Q4 2018 Earnings

Reported December 30, 2018

Quarter Comparison

Revenue

Operating Income

Gross Margin

Net Margin

EPS (Diluted)

Metric	Q4 2018	Q3 2018	Q4 2017	QoQ Change	YoY Change
Revenue	$16.1B	$14.2B	$15.2B	12.8%	6.0%
Op. Income	$2.3B	$2.0B	$1.6B	10.9%	37.8%
Gross Margin	91.8%	35.7%	95.1%	56.1pp	-3.3pp
Net Margin	5.2%	7.6%	-4.3%	-2.4pp	9.5pp
EPS (Diluted)	$0.24	$0.32	$-0.20	-25.0%	223.5%

Revenue Flow

Item	Amount
REVENUE	$16.1B
Cost of Revenue	$1.3B
GROSS PROFIT	$14.8B
R&D Expenses	$0
Selling & Marketing	$5.3B
General & Administrative	$2.7B
SG&A Expenses	$4.1B
Other Expenses	$8.4B
Operating Expenses	$12.5B
Cost & Expenses	$13.8B
OPERATING INCOME	$2.3B
Interest Income	$404M
Interest Expense	$772M
Other Income/Expenses	-$595M
INCOME BEFORE TAX	$1.7B
Income Tax Expense	$818M
Net Income from Continuing Ops	$848M
Net Income from Discontinued Ops	$0
Other Adjustments	$0
NET INCOME	$832M
Net Income Deductions	$0
BOTTOM LINE NET INCOME	$832M
D&A	$2.0B
EBIT	$1.7B
EBITDA	$3.7B
EPS	$0
EPS Diluted	$0

Income Statement

Item	Amount
REVENUE	$16.1B
Cost of Revenue	$1.3B
GROSS PROFIT	$14.8B
R&D Expenses	$0
Selling & Marketing	$5.3B
General & Administrative	$2.7B
SG&A Expenses	$4.1B
Other Expenses	$8.4B
Operating Expenses	$12.5B
Cost & Expenses	$13.8B
OPERATING INCOME	$2.3B
Interest Income	$404M
Interest Expense	$772M
Other Income/Expenses	-$595M
INCOME BEFORE TAX	$1.7B
Income Tax Expense	$818M
Net Income from Continuing Ops	$848M
Net Income from Discontinued Ops	$0
Other Adjustments	$0
NET INCOME	$832M
Net Income Deductions	$0
BOTTOM LINE NET INCOME	$832M
D&A	$2.0B
EBIT	$1.7B
EBITDA	$3.7B
EPS	$0
EPS Diluted	$0

Balance Sheet

Item	Amount
Cash & Equivalents	$1.2B
Short-Term Investments	$2.2B
Net Receivables	$10.4B
Inventory	$2.3B
Other Current Assets	$3.8B
TOTAL CURRENT ASSETS	$20.1B
PP&E (Net)	$36.8B
Goodwill	$8.4B
Intangible Assets	$7.0B
Long-Term Investments	$180M
Tax Assets	$0
Other Non-Current Assets	$9.7B
TOTAL NON-CURRENT ASSETS	$62.1B
TOTAL ASSETS	$82.1B
Account Payables	$7.0B
Short-Term Debt	$5.5B
Deferred Revenue	$0
Other Current Liabilities	$11.5B
TOTAL CURRENT LIABILITIES	$26.8B
Long-Term Debt	$31.2B
Deferred Revenue NC	$0
Deferred Tax Liabilities	$0
Other Non-Current Liabilities	$10.0B
TOTAL NON-CURRENT LIABILITIES	$41.2B
TOTAL LIABILITIES	$68.0B
Common Stock	$5.5B
Additional Paid-In Capital	$0
Retained Earnings	$13.6B
Treasury Stock	$0
Accum. Other Comp. Income	-$7.9B
Other Equity	$0
TOTAL STOCKHOLDERS' EQUITY	$11.3B
Minority Interest	$2.9B
TOTAL EQUITY	$14.1B
TOTAL LIABILITIES & EQUITY	$82.1B
Total Debt	$36.7B
Net Debt	$35.5B