Financial Analysis and Decision Making for HIKMA PHARMACEUTICALS PLC

This project report presents a detailed financial analysis of HIKMA Pharmaceuticals PLC, focusing on its performance, position, and profitability. It utilizes financial ratio analysis to evaluate the company's liquidity, solvency, and efficiency over several years. The report examines profitability ratios like operating and net margins, alongside liquidity ratios such as current and quick ratios. It further investigates the company's earnings, dividend policies, and cash flow from financing activities. The analysis compares HIKMA's performance with that of its competitor, INDIVIOR PLC, highlighting trends in operating profit and earnings. The report also includes a critical reflection on the company, incorporating insights from various financial sources and news articles to assess its market position and strategic acquisitions. The conclusion summarizes the key findings, emphasizing the company's financial stability and offering recommendations for improvement based on the analysis.

Running Head: Financial Decision Making
1
Project report: Financial Decision Making

Financial Decision Making
2
Contents
Introduction.......................................................................................................................3
Financial ratio analysis.....................................................................................................3
Profitability, earnings and dividends............................................................................4
Financial stability and liquidity....................................................................................6
A critical reflection on the company................................................................................7
Corporate governance.......................................................................................................8
Asset price and evaluation................................................................................................8
Conclusion........................................................................................................................9
References.......................................................................................................................10
Appendix.........................................................................................................................11

Financial Decision Making
3
Introduction:
This report has been prepared to analyze the financial performance, position and the
profitability state of the company, HIKMA PHARMACEUTICALS PLC. In this report, the
financial statement of the HIKMA PHARMACEUTICALS PLC has been analyzed along
with the financial statement of its competitive company, INDIVIOR PLC. Study of ratio
analysis has been performed to analyze and identify the financial performance of the
company so that a better report could be presented to the board of directors of the company.
Being a financial director, all the financial aspect of the company has been investigated and a
better financial report has been prepared accordingly.
HIKMA PHARMACEUTICALS PLC is a global pharmaceutical organization which
is based in the London market. This company manufactures non branded and branded generic
products. This company has been founded in Jordan in 1978. Currently, it is listed in the
London Stock Exchange. This company has its operations in various countries and the market
base and the share of the company is continuously enhancing. According to the reports and
the articles of the company, it has been evaluated that the company share and the revenue is
continuously enhancing (Home, 2017). The vision and the goals of the company depict that
the company is required to manage the strategic acquisition and the organic growth to
manage and develop the business and sustain the high level of responsibility and the ethics
which are quite central to the manner we administer.
Financial ratio analysis:
Further, the study has been performed over the financial statement and the liquidity
position, profitability position, solvency position and efficiency position of the company. For
analyzing the performance of the company, it is required to manage and identify the ratio
analysis of the company. The ratio analysis of the company is as follows:
Descrip
tion Formula HIKMA PHARMACEUTICALS PLC
2016 2015 2014 2013 2012
Profita
bility
Operati
ng
Margin
Operating
profit /
Sales 50.56% 56.81% 57.15% 55.97% 45.20%

Financial Decision Making
4
Net
margin
Net
profit/reve
nues 7.95% 17.50% 18.67% 15.53% 9.05%
Return
on
equity
Net
profit/Equi
ty 6.47% 18.85% 23.22% 20.85% 12.05%
Liquidi
ty
Current
ratio
Current
assets/curr
ent
liabilities 1.58 2.30 1.20 1.53 1.67
Quick
Ratio
Current
assets-
Inventory/
current
liabilities 1.08 1.87 0.88 1.06 1.09
Efficien
cy
Receiva
bles
collecti
on
period
Receivable
s/ Total
sales*365 130.84 109.50 94.13 102.95 96.80
Payable
s
collecti
on
period
Payables/
Cost of
sales*365 65.12 81.57 73.80 72.88 66.44
Asset
turnover
ratio
Total
sales/
Total
assets 0.45 0.55 0.66 0.71 0.64
Solvenc
y
Debt to
Equity
Ratio
Debt/
Equity 0.82 0.94 0.88 0.90 1.08
Debt to
assets
Debt/
Total
assets 0.45 0.49 0.47 0.47 0.52
(Morningstar, 2018)

Financial Decision Making
5
Through the above analysis over the key financial ratios of the company, it has been
expressed that the current financial position of the company is average. Various changes have
taken place into the performance and the position of the company. More, the position of the
company has also been changed (Morningstar, 2017). The current performance and the
position of the company express that the position of the company is bit better from last 5
years in the market.
Profitability, earnings and dividends:
By looking at the profitability ratios, it has found that various changes have taken
place into the performance and the position of the company. More, the position of the
company has also been changed. In 2010, the operating margin of the company was 45.20%
and consequently, in 2016, it has become 50.56%. This depict that various changes have
taken place into the operations and the activities of the company such as the expenses on
marketing, sales and general administration has been enhanced in current year as well as the
company has invested huge amount on research to manage the performance of the company.
The given chart depict that the operating profit of both the companies are very different from
each other. In HIKMA PHARMACEUTICALS, the operating profit has enhanced but with
various fluctuations whereas the operating profit of the INDIVIOUR PLC is enhancing
continuously (Home, 2017). Further, it has also been found that various internal and external
factors have impacted over the position and the performance of the company.

Financial Decision Making
6
Chart 1: operating profit
Further, the study has been performed over the earnings of the company and it
explained that the position and the performance of the company is enhancing continuously of
both the companies. Through the analysis and below given chart, it found that numerous
alternations have taken place into HIKMA PHARAMCEUTICALS LIMITED which have
impacted over the earnings of the company. The analysis explains that the earnings of the
HIKMA PHARAMCEUTICALS LIMITED is average whereas the earings of he
INDIVIOUR have been enahnced videly.
Chart 2: Earnings
Lastly, the dividends and the stuructre of the company has been analyzed to identify
the posiiton and the performace of the company as well as it has also been analyzed that what
dividend policies are performed by the company. The given figures explains that the
company has paid enough dividend accoridng to the performance and he position of the
company (Elton, Gruber, Brown and Goetzmann, 2009).
Cash Flows From Financing Activities 2016 2015 2014
Debt issued 816000000 5290100000 246000000
Debt repayment
-
663000000 -361000000
-
121000000
Common stock issued 1000000
Common stock repurchased
Dividend paid -77000000 -64000000 -55000000
Other financing activities -57000000 -28000000 -40000000
Net cash provided by (used for) financing 19000000 77000000 30000000

Financial Decision Making
7
activities
According to the above evaluation and the study, it has been evaluated that the
HIKMA PHARAMCEUTICALS LIMITED is performing well in the market but the
increment rate of the company is bit lower than the other competetive comapnies. Current
report and financial data of the company explains that the cash flow position of the company
has been lower (Morningstar, 2018). Thus, it has been originated that company is required to
make various chnages such as invetsment into such opportunities where huge return could be
got and manage the cash flow in an efficienct way to become better in the market.
Financial stability and liquidity:
Further, the study has been performed over the financial data of the company of last 5
years to analyze and identify the position of the company in terms of liquidity and operations
of the company. Through the analysis and study, it has been originated that the liquid position
of the company has been changed in last 5 years. Through the analysis, it has also been found
that the current ratio position of the company has been entered and despite all the financial
crisis and fluctuations in the economy, HIKMA has managed to set a better position of the
liquidity of the company (Drury, 2013). Further, it has also been analyzed that the position of
the liquidity of the company is bit better than the position and liquidity performance of the
competitive company, currently, the current ratio of the company is 1.58 which depict that
the position is quite competitive and company is able to pay back all the debts at any time.

Financial Decision Making
8
Further, the quick ratio of the company also depict that the position and the
performance has been changed in last 5 years. Further, it has also been found that the quick
ratio position of the company has been changed and despite all the financial crisis and
fluctuations in the economy, HIKMA has managed to set a better position of the liquidity of
the company. Further, it has also been analyzed that the position of the liquidity of the
company is bit better than the position and liquidity performance of the competitive
company, currently, the quick ratio of the company is 1.08 which depict that the position is
quite competitive and company is able to pay back all the quick debts at any time.
More, the position of the efficiency and solvency position of the company has been
analyzed to identify the position and the performance of the company in last 5 years and with
the comparison of the competitor position. Through the analysis over both the position of the
company, it has been found that the company is performing way better from last 5 years. The
ratios depict that the position of the company is becoming better and company is performing
well to manage all the functions and features of the company (Deegan, 2013).
Through the analysis, it has been evaluated that the financial position of the company
is average and it depict that the position and the condition of the company is enhancing
rapidly. Through the analysis over both the position of the company, it has been found that
the company is performing way better from last 5 years. The ratios depict that the position of

Financial Decision Making
9
the company is becoming better and company is performing well to manage all the functions
and features of the company.
A critical reflection on the company:
Further, the articles and news about the company has also been analyzed to identify
the position of the company in the market and various financial changes of the company.
According to the Morningstar (2017), this company is performing very well and in recent
years, various positive changes have taken place into the performance of the company.
Further, it has also been identified that the London stock exchange (2017) depict that the
company is depicting various good positions despite of the entire financial crisis situation and
the worst economic situation. According to the study of Deegan (2013), dividend payout
policies of the company are quite attractive and it attracts more investors to invest into the
market and enhance the position and the performance of the company.
More, Home (2017) depict that this company is performing its business into various
other countries as well t enhance the market share as well as the profitability position of the
company. The vision and the goals of the company depict that the company is required to
manage the strategic acquisition and the organic growth to manage and develop the business
and sustain the high level of responsibility and the ethics which are quite central to the
manner we administer (Morningstar, 2017). According to the financial statement of the
company, the position and the sales revenue of the company is enhancing rapidly and depicts
that the position of the company would be better in near future (Damodaran, 2011).
Corporate governance:
Further, the study has been done over the corporate governance policies of the
HIKMA PHARAMCEUTICALS LIMITED to analyze the psoition of the company in the
society as well as in the market. Through the report, it has been evaluated that the company is
having a great knowldgge and the strategies about the ethics, code of cnduct, quality services,
betteremnt of the society etc to manage the position of the company in the market. The vision
and the goals of the company depict that the company is required to manage the strategic
acquisition and the organic growth to manage and develop the business and sustain the high
level of responsibility and the ethics which are quite central to the manner we administer
(Damodaran, 2011).

Financial Decision Making
10
According to the evaluation over the company, the comapny has never involved in
any such case in which the rights of the pubic or society get destroyed. The services and the
products of the company are very competitive and offer good health to the people. This
company take care the society in a good manner and follow all the rules and regulations of
the government to make a better society.
Asset price and evaluation:
According to the study over the financial data of the company, it has been evaluated
that the performance and the position of the company is enhancing average in the market and
it depicts that the position and the performance of the company is also average. The net profit
of the company has been analyzed according to the total assets of the company. Through the
analysis over the company, it has been originated that the Net profit of the company in
consideration of the total assets is quite average (Davis.and Davis, 2011). The company is
required to make various changes to maintain and manage the performance and the position
of the company. The comapny is required to make various changes into the operations and
the functions to manage the position of the company.
Conclusion:
To conclude, the company is required to make various changes to maintain and
manage the performance and the position of the company. Through this analysis, it has been
examined that the comapny is required to make various changes into the operations and the
functions to manage the position of the company.

Financial Decision Making
11
References:
Damodaran, A, 2011, Applied corporate finance,3rd edition, John Wiley and sons, USA
Davies, T. and Crawford, I., 2011. Business accounting and finance. Pearson.
Davis, C. E.and Davis, E., 2011, Managerial accounting, John Wiley & Sons, USA.
Deegan, C., 2013. Financial accounting theory. McGraw-Hill Education Australia.
DRURY, C. M. 2013. Management and cost accounting. Springer.
Elton, E.J., Gruber, M.J., Brown, S.J., and Goetzmann, W.N. 2009. Modern Portfolio Theory
and Investment Analysis. John Wiley and Sons.
Home. 2017. HIKMA PHARMACEUTICALS PLC. Retrieved from
http://www.hikma.com/en/index.html available as on 15th Nov 2017.
Home. 2017. INDIVIOR PLC. Retrieved from http://www.indivior.com/ available as on 15th
Nov 2017.
London stock exchange. 2017. HIKMA PHARMACEUTICALS PLC. Retrieved from
http://www.londonstockexchange.com/exchange/prices-and-markets/stocks/summary/
company-summary/GB00B0LCW083GBGBXSTMM.html available as on 15th Nov 2017.
Morningstar. 2017. HIKMA PHARMACEUTICALS PLC. Retrieved from
http://performance.morningstar.com/stock/performance-return.action?
t=HIK&region=gbr&culture=en-US available as on 15th Nov 2017.
Morningstar. 2017. INDIVIOR PLC. Retrieved from http://financials.morningstar.com/cash-
flow/cf.html?t=INDV&region=gbr&culture=en-US available as on 15th Nov 2017.

Financial Decision Making
12
Appendix:
HIKMA PHARMACEUTICALS PLC (HIK) CashFlowFlag INCOME STATEMENT
Fiscal year ends in December. 2016-12 2015-12 2014-12 2013-12 2012-12
Revenue
1950000
000
1440000
000
1489000
000
1365000
000
1108721
000
Cost of revenue
9640000
00
6220000
00
6380000
00
6010000
00
6076030
00
Gross profit
9860000
00
8180000
00
8510000
00
7640000
00
5011180
00
Operating expenses
Research and development
1500000
00
3600000
0
5500000
0
3900000
0
3401900
0
Sales, General and administrative
4650000
00
3720000
00
3560000
00
3110000
00
2773230
00
Other operating expenses
1070000
00
5900000
0
5500000
0
7100000
0
2300200
0
Total operating expenses
7220000
00
4670000
00
4660000
00
4210000
00
3343440
00
Operating income
2640000
00
3510000
00
3850000
00
3430000
00
1667740
00
Interest Expense
4800000
0
4000000
0
2000000
0
2200000
0
2197100
0
Other income (expense)
-
6000000 7000000
-
3000000
-
2300000
0
-
1276200
0
Income before taxes
2100000
00
3180000
00
3620000
00
2980000
00
1320410
00
Provision for income taxes
5200000
0
6400000
0
8000000
0
8200000
0
2482600
0
Net income from continuing
operations
1580000
00
2540000
00
2820000
00
2160000
00
1072150
00
Other
-
3000000
-
2000000
-
4000000
-
4000000
-
6895000
Net income
1550000
00
2520000
00
2780000
00
2120000
00
1003200
00
Net income available to common
shareholders
1550000
00
2520000
00
2780000
00
2120000
00
1003200
00
Earnings per share
Basic 0.67 1.27 1.4 1.08 0.51
Diluted 0.66 1.25 1.39 1.07 0.51
Weighted average shares
outstanding
Basic
2330000
00
1990000
00
1980000
00
1970000
00
1963480
00
Diluted
2340000
00
2010000
00
2000000
00
1980000
00
1982990
00

Financial Decision Making
13
EBITDA
4040000
00
4310000
00
4540000
00
4020000
00
2124030
00
HIKMA PHARMACEUTICALS PLC (HIK) CashFlowFlag BALANCE SHEET
Fiscal year ends in December. 2016-12 2015-12 2014-12 2013-12 2012-12
Assets
Current assets
Cash
Cash and cash equivalents
1550000
00
5530000
00
2800000
00
1680000
00
1765100
00
Short-term investments
2000000
0
Total cash
1750000
00
5530000
00
2800000
00
1680000
00
1765100
00
Receivables
6990000
00
4320000
00
3840000
00
3850000
00
2940480
00
Inventories
4590000
00
2510000
00
2730000
00
2760000
00
2722310
00
Prepaid expenses
4400000
0
3900000
0
4200000
0
4000000
0
2275800
0
Other current assets
7100000
0
8500000
0
3400000
0
2800000
0
1642000
0
Total current assets
1448000
000
1360000
000
1013000
000
8970000
00
7819670
00
Non-current assets
Property, plant and equipment
Gross property, plant and
equipment
1359000
000
8320000
00
8210000
00
7230000
00
6517460
00
Accumulated Depreciation
-
3900000
00
-
3250000
00
-
3070000
00
-
2800000
00
-
2318030
00
Net property, plant and
equipment
9690000
00
5070000
00
5140000
00
4430000
00
4199430
00
Goodwill
6830000
00
2930000
00
3150000
00
2780000
00
2670220
00
Intangible assets
1036000
000
3140000
00
2870000
00
1690000
00
1660270
00
Deferred income taxes
1720000
00
7000000
0
6700000
0
8600000
0
4577200
0
Other long-term assets
5500000
0
5300000
0
5500000
0
5600000
0
4938100
0
Total non-current assets
2915000
000
1237000
000
1238000
000
1032000
000
9481450
00
Total assets
4363000
000
2597000
000
2251000
000
1929000
000
1730112
000
Liabilities and stockholders'

Financial Decision Making
14
equity
Liabilities
Current liabilities
Short-term debt
1170000
00
1150000
00
3100000
00
1590000
00
1201110
00
Capital leases 1000000 1000000 1000000 1000000 3480000
Accounts payable
1720000
00
1390000
00
1290000
00
1200000
00
1106000
00
Taxes payable
1120000
00
7500000
0
7000000
0
2645100
0
Other current liabilities
5160000
00
2620000
00
4010000
00
2360000
00
2063120
00
Total current liabilities
9180000
00
5920000
00
8410000
00
5860000
00
4669540
00
Non-current liabilities
Long-term debt
7210000
00
5900000
00
1450000
00
2630000
00
3724880
00
Capital leases
2100000
0
2200000
0
2300000
0
1900000
0
1589100
0
Deferred taxes liabilities
1500000
0
2100000
0
2500000
0
2600000
0
2292100
0
Minority interest
1500000
0
1500000
0
1900000
0
1700000
0
1519700
0
Other long-term liabilities
2770000
00
2000000
0 1000000 1000000 4008000
Total non-current liabilities
1049000
000
6680000
00
2130000
00
3260000
00
4305050
00
Total liabilities
1967000
000
1260000
000
1054000
000
9120000
00
8974590
00
Stockholders' equity
Common stock
4000000
0
Additional paid-in capital
2820000
00
2820000
00
2810000
00
2810000
00
2791160
00
Retained earnings
1246000
000
9420000
00
7120000
00
5296950
00
Treasury stock
-
1000000
-
1000000
-
1000000
-
3000000 -86000
Accumulated other
comprehensive income
8290000
00
1056000
000
-
2500000
0
2700000
0
2392800
0
Total stockholders' equity
2396000
000
1337000
000
1197000
000
1017000
000
8326530
00
Total liabilities and
stockholders' equity
4363000
000
2597000
000
2251000
000
1929000
000
1730112
000

Financial Decision Making
15
HIKMA PHARMACEUTICALS PLC (HIK) Statement of CASH FLOW

Financial Decision Making
16
Fiscal year ends in December. USD. 2016-12 2015-12 2014-12 2013-12 2012-12
Cash Flows From Operating Activities
Depreciation & amortization
1460000
00
7300000
0
7200000
0
7500000
0
5839100
0
Stock based compensation
2200000
0
1500000
0 8000000 7000000 7961000
Inventory
-
3200000
0 4000000 2000000
-
2000000
-
4230500
0
Other working capital
-
6300000
0
-
4800000
0
1500000
0
-
2000000
0
1384300
0
Other non-cash items
2200000
00
3220000
00
3280000
00
2770000
00
1442710
00
Net cash provided by operating
activities
2930000
00
3660000
00
4250000
00
3370000
00
1821610
00
Cash Flows From Investing Activities
Investments in property, plant, and
equipment
-
1220000
00
-
8200000
0
-
9100000
0
-
5900000
0
-
5140500
0
Property, plant, and equipment
reductions 1000000
3100000
0 1000000 1000000 989000
Acquisitions, net
-
5150000
00
-
2250000
00
-
2100000
0
-
1197800
0
Purchases of investments
-
1700000
0
-
2100000
0
-
5000000
-
2200000
0
Purchases of intangibles
-
6800000
0
-
5500000
0
-
2700000
0
-
1600000
0
-
3878300
0
Sales of intangibles
2400000
0 1000000 255000
Other investing activities 2000000
-
3500000
0 4000000 2000000 -102000
Net cash used for investing activities
-
6950000
00
-
1620000
00
-
3420000
00
-
1150000
00
-
1010240
00
Cash Flows From Financing Activities
Debt issued
8160000
00
5290000
00
2460000
00 7000000
2043870
00
Debt repayment
-
6630000
00
-
3610000
00
-
1210000
00
-
1510000
00
-
1241830
00
Common stock issued 1000000 2000000 1051000
Common stock repurchased
-
4000000
Dividend paid - - - - -

Financial Decision Making
17
7700000
0
6400000
0
5500000
0
3900000
0
2655000
0
Other financing activities
-
5700000
0
-
2800000
0
-
4000000
0
-
4400000
0
-
4875100
0
Net cash provided by (used for)
financing activities
1900000
0
7700000
0
3000000
0
-
2290000
00 5954000
Effect of exchange rate changes
-
1500000
0
-
8000000
-
1000000
-
2000000
-
5296000
Net change in cash
-
3980000
00
2730000
00
1120000
00
-
9000000
8179500
0
Cash at beginning of period
5530000
00
2800000
00
1680000
00
1770000
00
9471500
0
Cash at end of period
1550000
00
5530000
00
2800000
00
1680000
00
1765100
00
Free Cash Flow
Operating cash flow
2930000
00
3660000
00
4250000
00
3370000
00
1821610
00
Capital expenditure
-
1900000
00
-
1370000
00
-
1180000
00
-
7500000
0
-
9018800
0
Free cash flow
1030000
00
2290000
00
3070000
00
2620000
00
9197300
0
Financial Data
Descriptio
n HIKMA PHARMACEUTICALS PLC (M)
2016 2015 2014 2013 2012
Revenue
1,95,00,00,
000
1,44,00,0
0,000
1,48,90,00,0
00
1,36,50,0
0,000
1,10,87,2
1,000
Cost of
goods sold
96,40,00,00
0
62,20,00,
000 63,80,00,000
60,10,00,
000
60,76,03,
000
Gross
profit
98,60,00,00
0
81,80,00,
000 85,10,00,000
76,40,00,
000
50,11,18,
000
Operating
profit
26,40,00,00
0
35,10,00,
000 38,50,00,000
34,30,00,
000
16,67,74,
000
Net profit
15,50,00,00
0
25,20,00,
000 27,80,00,000
21,20,00,
000
10,03,20,
000
Inventory

Financial Decision Making
18
45,90,00,00
0
25,10,00,
000 27,30,00,000
27,60,00,
000
27,22,31,
000
Current
assets
1,44,80,00,
000
1,36,00,0
0,000
1,01,30,00,0
00
89,70,00,
000
78,19,67,
000
Receivable
s
69,90,00,00
0
43,20,00,
000 38,40,00,000
38,50,00,
000
29,40,48,
000
Current
liabilities
91,80,00,00
0
59,20,00,
000 84,10,00,000
58,60,00,
000
46,69,54,
000
Payables
17,20,00,00
0
13,90,00,
000 12,90,00,000
12,00,00,
000
11,06,00,
000
Equity
2,39,60,00,
000
1,33,70,0
0,000
1,19,70,00,0
00
1,01,70,0
0,000
83,26,53,
000
Total
liabilities
1,96,70,00,
000
1,26,00,0
0,000
1,05,40,00,0
00
91,20,00,
000
89,74,59,
000
Total
assets
4,36,30,00,
000
2,59,70,0
0,000
2,25,10,00,0
00
1,92,90,0
0,000
1,73,01,1
2,000
Descriptio
n Formula HIKMA PHARMACEUTICALS PLC
2016 2015 2014 2013 2012
Profitabili
ty
Operating
Margin
Operating
profit /
Sales 50.56% 56.81% 57.15% 55.97% 45.20%
Net margin
Net
profit/reve
nues 7.95% 17.50% 18.67% 15.53% 9.05%
Return on
equity
Net
profit/Equ
ity 6.47% 18.85% 23.22% 20.85% 12.05%
Liquidity
Current
ratio
Current
assets/curr
ent
liabilities 1.58 2.30 1.20 1.53 1.67

Financial Decision Making
19
Quick
Ratio
Current
assets-
Inventory/
current
liabilities 1.08 1.87 0.88 1.06 1.09
Efficiency
Receivable
s collection
period
Receivabl
es/ Total
sales*365 130.84 109.50 94.13 102.95 96.80
Payables
collection
period
Payables/
Cost of
sales*365 65.12 81.57 73.80 72.88 66.44
Asset
turnover
ratio
Total
sales/
Total
assets 0.45 0.55 0.66 0.71 0.64
Solvency
Debt to
Equity
Ratio
Debt/
Equity 0.82 0.94 0.88 0.90 1.08
Debt to
assets
Debt/
Total
assets 0.45 0.49 0.47 0.47 0.52
Net Asset
value
Net
profit /
assets
0.03552601
4
0.097035
04 0.123500666
0.109901
503
0.057984
685
INDIVIOR PLC (INDV) CashFlowFlag INCOME STATEMENT
Fiscal year ends in December. 2016-12 2015-12 2014-12 2013-12
Revenue
10580000
00
10140000
00
11150000
00
12160000
00
Cost of revenue
10700000
0 97000000 95000000
10400000
0
Gross profit
95100000
0
91700000
0
10200000
00
11120000
00
Operating expenses

Financial Decision Making
20
Research and development
11900000
0
14800000
0
11500000
0 76000000
Sales, General and administrative
66900000
0
39900000
0
31700000
0
31300000
0
Other operating expenses 14000000 24000000 26000000 28000000
Total operating expenses
80200000
0
57100000
0
45800000
0
41700000
0
Operating income
14900000
0
34600000
0
56200000
0
69500000
0
Interest Expense 40000000 52000000 1000000
Other income (expense)
-
11000000 -9000000
Income before taxes 98000000
28500000
0
56100000
0
69500000
0
Provision for income taxes 63000000 57000000
15800000
0
20600000
0
Net income from continuing operations 35000000
22800000
0
40300000
0
48900000
0
Net income 35000000
22800000
0
40300000
0
48900000
0
Net income available to common
shareholders 35000000
22800000
0
40300000
0
48900000
0
Earnings per share
Basic 0.05 0.32 0.56 0.68
Diluted 0.05 0.31 0.56 0.68
Weighted average shares outstanding
Basic
71987463
4
71857761
8
71857761
8
71857761
8
Diluted
74322031
5
73308515
3
72388462
8
72388462
8
EBITDA
15200000
0
36900000
0
58800000
0
72300000
0
INDIVIOR PLC (INDV) CashFlowFlag BALANCE SHEET
Fiscal year ends in December. 2016-12 2015-12 2014-12 2013-12
Assets
Current assets
Cash
Cash and cash equivalents 692000000 467000000 331000000 7000000
Total cash 692000000 467000000 331000000 7000000
Receivables 205000000 169000000 162000000 169000000
Inventories 41000000 48000000 41000000 36000000
Prepaid expenses 12000000 12000000 22000000 14000000
Other current assets 40000000 25000000 9000000 2000000

Financial Decision Making
21
Total current assets 990000000 721000000 565000000 228000000
Non-current assets
Property, plant and equipment
Gross property, plant and equipment 68000000 72000000 38000000 37000000
Accumulated Depreciation -41000000 -40000000 -25000000 -24000000
Net property, plant and equipment 27000000 32000000 13000000 13000000
Intangible assets 83000000 62000000 91000000 94000000
Deferred income taxes 109000000 122000000 77000000 79000000
Other long-term assets 1000000 12000000
Total non-current assets 219000000 216000000 182000000 198000000
Total assets 1209000000 937000000 747000000 426000000
Liabilities and stockholders' equity
Liabilities
Current liabilities
Short-term debt 101000000 34000000 17000000
Accounts payable 33000000 113000000 29000000 54000000
Taxes payable 63000000 53000000 69000000 21000000
Accrued liabilities 73000000 71000000
Other current liabilities 833000000 403000000 274000000 305000000
Total current liabilities 1030000000 603000000 462000000 451000000
Non-current liabilities
Long-term debt 434000000 571000000 719000000
Other long-term liabilities 40000000 42000000 41000000 41000000
Total non-current liabilities 474000000 613000000 760000000 41000000
Total liabilities 1504000000 1216000000 1222000000 492000000
Stockholders' equity
Common stock 72000000 72000000 1437000000 1437000000
Retained earnings 950000000 967000000 -601000000 -208000000
Accumulated other comprehensive
income
-
1317000000
-
1318000000
-
1311000000
-
1295000000
Total stockholders' equity -295000000 -279000000 -475000000 -66000000
Total liabilities and stockholders' equity 1209000000 937000000 747000000 426000000
INDIVIOR PLC (INDV) Statement of CASH FLOW
Fiscal year ends in December. USD. 2016-12 2015-12 2014-12 2013-12
Cash Flows From Operating Activities
Depreciation & amortization 14000000 32000000 26000000 28000000
Investment/asset impairment charges 8000000
Stock based compensation 10000000 5000000
Inventory 4000000 -9000000 -5000000 -2000000
Other working capital 334000000 136000000 -47000000 173000000
Other non-cash items 45000000 148000000 466000000 592000000

Financial Decision Making
22
Net cash provided by operating activities 407000000 320000000 440000000 791000000
Cash Flows From Investing Activities
Investments in property, plant, and equipment -20000000 -27000000 -3000000
Purchases of intangibles -15000000 -4000000 -26000000
Net cash used for investing activities -35000000 -31000000 -26000000 -3000000
Cash Flows From Financing Activities
Debt issued 759000000
Dividend paid -69000000 -23000000
-
500000000
-
239000000
Other financing activities -78000000
-
121000000
-
349000000
-
567000000
Net cash provided by (used for) financing
activities
-
147000000
-
144000000 -90000000
-
806000000
Effect of exchange rate changes -9000000
Net change in cash 225000000 136000000 324000000 -18000000
Cash at beginning of period 467000000 331000000 7000000 25000000
Cash at end of period 692000000 467000000 331000000 7000000
Free Cash Flow
Operating cash flow 407000000 320000000 440000000 791000000
Capital expenditure -35000000 -31000000 -26000000 -3000000
Free cash flow 372000000 289000000 414000000 788000000
Financial Data
Description INDIVIOR PLC (M)
2016 2015 2014 2013
Revenue
1,05,80,00,0
00
1,01,40,00,0
00
1,11,50,00,0
00
1,21,60,00,0
00
Cost of goods
sold
10,70,00,00
0 9,70,00,000 9,50,00,000
10,40,00,00
0
Gross profit
95,10,00,00
0
91,70,00,00
0
1,02,00,00,0
00
1,11,20,00,0
00
Operating
profit
14,90,00,00
0
34,60,00,00
0
56,20,00,00
0
69,50,00,00
0
Net profit 3,50,00,000
22,80,00,00
0
40,30,00,00
0
48,90,00,00
0
Inventory 4,10,00,000 4,80,00,000 4,10,00,000 3,60,00,000
Current assets
99,00,00,00
0
72,10,00,00
0
56,50,00,00
0
22,80,00,00
0

Financial Decision Making
23
Receivables
20,50,00,00
0
16,90,00,00
0
16,20,00,00
0
16,90,00,00
0
Current
liabilities
1,03,00,00,0
00
60,30,00,00
0
46,20,00,00
0
45,10,00,00
0
Payables 3,30,00,000
11,30,00,00
0 2,90,00,000 5,40,00,000
Equity
(29,50,00,00
0)
(27,90,00,00
0)
(47,50,00,00
0)
(6,60,00,000
)
Total
liabilities
1,50,40,00,0
00
1,21,60,00,0
00
1,22,20,00,0
00
49,20,00,00
0
Total assets
1,20,90,00,0
00
93,70,00,00
0
74,70,00,00
0
42,60,00,00
0
Description Formula INDIVIOR PLC
2016 2015 2014 2013
Profitability
Operating
Margin
Operating
profit / Sales 89.89% 90.43% 91.48% 91.45%
Net margin
Net
profit/revenu
es 3.31% 22.49% 36.14% 40.21%
Return on
equity
Net
profit/Equity -11.86% -81.72% -84.84% -740.91%
Liquidity
Current ratio
Current
assets/current
liabilities 0.96 1.20 1.22 0.51
Quick Ratio
Current
assets-
Inventory/cur
rent
liabilities 0.92 1.12 1.13 0.43