Name: Time Warner Cable Inc. (NYSE:TWC) | Liabilities and Stockholders’ Equity
Creator: Stock Analysis on Net

Balance Sheet: Liabilities and Stockholders’ Equity

The balance sheet provides creditors, investors, and analysts with information on company resources (assets) and its sources of capital (its equity and liabilities). It normally also provides information about the future earnings capacity of a company assets as well as an indication of cash flows that may come from receivables and inventories.

Liabilities represents obligations of a company arising from past events, the settlement of which is expected to result in an outflow of economic benefits from the entity.

Download chart

Time Warner Cable Inc., consolidated balance sheet: liabilities and stockholders’ equity

US$ in millions

	Dec 31, 2015	Dec 31, 2014	Dec 31, 2013	Dec 31, 2012	Dec 31, 2011
Accounts payable	656)	567)	565)	653)	545)
Deferred revenue and subscriber-related liabilities	224)	198)	188)	183)	169)
Accrued programming and content expense	985)	902)	869)	872)	807)
Current maturities of long-term debt	5)	1,017)	1,767)	1,518)	2,122)
Mandatorily redeemable preferred equity issued by a subsidiary	—)	—)	—)	300)	—)
Accrued interest	481)	486)	529)	586)	585)
Accrued compensation and benefits	443)	397)	394)	384)	360)
Accrued insurance	225)	199)	185)	169)	158)
Accrued dividends	216)	—)	—)	—)	—)
Accrued sales and other taxes	150)	132)	132)	99)	84)
Accrued franchise fees	145)	151)	155)	168)	164)
Other accrued expenses	419)	448)	442)	393)	376)
Other current liabilities	2,079)	1,813)	1,837)	1,799)	1,727)
Current liabilities	3,949)	4,497)	5,226)	5,325)	5,370)
Long-term debt, excluding current maturities	22,497)	22,701)	23,285)	25,171)	24,320)
Mandatorily redeemable preferred equity issued by a subsidiary	—)	—)	—)	—)	300)
Deferred income tax liabilities, net	12,830)	12,560)	12,098)	11,280)	10,198)
Other liabilities	1,002)	726)	717)	750)	551)
Noncurrent liabilities	36,329)	35,987)	36,100)	37,201)	35,369)
Total liabilities	40,278)	40,484)	41,326)	42,526)	40,739)
Common stock, $0.01 par value	3)	3)	3)	3)	3)
Additional paid-in capital	7,481)	7,172)	6,951)	7,576)	8,018)
Retained earnings (accumulated deficit)	1,925)	1,162)	(55)	363)	68)
Accumulated other comprehensive income (loss), net	(414)	(324)	44)	(663)	(559)
Total TWC shareholders’ equity	8,995)	8,013)	6,943)	7,279)	7,530)
Noncontrolling interests	4)	4)	4)	4)	7)
Total equity	8,999)	8,017)	6,947)	7,283)	7,537)
Total liabilities and equity	49,277)	48,501)	48,273)	49,809)	48,276)

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).

An analysis of the balance sheet from 2011 to 2015 reveals a period of relative stability in total liabilities coupled with a strengthening equity position. Total liabilities remained nearly flat, moving from 40,739 million USD in 2011 to 40,278 million USD in 2015, while total equity grew from 7,537 million USD to 8,999 million USD over the same period.

Current Liabilities and Short-Term Obligations: A consistent downward trend is observed in current liabilities, which decreased from 5,370 million USD in 2011 to 3,949 million USD in 2015. This reduction is primarily attributed to a significant decline in the current maturities of long-term debt, which dropped from 2,122 million USD in 2011 to 5 million USD by the end of 2015. Conversely, operating accruals, such as accrued programming and content expenses and accrued insurance, showed steady increases, indicating rising operational costs.
Noncurrent Liabilities and Long-Term Debt: Noncurrent liabilities remained relatively stable, ending the period at 36,329 million USD compared to 35,369 million USD in 2011. Long-term debt, excluding current maturities, experienced a gradual decline from 24,320 million USD in 2011 to 22,497 million USD in 2015. This was offset by a steady increase in deferred income tax liabilities, which grew from 10,198 million USD in 2011 to 12,830 million USD in 2015.
Shareholders' Equity and Retained Earnings: Total shareholders' equity demonstrated growth, particularly after 2013. A notable volatility is observed in retained earnings, which fluctuated from 68 million USD in 2011 to a deficit of 55 million USD in 2013, before recovering sharply to 1,925 million USD by 2015. This recovery suggests a significant improvement in profitability or a change in dividend policy during the latter two years of the analyzed period.
Capital Structure and Solvency: The company's leverage position improved over the five-year interval. The ratio of total liabilities to total equity decreased from approximately 5.40 in 2011 to 4.48 in 2015. This shift indicates a reduction in financial risk and an increase in the proportion of assets financed by equity rather than debt.

AI Ask an analyst for more

My previous chats

Add tokens

Hi, I’m an AI-powered financial analyst at Stock Analysis on Net.
Without a user account, I tend to respond rather slowly.

How can I help you?