ABC Ltd.

Income Statement (Consolidated)

($ in Million Except Per Share Amounts) Mar-15 Mar-16 Mar-17 Mar-18

Net sales 13,790 15,330 15,327 15,564
Cost of sales 6,043 6,704 6,319 6,360
Gross profit 7,747 8,626 9,008 9,204

Selling, general and administrative expenses 4,973 5,422 5,282 5,414

Other (income) expense, net 54 103 111 301
EBIT 2,720 3,101 3,615 3,489
Interest expense, net 157 96 77 59

EBT 2,563 3,005 3,538 3,430

Provision for income taxes 759 968 1,141 1,117
Net income including noncontrolling interests 1,804 2,037 2,397 2,313
Less: Net income attributable to noncontrolling interests 67 80 106 110
Net income attributable to ABC Ltd. 1,737 1,957 2,291 2,203

Vertical Analysis Mar-15

Net sales 100.0%
Cost of sales 43.8%
Gross profit 56.2%

Selling, general and administrative expenses 36.1%

Other (income) expense, net 0.4%
Operating profit 19.7%
Interest expense, net 1.1%

Income before income taxes 18.6%

Provision for income taxes 5.5%
Net income including noncontrolling interests 13.1%
Less: Net income attributable to noncontrolling interest 3.7%
Net income attributable to ABC Ltd. 12.6%

Effective Tax Rates 29.6%

Horizontal Analysis Mar-15 Mar-16

Net sales 11.2%
Cost of sales 10.9%
Gross profit 11.3%

Selling, general and administrative expenses 9.0%

Other (income) expense, net 90.7%
Operating profit 14.0%
Interest expense, net -38.9%

Income before income taxes 17.2%

Provision for income taxes 27.5%
Net income including noncontrolling interests 12.9%
Less: Net income attributable to noncontrolling interests 19.4%
Net income attributable to ABC Ltd. 12.7%
Mar-19 Mar-20
16,734 17,085
7,144 7,153
9,590 9,932

5,758 5,930
(9) 113
3,841 3,889
52 15

3,789 3,874
1,235 1,243
2,554 2,631
123 159
2,431 2,472
ABC Ltd.
Balance Sheet

Mar-14 Mar-15 Mar-16 Mar-17

Assets
Current Assets
Cash and cash equivalents 429 555 600 490
Receivables 1,681 1,592 1,626 1,610
Inventories 1,171 1,197 1,209 1,222
Other current assets 338 366 375 408
Total current assets 3,619 3,710 3,810 3,730

Property, plant and equipment, net 3,015 3,119 3,516 3,693

Goodwill, net 2,272 2,152 2,302 2,362
Other intangible assets, net 845 834 821 831
Deferred income taxes - - - 84
Other assets 361 164 685 472
Total assets 10,112 9,979 11,134 11,172

Liabilities and Shareholders' Equity

Current Liabilities
Notes and loans payable 156 107 35 48
Current portion of long-term debt 138 91 326 561
Accounts payable 1,067 1,061 1,172 1,165
Accrued income taxes 263 272 387 272
Other accruals 1,539 1,421 1,679 1,682
Total current liabilities 3,163 2,952 3,599 3,728

Long-term debt 3,222 3,585 2,821 2,815

Deferred income taxes 264 82 82 108
Other liabilities 1,067 1,316 1,375 1,704
Total liabilities 7,716 7,935 7,877 8,355
Commitments and contingent liabilities - - - -
Shareholders' Equity
Preference stock 198 181 169 -
Common stock 733 733 733 733
Additional paid-in capital 1,518 1,610 1,764 1,132
Retained earnings 10,628 11,760 13,157 14,329
Accumulated other comprehensive income (loss) (1,668) (2,477) (2,096) (2,115)
Unearned compensation (219) (187) (133) (99)
Treasury stock, at cost (8,904) (9,697) (10,478) (11,305)
Total ABC Ltd. shareholders' equity 2,286 1,923 3,116 2,675
Noncontrolling interests 110 121 141 142
 Total shareholders' equity 2,396 2,044 3,257 2,817
Total liabilities and shareholders' equity 10,112 9,979 11,134 11,172

Consolidated Working Capital

Mar-15 Mar-16 Mar-17
Net Sales 13,790 15,330 15,327
Cost of Sales 6,043 6,704 6,319

Working Capital Balances

Receivables 1,681 1,592 1,626
Inventories 1,171 1,197 1,209
Other current assets 338 366 375
Total Non Cash Current Assets 3,190 3,155 3,210

Accounts payable 1,067 1,061 1,172

Accrued income taxes 263 272 387
Other accruals 1,539 1,421 1,679
Total Non-Debt Current Liabilities 2,869 2,754 3,238

Net Working Capital/ (Deficit) 321 401 (28)

(Increase)/ Decrease in Working Capital (80) 429

 Mar-18 Mar-19 Mar-20

878 884 962

1,675 1,668 1,636
1,327 1,365 1,425
522 639 799
4,402 4,556 4,822

3,668 3,842 4,083

2,494 2,500 2,474
1,504 1,499 1,496
115 92 77
541 905 924
12,724 13,394 13,876

34 54 13
346 250 895
1,244 1,290 1,343
392 254 239
1,700 1,888 1,980
3,716 3,736 4,470

4,430 4,926 4,749

252 293 444
1,785 2,049 1,677
10,183 11,004 11,340
-

- - -
733 1,466 1,466
1,336 818 1,004
15,649 16,953 17,952
(2,475) (2,621) (2,451)
(60) (41) (33)
(12,808) (14,386) (15,633)
2,375 2,189 2,305
166 201 231
 2,541 2,390 2,536
12,724 13,394 13,876

Mar-18 Mar-19 Mar-20