ERIC FY 2007 Earnings Report — Telefonaktiebolaget LM Ericsson (publ) Revenue & Financial Results | Market Cap Arena

Telefonaktiebolaget LM Ericsson (publ)ERIC

FY 2007 Earnings

Reported April 21, 2008

Quarter Comparison

Revenue

Operating Income

Gross Margin

Net Margin

EPS (Diluted)

Free Cash Flow

Metric	FY 2007	Prior Q	FY 2006	QoQ Change	YoY Change
Revenue	$19.5B	—	$18.5B	—	5.1%
Op. Income	$2.2B	—	$3.0B	—	-25.9%
Gross Margin	37.9%	—	42.0%	—	-4.2pp
Net Margin	11.6%	—	14.6%	—	-3.0pp
EPS (Diluted)	$0.71	—	$0.85	—	-16.5%
Free Cash Flow	$1.5B	—	$1.5B	—	2.2%

Revenue Flow

Item	Amount
REVENUE	$19.5B
Cost of Revenue	$12.1B
GROSS PROFIT	$7.4B
R&D Expenses	$2.7B
Selling & Marketing	$0
General & Administrative	$0
SG&A Expenses	$2.4B
Other Expenses	-$14M
Operating Expenses	$5.1B
Cost & Expenses	$17.2B
OPERATING INCOME	$2.2B
Interest Income	$124M
Interest Expense	$160M
Other Income/Expenses	$945M
INCOME BEFORE TAX	$3.2B
Income Tax Expense	$892M
Net Income from Continuing Ops	$2.3B
Net Income from Discontinued Ops	$0
Other Adjustments	$0
NET INCOME	$2.3B
Net Income Deductions	$0
BOTTOM LINE NET INCOME	$2.3B
D&A	$888M
EBIT	$3.1B
EBITDA	$4.0B
EPS	$1
EPS Diluted	$1

Income Statement

Item	Amount
REVENUE	$19.5B
Cost of Revenue	$12.1B
GROSS PROFIT	$7.4B
R&D Expenses	$2.7B
Selling & Marketing	$0
General & Administrative	$0
SG&A Expenses	$2.4B
Other Expenses	-$14M
Operating Expenses	$5.1B
Cost & Expenses	$17.2B
OPERATING INCOME	$2.2B
Interest Income	$124M
Interest Expense	$160M
Other Income/Expenses	$945M
INCOME BEFORE TAX	$3.2B
Income Tax Expense	$892M
Net Income from Continuing Ops	$2.3B
Net Income from Discontinued Ops	$0
Other Adjustments	$0
NET INCOME	$2.3B
Net Income Deductions	$0
BOTTOM LINE NET INCOME	$2.3B
D&A	$888M
EBIT	$3.1B
EBITDA	$4.0B
EPS	$1
EPS Diluted	$1

Cash Flow Statement

Item	Amount
Net Income	$2.3B
Depreciation & Amortization	$888M
Stock-Based Compensation	$0
Deferred Income Tax	$0
Other Non-Cash Items	-$112M
Change in Working Capital	-$1.0B
OPERATING CASH FLOW	$2.0B
Capital Expenditure	-$448M
Acquisitions (Net)	-$2.7B
Purchases of Investments	$0
Sales/Maturities of Investments	$363M
Other Investing Activities	$41M
NET CASH FROM INVESTING	-$2.9B
Net Debt Issuance	$1.5B
Common Stock Repurchased	$0
Common Dividends Paid	-$844M
Other Financing Activities	$0
NET CASH FROM FINANCING	$649M
FREE CASH FLOW	$1.5B
Net Change in Cash	$470.7K

Balance Sheet

Item	Amount
Cash & Equivalents	$3.1B
Short-Term Investments	$3.2B
Net Receivables	$7.5B
Inventory	$2.4B
Other Current Assets	$676M
TOTAL CURRENT ASSETS	$17.2B
PP&E (Net)	$1.0B
Goodwill	$2.5B
Intangible Assets	$3.0B
Long-Term Investments	$0
Tax Assets	$1.3B
Other Non-Current Assets	$1.7B
TOTAL NON-CURRENT ASSETS	$9.4B
TOTAL ASSETS	$26.6B
Account Payables	$1.9B
Short-Term Debt	$640M
Deferred Revenue	$647M
Other Current Liabilities	$2.9B
TOTAL CURRENT LIABILITIES	$8.4B
Long-Term Debt	$2.3B
Deferred Revenue NC	$0
Deferred Tax Liabilities	$304M
Other Non-Current Liabilities	$898M
TOTAL NON-CURRENT LIABILITIES	$3.5B
TOTAL LIABILITIES	$11.9B
Common Stock	$1.8B
Additional Paid-In Capital	$2.7B
Retained Earnings	$10.8B
Treasury Stock	$0
Accum. Other Comp. Income	-$655M
Other Equity	$0
TOTAL STOCKHOLDERS' EQUITY	$14.5B
Minority Interest	$102M
TOTAL EQUITY	$14.7B
TOTAL LIABILITIES & EQUITY	$26.6B
Total Debt	$3.0B
Net Debt	-$119M