Calculate the pre-tax margin for Amazon for 2017

2%

6%

3%

Amazon 12/31/2018 % of assets 12/31/2017 % of assets 12/31/2016 31,750,000 20 20,522,000 16 19,334,000 9,500,000 6 10,464,000 8 6,647,000 16,677,000 17,174,000 10 11 11,835,000 16,047,000 9 12 8,339,000 11,461,000 418,000 0 1,329,000 1 75, 101,000 46 60,197,000 46 45,781,000 223,000 440,000 0 441,000 0 Balance Sheet All numbers in thousands Period Ending Current Assets Cash And Cash Equivalents Short Term Investments Net Receivables Inventory Other Current Assets Total Current Assets Long Term Investments Property Plant and Equipment Goodwill Intangible Assets Other Assets Total Assets Current Liabilities Accounts Payable Short/Current Long Term Debt Other Current Liabilities Total Current Liabilities Long Term Debt Other Liabilities Total Liabilities 38 48,866,000 61,797,000 14,548,000 4,110,000 11,202,000 162,648,000 9 3 7 100 13,350,000 3,371,000 5,085,000 131,310,000 37 29,114,000 10 3,784,000 3 854,000 4 3,646,000 100 83,402,000 38,192,000 23 34,616,000 26 25,309,000 1,371,000 1 100,000 0 1,056,000 6,536,000 4 8,565,000 7 7,168,000 68,391,000 42 57,883,000 44 19 23,495,000 27,213,000 119,099,000 14 17 73 24,743,000 7,792,000 103,601,000 43,816,000 7,694,000 5,088,000 64,117,000 6 79 Amazon.com Inc., Common-Size Consolidated Income Statement 12 months ended Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Net product sales 60.94% 66.66% 69.61% Net services sales 39.06% 33.34% 30.39% Net sales 100.00% 100.00% 100.00% Cost of sales -59.75% -62.93% -64.91% Gross profit 40.25% 37.07% 35.09% Fulfillment -14.61% -14.20% -12.96% Marketing -5.93% -5.66% -5.32% Technology and content -12.38% -12.72% -11.83% General and administrative -1.86% -2.07% -1.79% Other operating expense, net -0.13% -0.12% -0.12% Operating income 5.33% 2.31% 3.08% Interest income 0.19% 0.11% 0.07% Interest expense -0.61% -0.48% -0.36% Other income (expense), net -0.08% 0.19% 0.07% Non-operating income (expense) -0.50% -0.17% -0.22% Income (loss) before income taxes 4.84% 2.14% 2.86% Provision for income taxes -0.51% -0.43% -1.05% Equity-method investment activity, net of tax 0.00% 0.00% -0.07% Net income (loss) 4.33% 1.71% 1.74% Amazon 12/31/2018 % change 12/31/2017 % change 12/31/2016 31,750,000 55 20,522,000 6 19,334,000 -9 10,464,000 57 6,647,000 9,500,000 16,677,000 17,174,000 75,101,000 41 7 25 11,835,000 16,047,000 60,197,000 42 40 8,339,000 11,461,000 45,781,000 31 440,000 0 441,000 98 223,000 26 48,866,000 68 29,114,000 61,797,000 14,548,000 4,110,000 11,202,000 162,648,000 9 22 120 24 13,350,000 3,371,000 5,085,000 131,310,000 253 295 39 3,784,000 854,000 3,646,000 83,402,000 57 All numbers in thousands Period Ending Current Assets Cash And Cash Equivalents Short Term Investments Net Receivables Inventory Total Current Assets Long Term Investments Property Plant and Equipment Goodwill Intangible Assets Other Assets Total Assets Current Liabilities Accounts Payable Short/Current Long Term Debt Other Current Liabilities Total Current Liabilities Long Term Debt Other Liabilities Total Liabilities Stockholders' Equity Preferred Stock Common Stock Retained Earnings Treasury Stock Capital Surplus Other Stockholder Equity Total Stockholder Equity 34,616,000 37 38,192,000 10 1,371,000 1,271 25,309,000 1,056,000 100,000 -91 6,536,000 -24 8,565,000 19 7,168,000 18 32 -5 68,391,000 23,495,000 27,213,000 119,099,000 57,883,000 24,743,000 7,792,000 103,601,000 43,816,000 7,694,000 5,088,000 64,117,000 222 53 62 249 15 0 0 76 127 24 5,000 19,625,000 -2,872,000 26,791,000 -1,035,000 43,549,000 5,000 8,636,000 -2,321,000 21,389,000 -484,000 27,709,000 5,000 4,916,000 -2,822,000 17,186,000 -985,000 19,285,000 -18 24 -51 44 25 114 57 Target Horizontal Analysis - Income Statement https://www.nasdaq.com/symbol/tgt/financials?query=income-statement Values in (000s) Period Ending: 2/3/2018 1/28/2017 Increase or (Decrease Current Assets Amount Percent Total Revenue $71,879,000 $69.495,000 $2,384,000 3.3% Cost of Revenue S51.125.000 $49.145.000 $1.990.000 3.9% Gross Profit $20,754,000 $20,350,000 $404,000 1.9% Operating Expenses Research and Development Sales, General and Admin. Non-Recurring Items Other Operating Items Operating Income Add'l income/expense items Earnings Before Interest and Tax Interest Expense Earnings Before Tax Income Tax Minority Interest Equity Earnings/Loss Unconsolidated Subsidiary Net Inocome-Cont. Operations Net Income Net Income Applicable to Common Shareholders $0 $0 $14,248,000 $13,356,000 $0 $0 $2,194.000 $2,025,000 $4,312,000 $4,969,000 $0 $0 $4,312.000 $4.969,000 $666,000 $1,004,000 $3,646,000 $3.965,000 $718.000 $1.296,000 $0 $0 $0 $892,000 $0 $169,000 -$657,000 $0 -$657,000 $338,000 $319,000 $578,000 $0 $0 $259,000 $197,000 $197,000 0.0% 6.3% 0.0% 7.7% -15.2% 0.0% -15.2% -50.8% -8.7% -80.5% 0.0% $0 $0 0.0% 8.8% 6.7% $2,928,000 $2,669,000 $2,934,000 $2,737,000 $2,934,000 $2,737,000 6.7% Amazon (in thousands) 12/31/2018 % change 12/31/2017 % change 12/31/2016 232,887,000 30.93 177,866,000 30.80 135,987,000 139, 156,000 24.32 111,934,000 26.82 88,265,000 93,731,000 42.16 65,932,000 38.16 47,722,000 Revenue Total Revenue Cost of Revenue Gross Profit Operating Expenses Research Development Selling General and Non Recurring Others Total Operating Expenses Operating Income or Loss 28,837,000 27.48 52,177,000 33.81 22,620,000 40.63 38,992,000 42.91 16,085,000 27,284,000 296,000 38.32 220,466,000 26.88 12,421,000 202.51 214,000 28.14 173,760,000 31.84 4,106,000 -1.91 167,000 131,801,000 4,186,000