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Evaluate Return on Equity for Exxon Mobil stock symbol XOM, for the last three years using the DuPont analysis. A) Find ROE, Net Profit Margin,

Evaluate Return on Equity for Exxon Mobil stock symbol XOM, for the last three years using the DuPont analysis.

A) Find ROE, Net Profit Margin, Asset Turnover, Financial Leverage for the last three years.

B) Find ROE, Net Profit Margin, Asset Turnover, Financial Leverage for the last year for major competitior.

C) Has the company's ROE changed over the ;last three years? What was the main factor that influenced the change?

D) Compare the ratios of Exxon Mobil to the competitor. If the management of company would like to improve their ROE, what should the management of the company do?

you can use morningstar.com

EXXON MOBIL CORP (XOM) CashFlowFlag INCOME STATEMENT
Fiscal year ends in December. USD in millions except per share data. 2013-12 2014-12 2015-12 2016-12 2017-12 TTM
Revenue 420836 /394105/ 259488/ 218608/ 237162/ 261554
Cost of revenue 332452 313470 206316 179496 182238 200971
Gross profit 88384 80635 53172 39112 54924 60583
Costs and expenses
Sales, General and administrative 12877 12598 11501 10799 10956 11488
Interest expense 9 286 311 453 601 648
Other operating expenses 17787 16121 19394 19891 24693 26095
Total costs and expenses 30673 29005 31206 31143 36250 38231
Income before income taxes 57711 51630 21966 7969 18674 22352
Provision for income taxes 24263 18015 5415 -406 -1174 1089
Net income from continuing operations 33448 33615 16551 8375 19848 21263
Other -868 -1095 -401 -535 -138 -313
Net income 32580 32520 16150 7840 19710 20950
Net income available to common shareholders 32580 32520 16150 7840 19710 20950
Earnings per share
Basic 7.37 7.6 3.85 1.88 4.63 4.91
Diluted 7.37 7.6 3.85 1.88 4.63 4.91
Weighted average shares outstanding
Basic 4419 4282 4196 4177 4256 4269
Diluted 4419 4282 4196 4177 4256 4269
EBITDA 74902 69213 40325 30730 39168 42781
EXXON MOBIL CORP (XOM) CashFlowFlag BALANCE SHEET
Fiscal year ends in December. USD in millions except per share data. 2013-12 2014-12 2015-12 2016-12 2017-12
Assets
Current assets
Cash
Cash and cash equivalents 4644 4616 3705 3657 3177
Total cash 4644 4616 3705 3657 3177
Receivables 33152 28009 19875 21394 25597
Inventories 16135 16678 16245 15080 16992
Other current assets 5377 3607 2798 1285 1368
Total current assets 59308 52910 42623 41416 47134
Non-current assets
Property, plant and equipment
Gross property, plant and equipment 434517 446789 447337 453915
Accumulated Depreciation -190867 -194121 -195732 -209691
Net property, plant and equipment 243650 252668 251605 244224 252630
Equity and other investments 36328 35239 34245 35102 39160
Other long-term assets 7522 8676 8285 9572 9767
Total non-current assets 287500 296583 294135 288898 301557
Total assets 346808 349493 336758 330314 348691
Liabilities and stockholders' equity
Liabilities
Current liabilities
Accounts payable 30920 25286 18074 17801 21701
Short-term debt 15808 17468 18762 13830 17930
Income taxes payable 7831 4938 2802 2615 3045
Other current liabilities 17165 16941 14338 13392 15095
Total current liabilities 71724 64633 53976 47638 57771
Non-current liabilities
Long-term debt 6516 11278 18687 27707 23079
Capital leases 375 375 1238 1225 1327
Deferred taxes liabilities 40530 39230 36818 34041 26893
Pensions and other postretirement benefits 20646 25802 22647 20680 21132
Minority interest 6492 6665 5999 6505 6812
Other long-term liabilities 26522 27111 26582 25193 23989
Total non-current liabilities 101081 110461 111971 115351 103232
Total liabilities 172805 175094 165947 162989 161003
Stockholders' equity
Additional paid-in capital 10077 10792 11612 12157 14656
Retained earnings 387432 408384 412444 407831 414540
Treasury stock -212781 -225820 -229734 -230424 -225246
Accumulated other comprehensive income -10725 -18957 -23511 -22239 -16262
Total Stockholders' equity 174003 174399 170811 167325 187688
Total liabilities and stockholders' equity 346808 349493 336758 330314 348691

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