Microsoft Excel LibreOffice Calc

Danaher Corp. (DHR)


Adjusted Ratios

Difficulty: Advanced


Adjusted Ratios (Summary)

Danaher Corp., adjusted ratios

Microsoft Excel LibreOffice Calc
Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015 Dec 31, 2014
Activity
Total Asset Turnover
Reported 0.42 0.39 0.37 0.43 0.54
Adjusted 0.41 0.39 0.37 0.42 0.53
Liquidity
Current Ratio
Reported 1.47 1.43 0.97 1.27 1.75
Adjusted 1.74 1.69 1.07 1.44 2.06
Solvency
Debt to Equity
Reported 0.35 0.40 0.53 0.54 0.15
Adjusted 0.34 0.38 0.48 0.48 0.15
Debt to Capital
Reported 0.26 0.29 0.35 0.35 0.13
Adjusted 0.25 0.27 0.33 0.33 0.13
Financial Leverage
Reported 1.70 1.77 1.97 2.04 1.58
Adjusted 1.55 1.60 1.72 1.75 1.42
Profitability
Net Profit Margin
Reported 13.33% 13.60% 15.13% 16.33% 13.05%
Adjusted 9.15% 17.52% 6.90% 7.90% 6.33%
Return on Equity (ROE)
Reported 9.40% 9.45% 11.10% 14.17% 11.11%
Adjusted 5.77% 10.88% 4.37% 5.82% 4.75%
Return on Assets (ROA)
Reported 5.54% 5.34% 5.64% 6.96% 7.02%
Adjusted 3.72% 6.81% 2.54% 3.32% 3.35%

Based on: 10-K (filing date: 2019-02-21), 10-K (filing date: 2018-02-21), 10-K (filing date: 2017-02-22), 10-K (filing date: 2016-02-24), 10-K (filing date: 2015-02-25).

Ratio Description The company
Adjusted total asset turnover An activity ratio calculated as total revenue divided by adjusted total assets. Danaher Corp.’s adjusted total asset turnover improved from 2016 to 2017 and from 2017 to 2018.
Adjusted current ratio A liquidity ratio calculated as adjusted current assets divided by adjusted current liabilities. Danaher Corp.’s adjusted current ratio improved from 2016 to 2017 and from 2017 to 2018.
Adjusted debt-to-equity ratio A solvency ratio calculated as adjusted total debt divided by adjusted total equity. Danaher Corp.’s adjusted debt-to-equity ratio improved from 2016 to 2017 and from 2017 to 2018.
Adjusted debt-to-capital ratio A solvency ratio calculated as adjusted total debt divided by adjusted total debt plus adjusted total equity. Danaher Corp.’s adjusted debt-to-capital ratio improved from 2016 to 2017 and from 2017 to 2018.
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.
Danaher Corp.’s adjusted financial leverage declined from 2016 to 2017 and from 2017 to 2018.
Adjusted net profit margin An indicator of profitability, calculated as adjusted comprehensive income divided by total revenue. Danaher Corp.’s adjusted net profit margin improved from 2016 to 2017 but then slightly deteriorated from 2017 to 2018 not reaching 2016 level.
Adjusted ROE A profitability ratio calculated as adjusted comprehensive income divided by adjusted total equity. Danaher Corp.’s adjusted ROE improved from 2016 to 2017 but then slightly deteriorated from 2017 to 2018 not reaching 2016 level.
Adjusted ROA A profitability ratio calculated as adjusted comprehensive income divided by adjusted total assets. Danaher Corp.’s adjusted ROA improved from 2016 to 2017 but then slightly deteriorated from 2017 to 2018 not reaching 2016 level.

Danaher Corp., Ratios: Reported vs. Adjusted


Adjusted Total Asset Turnover

Microsoft Excel LibreOffice Calc
Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015 Dec 31, 2014
Reported
Selected Financial Data (US$ in thousands)
Sales 19,893,000  18,329,700  16,882,400  20,563,100  19,913,800 
Total assets 47,832,500  46,648,600  45,295,300  48,222,200  36,991,700 
Ratio
Total asset turnover1 0.42 0.39 0.37 0.43 0.54
Adjusted
Selected Financial Data (US$ in thousands)
Adjusted sales2 19,921,100  18,468,100  16,981,400  20,632,300  20,010,400 
Adjusted total assets3 48,911,125  47,516,543  46,088,591  49,069,671  37,734,553 
Ratio
Adjusted total asset turnover4 0.41 0.39 0.37 0.42 0.53

Based on: 10-K (filing date: 2019-02-21), 10-K (filing date: 2018-02-21), 10-K (filing date: 2017-02-22), 10-K (filing date: 2016-02-24), 10-K (filing date: 2015-02-25).

2018 Calculations

1 Total asset turnover = Sales ÷ Total assets
= 19,893,000 ÷ 47,832,500 = 0.42

2 Adjusted sales. See Details »

3 Adjusted total assets. See Details »

4 Adjusted total asset turnover = Adjusted sales ÷ Adjusted total assets
= 19,921,100 ÷ 48,911,125 = 0.41

Ratio Description The company
Adjusted total asset turnover An activity ratio calculated as total revenue divided by adjusted total assets. Danaher Corp.’s adjusted total asset turnover improved from 2016 to 2017 and from 2017 to 2018.

Adjusted Current Ratio

Microsoft Excel LibreOffice Calc
Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015 Dec 31, 2014
Reported
Selected Financial Data (US$ in thousands)
Current assets 7,093,800  6,850,000  6,665,100  7,836,700  9,431,300 
Current liabilities 4,841,500  4,792,300  6,874,000  6,170,400  5,396,400 
Ratio
Current ratio1 1.47 1.43 0.97 1.27 1.75
Adjusted
Selected Financial Data (US$ in thousands)
Adjusted current assets2 7,214,200  6,966,100  6,767,500  7,970,900  9,553,900 
Adjusted current liabilities3 4,156,300  4,126,300  6,334,200  5,536,700  4,629,900 
Ratio
Adjusted current ratio4 1.74 1.69 1.07 1.44 2.06

Based on: 10-K (filing date: 2019-02-21), 10-K (filing date: 2018-02-21), 10-K (filing date: 2017-02-22), 10-K (filing date: 2016-02-24), 10-K (filing date: 2015-02-25).

2018 Calculations

1 Current ratio = Current assets ÷ Current liabilities
= 7,093,800 ÷ 4,841,500 = 1.47

2 Adjusted current assets. See Details »

3 Adjusted current liabilities. See Details »

4 Adjusted current ratio = Adjusted current assets ÷ Adjusted current liabilities
= 7,214,200 ÷ 4,156,300 = 1.74

Ratio Description The company
Adjusted current ratio A liquidity ratio calculated as adjusted current assets divided by adjusted current liabilities. Danaher Corp.’s adjusted current ratio improved from 2016 to 2017 and from 2017 to 2018.

Adjusted Debt to Equity

Microsoft Excel LibreOffice Calc
Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015 Dec 31, 2014
Reported
Selected Financial Data (US$ in thousands)
Total debt 9,740,300  10,522,100  12,269,000  12,870,400  3,473,400 
Total Danaher stockholders’ equity 28,214,400  26,358,200  23,002,800  23,690,300  23,378,100 
Ratio
Debt to equity1 0.35 0.40 0.53 0.54 0.15
Adjusted
Selected Financial Data (US$ in thousands)
Adjusted total debt2 10,698,525  11,273,943  12,959,891  13,583,671  4,093,653 
Adjusted total Danaher stockholders’ equity3 31,581,900  29,733,400  26,796,400  28,025,000  26,633,900 
Ratio
Adjusted debt to equity4 0.34 0.38 0.48 0.48 0.15

Based on: 10-K (filing date: 2019-02-21), 10-K (filing date: 2018-02-21), 10-K (filing date: 2017-02-22), 10-K (filing date: 2016-02-24), 10-K (filing date: 2015-02-25).

2018 Calculations

1 Debt to equity = Total debt ÷ Total Danaher stockholders’ equity
= 9,740,300 ÷ 28,214,400 = 0.35

2 Adjusted total debt. See Details »

3 Adjusted total Danaher stockholders’ equity. See Details »

4 Adjusted debt to equity = Adjusted total debt ÷ Adjusted total Danaher stockholders’ equity
= 10,698,525 ÷ 31,581,900 = 0.34

Ratio Description The company
Adjusted debt-to-equity ratio A solvency ratio calculated as adjusted total debt divided by adjusted total equity. Danaher Corp.’s adjusted debt-to-equity ratio improved from 2016 to 2017 and from 2017 to 2018.

Adjusted Debt to Capital

Microsoft Excel LibreOffice Calc
Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015 Dec 31, 2014
Reported
Selected Financial Data (US$ in thousands)
Total debt 9,740,300  10,522,100  12,269,000  12,870,400  3,473,400 
Total capital 37,954,700  36,880,300  35,271,800  36,560,700  26,851,500 
Ratio
Debt to capital1 0.26 0.29 0.35 0.35 0.13
Adjusted
Selected Financial Data (US$ in thousands)
Adjusted total debt2 10,698,525  11,273,943  12,959,891  13,583,671  4,093,653 
Adjusted total capital3 42,280,425  41,007,343  39,756,291  41,608,671  30,727,553 
Ratio
Adjusted debt to capital4 0.25 0.27 0.33 0.33 0.13

Based on: 10-K (filing date: 2019-02-21), 10-K (filing date: 2018-02-21), 10-K (filing date: 2017-02-22), 10-K (filing date: 2016-02-24), 10-K (filing date: 2015-02-25).

2018 Calculations

1 Debt to capital = Total debt ÷ Total capital
= 9,740,300 ÷ 37,954,700 = 0.26

2 Adjusted total debt. See Details »

3 Adjusted total capital. See Details »

4 Adjusted debt to capital = Adjusted total debt ÷ Adjusted total capital
= 10,698,525 ÷ 42,280,425 = 0.25

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. Danaher Corp.’s adjusted debt-to-capital ratio improved from 2016 to 2017 and from 2017 to 2018.

Adjusted Financial Leverage

Microsoft Excel LibreOffice Calc
Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015 Dec 31, 2014
Reported
Selected Financial Data (US$ in thousands)
Total assets 47,832,500  46,648,600  45,295,300  48,222,200  36,991,700 
Total Danaher stockholders’ equity 28,214,400  26,358,200  23,002,800  23,690,300  23,378,100 
Ratio
Financial leverage1 1.70 1.77 1.97 2.04 1.58
Adjusted
Selected Financial Data (US$ in thousands)
Adjusted total assets2 48,911,125  47,516,543  46,088,591  49,069,671  37,734,553 
Adjusted total Danaher stockholders’ equity3 31,581,900  29,733,400  26,796,400  28,025,000  26,633,900 
Ratio
Adjusted financial leverage4 1.55 1.60 1.72 1.75 1.42

Based on: 10-K (filing date: 2019-02-21), 10-K (filing date: 2018-02-21), 10-K (filing date: 2017-02-22), 10-K (filing date: 2016-02-24), 10-K (filing date: 2015-02-25).

2018 Calculations

1 Financial leverage = Total assets ÷ Total Danaher stockholders’ equity
= 47,832,500 ÷ 28,214,400 = 1.70

2 Adjusted total assets. See Details »

3 Adjusted total Danaher stockholders’ equity. See Details »

4 Adjusted financial leverage = Adjusted total assets ÷ Adjusted total Danaher stockholders’ equity
= 48,911,125 ÷ 31,581,900 = 1.55

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.
Danaher Corp.’s adjusted financial leverage declined from 2016 to 2017 and from 2017 to 2018.

Adjusted Net Profit Margin

Microsoft Excel LibreOffice Calc
Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015 Dec 31, 2014
Reported
Selected Financial Data (US$ in thousands)
Net earnings 2,650,900  2,492,100  2,553,700  3,357,400  2,598,400 
Sales 19,893,000  18,329,700  16,882,400  20,563,100  19,913,800 
Ratio
Net profit margin1 13.33% 13.60% 15.13% 16.33% 13.05%
Adjusted
Selected Financial Data (US$ in thousands)
Adjusted net earnings2 1,821,800  3,234,900  1,171,900  1,629,800  1,265,900 
Adjusted sales3 19,921,100  18,468,100  16,981,400  20,632,300  20,010,400 
Ratio
Adjusted net profit margin4 9.15% 17.52% 6.90% 7.90% 6.33%

Based on: 10-K (filing date: 2019-02-21), 10-K (filing date: 2018-02-21), 10-K (filing date: 2017-02-22), 10-K (filing date: 2016-02-24), 10-K (filing date: 2015-02-25).

2018 Calculations

1 Net profit margin = 100 × Net earnings ÷ Sales
= 100 × 2,650,900 ÷ 19,893,000 = 13.33%

2 Adjusted net earnings. See Details »

3 Adjusted sales. See Details »

4 Adjusted net profit margin = 100 × Adjusted net earnings ÷ Adjusted sales
= 100 × 1,821,800 ÷ 19,921,100 = 9.15%

Ratio Description The company
Adjusted net profit margin An indicator of profitability, calculated as adjusted comprehensive income divided by total revenue. Danaher Corp.’s adjusted net profit margin improved from 2016 to 2017 but then slightly deteriorated from 2017 to 2018 not reaching 2016 level.

Adjusted Return on Equity (ROE)

Microsoft Excel LibreOffice Calc
Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015 Dec 31, 2014
Reported
Selected Financial Data (US$ in thousands)
Net earnings 2,650,900  2,492,100  2,553,700  3,357,400  2,598,400 
Total Danaher stockholders’ equity 28,214,400  26,358,200  23,002,800  23,690,300  23,378,100 
Ratio
ROE1 9.40% 9.45% 11.10% 14.17% 11.11%
Adjusted
Selected Financial Data (US$ in thousands)
Adjusted net earnings2 1,821,800  3,234,900  1,171,900  1,629,800  1,265,900 
Adjusted total Danaher stockholders’ equity3 31,581,900  29,733,400  26,796,400  28,025,000  26,633,900 
Ratio
Adjusted ROE4 5.77% 10.88% 4.37% 5.82% 4.75%

Based on: 10-K (filing date: 2019-02-21), 10-K (filing date: 2018-02-21), 10-K (filing date: 2017-02-22), 10-K (filing date: 2016-02-24), 10-K (filing date: 2015-02-25).

2018 Calculations

1 ROE = 100 × Net earnings ÷ Total Danaher stockholders’ equity
= 100 × 2,650,900 ÷ 28,214,400 = 9.40%

2 Adjusted net earnings. See Details »

3 Adjusted total Danaher stockholders’ equity. See Details »

4 Adjusted ROE = 100 × Adjusted net earnings ÷ Adjusted total Danaher stockholders’ equity
= 100 × 1,821,800 ÷ 31,581,900 = 5.77%

Ratio Description The company
Adjusted ROE A profitability ratio calculated as adjusted comprehensive income divided by adjusted total equity. Danaher Corp.’s adjusted ROE improved from 2016 to 2017 but then slightly deteriorated from 2017 to 2018 not reaching 2016 level.

Adjusted Return on Assets (ROA)

Microsoft Excel LibreOffice Calc
Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015 Dec 31, 2014
Reported
Selected Financial Data (US$ in thousands)
Net earnings 2,650,900  2,492,100  2,553,700  3,357,400  2,598,400 
Total assets 47,832,500  46,648,600  45,295,300  48,222,200  36,991,700 
Ratio
ROA1 5.54% 5.34% 5.64% 6.96% 7.02%
Adjusted
Selected Financial Data (US$ in thousands)
Adjusted net earnings2 1,821,800  3,234,900  1,171,900  1,629,800  1,265,900 
Adjusted total assets3 48,911,125  47,516,543  46,088,591  49,069,671  37,734,553 
Ratio
Adjusted ROA4 3.72% 6.81% 2.54% 3.32% 3.35%

Based on: 10-K (filing date: 2019-02-21), 10-K (filing date: 2018-02-21), 10-K (filing date: 2017-02-22), 10-K (filing date: 2016-02-24), 10-K (filing date: 2015-02-25).

2018 Calculations

1 ROA = 100 × Net earnings ÷ Total assets
= 100 × 2,650,900 ÷ 47,832,500 = 5.54%

2 Adjusted net earnings. See Details »

3 Adjusted total assets. See Details »

4 Adjusted ROA = 100 × Adjusted net earnings ÷ Adjusted total assets
= 100 × 1,821,800 ÷ 48,911,125 = 3.72%

Ratio Description The company
Adjusted ROA A profitability ratio calculated as adjusted comprehensive income divided by adjusted total assets. Danaher Corp.’s adjusted ROA improved from 2016 to 2017 but then slightly deteriorated from 2017 to 2018 not reaching 2016 level.