Time Warner Cable Inc. (NYSE:TWC)

The analysis of the annual financial data reveals a notable downward trend in both current assets and adjusted current assets from 2011 through 2013, followed by a stabilization and slight recovery in the subsequent years. Specifically, current assets decreased significantly from 6,398 million US dollars in 2011 to 2,144 million US dollars in 2013, representing a substantial reduction in liquidity over this period. This decline was mirrored by adjusted current assets, which dropped from 6,193 million US dollars in 2011 to 1,887 million US dollars in 2013.

After reaching the low point in 2013, both current assets and adjusted current assets showed a gradual increase. Current assets rose to 2,316 million US dollars in 2014 and further to 2,459 million US dollars in 2015, while adjusted current assets increased to 2,156 million US dollars in 2014 and then to 2,553 million US dollars in 2015. This pattern indicates a recovery or improvement in the company's short-term asset base following the earlier decline.

Overall, the data suggests a period of liquidity contraction in the early years, more than halving the current asset base, followed by a phase of moderate asset rebuilding. Management might have taken measures to strengthen the asset position after the significant decreases, reflected in the gradual upward trend in the latter part of the observed timeline.

The analysis of the financial data over the five-year period reveals the following trends:

Total Assets

The total assets exhibited minor fluctuations between the years 2011 and 2015. Beginning at $48,276 million in 2011, the figure rose slightly to $49,809 million in 2012, followed by a decline to $48,273 million in 2013. Subsequent years saw relatively stable values with marginal increases, finishing at $49,277 million in 2015. Overall, total assets remained relatively constant with no significant growth or contraction over the period.

Adjusted Total Assets

The adjusted total assets followed a very similar pattern to total assets but consistently remained slightly higher each year. Starting at $48,767 million in 2011, there was a gradual increase to $50,246 million in 2012, a slight decrease in 2013, and a subsequent steady rise, culminating at $50,052 million in 2015. This adjusted measure suggests some form of recalibration or revaluation of assets, resulting in a somewhat higher baseline compared to total assets, yet the overall trend remains steady with moderate growth.

Current Liabilities

The current liabilities exhibit a consistent downward trend over the five-year period. Starting at 5370 million US dollars at the end of 2011, the figure decreases gradually each year, reaching 3949 million US dollars by the end of 2015. This represents an overall reduction of approximately 26.5% over the period, indicating a potential improvement in short-term financial obligations or management of payable accounts.

Adjusted Current Liabilities

Adjusted current liabilities also show a similar declining trend over the same time frame. Beginning at 5171 million US dollars in 2011, these liabilities steadily decrease year by year, concluding at 3718 million US dollars in 2015. This represents a reduction of roughly 28.1%, slightly more pronounced than the decline in unadjusted current liabilities, suggesting efforts to refine or streamline liabilities may have had an impact on the adjusted figures.

Overall Analysis

The consistent reduction in both current and adjusted current liabilities suggests an improving liquidity position or possibly a strategic effort to reduce short-term debt. The decreases do not appear to fluctuate widely year-to-year, indicating stable financial management practices. The narrowing gap between current and adjusted liabilities also signals that adjustments are relatively stable and may not significantly distort the company's short-term liability picture.

Over the examined five-year period, the financial data reveals trends in both total liabilities and adjusted total liabilities. Both metrics depict a general decline, albeit at different levels of magnitude and timing.

Total liabilities

This figure initially increased from 40,739 million USD at the end of 2011 to 42,526 million USD in 2012. Following this peak, it displayed a downward trajectory over the next three years, reducing to 41,326 million USD in 2013, then to 40,484 million USD in 2014, and further declining to 40,278 million USD by the end of 2015. Overall, the total liabilities showed a moderate but steady decrease after 2012, ending slightly below the 2011 level.

Adjusted total liabilities

Adjusted total liabilities presented a consistent decline throughout the entire five-year span. Starting at 31,035 million USD in 2011, the value incrementally decreased each year to 31,725 million USD in 2012, followed by a more pronounced drop to 29,721 million USD in 2013. This decreasing trend persisted into 2014 and 2015, with liabilities recorded at 28,458 million USD and 27,893 million USD respectively. This steady downward trend indicates persistent efforts towards liability reduction or reflects adjustments affecting the liability base.

In summary, both total and adjusted total liabilities followed a declining trend after 2012. While total liabilities had a slight rise initially, they eventually decreased to levels below the starting point over the period. Adjusted liabilities experienced a more consistent and marked reduction. These trends may suggest a strategic focus on reducing overall financial obligations or reflect changes in accounting adjustments affecting liabilities. The more aggressive decline in adjusted liabilities compared to total liabilities may warrant further analysis to determine the nature and impact of these adjustments on the company's financial structure.

Total TWC shareholders’ equity

The total shareholders’ equity demonstrates a fluctuating trend over the five-year period analyzed. Starting at 7,530 million US dollars at the end of 2011, there is a decline observed through 2012 and 2013, decreasing to 7,279 million and further to 6,943 million respectively. This downward movement reverses in 2014, where equity increases to 8,013 million, continuing an upward trajectory into 2015, reaching 8,995 million. Overall, despite the initial decline, the equity position strengthens by the end of the period, surpassing the original 2011 figure.

Adjusted total equity

The adjusted total equity shows a consistent and steady increase over the years examined. Beginning at 17,732 million US dollars in 2011, this figure rises annually without interruption, reaching 18,521 million in 2012, 19,019 million in 2013, 20,623 million in 2014, and culminating at 22,159 million in 2015. This positive trend suggests improved financial adjustment measures or underlying asset values considered in the adjusted equity calculation, reflecting continuous strengthening on this broader equity basis.

The data reveals several noteworthy trends in the financial structure over the five-year period from the end of 2011 through 2015. There is a general decline in reported debt levels, accompanied by growth in shareholders’ equity, with more pronounced changes observable when considering adjusted figures.

Total reported debt

The total reported debt shows a declining trend, decreasing from US$26,442 million in 2011 to US$22,502 million in 2015. This represents a reduction of approximately 15%, indicating a consistent effort to reduce debt over the period.

Total TWC shareholders’ equity

Shareholders’ equity initially declines slightly, from US$7,530 million in 2011 to US$6,943 million in 2013, before recovering and rising to US$8,995 million in 2015. This small dip followed by a steady increase suggests some variability in equity levels but an overall strengthening position by 2015.

Total reported capital

The total reported capital, which aggregates debt and equity, shows a slight declining trend from US$33,972 million in 2011 to US$31,497 million in 2015. The decrease in capital reflects the debt reduction impact, while the moderate equity growth partially offsets this decline.

Adjusted total debt

Adjusted total debt follows a pattern similar to reported debt but at slightly higher absolute values, starting at US$27,138 million in 2011 and declining steadily to US$23,183 million in 2015. The reduction in adjusted debt is consistent and aligns closely with reported debt trends.

Adjusted total equity

Adjusted total equity shows a continuous and more pronounced increase during the period. It rises from US$17,732 million in 2011 to US$22,159 million in 2015, indicating improved net asset value when adjustments are considered. This suggests stronger capital base growth beyond the reported equity measure.

Adjusted total capital

Adjusted total capital remains relatively stable over the years, fluctuating marginally around the US$45,000 million mark. It slightly decreases from US$44,870 million in 2011 to US$44,795 million in 2013, then gradually increases to US$45,342 million in 2015. This stability indicates a balanced approach toward managing the capital mix.

In summary, the company exhibits a deliberate reduction of both reported and adjusted debt alongside consistent growth in adjusted equity. The slight decline in reported equity in early years is offset by later increases, resulting in a stronger equity base by the end of the period. The total capital, especially when adjusted, remains relatively constant, reflecting an overall steady financial structure with a gradual shift towards greater equity financing and reduced leverage.

The reviewed financial data reveals a consistent upward trend in both revenue and adjusted revenue over the examined five-year period. Revenue increased steadily each year from 19,675 million US dollars in 2011 to 23,697 million US dollars in 2015. Similarly, adjusted revenue exhibited a parallel growth pattern, rising from 19,681 million US dollars in 2011 to 23,723 million US dollars in 2015.

The increments year-over-year reflect a stable and gradual expansion in the company's revenue-generating capacity. The difference between revenue and adjusted revenue is minimal each year, indicating minor adjustments made to the reported revenue figures. This suggests that the adjusted revenue closely aligns with the reported revenue, potentially accounting for non-recurring items or accounting policy changes.

The data does not show any volatility or decline in revenue streams, implying effective management and operational performance over the years. The consistent increase also points to a growing market presence or successful business strategies contributing positively to the top-line growth.

Revenue Trend

Steady growth from 19,675 million US dollars (2011) to 23,697 million US dollars (2015), indicating continual expansion.

Adjusted Revenue

Closely follows the revenue trend, with marginally higher values each year, reflecting stable adjustments without significant fluctuations.

Year-over-Year Growth

Incremental increases every year, showing consistent performance without interruptions or downturns.

Financial Insights

The data suggests effective revenue management and possible market growth, with adjustments on revenues remaining relatively minor and stable.

Net Income Attributable to TWC Shareholders

The net income attributable to shareholders exhibited a generally positive trend from 2011 through 2015, starting at 1,665 million USD in 2011 and reaching a peak of 2,155 million USD in 2012. After this peak, the net income showed a slight decline in 2013 to 1,954 million USD, followed by a modest increase in 2014 to 2,031 million USD. In 2015, the net income decreased again to 1,844 million USD. Overall, despite fluctuations, the net income remained well above the 2011 level during the period.

Adjusted Net Income

The adjusted net income demonstrated an upward trend from 2011 to 2013, rising from 2,042 million USD in 2011 to a high of 3,057 million USD in 2013. Following this peak, adjusted net income declined notably in 2014 to 2,426 million USD and continued to decrease slightly in 2015 to 2,362 million USD. Despite the downward movement in the latter years, the adjusted net income levels for 2014 and 2015 remained above the 2011 starting point.

Comparative Observations

Across the observed periods, adjusted net income consistently exceeded net income attributable to shareholders, indicating that adjustments accounted for additional gains or excluded specific expenses or losses. The trends in both net income metrics showed growth in the early years, peaking around 2012-2013, followed by declines in the subsequent years. This pattern suggests that while operational performance or accounting adjustments initially improved earnings, challenges or changes in financial conditions may have tempered profitability in the later years examined.