SYF Q4 2019 Earnings Report — Synchrony Financial Revenue & Financial Results | Market Cap Arena

Synchrony FinancialSYF

Q4 2019 Earnings

Reported February 13, 2020

Quarter Comparison

Revenue

Operating Income

Gross Margin

Net Margin

EPS (Diluted)

Free Cash Flow

Metric	Q4 2019	Q3 2019	Q4 2018	QoQ Change	YoY Change
Revenue	$3.7B	$4.0B	$4.1B	-9.6%	-10.4%
Op. Income	$921M	$1.4B	$1.0B	-33.0%	-9.0%
Gross Margin	54.6%	60.2%	51.2%	-5.6pp	3.5pp
Net Margin	20.0%	26.1%	19.2%	-6.1pp	0.8pp
EPS (Diluted)	$1.15	$1.60	$1.09	-28.1%	5.5%
Free Cash Flow	$2.3B	$2.4B	$2.6B	-2.6%	-9.3%

Revenue Flow

Item	Amount
REVENUE	$3.7B
Cost of Revenue	$1.7B
GROSS PROFIT	$2.0B
R&D Expenses	$0
Selling & Marketing	$152M
General & Administrative	$385M
SG&A Expenses	$537M
Other Expenses	$542M
Operating Expenses	$1.1B
Cost & Expenses	$2.7B
OPERATING INCOME	$921M
Interest Income	$4.6B
Interest Expense	$556M
Other Income/Expenses	$0
INCOME BEFORE TAX	$921M
Income Tax Expense	$190M
Net Income from Continuing Ops	$731M
Net Income from Discontinued Ops	$0
Other Adjustments	$0
NET INCOME	$731M
Net Income Deductions	$0
BOTTOM LINE NET INCOME	$731M
D&A	$94M
EBIT	$921M
EBITDA	$1.0B
EPS	$1
EPS Diluted	$1

Income Statement

Item	Amount
REVENUE	$3.7B
Cost of Revenue	$1.7B
GROSS PROFIT	$2.0B
R&D Expenses	$0
Selling & Marketing	$152M
General & Administrative	$385M
SG&A Expenses	$537M
Other Expenses	$542M
Operating Expenses	$1.1B
Cost & Expenses	$2.7B
OPERATING INCOME	$921M
Interest Income	$4.6B
Interest Expense	$556M
Other Income/Expenses	$0
INCOME BEFORE TAX	$921M
Income Tax Expense	$190M
Net Income from Continuing Ops	$731M
Net Income from Discontinued Ops	$0
Other Adjustments	$0
NET INCOME	$731M
Net Income Deductions	$0
BOTTOM LINE NET INCOME	$731M
D&A	$94M
EBIT	$921M
EBITDA	$1.0B
EPS	$1
EPS Diluted	$1

Cash Flow Statement

Item	Amount
Net Income	$731M
Depreciation & Amortization	$94M
Stock-Based Compensation	$1.1B
Deferred Income Tax	-$80M
Other Non-Cash Items	$163M
Change in Working Capital	$324M
OPERATING CASH FLOW	$2.3B
Capital Expenditure	$0
Acquisitions (Net)	$0
Purchases of Investments	-$2.7B
Sales/Maturities of Investments	$1.3B
Other Investing Activities	$2.0B
NET CASH FROM INVESTING	$681M
Net Debt Issuance	-$500M
Common Stock Repurchased	-$1.4B
Common Dividends Paid	-$141M
Other Financing Activities	-$74M
NET CASH FROM FINANCING	-$2.1B
FREE CASH FLOW	$2.3B
Net Change in Cash	$926M

Balance Sheet

Item	Amount
Cash & Equivalents	$12.1B
Short-Term Investments	$5.9B
Net Receivables	$0
Inventory	$0
Other Current Assets	$0
TOTAL CURRENT ASSETS	$18.1B
PP&E (Net)	$0
Goodwill	$1.1B
Intangible Assets	$1.3B
Long-Term Investments	$87.9B
Tax Assets	$0
Other Non-Current Assets	-$3.5B
TOTAL NON-CURRENT ASSETS	$86.8B
TOTAL ASSETS	$104.8B
Account Payables	$0
Short-Term Debt	$0
Deferred Revenue	$0
Other Current Liabilities	$65.2B
TOTAL CURRENT LIABILITIES	$69.9B
Long-Term Debt	$19.9B
Deferred Revenue NC	$0
Deferred Tax Liabilities	$0
Other Non-Current Liabilities	$0
TOTAL NON-CURRENT LIABILITIES	$19.9B
TOTAL LIABILITIES	$89.7B
Common Stock	$1M
Additional Paid-In Capital	$9.5B
Retained Earnings	$12.1B
Treasury Stock	-$7.2B
Accum. Other Comp. Income	-$58M
Other Equity	$0
TOTAL STOCKHOLDERS' EQUITY	$15.1B
Minority Interest	$0
TOTAL EQUITY	$15.1B
TOTAL LIABILITIES & EQUITY	$104.8B
Total Debt	$19.9B
Net Debt	$7.7B