Goodwill and Intangible Asset Disclosure
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).
Item | Description | The company |
---|---|---|
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. | Sherwin-Williams Co. goodwill increased from 2019 to 2020 and from 2020 to 2021. |
Intangible assets | Sum of the carrying amounts of all intangible assets, excluding goodwill, as of the balance sheet date, net of accumulated amortization and impairment charges. | Sherwin-Williams Co. intangible assets decreased from 2019 to 2020 and from 2020 to 2021. |
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. | Sherwin-Williams Co. goodwill and intangible assets decreased from 2019 to 2020 and from 2020 to 2021. |
Adjustments to Financial Statements: Removal of Goodwill
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).
Sherwin-Williams Co., Financial Data: Reported vs. Adjusted
Adjusted Financial Ratios: Removal of Goodwill (Summary)
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).
Financial ratio | Description | The company |
---|---|---|
Adjusted total asset turnover | An activity ratio calculated as total revenue divided by adjusted total assets. | Sherwin-Williams Co. adjusted total asset turnover ratio improved from 2019 to 2020 and from 2020 to 2021. |
Adjusted ROA | A profitability ratio calculated as net income divided by adjusted total assets. | Sherwin-Williams Co. adjusted ROA improved from 2019 to 2020 but then slightly deteriorated from 2020 to 2021. |
Sherwin-Williams Co., Financial Ratios: Reported vs. Adjusted
Adjusted Total Asset Turnover
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).
2021 Calculations
1 Total asset turnover = Net sales ÷ Total assets
= 19,944,600 ÷ 20,666,700 = 0.97
2 Adjusted total asset turnover = Net sales ÷ Adjusted total assets
= 19,944,600 ÷ 13,532,100 = 1.47
Activity ratio | Description | The company |
---|---|---|
Adjusted total asset turnover | An activity ratio calculated as total revenue divided by adjusted total assets. | Sherwin-Williams Co. adjusted total asset turnover ratio improved from 2019 to 2020 and from 2020 to 2021. |
Adjusted Financial Leverage
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).
2021 Calculations
1 Financial leverage = Total assets ÷ Shareholders’ equity
= 20,666,700 ÷ 2,437,200 = 8.48
2 Adjusted financial leverage = Adjusted total assets ÷ Adjusted shareholders’ equity
= 13,532,100 ÷ -4,697,400 = —
Adjusted Return on Equity (ROE)
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).
2021 Calculations
1 ROE = 100 × Net income ÷ Shareholders’ equity
= 100 × 1,864,400 ÷ 2,437,200 = 76.50%
2 Adjusted ROE = 100 × Net income ÷ Adjusted shareholders’ equity
= 100 × 1,864,400 ÷ -4,697,400 = —
Adjusted Return on Assets (ROA)
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).
2021 Calculations
1 ROA = 100 × Net income ÷ Total assets
= 100 × 1,864,400 ÷ 20,666,700 = 9.02%
2 Adjusted ROA = 100 × Net income ÷ Adjusted total assets
= 100 × 1,864,400 ÷ 13,532,100 = 13.78%
Profitability ratio | Description | The company |
---|---|---|
Adjusted ROA | A profitability ratio calculated as net income divided by adjusted total assets. | Sherwin-Williams Co. adjusted ROA improved from 2019 to 2020 but then slightly deteriorated from 2020 to 2021. |