-
Calculate the companys EBITDA, free cash flow, and discretionary cash flow for each of the past two years. Comment on the companys cash flow health.
PART 11 NIKE, INC. CONSOLIDATED BALANCE SHEETS MAY 31 2019 2018 $ 4,466 $ 197 4,272 4,249 996 3,498 5,261 1,130 15.134 4,454 5,622 1,968 16,525 4,744 283 154 2,011 23,717 $ 285 154 2,509 $ 22,536 $ 6 $ (Dollars in millions) ASSETS Current assets: Cash and equivalents Short-term investments Accounts receivable, net Inventories Prepaid expenses and other current assets Total current assets Property, plant and equipment, net Identifiable intangible assets, net Goodwill Deferred income taxes and other assets TOTAL ASSETS LIABILITIES AND SHAREHOLDERS' EQUITY Current liabilities: Current portion of long-term debt Notes payable Accounts payable Accrued liabilities Income taxes payable Total current liabilities Long-term debt Deferred income taxes and other liabilities Commitments and contingencies (Note 18) Redeemable preferred stock Shareholders' equity: Common stock at stated value: Class A convertible -- 315 and 329 shares outstanding Class B - 1,253 and 1,272 shares outstanding Capital in excess of stated value Accumulated other comprehensive income (loss) Retained earnings Total shareholders' equity TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY 6 336 2,279 3,269 9 2,612 5,010 229 7,866 3,464 3,347 150 6,040 3,468 3,216 3 7,163 231 1,643 9,040 23,717 $ 3 6,384 (92) 3,517 9,812 22,536 $ The accompanying Notes to the Consolidated Financial Statements are an integral part of this statement 120 NIKE, INC. PART II NIKE, INC. CONSOLIDATED STATEMENTS OF CASH FLOWS YEAR ENDED MAY 31, 2018 2019 2017 $ 4,029 $ 1,933 $ 4,240 705 34 325 15 233 747 647 218 27 (99) 706 (273) 215 10 (117) (270) (490) (203) 187 (255) 35 (426) (231) ) (120) 1,525 5,903 1,515 4,955 (158) 3,846 (2,937) 1,715 2,072 (1,119) 5 (Dollars in millions) Cash provided by operations: Net income Adjustments to reconcile net income to net cash provided by operations: Depreciation Deferred income taxes ce Stock-based compensation Amortization and other Net foreign currency adjustments Changes in certain working capital components and other assets and liabilities: (Increase) decrease in accounts receivable (Increase) decrease in inventories (Increase) decrease in prepaid expenses and other current and non-current assets Increase (decrease) in accounts payable, accrued liabilities and other current and non-current liabilities Cash provided by operations Cash provided (used) by investing activities: Purchases of short-term investments mat Maturities of short-term investments Sales of short-term investments Additions to property, plant and equipment Disposals of property, plant and equipment Other investing activities Cash provided (used) by investing activities Cash used by financing activities: Net proceeds from long-term debt issuance Long-term debt payments, including current portion Increase (decrease) in notes payable Payments on capital lease and other financing obligations Proceeds from exercise of stock options and other stock issuances Repurchase of common stock Dividends - common and preferred Tax payments for net share settlement of equity awards Cached bull Cash used by financing activities Effect of exchange rate changes on cash and equivalents . Net increase (decrease) in cash and equivalents Cash and equivalents, beginning of year CASH AND EQUIVALENTS, END OF YEAR Supplemental disclosure of cash flow information: Cash paid during the year for: Interest, net of capitalized interest Income taxes Non-cash additions to property, plant and equipment Dividends declared and not paid (4,783) 3,613 2,496 (1,028) 3 (25) 276 (5,928) 3,623 2,423 (1,105) 13 (34) (1,008 (264) (6) (325) (27) 700 (4,286) 222 (1,332) (17) (5,293) 14291 (129) 217 4,249 4,466 $ (6) 13 (23) 733 (4,254) (1.243) (55) (4,835) 45 441 3,808 4,249 $ 1,482 (44) 327 (17) ) don 489 2009 (3,223) 2001 (1,133) (29) (2,148) (20) ) 670 3,138 3,808 $ $ 153 $ 757 160 347 125 $ 529 294 320 98 703 266 300 The accompanying Notes to the Consolidated Financial Statements are an integral part of this statement. 2019 FORM 10-K 121 PART 1 NIKE, INC. CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY EXCESS COMMON STOCK CAPITAL IN ACCUMULATED CLASS A CLASS B OTHER OF STATED COMPREHENSIVE RETAINED SHARES AMOUNT SHARES AMOUNT VALUE INCOME (LOSS) EARNINGS TOTAL 353 $ 1,329 $ 3 $ 5,038 $ 318 $ 6,899 $12,258 17 525 525 (24) 24 (60) (189) (3,060) (3,249) (1,159) (1,159) 4 (13) 121 215 108 215 329 $ 3 $ 1,314 $ 24 5,710 $ 600 (254) 4,240 4,240 (531) (531) (213) $ 6,907 $12,407 600 (4,013) (4,267) (70) (1,265) (1,265) 4 110 (28) (In millions, except per share data) Balance at May 31, 2016 Stock options exercised Conversion to Class B Common Stock Repurchase of Class B Common Stock Dividends on common stock ($0.70 per share) and preferred stock ($0.10 per share) Issuance of shares to employees, net of shares withheld for employee taxes Stock-based compensation Net income Other comprehensive income (loss) Balance at May 31, 2017 Stock options exercised Repurchase of Class B Common Stock Dividends on common stock ($0.78 per share) and preferred stock ($0.10 per share) Issuance of shares to employees, net of shares withheld for employee taxes Stock-based compensation Net income Other comprehensive income (loss) Reclassifications to retained earnings in accordance with ASU 2018-02 (Note 1) Balance at May 31, 2018 Stock options exercised Conversion to Class B Common Stock Repurchase of Class B Common Stock Dividends on common stock ($0.86 per share) and preferred stock ($0.10 per share) Issuance of shares to employees, net of shares withheld for employee taxes Stock-based compensation Net income Other comprehensive income (loss) Adoption of ASU 2016-16 (Note 1) Adoption of ASC Topic 606 (Note 1) Balance at May 31, 2019 218 82 218 1,933 104 1,933 104 329 $ 3 $ 1,272 $ 18 6,384 $ 539 17 (17) (92) $ 3,517 $ 9,812 539 (14) 14 (54) (227) (4,056) (4,283) (1,360) (1,360) 3 142 325 (3) 139 325 4,029 4,029 323 323 (507) (507) 23 23 231 $ 1,643 $ 9,040 315 $ 1,253 S 3 $ 7,163 $ The accompanying Notes to the Consolidated Financial Statements are an integral part of this statement. 122 NIKE, INC. NIKE, INC. CONSOLIDATED STATEMENTS OF INCOME le lor per adul Manas Cofie Gross profit Dar creations Operating depense Totaling and administrative con Interestepense Oncomel.net Oh comel Income before income to Income taxe NET INCOME Earrings per common share YEAR INOID VA 2015 2018 $ 30,117 5 36 BOYS 21.143 20 441 17.494 15.960 8,753 8.57 3,340 7.954 12.02 4350 19 15312 3.341 7222 10 SA 1156) 176 4,501 4106 4,0295 2.300 1.983 GAG 4240 256 5 5 2355 2405 1.19 $ 1 175 Vieighted average common shares outstanding +38 1.6578 1579.7 1514 The company is worldstad / Sandgril part of the stat 118 NALIN PART 11 NIKE, INC. CONSOLIDATED BALANCE SHEETS MAY 31 2019 2018 $ 4,466 $ 197 4,272 4,249 996 3,498 5,261 1,130 15.134 4,454 5,622 1,968 16,525 4,744 283 154 2,011 23,717 $ 285 154 2,509 $ 22,536 $ 6 $ (Dollars in millions) ASSETS Current assets: Cash and equivalents Short-term investments Accounts receivable, net Inventories Prepaid expenses and other current assets Total current assets Property, plant and equipment, net Identifiable intangible assets, net Goodwill Deferred income taxes and other assets TOTAL ASSETS LIABILITIES AND SHAREHOLDERS' EQUITY Current liabilities: Current portion of long-term debt Notes payable Accounts payable Accrued liabilities Income taxes payable Total current liabilities Long-term debt Deferred income taxes and other liabilities Commitments and contingencies (Note 18) Redeemable preferred stock Shareholders' equity: Common stock at stated value: Class A convertible -- 315 and 329 shares outstanding Class B - 1,253 and 1,272 shares outstanding Capital in excess of stated value Accumulated other comprehensive income (loss) Retained earnings Total shareholders' equity TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY 6 336 2,279 3,269 9 2,612 5,010 229 7,866 3,464 3,347 150 6,040 3,468 3,216 3 7,163 231 1,643 9,040 23,717 $ 3 6,384 (92) 3,517 9,812 22,536 $ The accompanying Notes to the Consolidated Financial Statements are an integral part of this statement 120 NIKE, INC. PART II NIKE, INC. CONSOLIDATED STATEMENTS OF CASH FLOWS YEAR ENDED MAY 31, 2018 2019 2017 $ 4,029 $ 1,933 $ 4,240 705 34 325 15 233 747 647 218 27 (99) 706 (273) 215 10 (117) (270) (490) (203) 187 (255) 35 (426) (231) ) (120) 1,525 5,903 1,515 4,955 (158) 3,846 (2,937) 1,715 2,072 (1,119) 5 (Dollars in millions) Cash provided by operations: Net income Adjustments to reconcile net income to net cash provided by operations: Depreciation Deferred income taxes ce Stock-based compensation Amortization and other Net foreign currency adjustments Changes in certain working capital components and other assets and liabilities: (Increase) decrease in accounts receivable (Increase) decrease in inventories (Increase) decrease in prepaid expenses and other current and non-current assets Increase (decrease) in accounts payable, accrued liabilities and other current and non-current liabilities Cash provided by operations Cash provided (used) by investing activities: Purchases of short-term investments mat Maturities of short-term investments Sales of short-term investments Additions to property, plant and equipment Disposals of property, plant and equipment Other investing activities Cash provided (used) by investing activities Cash used by financing activities: Net proceeds from long-term debt issuance Long-term debt payments, including current portion Increase (decrease) in notes payable Payments on capital lease and other financing obligations Proceeds from exercise of stock options and other stock issuances Repurchase of common stock Dividends - common and preferred Tax payments for net share settlement of equity awards Cached bull Cash used by financing activities Effect of exchange rate changes on cash and equivalents . Net increase (decrease) in cash and equivalents Cash and equivalents, beginning of year CASH AND EQUIVALENTS, END OF YEAR Supplemental disclosure of cash flow information: Cash paid during the year for: Interest, net of capitalized interest Income taxes Non-cash additions to property, plant and equipment Dividends declared and not paid (4,783) 3,613 2,496 (1,028) 3 (25) 276 (5,928) 3,623 2,423 (1,105) 13 (34) (1,008 (264) (6) (325) (27) 700 (4,286) 222 (1,332) (17) (5,293) 14291 (129) 217 4,249 4,466 $ (6) 13 (23) 733 (4,254) (1.243) (55) (4,835) 45 441 3,808 4,249 $ 1,482 (44) 327 (17) ) don 489 2009 (3,223) 2001 (1,133) (29) (2,148) (20) ) 670 3,138 3,808 $ $ 153 $ 757 160 347 125 $ 529 294 320 98 703 266 300 The accompanying Notes to the Consolidated Financial Statements are an integral part of this statement. 2019 FORM 10-K 121 PART 1 NIKE, INC. CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY EXCESS COMMON STOCK CAPITAL IN ACCUMULATED CLASS A CLASS B OTHER OF STATED COMPREHENSIVE RETAINED SHARES AMOUNT SHARES AMOUNT VALUE INCOME (LOSS) EARNINGS TOTAL 353 $ 1,329 $ 3 $ 5,038 $ 318 $ 6,899 $12,258 17 525 525 (24) 24 (60) (189) (3,060) (3,249) (1,159) (1,159) 4 (13) 121 215 108 215 329 $ 3 $ 1,314 $ 24 5,710 $ 600 (254) 4,240 4,240 (531) (531) (213) $ 6,907 $12,407 600 (4,013) (4,267) (70) (1,265) (1,265) 4 110 (28) (In millions, except per share data) Balance at May 31, 2016 Stock options exercised Conversion to Class B Common Stock Repurchase of Class B Common Stock Dividends on common stock ($0.70 per share) and preferred stock ($0.10 per share) Issuance of shares to employees, net of shares withheld for employee taxes Stock-based compensation Net income Other comprehensive income (loss) Balance at May 31, 2017 Stock options exercised Repurchase of Class B Common Stock Dividends on common stock ($0.78 per share) and preferred stock ($0.10 per share) Issuance of shares to employees, net of shares withheld for employee taxes Stock-based compensation Net income Other comprehensive income (loss) Reclassifications to retained earnings in accordance with ASU 2018-02 (Note 1) Balance at May 31, 2018 Stock options exercised Conversion to Class B Common Stock Repurchase of Class B Common Stock Dividends on common stock ($0.86 per share) and preferred stock ($0.10 per share) Issuance of shares to employees, net of shares withheld for employee taxes Stock-based compensation Net income Other comprehensive income (loss) Adoption of ASU 2016-16 (Note 1) Adoption of ASC Topic 606 (Note 1) Balance at May 31, 2019 218 82 218 1,933 104 1,933 104 329 $ 3 $ 1,272 $ 18 6,384 $ 539 17 (17) (92) $ 3,517 $ 9,812 539 (14) 14 (54) (227) (4,056) (4,283) (1,360) (1,360) 3 142 325 (3) 139 325 4,029 4,029 323 323 (507) (507) 23 23 231 $ 1,643 $ 9,040 315 $ 1,253 S 3 $ 7,163 $ The accompanying Notes to the Consolidated Financial Statements are an integral part of this statement. 122 NIKE, INC. NIKE, INC. CONSOLIDATED STATEMENTS OF INCOME le lor per adul Manas Cofie Gross profit Dar creations Operating depense Totaling and administrative con Interestepense Oncomel.net Oh comel Income before income to Income taxe NET INCOME Earrings per common share YEAR INOID VA 2015 2018 $ 30,117 5 36 BOYS 21.143 20 441 17.494 15.960 8,753 8.57 3,340 7.954 12.02 4350 19 15312 3.341 7222 10 SA 1156) 176 4,501 4106 4,0295 2.300 1.983 GAG 4240 256 5 5 2355 2405 1.19 $ 1 175 Vieighted average common shares outstanding +38 1.6578 1579.7 1514 The company is worldstad / Sandgril part of the stat 118 NALIN
