DEO Q2 2020 Earnings Report — Diageo plc Revenue & Financial Results | Market Cap Arena

Q2 2020 Earnings

Reported December 31, 2019

Quarter Comparison

Revenue

Operating Income

Gross Margin

Net Margin

EPS (Diluted)

Free Cash Flow

Metric	Q2 2020	Q1 2020	Q2 2019	QoQ Change	YoY Change
Revenue	$9.7B	—	$9.3B	—	4.2%
Op. Income	$3.4B	—	$3.3B	—	2.0%
Gross Margin	62.5%	—	63.7%	—	-1.2pp
Net Margin	25.9%	—	28.6%	—	-2.7pp
EPS (Diluted)	$4.26	—	$4.31	—	-1.2%
Free Cash Flow	$1.3B	—	$1.8B	—	-28.1%

Revenue Flow

Item	Amount
REVENUE	$9.7B
Cost of Revenue	$3.6B
GROSS PROFIT	$6.1B
R&D Expenses	$0
Selling & Marketing	$752M
General & Administrative	$1.9B
SG&A Expenses	$2.7B
Other Expenses	$0
Operating Expenses	$2.7B
Cost & Expenses	$6.3B
OPERATING INCOME	$3.4B
Interest Income	$164M
Interest Expense	$367M
Other Income/Expenses	-$287M
INCOME BEFORE TAX	$3.1B
Income Tax Expense	$715M
Net Income from Continuing Ops	$2.4B
Net Income from Discontinued Ops	$0
Other Adjustments	$237M
NET INCOME	$2.5B
Net Income Deductions	$0
BOTTOM LINE NET INCOME	$2.5B
D&A	$306M
EBIT	$3.5B
EBITDA	$3.8B
EPS	$4
EPS Diluted	$4

Income Statement

Item	Amount
REVENUE	$9.7B
Cost of Revenue	$3.6B
GROSS PROFIT	$6.1B
R&D Expenses	$0
Selling & Marketing	$752M
General & Administrative	$1.9B
SG&A Expenses	$2.7B
Other Expenses	$0
Operating Expenses	$2.7B
Cost & Expenses	$6.3B
OPERATING INCOME	$3.4B
Interest Income	$164M
Interest Expense	$367M
Other Income/Expenses	-$287M
INCOME BEFORE TAX	$3.1B
Income Tax Expense	$715M
Net Income from Continuing Ops	$2.4B
Net Income from Discontinued Ops	$0
Other Adjustments	$237M
NET INCOME	$2.5B
Net Income Deductions	$0
BOTTOM LINE NET INCOME	$2.5B
D&A	$306M
EBIT	$3.5B
EBITDA	$3.8B
EPS	$4
EPS Diluted	$4

Cash Flow Statement

Item	Amount
Net Income	$2.5B
Depreciation & Amortization	$306M
Stock-Based Compensation	$0
Deferred Income Tax	$0
Other Non-Cash Items	$1.4B
Change in Working Capital	-$914M
OPERATING CASH FLOW	$1.7B
Capital Expenditure	-$445M
Acquisitions (Net)	-$166M
Purchases of Investments	$0
Sales/Maturities of Investments	$0
Other Investing Activities	$236M
NET CASH FROM INVESTING	-$611M
Net Debt Issuance	$2.0B
Common Stock Repurchased	-$779M
Common Dividends Paid	-$1.4B
Other Financing Activities	-$1.5B
NET CASH FROM FINANCING	-$951M
FREE CASH FLOW	$1.3B
Net Change in Cash	$1.0B

Balance Sheet

Item	Amount
Cash & Equivalents	$1.3B
Short-Term Investments	$57M
Net Receivables	$6.5B
Inventory	$7.4B
Other Current Assets	$217M
TOTAL CURRENT ASSETS	$13.7B
PP&E (Net)	$6.5B
Goodwill	$0
Intangible Assets	$16.2B
Long-Term Investments	$4.8B
Tax Assets	$96M
Other Non-Current Assets	$1.5B
TOTAL NON-CURRENT ASSETS	$29.1B
TOTAL ASSETS	$42.8B
Account Payables	$6.0B
Short-Term Debt	$4.6B
Deferred Revenue	$1.2B
Other Current Liabilities	$1.3B
TOTAL CURRENT LIABILITIES	$11.9B
Long-Term Debt	$13.6B
Deferred Revenue NC	$0
Deferred Tax Liabilities	$2.6B
Other Non-Current Liabilities	$2.2B
TOTAL NON-CURRENT LIABILITIES	$18.4B
TOTAL LIABILITIES	$30.3B
Common Stock	$1.0B
Additional Paid-In Capital	$1.8B
Retained Earnings	$4.7B
Treasury Stock	-$2.6B
Accum. Other Comp. Income	$2.6B
Other Equity	$0
TOTAL STOCKHOLDERS' EQUITY	$10.1B
Minority Interest	$2.3B
TOTAL EQUITY	$12.4B
TOTAL LIABILITIES & EQUITY	$42.8B
Total Debt	$18.2B
Net Debt	$16.9B