ERIC FY 2020 Earnings Report — Telefonaktiebolaget LM Ericsson (publ) Revenue & Financial Results | Market Cap Arena

Telefonaktiebolaget LM Ericsson (publ)ERIC

FY 2020 Earnings

Reported March 25, 2021

Quarter Comparison

Revenue

Operating Income

Gross Margin

Net Margin

EPS (Diluted)

Free Cash Flow

Metric	FY 2020	Prior Q	FY 2019	QoQ Change	YoY Change
Revenue	$22.4B	—	$23.6B	—	-5.1%
Op. Income	$2.8B	—	$2.3B	—	24.8%
Gross Margin	40.6%	—	37.5%	—	3.2pp
Net Margin	7.5%	—	1.0%	—	6.5pp
EPS (Diluted)	$0.51	—	$0.07	—	631.3%
Free Cash Flow	$2.4B	—	$1.2B	—	92.9%

Revenue Flow

Item	Amount
REVENUE	$22.4B
Cost of Revenue	$13.3B
GROSS PROFIT	$9.1B
R&D Expenses	$3.8B
Selling & Marketing	$0
General & Administrative	$0
SG&A Expenses	$2.5B
Other Expenses	$0
Operating Expenses	$6.3B
Cost & Expenses	$19.5B
OPERATING INCOME	$2.8B
Interest Income	$77M
Interest Expense	$214M
Other Income/Expenses	-$224M
INCOME BEFORE TAX	$2.6B
Income Tax Expense	$924M
Net Income from Continuing Ops	$1.7B
Net Income from Discontinued Ops	$0
Other Adjustments	$0
NET INCOME	$1.7B
Net Income Deductions	$0
BOTTOM LINE NET INCOME	$1.7B
D&A	$681M
EBIT	$2.9B
EBITDA	$3.5B
EPS	$1
EPS Diluted	$1

Income Statement

Item	Amount
REVENUE	$22.4B
Cost of Revenue	$13.3B
GROSS PROFIT	$9.1B
R&D Expenses	$3.8B
Selling & Marketing	$0
General & Administrative	$0
SG&A Expenses	$2.5B
Other Expenses	$0
Operating Expenses	$6.3B
Cost & Expenses	$19.5B
OPERATING INCOME	$2.8B
Interest Income	$77M
Interest Expense	$214M
Other Income/Expenses	-$224M
INCOME BEFORE TAX	$2.6B
Income Tax Expense	$924M
Net Income from Continuing Ops	$1.7B
Net Income from Discontinued Ops	$0
Other Adjustments	$0
NET INCOME	$1.7B
Net Income Deductions	$0
BOTTOM LINE NET INCOME	$1.7B
D&A	$681M
EBIT	$2.9B
EBITDA	$3.5B
EPS	$1
EPS Diluted	$1

Cash Flow Statement

Item	Amount
Net Income	$1.7B
Depreciation & Amortization	$681M
Stock-Based Compensation	$0
Deferred Income Tax	$0
Other Non-Cash Items	$769M
Change in Working Capital	-$347M
OPERATING CASH FLOW	$2.8B
Capital Expenditure	-$433M
Acquisitions (Net)	-$900M
Purchases of Investments	-$130M
Sales/Maturities of Investments	$0
Other Investing Activities	$77M
NET CASH FROM INVESTING	-$1.5B
Net Debt Issuance	-$409M
Common Stock Repurchased	$0
Common Dividends Paid	-$577M
Other Financing Activities	-$233M
NET CASH FROM FINANCING	-$1.2B
FREE CASH FLOW	$2.4B
Net Change in Cash	$439M

Balance Sheet

Item	Amount
Cash & Equivalents	$4.7B
Short-Term Investments	$736M
Net Receivables	$7.4B
Inventory	$3.1B
Other Current Assets	$0
TOTAL CURRENT ASSETS	$16.2B
PP&E (Net)	$2.3B
Goodwill	$3.8B
Intangible Assets	$935M
Long-Term Investments	$3.3B
Tax Assets	$3.1B
Other Non-Current Assets	$0
TOTAL NON-CURRENT ASSETS	$13.4B
TOTAL ASSETS	$29.5B
Account Payables	$3.5B
Short-Term Debt	$1.1B
Deferred Revenue	$2.9B
Other Current Liabilities	$3.3B
TOTAL CURRENT LIABILITIES	$12.3B
Long-Term Debt	$2.4B
Deferred Revenue NC	$0
Deferred Tax Liabilities	$334M
Other Non-Current Liabilities	$4.5B
TOTAL NON-CURRENT LIABILITIES	$8.0B
TOTAL LIABILITIES	$20.3B
Common Stock	$1.8B
Additional Paid-In Capital	$2.7B
Retained Earnings	$5.2B
Treasury Stock	$0
Accum. Other Comp. Income	-$290M
Other Equity	$0
TOTAL STOCKHOLDERS' EQUITY	$9.4B
Minority Interest	-$162M
TOTAL EQUITY	$9.2B
TOTAL LIABILITIES & EQUITY	$29.5B
Total Debt	$4.3B
Net Debt	-$448M