| Fiscal year is January-December. All values USD Millions. | 2020 | 2019 | 2018 | |||
|---|---|---|---|---|---|---|
| Net Income before Extraordinaries | (3,074) | 2,300 | 2,465 | |||
| Net Income Growth | -233.65% | -6.69% | -26.57% | |||
| Depreciation, Depletion & Amortization | 1,255 | 1,219 | 1,201 | |||
| Depreciation and Depletion | – | 1,204 | 1,185 | |||
| Amortization of Intangible Assets | – | 15 | 16 | |||
| Deferred Taxes & Investment Tax Credit | (716) | (55) | 301 | |||
| Deferred Taxes | (716) | (55) | 301 | |||
| Other Funds | (175) | – | (14) | |||
| Funds from Operations | (2,710) | 3,464 | 3,953 | |||
| Changes in Working Capital | 1,583 | 523 | 940 | |||
| Receivables | (294) | (94) | 117 | |||
| Accounts Payable | 231 | 298 | 545 | |||
| Other Assets/Liabilities | 1,646 | 319 | 278 | |||
| Net Operating Cash Flow | (1,127) | 3,987 | 4,893 | |||
| Net Operating Cash Flow Growth | -128.27% | -18.52% | 24.54% | |||
| Net Operating Cash Flow / Sales | -12.46% | 17.78% | 22.28% |
Investing Activities
| All values USD Millions. | 2020 | 2019 | 2018 | 2017 | 2016 | |
|---|---|---|---|---|---|---|
| Capital Expenditures | (515) | (1,027) | (1,976) | (2,249) | (2,147) | |
| Capital Expenditures (Fixed Assets) | (515) | (1,027) | (1,976) | (2,249) | (2,147) | |
| Capital Expenditures Growth | 49.85% | 48.03% | 12.14% | -4.75% | – | |
| Capital Expenditures / Sales | -5.69% | -4.58% | -9.00% | -10.64% | -10.58% | |
| Purchase/Sale of Investments | (744) | 324 | (67) | (159) | (125) | |
| Purchase of Investments | (5,080) | (2,122) | (2,409) | (2,380) | (2,388) | |
| Sale/Maturity of Investments | 4,336 | 2,446 | 2,342 | 2,221 | 2,263 | |
| Other Sources | 428 | 400 | 5 | – | – | |
| Net Investing Cash Flow | (16) | (303) | (2,038) | (2,408) | (2,272) | |
| Net Investing Cash Flow Growth | 94.72% | 85.13% | 15.37% | -5.99% | – | |
| Net Investing Cash Flow / Sales | -0.18% | -1.35% | -9.28% | -11.39% | -11.20% |
Financing Activities
| All values USD Millions. | 2020 | 2019 | 2018 | 2017 | 2016 | |
|---|---|---|---|---|---|---|
| Cash Dividends Paid – Total | (188) | (372) | (332) | (274) | (222) | |
| Common Dividends | (188) | (372) | (332) | (274) | (222) | |
| Change in Capital Stock | 1,891 | (1,960) | (1,965) | (1,571) | (1,721) | |
| Repurchase of Common & Preferred Stk. | (451) | (2,000) | (2,000) | (1,600) | (1,750) | |
| Sale of Common & Preferred Stock | 2,342 | 40 | 35 | 29 | 29 | |
| Proceeds from Stock Options | 2,294 | – | – | – | – | |
| Other Proceeds from Sale of Stock | 48 | 40 | 35 | 29 | 29 | |
| Issuance/Reduction of Debt, Net | 7,965 | (615) | (342) | 8 | (76) | |
| Change in Long-Term Debt | 7,965 | (615) | (342) | 8 | (76) | |
| Issuance of Long-Term Debt | 13,487 | – | – | 600 | 515 | |
| Reduction in Long-Term Debt | (5,522) | (615) | (342) | (592) | (591) | |
| Other Funds | (10) | (43) | 143 | 131 | 95 | |
| Other Uses | (59) | (43) | (30) | (10) | (12) | |
| Other Sources | 49 | – | 173 | 141 | 107 | |
| Net Financing Cash Flow | 9,658 | (2,990) | (2,496) | (1,706) | (1,924) | |
| Net Financing Cash Flow Growth | 423.01% | -19.79% | -46.31% | 11.33% | – | |
| Net Financing Cash Flow / Sales | 106.74% | -13.33% | -11.36% | -8.07% | -9.48% | |
| Net Change in Cash | 8,515 | 694 | 359 | (185) | 97 | |
| Free Cash Flow | (1,642) | 2,960 | 2,917 | 1,680 | 2,146 | |
| Free Cash Flow Growth | -155.47% | 1.47% | 73.63% | -21.71% | – | |
| Free Cash Flow Yield | -6.95% | – | – | – | – |
Based on Southwest airlines
Cash Flow and Retained Earnings:
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List the amount of cash flows from each of the 3 activities: Operating, Investing, and Financing for the 2 most recent years. What was the increase or decrease in cash for each of these years?
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Southwest Airlines operating expenses for the quarter ending March 31, 2021 were $1.853B, a 57.34% decline year-over-year.
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Southwest Airlines operating expenses for the twelve months ending March 31, 2020 were $10.373B, a 45.89% decline year-over-year.
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Southwest Airlines annual operating expenses for 2020 were $12.864B, a 33.93% decline from 2019.
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Southwest Airlines annual operating expenses for 2019 were $19.471B, a 3.8% increase from 2018.
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Were there any Non-Cash Investing/Financing Transactions? Describe the type and amount.
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What is the dollar difference between accrual net income and Cash provided by Operations?
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What investing activity provided the largest inflow of cash in the current year?
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What investing activity used the largest amount of cash in the current year?
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What financing activity provided the largest inflow of cash in the current year?
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What financing activity used the largest amount of cash in the current year?
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Does the company have sufficient cash inflows from the appropriate category? Describe any problems the company many experience with cash flow from your analysis of the cash flow statement.
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Show the change in Retained Earnings for the 2 most recent years. What was net income for each year? How much was paid out in dividends each year?
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Were the dividends on common stock and/or preferred stock? What was the amount of each?
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Did Retained Earnings change for any reasons other than net income or dividends? Explain.
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What classes of stock does your company have?
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How many shares of each class of stock are authorized, how many are issued, and how many are outstanding?
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Does your company have any treasury stock? How many shares and what dollar amount?
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What is the par or stated value of each of your company’s stocks?