Paying users zone. Data is covered by hidden.

  • Get to Time Warner Inc. for $13.99, or

  • get to whole website for at least 3 months from $49.99.

This company is transferred to the archive: financial data is no longer updated!

Microsoft Excel LibreOffice Calc

Time Warner Inc. (TWX)

Financial Reporting Quality: Aggregate Accruals

Difficulty: Advanced

Earnings can be decomposed into cash and accrual components. The accrual component (aggregate accruals) has been found to have less persistence than the cash component, and therefore (1) earnings with higher accrual component are less persistent than earnings with smaller accrual component, all else equal; and (2) the cash component of earnings should receive a higher weighting evaluating company performance.

Balance-Sheet-Based Accruals Ratio

Time Warner Inc., balance sheet computation of aggregate accruals

USD $ in millions

Microsoft Excel LibreOffice Calc
Dec 31, 2017 Dec 31, 2016 Dec 31, 2015 Dec 31, 2014 Dec 31, 2013
Operating Assets
Total assets hidden hidden hidden hidden hidden
Less: Cash and equivalents hidden hidden hidden hidden hidden
Operating assets hidden hidden hidden hidden hidden
Operating Liabilities
Total liabilities hidden hidden hidden hidden hidden
Less: Debt due within one year hidden hidden hidden hidden hidden
Less: Long-term debt, excluding due within one year hidden hidden hidden hidden hidden
Operating liabilities hidden hidden hidden hidden hidden
Net operating assets1 hidden hidden hidden hidden hidden
Balance-sheet-based aggregate accruals2 hidden hidden hidden hidden hidden
Ratio
Balance-sheet-based accruals ratio3 hidden hidden hidden hidden hidden
Benchmarks
Balance-Sheet-Based Accruals Ratio, Competitors
Charter Communications Inc. hidden hidden hidden hidden hidden
Comcast Corp. hidden hidden hidden hidden hidden
Twenty-First Century Fox Inc. hidden hidden hidden hidden hidden
Walt Disney Co. hidden hidden hidden hidden hidden
Balance-Sheet-Based Accruals Ratio, Sector
Media hidden hidden hidden hidden hidden
Balance-Sheet-Based Accruals Ratio, Industry
Consumer Services hidden hidden hidden hidden hidden

Based on: 10-K (filing date: 2018-02-22), 10-K (filing date: 2017-02-23), 10-K (filing date: 2016-02-25), 10-K (filing date: 2015-02-26), 10-K (filing date: 2014-02-26).

2017 Calculations

1 Net operating assets = Operating assets – Operating liabilities
= hidden – hidden = hidden

2 Balance-sheet-based aggregate accruals = Net operating assets 2017 – Net operating assets 2016
= hidden – hidden = hidden

3 Balance-sheet-based accruals ratio = 100 × Balance-sheet-based aggregate accruals ÷ Avg. net operating assets
= 100 × hidden ÷ [(hidden + hidden) ÷ 2] = hidden

Ratio Description The company
Balance-sheet-based accruals ratio Ratio is found by dividing balance-sheet-based aggregate accruals by average net operating assets. Using the balance-sheet-based accruals ratio, Time Warner Inc. deteriorated earnings quality from 2016 to 2017.

Cash-Flow-Statement-Based Accruals Ratio

Time Warner Inc., cash flow statement computation of aggregate accruals

USD $ in millions

Microsoft Excel LibreOffice Calc
Dec 31, 2017 Dec 31, 2016 Dec 31, 2015 Dec 31, 2014 Dec 31, 2013
Net income attributable to Time Warner Inc. shareholders hidden hidden hidden hidden hidden
Less: Cash provided by operations hidden hidden hidden hidden hidden
Less: Cash (used) provided by investing activities hidden hidden hidden hidden hidden
Cash-flow-statement-based aggregate accruals hidden hidden hidden hidden hidden
Ratio
Cash-flow-statement-based accruals ratio1 hidden hidden hidden hidden hidden
Benchmarks
Cash-Flow-Statement-Based Accruals Ratio, Competitors
Charter Communications Inc. hidden hidden hidden hidden hidden
Comcast Corp. hidden hidden hidden hidden hidden
Twenty-First Century Fox Inc. hidden hidden hidden hidden hidden
Walt Disney Co. hidden hidden hidden hidden hidden
Cash-Flow-Statement-Based Accruals Ratio, Sector
Media hidden hidden hidden hidden hidden
Cash-Flow-Statement-Based Accruals Ratio, Industry
Consumer Services hidden hidden hidden hidden hidden

Based on: 10-K (filing date: 2018-02-22), 10-K (filing date: 2017-02-23), 10-K (filing date: 2016-02-25), 10-K (filing date: 2015-02-26), 10-K (filing date: 2014-02-26).

2017 Calculations

1 Cash-flow-statement-based accruals ratio = 100 × Cash-flow-statement-based aggregate accruals ÷ Avg. net operating assets
= 100 × hidden ÷ [(hidden + hidden) ÷ 2] = hidden

Ratio Description The company
Cash-flow-statement-based accruals ratio Ratio is found by dividing cash-flow-statement-based aggregate accruals by average net operating assets. Using the cash-flow-statement-based accruals ratio, Time Warner Inc. deteriorated earnings quality from 2016 to 2017.