Stock Analysis on Net
Stock Analysis on Net

Time Warner Inc. (NYSE:TWX)

This company has been moved to the archive! The financial data has not been updated since April 26, 2018.

Adjusted Financial Ratios

Microsoft Excel

Adjusted Financial Ratios (Summary)

Time Warner Inc., adjusted financial ratios

Microsoft Excel
Dec 31, 2017 Dec 31, 2016 Dec 31, 2015 Dec 31, 2014 Dec 31, 2013
Activity Ratio
Total Asset Turnover
Reported 0.45 0.44 0.44 0.43 0.44
Adjusted 0.45 0.44 0.43 0.42 0.43
Liquidity Ratio
Current Ratio
Reported 1.08 1.39 1.56 1.43 1.53
Adjusted 1.16 1.52 1.77 1.60 1.75
Solvency Ratios
Debt to Equity
Reported 0.84 1.00 1.01 0.92 0.67
Adjusted 0.79 0.89 0.91 0.85 0.64
Debt to Capital
Reported 0.46 0.50 0.50 0.48 0.40
Adjusted 0.44 0.47 0.48 0.46 0.39
Financial Leverage
Reported 2.44 2.71 2.70 2.58 2.27
Adjusted 2.24 2.37 2.37 2.30 2.04
Profitability Ratios
Net Profit Margin
Reported 16.78% 13.39% 13.63% 13.99% 12.39%
Adjusted 14.11% 13.94% 12.99% 14.45% 14.96%
Return on Equity (ROE)
Reported 18.49% 16.13% 16.23% 15.64% 12.34%
Adjusted 14.10% 14.47% 13.38% 14.08% 13.05%
Return on Assets (ROA)
Reported 7.58% 5.95% 6.00% 6.05% 5.43%
Adjusted 6.31% 6.11% 5.64% 6.13% 6.41%

Based on: 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31).

Financial ratio Description The company
Adjusted total asset turnover An activity ratio calculated as total revenue divided by adjusted total assets. Time Warner Inc. adjusted total asset turnover ratio improved from 2015 to 2016 and from 2016 to 2017.
Adjusted current ratio A liquidity ratio calculated as adjusted current assets divided by adjusted current liabilities. Time Warner Inc. adjusted current ratio deteriorated from 2015 to 2016 and from 2016 to 2017.
Adjusted debt-to-equity ratio A solvency ratio calculated as adjusted total debt divided by adjusted total equity. Time Warner Inc. adjusted debt-to-equity ratio improved from 2015 to 2016 and from 2016 to 2017.
Adjusted debt-to-capital ratio A solvency ratio calculated as adjusted total debt divided by adjusted total debt plus adjusted total equity. Time Warner Inc. adjusted debt-to-capital ratio improved from 2015 to 2016 and from 2016 to 2017.
Adjusted financial leverage A measure of financial leverage calculated as adjusted total assets divided by adjusted total equity.
Financial leverage is the extent to which a company can effect, through the use of debt, a proportional change in the return on common equity that is greater than a given proportional change in operating income.		 Time Warner Inc. adjusted financial leverage ratio decreased from 2015 to 2016 and from 2016 to 2017.
Adjusted net profit margin An indicator of profitability, calculated as adjusted net income divided by total revenue. Time Warner Inc. adjusted net profit margin ratio improved from 2015 to 2016 and from 2016 to 2017.
Adjusted ROE A profitability ratio calculated as adjusted net income divided by adjusted total equity. Time Warner Inc. adjusted ROE improved from 2015 to 2016 but then slightly deteriorated from 2016 to 2017.
Adjusted ROA A profitability ratio calculated as adjusted net income divided by adjusted total assets. Time Warner Inc. adjusted ROA improved from 2015 to 2016 and from 2016 to 2017.

Time Warner Inc., Financial Ratios: Reported vs. Adjusted

Adjusted Total Asset Turnover

Microsoft Excel
Dec 31, 2017 Dec 31, 2016 Dec 31, 2015 Dec 31, 2014 Dec 31, 2013
Reported
Selected Financial Data (US$ in millions)
Revenues 31,271 29,318 28,118 27,359 29,795
Total assets 69,209 65,966 63,848 63,259 67,994
Activity Ratio
Total asset turnover1 0.45 0.44 0.44 0.43 0.44
Adjusted
Selected Financial Data (US$ in millions)
Adjusted revenues2 31,400 29,400 28,192 27,360 29,738
Adjusted total assets3 70,236 67,050 64,977 64,489 69,408
Activity Ratio
Adjusted total asset turnover4 0.45 0.44 0.43 0.42 0.43

Based on: 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31).

1 2017 Calculation
Total asset turnover = Revenues ÷ Total assets
= 31,271 ÷ 69,209 = 0.45

2 Adjusted revenues. See details »

3 Adjusted total assets. See details »

4 2017 Calculation
Adjusted total asset turnover = Adjusted revenues ÷ Adjusted total assets
= 31,400 ÷ 70,236 = 0.45

Activity ratio Description The company
Adjusted total asset turnover An activity ratio calculated as total revenue divided by adjusted total assets. Time Warner Inc. adjusted total asset turnover ratio improved from 2015 to 2016 and from 2016 to 2017.

Adjusted Current Ratio

Microsoft Excel
Dec 31, 2017 Dec 31, 2016 Dec 31, 2015 Dec 31, 2014 Dec 31, 2013
Reported
Selected Financial Data (US$ in millions)
Current assets 15,219 13,485 12,513 13,180 12,844
Current liabilities 14,077 9,703 8,002 9,204 8,383
Liquidity Ratio
Current ratio1 1.08 1.39 1.56 1.43 1.53
Adjusted
Selected Financial Data (US$ in millions)
Adjusted current assets2 15,381 13,678 12,693 13,148 12,658
Adjusted current liabilities3 13,247 9,025 7,173 8,233 7,244
Liquidity Ratio
Adjusted current ratio4 1.16 1.52 1.77 1.60 1.75

Based on: 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31).

1 2017 Calculation
Current ratio = Current assets ÷ Current liabilities
= 15,219 ÷ 14,077 = 1.08

2 Adjusted current assets. See details »

3 Adjusted current liabilities. See details »

4 2017 Calculation
Adjusted current ratio = Adjusted current assets ÷ Adjusted current liabilities
= 15,381 ÷ 13,247 = 1.16

Liquidity ratio Description The company
Adjusted current ratio A liquidity ratio calculated as adjusted current assets divided by adjusted current liabilities. Time Warner Inc. adjusted current ratio deteriorated from 2015 to 2016 and from 2016 to 2017.

Adjusted Debt to Equity

Microsoft Excel
Dec 31, 2017 Dec 31, 2016 Dec 31, 2015 Dec 31, 2014 Dec 31, 2013
Reported
Selected Financial Data (US$ in millions)
Total debt 23,744 24,339 23,792 22,494 20,165
Total Time Warner Inc. shareholders’ equity 28,375 24,335 23,619 24,476 29,904
Solvency Ratio
Debt to equity1 0.84 1.00 1.01 0.92 0.67
Adjusted
Selected Financial Data (US$ in millions)
Adjusted total debt2 24,720 25,355 24,875 23,756 21,765
Adjusted total equity3 31,422 28,333 27,369 28,076 34,081
Solvency Ratio
Adjusted debt to equity4 0.79 0.89 0.91 0.85 0.64

Based on: 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31).

1 2017 Calculation
Debt to equity = Total debt ÷ Total Time Warner Inc. shareholders’ equity
= 23,744 ÷ 28,375 = 0.84

2 Adjusted total debt. See details »

3 Adjusted total equity. See details »

4 2017 Calculation
Adjusted debt to equity = Adjusted total debt ÷ Adjusted total equity
= 24,720 ÷ 31,422 = 0.79

Solvency ratio Description The company
Adjusted debt-to-equity ratio A solvency ratio calculated as adjusted total debt divided by adjusted total equity. Time Warner Inc. adjusted debt-to-equity ratio improved from 2015 to 2016 and from 2016 to 2017.

Adjusted Debt to Capital

Microsoft Excel
Dec 31, 2017 Dec 31, 2016 Dec 31, 2015 Dec 31, 2014 Dec 31, 2013
Reported
Selected Financial Data (US$ in millions)
Total debt 23,744 24,339 23,792 22,494 20,165
Total capital 52,119 48,674 47,411 46,970 50,069
Solvency Ratio
Debt to capital1 0.46 0.50 0.50 0.48 0.40
Adjusted
Selected Financial Data (US$ in millions)
Adjusted total debt2 24,720 25,355 24,875 23,756 21,765
Adjusted total capital3 56,142 53,688 52,244 51,832 55,846
Solvency Ratio
Adjusted debt to capital4 0.44 0.47 0.48 0.46 0.39

Based on: 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31).

1 2017 Calculation
Debt to capital = Total debt ÷ Total capital
= 23,744 ÷ 52,119 = 0.46

2 Adjusted total debt. See details »

3 Adjusted total capital. See details »

4 2017 Calculation
Adjusted debt to capital = Adjusted total debt ÷ Adjusted total capital
= 24,720 ÷ 56,142 = 0.44

Solvency ratio Description The company
Adjusted debt-to-capital ratio A solvency ratio calculated as adjusted total debt divided by adjusted total debt plus adjusted total equity. Time Warner Inc. adjusted debt-to-capital ratio improved from 2015 to 2016 and from 2016 to 2017.

Adjusted Financial Leverage

Microsoft Excel
Dec 31, 2017 Dec 31, 2016 Dec 31, 2015 Dec 31, 2014 Dec 31, 2013
Reported
Selected Financial Data (US$ in millions)
Total assets 69,209 65,966 63,848 63,259 67,994
Total Time Warner Inc. shareholders’ equity 28,375 24,335 23,619 24,476 29,904
Solvency Ratio
Financial leverage1 2.44 2.71 2.70 2.58 2.27
Adjusted
Selected Financial Data (US$ in millions)
Adjusted total assets2 70,236 67,050 64,977 64,489 69,408
Adjusted total equity3 31,422 28,333 27,369 28,076 34,081
Solvency Ratio
Adjusted financial leverage4 2.24 2.37 2.37 2.30 2.04

Based on: 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31).

1 2017 Calculation
Financial leverage = Total assets ÷ Total Time Warner Inc. shareholders’ equity
= 69,209 ÷ 28,375 = 2.44

2 Adjusted total assets. See details »

3 Adjusted total equity. See details »

4 2017 Calculation
Adjusted financial leverage = Adjusted total assets ÷ Adjusted total equity
= 70,236 ÷ 31,422 = 2.24

Solvency ratio Description The company
Adjusted financial leverage A measure of financial leverage calculated as adjusted total assets divided by adjusted total equity.
Financial leverage is the extent to which a company can effect, through the use of debt, a proportional change in the return on common equity that is greater than a given proportional change in operating income.		 Time Warner Inc. adjusted financial leverage ratio decreased from 2015 to 2016 and from 2016 to 2017.

Adjusted Net Profit Margin

Microsoft Excel
Dec 31, 2017 Dec 31, 2016 Dec 31, 2015 Dec 31, 2014 Dec 31, 2013
Reported
Selected Financial Data (US$ in millions)
Net income attributable to Time Warner Inc. shareholders 5,247 3,926 3,833 3,827 3,691
Revenues 31,271 29,318 28,118 27,359 29,795
Profitability Ratio
Net profit margin1 16.78% 13.39% 13.63% 13.99% 12.39%
Adjusted
Selected Financial Data (US$ in millions)
Adjusted net income2 4,431 4,099 3,662 3,954 4,448
Adjusted revenues3 31,400 29,400 28,192 27,360 29,738
Profitability Ratio
Adjusted net profit margin4 14.11% 13.94% 12.99% 14.45% 14.96%

Based on: 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31).

1 2017 Calculation
Net profit margin = 100 × Net income attributable to Time Warner Inc. shareholders ÷ Revenues
= 100 × 5,247 ÷ 31,271 = 16.78%

2 Adjusted net income. See details »

3 Adjusted revenues. See details »

4 2017 Calculation
Adjusted net profit margin = 100 × Adjusted net income ÷ Adjusted revenues
= 100 × 4,431 ÷ 31,400 = 14.11%

Profitability ratio Description The company
Adjusted net profit margin An indicator of profitability, calculated as adjusted net income divided by total revenue. Time Warner Inc. adjusted net profit margin ratio improved from 2015 to 2016 and from 2016 to 2017.

Adjusted Return on Equity (ROE)

Microsoft Excel
Dec 31, 2017 Dec 31, 2016 Dec 31, 2015 Dec 31, 2014 Dec 31, 2013
Reported
Selected Financial Data (US$ in millions)
Net income attributable to Time Warner Inc. shareholders 5,247 3,926 3,833 3,827 3,691
Total Time Warner Inc. shareholders’ equity 28,375 24,335 23,619 24,476 29,904
Profitability Ratio
ROE1 18.49% 16.13% 16.23% 15.64% 12.34%
Adjusted
Selected Financial Data (US$ in millions)
Adjusted net income2 4,431 4,099 3,662 3,954 4,448
Adjusted total equity3 31,422 28,333 27,369 28,076 34,081
Profitability Ratio
Adjusted ROE4 14.10% 14.47% 13.38% 14.08% 13.05%

Based on: 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31).

1 2017 Calculation
ROE = 100 × Net income attributable to Time Warner Inc. shareholders ÷ Total Time Warner Inc. shareholders’ equity
= 100 × 5,247 ÷ 28,375 = 18.49%

2 Adjusted net income. See details »

3 Adjusted total equity. See details »

4 2017 Calculation
Adjusted ROE = 100 × Adjusted net income ÷ Adjusted total equity
= 100 × 4,431 ÷ 31,422 = 14.10%

Profitability ratio Description The company
Adjusted ROE A profitability ratio calculated as adjusted net income divided by adjusted total equity. Time Warner Inc. adjusted ROE improved from 2015 to 2016 but then slightly deteriorated from 2016 to 2017.

Adjusted Return on Assets (ROA)

Microsoft Excel
Dec 31, 2017 Dec 31, 2016 Dec 31, 2015 Dec 31, 2014 Dec 31, 2013
Reported
Selected Financial Data (US$ in millions)
Net income attributable to Time Warner Inc. shareholders 5,247 3,926 3,833 3,827 3,691
Total assets 69,209 65,966 63,848 63,259 67,994
Profitability Ratio
ROA1 7.58% 5.95% 6.00% 6.05% 5.43%
Adjusted
Selected Financial Data (US$ in millions)
Adjusted net income2 4,431 4,099 3,662 3,954 4,448
Adjusted total assets3 70,236 67,050 64,977 64,489 69,408
Profitability Ratio
Adjusted ROA4 6.31% 6.11% 5.64% 6.13% 6.41%

Based on: 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31).

1 2017 Calculation
ROA = 100 × Net income attributable to Time Warner Inc. shareholders ÷ Total assets
= 100 × 5,247 ÷ 69,209 = 7.58%

2 Adjusted net income. See details »

3 Adjusted total assets. See details »

4 2017 Calculation
Adjusted ROA = 100 × Adjusted net income ÷ Adjusted total assets
= 100 × 4,431 ÷ 70,236 = 6.31%

Profitability ratio Description The company
Adjusted ROA A profitability ratio calculated as adjusted net income divided by adjusted total assets. Time Warner Inc. adjusted ROA improved from 2015 to 2016 and from 2016 to 2017.