MA FY 2017 Earnings Report — Mastercard Incorporated Revenue & Financial Results | Market Cap Arena

Mastercard IncorporatedMA

FY 2017 Earnings

Reported February 14, 2018

Quarter Comparison

Revenue

Operating Income

Gross Margin

Net Margin

EPS (Diluted)

Free Cash Flow

Metric	FY 2017	Prior Q	FY 2016	QoQ Change	YoY Change
Revenue	$12.5B	—	$10.8B	—	16.0%
Op. Income	$6.6B	—	$5.8B	—	14.9%
Gross Margin	78.5%	—	79.4%	—	-0.9pp
Net Margin	31.3%	—	37.7%	—	-6.3pp
EPS (Diluted)	$3.65	—	$3.69	—	-1.1%
Free Cash Flow	$5.1B	—	$4.1B	—	25.1%

Revenue Flow

Item	Amount
REVENUE	$12.5B
Cost of Revenue	$2.7B
GROSS PROFIT	$9.8B
R&D Expenses	$0
Selling & Marketing	$771M
General & Administrative	$1.9B
SG&A Expenses	$2.6B
Other Expenses	$557M
Operating Expenses	$3.2B
Cost & Expenses	$5.9B
OPERATING INCOME	$6.6B
Interest Income	$0
Interest Expense	$154M
Other Income/Expenses	-$100M
INCOME BEFORE TAX	$6.5B
Income Tax Expense	$2.6B
Net Income from Continuing Ops	$3.9B
Net Income from Discontinued Ops	$0
Other Adjustments	$0
NET INCOME	$3.9B
Net Income Deductions	$0
BOTTOM LINE NET INCOME	$3.9B
D&A	$437M
EBIT	$6.7B
EBITDA	$7.1B
EPS	$4
EPS Diluted	$4

Income Statement

Item	Amount
REVENUE	$12.5B
Cost of Revenue	$2.7B
GROSS PROFIT	$9.8B
R&D Expenses	$0
Selling & Marketing	$771M
General & Administrative	$1.9B
SG&A Expenses	$2.6B
Other Expenses	$557M
Operating Expenses	$3.2B
Cost & Expenses	$5.9B
OPERATING INCOME	$6.6B
Interest Income	$0
Interest Expense	$154M
Other Income/Expenses	-$100M
INCOME BEFORE TAX	$6.5B
Income Tax Expense	$2.6B
Net Income from Continuing Ops	$3.9B
Net Income from Discontinued Ops	$0
Other Adjustments	$0
NET INCOME	$3.9B
Net Income Deductions	$0
BOTTOM LINE NET INCOME	$3.9B
D&A	$437M
EBIT	$6.7B
EBITDA	$7.1B
EPS	$4
EPS Diluted	$4

Cash Flow Statement

Item	Amount
Net Income	$3.9B
Depreciation & Amortization	$437M
Stock-Based Compensation	$176M
Deferred Income Tax	$86M
Other Non-Cash Items	$1.2B
Change in Working Capital	-$286M
OPERATING CASH FLOW	$5.6B
Capital Expenditure	-$423M
Acquisitions (Net)	-$1.2B
Purchases of Investments	-$2.0B
Sales/Maturities of Investments	$1.8B
Other Investing Activities	$1M
NET CASH FROM INVESTING	-$1.8B
Net Debt Issuance	-$64M
Common Stock Repurchased	-$3.8B
Common Dividends Paid	-$942M
Other Financing Activities	-$53M
NET CASH FROM FINANCING	-$4.8B
FREE CASH FLOW	$5.1B
Net Change in Cash	-$788M

Balance Sheet

Item	Amount
Cash & Equivalents	$5.9B
Short-Term Investments	$1.8B
Net Receivables	$3.3B
Inventory	$0
Other Current Assets	$2.6B
TOTAL CURRENT ASSETS	$13.8B
PP&E (Net)	$829M
Goodwill	$3.0B
Intangible Assets	$1.1B
Long-Term Investments	$249M
Tax Assets	$250M
Other Non-Current Assets	$2.0B
TOTAL NON-CURRENT ASSETS	$7.5B
TOTAL ASSETS	$21.3B
Account Payables	$933M
Short-Term Debt	$0
Deferred Revenue	$0
Other Current Liabilities	$4.1B
TOTAL CURRENT LIABILITIES	$8.8B
Long-Term Debt	$5.4B
Deferred Revenue NC	$0
Deferred Tax Liabilities	$106M
Other Non-Current Liabilities	$1.4B
TOTAL NON-CURRENT LIABILITIES	$7.0B
TOTAL LIABILITIES	$15.8B
Common Stock	$0
Additional Paid-In Capital	$4.4B
Retained Earnings	$22.4B
Treasury Stock	-$20.8B
Accum. Other Comp. Income	-$497M
Other Equity	$0
TOTAL STOCKHOLDERS' EQUITY	$5.5B
Minority Interest	$100M
TOTAL EQUITY	$5.6B
TOTAL LIABILITIES & EQUITY	$21.3B
Total Debt	$5.4B
Net Debt	-$509M