income statement
Blue61
consolidated_balance_sheets-pfizer.docxACC644 Financial Statement Analysis
Comprehensive Project
Fall 2014
SECTION 2: BALANCE SHEET ANALYSIS - 0000078003 PFIZER INC
1. Using elements listed on your company’s balance sheet, prepare a common size balance sheet using the following format. (Vertical Analysis Chapter 5)
|
Consolidated Balance Sheets (USD $) |
Dec. 31, 2013 |
Dec. 31, 2012 |
||
|
In Millions, except Share data, unless otherwise specified |
|
|
||
|
Assets |
current yr |
% |
Prior yr |
% |
|
Cash and cash equivalents |
$2,183 |
1.27% |
$10,081 |
5.43% |
|
Short-term investments |
30,225 |
17.56% |
22,318 |
12.01% |
|
Accounts receivable, |
9,357 |
5.44% |
10,675 |
5.75% |
|
Inventories |
6,166 |
3.58% |
6,076 |
3.27% |
|
Current deferred tax assets and other current tax assets |
4,624 |
2.69% |
6,170 |
3.32% |
|
Other current assets |
3,613 |
2.10% |
3,567 |
1.92% |
|
Assets of discontinued operations and other assets held for sale |
76 |
0.04% |
5,944 |
3.20% |
|
Total current assets |
56,244 |
32.68% |
64,831 |
34.89% |
|
|
|
|
|
|
|
Long-term investments |
16,406 |
9.53% |
14,149 |
7.62% |
|
Property, plant and equipment, less accumulated depreciation |
12,397 |
7.20% |
13,213 |
7.11% |
|
Goodwill |
42,519 |
24.71% |
43,661 |
23.50% |
|
Identifiable intangible assets, less accumulated amortization |
39,385 |
22.88% |
45,146 |
24.30% |
|
Noncurrent deferred tax assets and other noncurrent tax assets |
1,554 |
0.90% |
1,565 |
0.84% |
|
Other noncurrent assets |
3,596 |
2.09% |
3,233 |
1.74% |
|
Total assets |
172,101 |
100.00% |
185,798 |
100.00% |
|
|
|
|
|
|
|
Liabilities and Equity |
' |
|
' |
|
|
Short-term borrowings, including current portion of long-term debt: 2013—$2,060; 2012—$2,449 |
6,027 |
6.31% |
6,424 |
6.17% |
|
Accounts payable |
3,234 |
3.39% |
2,921 |
2.81% |
|
Dividends payable |
1,663 |
1.74% |
1,733 |
1.66% |
|
Income taxes payable |
678 |
0.71% |
979 |
0.94% |
|
Accrued compensation and related items |
1,792 |
1.88% |
1,875 |
1.80% |
|
Other current liabilities |
9,951 |
10.42% |
13,812 |
13.27% |
|
Liabilities of discontinued operations |
21 |
0.02% |
1,442 |
1.38% |
|
Total current liabilities |
23,366 |
24.47% |
29,186 |
28.03% |
|
Long-term debt |
30,462 |
31.90% |
31,036 |
29.81% |
|
Pension benefit obligations, net |
4,635 |
4.85% |
7,782 |
7.47% |
|
Postretirement benefit obligations, net |
2,668 |
2.79% |
3,491 |
3.35% |
|
Noncurrent deferred tax liabilities |
25,590 |
26.80% |
21,193 |
20.35% |
|
Other taxes payable |
3,993 |
4.18% |
6,581 |
6.32% |
|
Other noncurrent liabilities |
4,767 |
4.99% |
4,851 |
4.66% |
|
Total liabilities |
95,481 |
100.00% |
104,120 |
100.00% |
|
Commitments and Contingencies |
' |
|
' |
|
|
Preferred stock, no par value, at stated value; 27 shares authorized; issued: 2013—829; 2012—967 |
33 |
0.04% |
39 |
0.05% |
|
Common stock, $0.05 par value; 12,000 shares authorized; issued: 2013—9,051; 2012—8,956 |
453 |
0.59% |
448 |
0.55% |
|
Additional paid-in capital |
77,283 |
100.87% |
72,608 |
88.90% |
|
Treasury stock, shares at cost: 2013—2,652; 2012—1,680 |
-67,923 |
-88.65% |
-40,122 |
-49.12% |
|
Retained earnings |
69,732 |
91.01% |
54,240 |
66.41% |
|
Accumulated other comprehensive loss |
-3,271 |
-4.27% |
-5,953 |
-7.29% |
|
Total Pfizer Inc. shareholders’ equity |
76,307 |
99.59% |
81,260 |
99.49% |
|
Equity attributable to noncontrolling interests |
313 |
0.41% |
418 |
0.51% |
|
Total equity |
76,620 |
100.00% |
81,678 |
100.00% |
|
|
|
|
|
|
|
Total liabilities and equity |
172,101 |
|
185,798 |
|
2. Using elements listed on your company’s balance sheet calculate the increase or decrease in dollars and percent between the years using the following format. (Year to Year Change Analysis Chapter 5)
|
Consolidated Balance Sheets (USD $) |
Dec. 31, 2013 |
Dec. 31, 2012 |
|
|
|
In Millions, except Share data, unless otherwise specified |
Current Year |
Prior Year |
+/- $ |
% |
|
Assets |
' |
' |
|
|
|
Cash and cash equivalents |
$2,183 |
$10,081 |
($7,898) |
-78% |
|
Short-term investments |
30,225 |
22,318 |
$7,907 |
35% |
|
Accounts receivable, |
9,357 |
10,675 |
($1,318) |
-12% |
|
Inventories |
6,166 |
6,076 |
$90 |
1% |
|
Current deferred tax assets and other current tax assets |
4,624 |
6,170 |
($1,546) |
-25% |
|
Other current assets |
3,613 |
3,567 |
$46 |
1% |
|
Assets of discontinued operations and other assets held for sale |
76 |
5,944 |
($5,868) |
-99% |
|
Total current assets |
56,244 |
64,831 |
($8,587) |
-13% |
|
|
|
|
|
|
|
Long-term investments |
16,406 |
14,149 |
$2,257 |
16% |
|
Property, plant and equipment, less accumulated depreciation |
12,397 |
13,213 |
($816) |
-6% |
|
Goodwill |
42,519 |
43,661 |
($1,142) |
-3% |
|
Identifiable intangible assets, less accumulated amortization |
39,385 |
45,146 |
($5,761) |
-13% |
|
Noncurrent deferred tax assets and other noncurrent tax assets |
1,554 |
1,565 |
($11) |
-1% |
|
Other noncurrent assets |
3,596 |
3,233 |
$363 |
11% |
|
Total assets |
172,101 |
185,798 |
($13,697) |
-7% |
|
|
|
|
|
|
|
Liabilities and Equity |
' |
' |
|
|
|
Short-term borrowings, including current portion of long-term debt: 2013—$2,060; 2012—$2,449 |
6,027 |
6,424 |
($397) |
-6% |
|
Accounts payable |
3,234 |
2,921 |
$313 |
11% |
|
Dividends payable |
1,663 |
1,733 |
($70) |
-4% |
|
Income taxes payable |
678 |
979 |
($301) |
-31% |
|
Accrued compensation and related items |
1,792 |
1,875 |
($83) |
-4% |
|
Other current liabilities |
9,951 |
13,812 |
($3,861) |
-28% |
|
Liabilities of discontinued operations |
21 |
1,442 |
($1,421) |
-99% |
|
Total current liabilities |
23,366 |
29,186 |
($5,820) |
-20% |
|
Long-term debt |
30,462 |
31,036 |
($574) |
-2% |
|
Pension benefit obligations, net |
4,635 |
7,782 |
($3,147) |
-40% |
|
Postretirement benefit obligations, net |
2,668 |
3,491 |
($823) |
-24% |
|
Noncurrent deferred tax liabilities |
25,590 |
21,193 |
$4,397 |
21% |
|
Other taxes payable |
3,993 |
6,581 |
($2,588) |
-39% |
|
Other noncurrent liabilities |
4,767 |
4,851 |
($84) |
-2% |
|
Total liabilities |
95,481 |
104,120 |
($8,639) |
-8% |
|
Commitments and Contingencies |
' |
' |
|
|
|
Preferred stock, no par value, at stated value; 27 shares authorized; issued: 2013—829; 2012—967 |
33 |
39 |
($6) |
-15% |
|
Common stock, $0.05 par value; 12,000 shares authorized; issued: 2013—9,051; 2012—8,956 |
453 |
448 |
$5 |
1% |
|
Additional paid-in capital |
77,283 |
72,608 |
$4,675 |
6% |
|
Treasury stock, shares at cost: 2013—2,652; 2012—1,680 |
-67,923 |
-40,122 |
($27,801) |
69% |
|
Retained earnings |
69,732 |
54,240 |
$15,492 |
29% |
|
Accumulated other comprehensive loss |
-3,271 |
-5,953 |
$2,682 |
-45% |
|
Total Pfizer Inc. shareholders’ equity |
76,307 |
81,260 |
($4,953) |
-6% |
|
Equity attributable to noncontrolling interests |
313 |
418 |
($105) |
-25% |
|
Total equity |
76,620 |
81,678 |
($5,058) |
-6% |
|
|
|
|
|
|
|
Total liabilities and equity |
172,101 |
185,798 |
($13,697) |
-7% |
3. Using elements listed on your company’s balance sheet calculate the ratios and amounts using two years prior as the base year (100%) using the following format. Your answers should all be in percentages (Horizontal Analysis Chapter 5).
|
Consolidated Balance Sheets (USD $) |
Dec. 31, 2013 |
% |
Dec. 31, 2012 |
% |
Dec. 31, 2012 |
% |
|
In Millions, except Share data, unless otherwise specified |
|
% |
|
% |
|
% |
|
Assets |
' |
|
' |
|
' |
|
|
Cash and cash equivalents |
$2,183 |
22% |
$10,081 |
100% |
$10,081 |
100% |
|
Short-term investments |
30,225 |
135% |
22,318 |
100% |
22,318 |
100% |
|
Accounts receivable, |
9,357 |
88% |
10,675 |
100% |
10,675 |
100% |
|
Inventories |
6,166 |
101% |
6,076 |
100% |
6,076 |
100% |
|
Current deferred tax assets and other current tax assets |
4,624 |
75% |
6,170 |
100% |
6,170 |
100% |
|
Other current assets |
3,613 |
101% |
3,567 |
100% |
3,567 |
100% |
|
Assets of discontinued operations and other assets held for sale |
76 |
1% |
5,944 |
100% |
5,944 |
100% |
|
Total current assets |
56,244 |
87% |
64,831 |
100% |
64,831 |
100% |
|
|
|
|
|
|
|
|
|
Long-term investments |
16,406 |
116% |
14,149 |
100% |
14,149 |
100% |
|
Property, plant and equipment, less accumulated depreciation |
12,397 |
94% |
13,213 |
100% |
13,213 |
100% |
|
Goodwill |
42,519 |
97% |
43,661 |
100% |
43,661 |
100% |
|
Identifiable intangible assets, less accumulated amortization |
39,385 |
87% |
45,146 |
100% |
45,146 |
100% |
|
Noncurrent deferred tax assets and other noncurrent tax assets |
1,554 |
99% |
1,565 |
100% |
1,565 |
100% |
|
Other noncurrent assets |
3,596 |
111% |
3,233 |
100% |
3,233 |
100% |
|
Total assets |
172,101 |
93% |
185,798 |
100% |
185,798 |
100% |
|
|
|
|
|
|
|
|
|
Liabilities and Equity |
' |
|
|
|
|
|
|
Short-term borrowings, including current portion of long-term debt: 2013—$2,060; 2012—$2,449 |
6,027 |
94% |
6,424 |
100% |
6,424 |
100% |
|
Accounts payable |
3,234 |
111% |
2,921 |
100% |
2,921 |
100% |
|
Dividends payable |
1,663 |
96% |
1,733 |
100% |
1,733 |
100% |
|
Income taxes payable |
678 |
69% |
979 |
100% |
979 |
100% |
|
Accrued compensation and related items |
1,792 |
96% |
1,875 |
100% |
1,875 |
100% |
|
Other current liabilities |
9,951 |
72% |
13,812 |
100% |
13,812 |
100% |
|
Liabilities of discontinued operations |
21 |
1% |
1,442 |
100% |
1,442 |
100% |
|
Total current liabilities |
23,366 |
80% |
29,186 |
100% |
29,186 |
100% |
|
Long-term debt |
30,462 |
98% |
31,036 |
100% |
31,036 |
100% |
|
Pension benefit obligations, net |
4,635 |
60% |
7,782 |
100% |
7,782 |
100% |
|
Postretirement benefit obligations, net |
2,668 |
76% |
3,491 |
100% |
3,491 |
100% |
|
Noncurrent deferred tax liabilities |
25,590 |
121% |
21,193 |
100% |
21,193 |
100% |
|
Other taxes payable |
3,993 |
61% |
6,581 |
100% |
6,581 |
100% |
|
Other noncurrent liabilities |
4,767 |
98% |
4,851 |
100% |
4,851 |
100% |
|
Total liabilities |
95,481 |
92% |
104,120 |
100% |
104,120 |
100% |
|
Commitments and Contingencies |
' |
|
|
|
|
|
|
Preferred stock, no par value, at stated value; 27 shares authorized; issued: 2013—829; 2012—967 |
33 |
85% |
39 |
100% |
39 |
100% |
|
Common stock, $0.05 par value; 12,000 shares authorized; issued: 2013—9,051; 2012—8,956 |
453 |
101% |
448 |
100% |
448 |
100% |
|
Additional paid-in capital |
77,283 |
106% |
72,608 |
100% |
72,608 |
100% |
|
Treasury stock, shares at cost: 2013—2,652; 2012—1,680 |
-67,923 |
169% |
-40,122 |
100% |
-40,122 |
100% |
|
Retained earnings |
69,732 |
129% |
54,240 |
100% |
54,240 |
100% |
|
Accumulated other comprehensive loss |
-3,271 |
55% |
-5,953 |
100% |
-5,953 |
100% |
|
Total Pfizer Inc. shareholders€™ equity |
76,307 |
94% |
81,260 |
100% |
81,260 |
100% |
|
Equity attributable to non-controlling interests |
313 |
75% |
418 |
100% |
418 |
100% |
|
Total equity |
76,620 |
94% |
81,678 |
100% |
81,678 |
100% |
|
|
|
|
|
|
|
|
|
Total liabilities and equity |
172,101 |
93% |
185,798 |
100% |
185,798 |
100% |
