SYF FY 2014 Earnings Report — Synchrony Financial Revenue & Financial Results | Market Cap Arena

Synchrony FinancialSYF

FY 2014 Earnings

Reported February 23, 2015

Quarter Comparison

Revenue

Operating Income

Gross Margin

Net Margin

EPS (Diluted)

Free Cash Flow

Metric	FY 2014	Prior Q	FY 2013	QoQ Change	YoY Change
Revenue	$10.2B	—	$9.4B	—	7.5%
Op. Income	$3.4B	—	$3.1B	—	7.8%
Gross Margin	62.2%	—	59.6%	—	2.6pp
Net Margin	20.8%	—	21.0%	—	-0.2pp
EPS (Diluted)	$2.78	—	$2.38	—	16.8%
Free Cash Flow	$5.3B	—	-$1.6B	—	435.2%

Revenue Flow

Item	Amount
REVENUE	$10.2B
Cost of Revenue	$3.8B
GROSS PROFIT	$6.3B
R&D Expenses	$0
Selling & Marketing	$460M
General & Administrative	$866M
SG&A Expenses	$1.3B
Other Expenses	$1.6B
Operating Expenses	$2.9B
Cost & Expenses	$6.8B
OPERATING INCOME	$3.4B
Interest Income	$12.2B
Interest Expense	$922M
Other Income/Expenses	$0
INCOME BEFORE TAX	$3.4B
Income Tax Expense	$1.3B
Net Income from Continuing Ops	$2.1B
Net Income from Discontinued Ops	$0
Other Adjustments	$0
NET INCOME	$2.1B
Net Income Deductions	$0
BOTTOM LINE NET INCOME	$2.1B
D&A	$131M
EBIT	$3.4B
EBITDA	$3.5B
EPS	$3
EPS Diluted	$3

Income Statement

Item	Amount
REVENUE	$10.2B
Cost of Revenue	$3.8B
GROSS PROFIT	$6.3B
R&D Expenses	$0
Selling & Marketing	$460M
General & Administrative	$866M
SG&A Expenses	$1.3B
Other Expenses	$1.6B
Operating Expenses	$2.9B
Cost & Expenses	$6.8B
OPERATING INCOME	$3.4B
Interest Income	$12.2B
Interest Expense	$922M
Other Income/Expenses	$0
INCOME BEFORE TAX	$3.4B
Income Tax Expense	$1.3B
Net Income from Continuing Ops	$2.1B
Net Income from Discontinued Ops	$0
Other Adjustments	$0
NET INCOME	$2.1B
Net Income Deductions	$0
BOTTOM LINE NET INCOME	$2.1B
D&A	$131M
EBIT	$3.4B
EBITDA	$3.5B
EPS	$3
EPS Diluted	$3

Cash Flow Statement

Item	Amount
Net Income	$2.1B
Depreciation & Amortization	$131M
Stock-Based Compensation	$0
Deferred Income Tax	-$203M
Other Non-Cash Items	$3.2B
Change in Working Capital	$92M
OPERATING CASH FLOW	$5.3B
Capital Expenditure	$0
Acquisitions (Net)	$0
Purchases of Investments	-$1.4B
Sales/Maturities of Investments	$27M
Other Investing Activities	-$8.7B
NET CASH FROM INVESTING	-$10.1B
Net Debt Issuance	$3.0B
Common Stock Repurchased	$0
Common Dividends Paid	$0
Other Financing Activities	$11.3B
NET CASH FROM FINANCING	$14.2B
FREE CASH FLOW	$5.3B
Net Change in Cash	$9.5B

Balance Sheet

Item	Amount
Cash & Equivalents	$11.8B
Short-Term Investments	$1.6B
Net Receivables	$0
Inventory	$0
Other Current Assets	$0
TOTAL CURRENT ASSETS	$13.4B
PP&E (Net)	$0
Goodwill	$949M
Intangible Assets	$519M
Long-Term Investments	$61.6B
Tax Assets	$0
Other Non-Current Assets	-$805M
TOTAL NON-CURRENT ASSETS	$62.3B
TOTAL ASSETS	$75.7B
Account Payables	$0
Short-Term Debt	$0
Deferred Revenue	$0
Other Current Liabilities	$35.0B
TOTAL CURRENT LIABILITIES	$37.8B
Long-Term Debt	$27.5B
Deferred Revenue NC	$0
Deferred Tax Liabilities	$0
Other Non-Current Liabilities	$0
TOTAL NON-CURRENT LIABILITIES	$27.5B
TOTAL LIABILITIES	$65.2B
Common Stock	$1M
Additional Paid-In Capital	$9.4B
Retained Earnings	$1.1B
Treasury Stock	$0
Accum. Other Comp. Income	-$10M
Other Equity	$0
TOTAL STOCKHOLDERS' EQUITY	$10.5B
Minority Interest	$0
TOTAL EQUITY	$10.5B
TOTAL LIABILITIES & EQUITY	$75.7B
Total Debt	$27.5B
Net Debt	$15.6B