Adjusted Financial Ratios
Adjusted Financial Ratios (Summary)
General Electric Co., adjusted financial ratios
Based on: 10-K (filing date: 2021-02-12), 10-K (filing date: 2020-02-24), 10-K (filing date: 2019-02-26), 10-K (filing date: 2018-02-23), 10-K (filing date: 2017-02-24).
Financial ratio | Description | The company |
---|---|---|
Adjusted total asset turnover | An activity ratio calculated as total revenue divided by adjusted total assets. | General Electric Co.’s adjusted total asset turnover ratio deteriorated from 2018 to 2019 and from 2019 to 2020. |
Adjusted current ratio | A liquidity ratio calculated as adjusted current assets divided by adjusted current liabilities. | General Electric Co.’s adjusted current ratio improved from 2018 to 2019 and from 2019 to 2020. |
Adjusted debt-to-equity ratio | A solvency ratio calculated as adjusted total debt divided by adjusted total equity. | General Electric Co.’s adjusted debt-to-equity ratio deteriorated from 2018 to 2019 but then improved from 2019 to 2020 not reaching 2018 level. |
Adjusted debt-to-capital ratio | A solvency ratio calculated as adjusted total debt divided by adjusted total debt plus adjusted total equity. | General Electric Co.’s adjusted debt-to-capital ratio deteriorated from 2018 to 2019 but then improved from 2019 to 2020 not reaching 2018 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. |
General Electric Co.’s adjusted financial leverage ratio increased from 2018 to 2019 but then slightly decreased from 2019 to 2020 not reaching 2018 level. |
Adjusted net profit margin | An indicator of profitability, calculated as adjusted net income divided by total revenue. | General Electric Co.’s adjusted net profit margin ratio improved from 2018 to 2019 and from 2019 to 2020. |
Adjusted ROE | A profitability ratio calculated as adjusted net income divided by adjusted total equity. | General Electric Co.’s adjusted ROE improved from 2018 to 2019 and from 2019 to 2020. |
Adjusted ROA | A profitability ratio calculated as adjusted net income divided by adjusted total assets. | General Electric Co.’s adjusted ROA improved from 2018 to 2019 and from 2019 to 2020. |
General Electric Co., Financial Ratios: Reported vs. Adjusted
Adjusted Total Asset Turnover
Based on: 10-K (filing date: 2021-02-12), 10-K (filing date: 2020-02-24), 10-K (filing date: 2019-02-26), 10-K (filing date: 2018-02-23), 10-K (filing date: 2017-02-24).
1 2020 Calculation
Total asset turnover = Sales of goods and services ÷ Total assets
= 73,022 ÷ 253,452 = 0.29
2 Adjusted total assets. See details »
3 2020 Calculation
Adjusted total asset turnover = Sales of goods and services ÷ Adjusted total assets
= 73,022 ÷ 242,535 = 0.30
Activity ratio | Description | The company |
---|---|---|
Adjusted total asset turnover | An activity ratio calculated as total revenue divided by adjusted total assets. | General Electric Co.’s adjusted total asset turnover ratio deteriorated from 2018 to 2019 and from 2019 to 2020. |
Adjusted Current Ratio
Based on: 10-K (filing date: 2021-02-12), 10-K (filing date: 2020-02-24), 10-K (filing date: 2019-02-26), 10-K (filing date: 2018-02-23), 10-K (filing date: 2017-02-24).
1 2020 Calculation
Current ratio = Current assets ÷ Current liabilities
= 88,412 ÷ 56,069 = 1.58
2 Adjusted current assets. See details »
3 2020 Calculation
Adjusted current ratio = Adjusted current assets ÷ Current liabilities
= 89,576 ÷ 56,069 = 1.60
Liquidity ratio | Description | The company |
---|---|---|
Adjusted current ratio | A liquidity ratio calculated as adjusted current assets divided by adjusted current liabilities. | General Electric Co.’s adjusted current ratio improved from 2018 to 2019 and from 2019 to 2020. |
Adjusted Debt to Equity
Based on: 10-K (filing date: 2021-02-12), 10-K (filing date: 2020-02-24), 10-K (filing date: 2019-02-26), 10-K (filing date: 2018-02-23), 10-K (filing date: 2017-02-24).
1 2020 Calculation
Debt to equity = Total debt ÷ Total GE shareholders’ equity
= 75,066 ÷ 35,552 = 2.11
2 Adjusted total debt. See details »
3 Adjusted total equity. See details »
4 2020 Calculation
Adjusted debt to equity = Adjusted total debt ÷ Adjusted total equity
= 78,039 ÷ 28,210 = 2.77
Solvency ratio | Description | The company |
---|---|---|
Adjusted debt-to-equity ratio | A solvency ratio calculated as adjusted total debt divided by adjusted total equity. | General Electric Co.’s adjusted debt-to-equity ratio deteriorated from 2018 to 2019 but then improved from 2019 to 2020 not reaching 2018 level. |
Adjusted Debt to Capital
Based on: 10-K (filing date: 2021-02-12), 10-K (filing date: 2020-02-24), 10-K (filing date: 2019-02-26), 10-K (filing date: 2018-02-23), 10-K (filing date: 2017-02-24).
1 2020 Calculation
Debt to capital = Total debt ÷ Total capital
= 75,066 ÷ 110,618 = 0.68
2 Adjusted total debt. See details »
3 Adjusted total capital. See details »
4 2020 Calculation
Adjusted debt to capital = Adjusted total debt ÷ Adjusted total capital
= 78,039 ÷ 106,249 = 0.73
Solvency 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. | General Electric Co.’s adjusted debt-to-capital ratio deteriorated from 2018 to 2019 but then improved from 2019 to 2020 not reaching 2018 level. |
Adjusted Financial Leverage
Based on: 10-K (filing date: 2021-02-12), 10-K (filing date: 2020-02-24), 10-K (filing date: 2019-02-26), 10-K (filing date: 2018-02-23), 10-K (filing date: 2017-02-24).
1 2020 Calculation
Financial leverage = Total assets ÷ Total GE shareholders’ equity
= 253,452 ÷ 35,552 = 7.13
2 Adjusted total assets. See details »
3 Adjusted total equity. See details »
4 2020 Calculation
Adjusted financial leverage = Adjusted total assets ÷ Adjusted total equity
= 242,535 ÷ 28,210 = 8.60
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. |
General Electric Co.’s adjusted financial leverage ratio increased from 2018 to 2019 but then slightly decreased from 2019 to 2020 not reaching 2018 level. |
Adjusted Net Profit Margin
Based on: 10-K (filing date: 2021-02-12), 10-K (filing date: 2020-02-24), 10-K (filing date: 2019-02-26), 10-K (filing date: 2018-02-23), 10-K (filing date: 2017-02-24).
1 2020 Calculation
Net profit margin = 100 × Net earnings (loss) attributable to the Company ÷ Sales of goods and services
= 100 × 5,704 ÷ 73,022 = 7.81%
2 Adjusted net earnings (loss). See details »
3 2020 Calculation
Adjusted net profit margin = 100 × Adjusted net earnings (loss) ÷ Sales of goods and services
= 100 × 4,921 ÷ 73,022 = 6.74%
Profitability ratio | Description | The company |
---|---|---|
Adjusted net profit margin | An indicator of profitability, calculated as adjusted net income divided by total revenue. | General Electric Co.’s adjusted net profit margin ratio improved from 2018 to 2019 and from 2019 to 2020. |
Adjusted Return on Equity (ROE)
Based on: 10-K (filing date: 2021-02-12), 10-K (filing date: 2020-02-24), 10-K (filing date: 2019-02-26), 10-K (filing date: 2018-02-23), 10-K (filing date: 2017-02-24).
1 2020 Calculation
ROE = 100 × Net earnings (loss) attributable to the Company ÷ Total GE shareholders’ equity
= 100 × 5,704 ÷ 35,552 = 16.04%
2 Adjusted net earnings (loss). See details »
3 Adjusted total equity. See details »
4 2020 Calculation
Adjusted ROE = 100 × Adjusted net earnings (loss) ÷ Adjusted total equity
= 100 × 4,921 ÷ 28,210 = 17.44%
Profitability ratio | Description | The company |
---|---|---|
Adjusted ROE | A profitability ratio calculated as adjusted net income divided by adjusted total equity. | General Electric Co.’s adjusted ROE improved from 2018 to 2019 and from 2019 to 2020. |
Adjusted Return on Assets (ROA)
Based on: 10-K (filing date: 2021-02-12), 10-K (filing date: 2020-02-24), 10-K (filing date: 2019-02-26), 10-K (filing date: 2018-02-23), 10-K (filing date: 2017-02-24).
1 2020 Calculation
ROA = 100 × Net earnings (loss) attributable to the Company ÷ Total assets
= 100 × 5,704 ÷ 253,452 = 2.25%
2 Adjusted net earnings (loss). See details »
3 Adjusted total assets. See details »
4 2020 Calculation
Adjusted ROA = 100 × Adjusted net earnings (loss) ÷ Adjusted total assets
= 100 × 4,921 ÷ 242,535 = 2.03%
Profitability ratio | Description | The company |
---|---|---|
Adjusted ROA | A profitability ratio calculated as adjusted net income divided by adjusted total assets. | General Electric Co.’s adjusted ROA improved from 2018 to 2019 and from 2019 to 2020. |