QVCGA FY 2006 Earnings Report — QVC Group Inc. Revenue & Financial Results | Market Cap Arena

QVC Group Inc.QVCGA

FY 2006 Earnings

Reported February 28, 2007

Quarter Comparison

Revenue

Operating Income

Gross Margin

Net Margin

EPS (Diluted)

Free Cash Flow

Metric	FY 2006	Prior Q	FY 2005	QoQ Change	YoY Change
Revenue	$7.3B	—	$6.5B	—	12.7%
Op. Income	$1.1B	—	$916M	—	23.4%
Gross Margin	29.6%	—	28.0%	—	1.6pp
Net Margin	7.0%	—	4.6%	—	2.4pp
EPS (Diluted)	$58.53	—	$5.50	—	964.2%
Free Cash Flow	$294M	—	$601M	—	-51.1%

Revenue Flow

Item	Amount
REVENUE	$7.3B
Cost of Revenue	$5.2B
GROSS PROFIT	$2.2B
R&D Expenses	$0
Selling & Marketing	$0
General & Administrative	$0
SG&A Expenses	$544M
Other Expenses	$491M
Operating Expenses	$1.0B
Cost & Expenses	$6.2B
OPERATING INCOME	$1.1B
Interest Income	$40M
Interest Expense	$417M
Other Income/Expenses	-$287M
INCOME BEFORE TAX	$843M
Income Tax Expense	$252M
Net Income from Continuing Ops	$736M
Net Income from Discontinued Ops	$0
Other Adjustments	-$52M
NET INCOME	$511M
Net Income Deductions	$0
BOTTOM LINE NET INCOME	$929M
D&A	$491M
EBIT	$1.1B
EBITDA	$1.6B
EPS	$59
EPS Diluted	$59

Income Statement

Item	Amount
REVENUE	$7.3B
Cost of Revenue	$5.2B
GROSS PROFIT	$2.2B
R&D Expenses	$0
Selling & Marketing	$0
General & Administrative	$0
SG&A Expenses	$544M
Other Expenses	$491M
Operating Expenses	$1.0B
Cost & Expenses	$6.2B
OPERATING INCOME	$1.1B
Interest Income	$40M
Interest Expense	$417M
Other Income/Expenses	-$287M
INCOME BEFORE TAX	$843M
Income Tax Expense	$252M
Net Income from Continuing Ops	$736M
Net Income from Discontinued Ops	$0
Other Adjustments	-$52M
NET INCOME	$511M
Net Income Deductions	$0
BOTTOM LINE NET INCOME	$929M
D&A	$491M
EBIT	$1.1B
EBITDA	$1.6B
EPS	$59
EPS Diluted	$59

Cash Flow Statement

Item	Amount
Net Income	$511M
Depreciation & Amortization	$491M
Stock-Based Compensation	$0
Deferred Income Tax	-$262M
Other Non-Cash Items	-$6M
Change in Working Capital	-$181M
OPERATING CASH FLOW	$553M
Capital Expenditure	-$259M
Acquisitions (Net)	-$436M
Purchases of Investments	$0
Sales/Maturities of Investments	$23M
Other Investing Activities	-$344M
NET CASH FROM INVESTING	-$1.0B
Net Debt Issuance	$1.0B
Common Stock Repurchased	-$954M
Common Dividends Paid	$0
Other Financing Activities	$361M
NET CASH FROM FINANCING	$446M
FREE CASH FLOW	$294M
Net Change in Cash	$1M

Balance Sheet

Item	Amount
Cash & Equivalents	$946M
Short-Term Investments	$0
Net Receivables	$977M
Inventory	$831M
Other Current Assets	$230M
TOTAL CURRENT ASSETS	$3.0B
PP&E (Net)	$912M
Goodwill	$5.8B
Intangible Assets	$6.2B
Long-Term Investments	$24.8B
Tax Assets	$0
Other Non-Current Assets	-$20.8B
TOTAL NON-CURRENT ASSETS	$16.8B
TOTAL ASSETS	$19.8B
Account Payables	$475M
Short-Term Debt	$11M
Deferred Revenue	$0
Other Current Liabilities	$172M
TOTAL CURRENT LIABILITIES	$1.5B
Long-Term Debt	$6.4B
Deferred Revenue NC	$0
Deferred Tax Liabilities	$3.1B
Other Non-Current Liabilities	$219M
TOTAL NON-CURRENT LIABILITIES	$9.7B
TOTAL LIABILITIES	$11.2B
Common Stock	$7M
Additional Paid-In Capital	$0
Retained Earnings	$0
Treasury Stock	$0
Accum. Other Comp. Income	$8.6B
Other Equity	$0
TOTAL STOCKHOLDERS' EQUITY	$8.6B
Minority Interest	$96M
TOTAL EQUITY	$8.7B
TOTAL LIABILITIES & EQUITY	$19.8B
Total Debt	$6.4B
Net Debt	$5.4B