- Goodwill and Intangible Asset Disclosure
- Adjustments to Financial Statements: Removal of Goodwill
- Adjusted Financial Ratios: Removal of Goodwill (Summary)
- Adjusted Net Profit Margin
- Adjusted Total Asset Turnover
- Adjusted Financial Leverage
- Adjusted Return on Equity (ROE)
- Adjusted Return on Assets (ROA)
Goodwill and Intangible Asset Disclosure
Based on: 20-F (reporting date: 2014-12-31), 20-F (reporting date: 2013-12-31), 20-F (reporting date: 2012-12-31), 20-F (reporting date: 2011-12-31), 20-F (reporting date: 2010-12-31).
Item | Description | The company |
---|---|---|
Intangible assets, net book amount | Sum of the carrying amounts of all intangible assets, excluding goodwill, as of the balance sheet date, net of accumulated amortization and impairment charges. | BP PLC intangible assets, net book amount decreased from 2012 to 2013 and from 2013 to 2014. |
Goodwill | Amount after accumulated impairment loss of an asset representing future economic benefits arising from other assets acquired in a business combination that are not individually identified and separately recognized. | BP PLC goodwill increased from 2012 to 2013 but then slightly decreased from 2013 to 2014 not reaching 2012 level. |
Goodwill and intangible assets | Sum of the carrying amounts of all intangible assets, including goodwill, as of the balance sheet date, net of accumulated amortization and impairment charges. | BP PLC goodwill and intangible assets decreased from 2012 to 2013 and from 2013 to 2014. |
Adjustments to Financial Statements: Removal of Goodwill
Based on: 20-F (reporting date: 2014-12-31), 20-F (reporting date: 2013-12-31), 20-F (reporting date: 2012-12-31), 20-F (reporting date: 2011-12-31), 20-F (reporting date: 2010-12-31).
BP PLC, Financial Data: Reported vs. Adjusted
Adjusted Financial Ratios: Removal of Goodwill (Summary)
Based on: 20-F (reporting date: 2014-12-31), 20-F (reporting date: 2013-12-31), 20-F (reporting date: 2012-12-31), 20-F (reporting date: 2011-12-31), 20-F (reporting date: 2010-12-31).
Financial ratio | Description | The company |
---|---|---|
Adjusted net profit margin | An indicator of profitability, calculated as adjusted net income divided by revenue. | BP PLC adjusted net profit margin ratio improved from 2012 to 2013 but then deteriorated significantly from 2013 to 2014. |
Adjusted total asset turnover | An activity ratio calculated as total revenue divided by adjusted total assets. | BP PLC adjusted total asset turnover ratio deteriorated from 2012 to 2013 but then improved from 2013 to 2014 not reaching 2012 level. |
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. |
BP PLC adjusted financial leverage ratio decreased from 2012 to 2013 but then increased from 2013 to 2014 exceeding 2012 level. |
Adjusted ROE | A profitability ratio calculated as adjusted net income divided by adjusted shareholders’ equity. | BP PLC adjusted ROE improved from 2012 to 2013 but then deteriorated significantly from 2013 to 2014. |
Adjusted ROA | A profitability ratio calculated as adjusted net income divided by adjusted total assets. | BP PLC adjusted ROA improved from 2012 to 2013 but then deteriorated significantly from 2013 to 2014. |
BP PLC, Financial Ratios: Reported vs. Adjusted
Adjusted Net Profit Margin
Based on: 20-F (reporting date: 2014-12-31), 20-F (reporting date: 2013-12-31), 20-F (reporting date: 2012-12-31), 20-F (reporting date: 2011-12-31), 20-F (reporting date: 2010-12-31).
2014 Calculations
1 Net profit margin = 100 × Profit (loss) for the year attributable to BP shareholders ÷ Sales and other operating revenues
= 100 × 3,780 ÷ 353,568 = 1.07%
2 Adjusted net profit margin = 100 × Adjusted profit (loss) for the year attributable to BP shareholders ÷ Sales and other operating revenues
= 100 × 3,780 ÷ 353,568 = 1.07%
Profitability ratio | Description | The company |
---|---|---|
Adjusted net profit margin | An indicator of profitability, calculated as adjusted net income divided by revenue. | BP PLC adjusted net profit margin ratio improved from 2012 to 2013 but then deteriorated significantly from 2013 to 2014. |
Adjusted Total Asset Turnover
Based on: 20-F (reporting date: 2014-12-31), 20-F (reporting date: 2013-12-31), 20-F (reporting date: 2012-12-31), 20-F (reporting date: 2011-12-31), 20-F (reporting date: 2010-12-31).
2014 Calculations
1 Total asset turnover = Sales and other operating revenues ÷ Total assets
= 353,568 ÷ 284,305 = 1.24
2 Adjusted total asset turnover = Sales and other operating revenues ÷ Adjusted total assets
= 353,568 ÷ 272,437 = 1.30
Activity ratio | Description | The company |
---|---|---|
Adjusted total asset turnover | An activity ratio calculated as total revenue divided by adjusted total assets. | BP PLC adjusted total asset turnover ratio deteriorated from 2012 to 2013 but then improved from 2013 to 2014 not reaching 2012 level. |
Adjusted Financial Leverage
Based on: 20-F (reporting date: 2014-12-31), 20-F (reporting date: 2013-12-31), 20-F (reporting date: 2012-12-31), 20-F (reporting date: 2011-12-31), 20-F (reporting date: 2010-12-31).
2014 Calculations
1 Financial leverage = Total assets ÷ Total BP shareholders’ equity
= 284,305 ÷ 111,441 = 2.55
2 Adjusted financial leverage = Adjusted total assets ÷ Adjusted total BP shareholders’ equity
= 272,437 ÷ 99,573 = 2.74
Solvency 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. |
BP PLC adjusted financial leverage ratio decreased from 2012 to 2013 but then increased from 2013 to 2014 exceeding 2012 level. |
Adjusted Return on Equity (ROE)
Based on: 20-F (reporting date: 2014-12-31), 20-F (reporting date: 2013-12-31), 20-F (reporting date: 2012-12-31), 20-F (reporting date: 2011-12-31), 20-F (reporting date: 2010-12-31).
2014 Calculations
1 ROE = 100 × Profit (loss) for the year attributable to BP shareholders ÷ Total BP shareholders’ equity
= 100 × 3,780 ÷ 111,441 = 3.39%
2 Adjusted ROE = 100 × Adjusted profit (loss) for the year attributable to BP shareholders ÷ Adjusted total BP shareholders’ equity
= 100 × 3,780 ÷ 99,573 = 3.80%
Profitability ratio | Description | The company |
---|---|---|
Adjusted ROE | A profitability ratio calculated as adjusted net income divided by adjusted shareholders’ equity. | BP PLC adjusted ROE improved from 2012 to 2013 but then deteriorated significantly from 2013 to 2014. |
Adjusted Return on Assets (ROA)
Based on: 20-F (reporting date: 2014-12-31), 20-F (reporting date: 2013-12-31), 20-F (reporting date: 2012-12-31), 20-F (reporting date: 2011-12-31), 20-F (reporting date: 2010-12-31).
2014 Calculations
1 ROA = 100 × Profit (loss) for the year attributable to BP shareholders ÷ Total assets
= 100 × 3,780 ÷ 284,305 = 1.33%
2 Adjusted ROA = 100 × Adjusted profit (loss) for the year attributable to BP shareholders ÷ Adjusted total assets
= 100 × 3,780 ÷ 272,437 = 1.39%
Profitability ratio | Description | The company |
---|---|---|
Adjusted ROA | A profitability ratio calculated as adjusted net income divided by adjusted total assets. | BP PLC adjusted ROA improved from 2012 to 2013 but then deteriorated significantly from 2013 to 2014. |