15% |
2017 Calculations
^{1} Net profit margin = 100 × Net earnings attributable to Altria Group, Inc. ÷ Net revenues
= 100 × 10,222 ÷ 25,576 = 39.97%
^{2} Adjusted comprehensive earnings. See Details »
^{3} Adjusted net profit margin = 100 × Adjusted comprehensive earnings ÷ Net revenues
= 100 × 7,211 ÷ 25,576 = 28.19%
Ratio | Description | The company |
---|---|---|
Adjusted net profit margin | An indicator of profitability, calculated as adjusted comprehensive income divided by total revenue. | Altria Group Inc.'s adjusted net profit margin improved from 2015 to 2016 but then slightly deteriorated from 2016 to 2017 not reaching 2015 level. |
Adjusted Return on Equity (ROE)
Dec 31, 2017 | Dec 31, 2016 | Dec 31, 2015 | Dec 31, 2014 | Dec 31, 2013 | ||
---|---|---|---|---|---|---|
Reported | ||||||
Selected Financial Data (USD $ in millions) | ||||||
| Net earnings attributable to Altria Group, Inc. | 10,222 | 14,239 | 5,241 | 5,070 | 4,535 |
| Stockholders’ equity attributable to Altria Group, Inc. | 15,377 | 12,770 | 2,880 | 3,014 | 4,119 |
Ratio | ||||||
| ROE^{1} | 66.48% | 111.50% | 181.98% | 168.21% | 110.10% |
Adjusted | ||||||
Selected Financial Data (USD $ in millions) | ||||||
| Adjusted comprehensive earnings^{2} | 7,211 | 18,670 | 4,513 | 3,637 | 5,174 |
| Adjusted total stockholders’ equity^{3} | 21,163 | 21,654 | 7,905 | 8,491 | 10,471 |
Ratio | ||||||
| Adjusted ROE^{4} | 34.07% | 86.22% | 57.09% | 42.83% | 49.41% |
2017 Calculations
^{1} ROE = 100 × Net earnings attributable to Altria Group, Inc. ÷ Stockholders’ equity attributable to Altria Group, Inc.
= 100 × 10,222 ÷ 15,377 = 66.48%
^{2} Adjusted comprehensive earnings. See Details »
^{3} Adjusted total stockholders’ equity. See Details »
^{4} Adjusted ROE = 100 × Adjusted comprehensive earnings ÷ Adjusted total stockholders’ equity
= 100 × 7,211 ÷ 21,163 = 34.07%
Ratio | Description | The company |
---|---|---|
Adjusted ROE | A profitability ratio calculated as adjusted comprehensive income divided by adjusted total equity. | Altria Group Inc.'s adjusted ROE improved from 2015 to 2016 but then deteriorated significantly from 2016 to 2017. |
Adjusted Return on Assets (ROA)
Dec 31, 2017 | Dec 31, 2016 | Dec 31, 2015 | Dec 31, 2014 | Dec 31, 2013 | ||
---|---|---|---|---|---|---|
Reported | ||||||
Selected Financial Data (USD $ in millions) | ||||||
| Net earnings attributable to Altria Group, Inc. | 10,222 | 14,239 | 5,241 | 5,070 | 4,535 |
| Total assets | 43,202 | 45,932 | 32,535 | 34,475 | 34,859 |
Ratio | ||||||
| ROA^{1} | 23.66% | 31.00% | 16.11% | 14.71% | 13.01% |
Adjusted | ||||||
Selected Financial Data (USD $ in millions) | ||||||
| Adjusted comprehensive earnings^{2} | 7,211 | 18,670 | 4,513 | 3,637 | 5,174 |
| Adjusted total assets^{3} | 44,064 | 46,849 | 32,311 | 34,285 | 34,684 |
Ratio | ||||||
| Adjusted ROA^{4} | 16.36% | 39.85% | 13.97% | 10.61% | 14.92% |
2017 Calculations
^{1} ROA = 100 × Net earnings attributable to Altria Group, Inc. ÷ Total assets
= 100 × 10,222 ÷ 43,202 = 23.66%
^{2} Adjusted comprehensive earnings. See Details »
^{3} Adjusted total assets. See Details »
^{4} Adjusted ROA = 100 × Adjusted comprehensive earnings ÷ Adjusted total assets
= 100 × 7,211 ÷ 44,064 = 16.36%
Ratio | Description | The company |
---|---|---|
Adjusted ROA | A profitability ratio calculated as adjusted comprehensive income divided by adjusted total assets. | Altria Group Inc.'s adjusted ROA improved from 2015 to 2016 but then slightly deteriorated from 2016 to 2017 not reaching 2015 level. |