Market Value Added (MVA)
Market value added (MVA) is the difference between a firm fair value and its invested capital. MVA is a measure of the value a company has created in excess of the resources already committed to the enterprise.
MVA
Time Warner Cable Inc., MVA calculation
US$ in millions
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).
1 Fair value of debt. See details »
2 Invested capital. See details »
| Item | Description | The company |
|---|---|---|
| MVA | Time Warner Cable Inc. market (fair) value less invested capital. | Time Warner Cable Inc. MVA increased from 2013 to 2014 and from 2014 to 2015. |
MVA Spread Ratio
Time Warner Cable Inc., MVA spread ratio calculation, comparison to benchmarks
| Dec 31, 2015 | Dec 31, 2014 | Dec 31, 2013 | Dec 31, 2012 | Dec 31, 2011 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Market value added (MVA)1 | 31,468) | 26,311) | 21,862) | 12,045) | 6,576) | |
| Invested capital2 | 45,332) | 44,929) | 44,327) | 46,124) | 44,961) | |
| Performance Ratio | ||||||
| MVA spread ratio3 | 69.42% | 58.56% | 49.32% | 26.11% | 14.63% | |
| Benchmarks | ||||||
| MVA Spread Ratio, Competitors4 | ||||||
| Alphabet Inc. | — | — | — | — | — | |
| Comcast Corp. | — | — | — | — | — | |
| Meta Platforms Inc. | — | — | — | — | — | |
| Netflix Inc. | — | — | — | — | — | |
| Walt Disney Co. | — | — | — | — | — | |
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).
1 MVA. See details »
2 Invested capital. See details »
3 2015 Calculation
MVA spread ratio = 100 × MVA ÷ Invested capital
= 100 × 31,468 ÷ 45,332 = 69.42%
4 Click competitor name to see calculations.
| Performance ratio | Description | The company |
|---|---|---|
| MVA spread ratio | The ratio of MVA to invested capital. It measures the efficiency with which investors’ capital investment has translated into a franchise value and into an aggregate net present value premium. | Time Warner Cable Inc. MVA spread ratio improved from 2013 to 2014 and from 2014 to 2015. |
MVA Margin
Time Warner Cable Inc., MVA margin calculation, comparison to benchmarks
| Dec 31, 2015 | Dec 31, 2014 | Dec 31, 2013 | Dec 31, 2012 | Dec 31, 2011 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Market value added (MVA)1 | 31,468) | 26,311) | 21,862) | 12,045) | 6,576) | |
| Revenue | 23,697) | 22,812) | 22,120) | 21,386) | 19,675) | |
| Add: Increase (decrease) in deferred revenue and subscriber-related liabilities | 26) | 10) | 5) | 14) | 6) | |
| Adjusted revenue | 23,723) | 22,822) | 22,125) | 21,400) | 19,681) | |
| Performance Ratio | ||||||
| MVA margin2 | 132.65% | 115.29% | 98.81% | 56.28% | 33.41% | |
| Benchmarks | ||||||
| MVA Margin, Competitors3 | ||||||
| Alphabet Inc. | — | — | — | — | — | |
| Comcast Corp. | — | — | — | — | — | |
| Meta Platforms Inc. | — | — | — | — | — | |
| Netflix Inc. | — | — | — | — | — | |
| Walt Disney Co. | — | — | — | — | — | |
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).
1 MVA. See details »
2 2015 Calculation
MVA margin = 100 × MVA ÷ Adjusted revenue
= 100 × 31,468 ÷ 23,723 = 132.65%
3 Click competitor name to see calculations.
| Performance ratio | Description | The company |
|---|---|---|
| MVA margin | The ratio of MVA to sales. It measures how efficiently and prodigiously sales translate into franchise value. | Time Warner Cable Inc. MVA margin ratio improved from 2013 to 2014 and from 2014 to 2015. |