Disney's Financial Statements and Financial Ratios Analyzed from 2014 to 2018
"Walt Disney Company 2018 Financial Statements and Financial Ratios: Defined, Discussed, and Analyzed for 5 Years” was written by, Paul Borosky, MBA., doctoral candidate, and owner of Quality Business Plan. In this summarized book, the author researched Walt Disney Company's 10k, Disney's 2017 10k annual report, Disney's 2016 10k annual report, Disney's 2015 10k annual report, and Disney's 2019 10k annual report as the basis for information gathering. Once all Walt Disney Company's 10k annual statements were collected, the author then inserted summarized income statement information and Disney's summarized balance sheet information into a customized financial template.
Walt Disney Company's Company Summary From 2014 to 2018
The Disney Company was start in 1923. The firm’s specialty is media sales and theme park admission sales. Disney does business on a global scale. Their headquarters is located at 500 South Buena Vista Street in Burbank, CA. They employ about 200,000 people.
Walt Disney 2019 Income Statement
|R & D||-||-||-||-||-|
Walt Disney Summary Balance Sheet 2019
|Short Term Investment||-||-||-||-||-|
|LT Debt - Current||8,857||3,790||6,172||3,687||4,563|
|Total Current Liabilities||31,521||17,860||19,595||16,842||16,334|
|Total Equity & Liability||193,984||98,598||95,789||92,033||88,182|
Disney's Financial Ratio Summary From 2014 to 2018
Disney’s current ratio has fluctuated between 1.14 to .94 over the last five years. The golden rule for the current ratio is that firms should be close to one. For Disney, the Golden rule holds true. As a result, Disney does seem to have sufficient liquid assets to cover their next 12 months liabilities.
Disney’s inventory turnover has increased from 31.02 to 42.7. This shows that the firm is holding less inventory. This is an excellent strategy to avoid selling obsolete inventory. However, the firm does run the risk of sellout for some products. This would lead to mitigated or listened revenues.
Disney’s return on assets has climbed from 9.1% to 13.25%. This shows that the firm is making more money on assets of a continuous basis.
The firms profit margin has climbed from 16.4% to 21.98%. Most of the growth for the net profit margin came in the last year. Further, as noted previously, the subsample substantial jump was not based on revenues. As a result, investors should not expect profit margins to continue to grow at this pace.
Walt Disney Liquidity Ratios 2019
|Net Working Capital||4,543||5,397||5,168||5,935||6,015|
Walt Disney Asset Utilization 2019
|Total Asset Turnover||0.36||0.60||0.58||0.60||0.59|
|Fixed Asset Turnover||2.20||2.01||1.94||2.03||2.08|
|Days Sales Outstanding||80.89||57.32||57.15||59.48||55.79|
|Accounts Receivable Turnover||4.51||6.37||6.39||6.14||6.54|
|Working Capital Turnover||15.31||11.01||10.67||9.37||8.72|
|Average Days Inventory||0.12||0.12||0.11||0.11||0.09|
|Average Days Payable||0.01||0.02||0.02||0.02||0.02|
Walt Disney Profitability Ratios 2019
|Return on Assets||5.97%||13.25%||9.78%||10.64%||10.04%|
|Return on Equity||12.34%||24.73%||20.81%||20.69%||18.19%|
|Net Profit Margin||16.65%||21.98%||16.99%||17.60%||16.87%|
|Gross Profit Margin||39.60%||44.94%||45.04%||46.09%||45.94%|
|Operating Profit Margin||20.78%||24.96%||25.16%||25.81%||25.21%|
|Basic Earning Power||7.45%||15.05%||14.48%||15.60%||15.00%|
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