Stock Analysis on Net
Stock Analysis on Net

EMC Corp. (NYSE:EMC)

This company has been moved to the archive! The financial data has not been updated since August 8, 2016.

Common-Size Balance Sheet: Liabilities and Stockholders’ Equity 

EMC Corp., common-size consolidated balance sheet: liabilities and stockholders’ equity

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Dec 31, 2015 Dec 31, 2014 Dec 31, 2013 Dec 31, 2012 Dec 31, 2011
Accounts payable 3.53 3.70 3.13 2.73 3.21
Salaries and benefits 2.55 2.75 2.35 2.67 2.81
Product warranties 0.37 0.46 0.63 0.73 0.74
Dividends payable 0.50 0.52 0.45 0.00 0.00
Partner rebates 0.47 0.51 0.47 0.49 0.49
Restructuring, current 0.71 0.25 0.18 0.20 0.18
Derivatives 0.18 0.16 0.05 0.11 0.15
Other 1.91 2.20 1.94 2.42 2.51
Accrued expenses 6.70% 6.85% 6.07% 6.63% 6.87%
Notes converted and payable 0.00 0.00 3.63 0.00 4.96
Income taxes payable 1.31 1.86 1.39 1.35 0.45
Short-term debt 2.79 0.00 0.00 0.00 0.00
Current portion of convertible debt 0.00 0.00 0.00 4.34 4.68
Deferred revenue 13.32 13.12 11.51 12.02 10.09
Current liabilities 27.64% 25.52% 25.73% 27.07% 30.28%
Income taxes payable 0.99 0.67 0.65 0.77 0.70
Deferred revenue 9.85 9.03 8.07 7.82 7.92
Deferred income taxes 0.00 0.60 0.92 1.51 1.76
Long-term debt 11.75 11.98 11.98 0.00 0.00
Long-term convertible debt, excluding current portion 0.00 0.00 0.00 0.15 0.35
Other liabilities 1.03 0.94 0.77 0.89 0.84
Noncurrent liabilities 23.62% 23.21% 22.39% 11.14% 11.57%
Total liabilities 51.26% 48.73% 48.12% 38.21% 41.85%
Preferred stock, par value $0.01; none outstanding 0.00 0.00 0.00 0.00 0.00
Common stock, par value $0.01 0.04 0.04 0.04 0.06 0.06
Additional paid-in capital 0.00 0.00 3.07 9.70 8.91
Retained earnings 46.55 48.47 46.05 49.52 47.04
Accumulated other comprehensive loss, net -1.24 -0.80 -0.52 -0.55 -0.69
Total EMC Corporation’s shareholders’ equity 45.35% 47.72% 48.64% 58.73% 55.33%
Non-controlling interests 3.39 3.55 3.24 3.06 2.83
Total shareholders’ equity 48.74% 51.27% 51.88% 61.79% 58.15%
Total liabilities and shareholders’ equity 100.00% 100.00% 100.00% 100.00% 100.00%

Based on: 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), 10-K (reporting date: 2011-12-31).

Liquidity and Current Obligations
Current liabilities as a percentage of total liabilities and shareholders' equity fluctuated between 25.52% and 30.28% over the five-year period. The portion of accounts payable remained relatively stable, showing a slight increase from 2.73% in 2012 to 3.7% in 2014, before decreasing marginally to 3.53% in 2015. Accrued expenses showed a mild decline from 6.87% in 2011 to 6.7% in 2015, demonstrating a generally consistent obligation profile. The introduction of short-term debt at 2.79% in 2015 marked a notable change in short-term financing structure, as it was not reported in previous years.
Cost-Related Liabilities
Salaries and benefits as a percentage decreased steadily from 2.81% in 2011 to 2.35% in 2013, before rising again to 2.75% in 2014, and then slightly dropping to 2.55% in 2015. Product warranties saw a consistent decline over the period, from 0.74% to 0.37%, indicating a reduction in future cost exposure related to product guarantees. Partner rebates remained relatively steady around 0.47% to 0.51%, showing stable cost commitments in this category. Noteworthy was the increase in restructuring liabilities, rising from 0.18% in 2011 to 0.71% in 2015, suggesting growing restructuring activities and associated costs.
Tax-Related and Other Obligations
Income taxes payable exhibited some volatility, increasing from 0.45% in 2011 to a peak of 1.86% in 2014 before decreasing to 1.31% in 2015, indicating changing tax liabilities. Deferred revenue increased incrementally from 10.09% in 2011 to 13.32% in 2015, suggesting an increasing amount of advance payments or unearned income. Deferred income taxes showed a declining trend, falling from 1.76% in 2011 to 0.6% in 2014, with no data reported for 2015. The derivatives exposure was modest throughout, with a slight increase to 0.18% in 2015 from a low of 0.05% in 2013. Other liabilities remained low and fairly constant around 0.8% to 1.03%.
Debt Structure
Long-term debt comprised a significant portion of noncurrent liabilities, appearing at approximately 12% in the last three years, remaining stable. The notes converted and payable category showed inconsistency with missing data but decreased from 4.96% in 2011 to 3.63% in 2013. The current portion of convertible debt dropped from 4.68% in 2011 to zero reported values post-2012. Noncurrent liabilities rose markedly from around 11.14% in 2012 to 23.62% in 2015, indicating a higher proportion of long-term obligations relative to total financing.
Equity Composition and Trends
Total shareholders’ equity decreased from a peak of 61.79% in 2012 to 48.74% in 2015, signifying a diminishing equity base as a proportion of total financing. Retained earnings exhibited fluctuations, rising to 49.52% in 2012, then declining to 46.55% in 2015, indicating possible distributions or losses. Additional paid-in capital reported a sharp decrease from 9.7% in 2012 to 3.07% in 2013, with no data for 2014 and 2015. The accumulated other comprehensive loss increased in absolute terms, rising from -0.69% in 2011 to -1.24% in 2015, reflecting growing unrealized losses. Common stock remained minimal and stable, at approximately 0.04% to 0.06% throughout. Non-controlling interests grew slightly from 2.83% to 3.39%, suggesting increased minority stakes.
Overall Capital Structure
The overall capital structure shifted towards a higher reliance on liabilities over the period, with total liabilities increasing from 41.85% in 2011 to 51.26% in 2015. Correspondingly, total shareholders’ equity declined from 58.15% to 48.74%, demonstrating a gradual leveraging trend. The consistent total of liabilities and shareholders’ equity at 100% confirms balanced reporting standards. These patterns imply a strategic shift favoring debt financing or rising liabilities relative to equity.