On May 15, Target
- Revenues and profits increased 12%.
- Gross margins rose companywide, but stepped back on a merchandise-only basis.
- More cash consumed by operations plus more capital spending meant more negative free cash flow than the prior year.
(Figures in millions, except per-share data)
Income Statement Highlights
Avg. Est. | Q1 2006 | Q1 2005 | Change | |
|---|---|---|---|---|
Sales | $12,800 | $12,863 | $11,477 | 12.1% |
Net Profit | -- | $554 | $494 | 12.1% |
EPS | $0.63 | $0.63 | $0.55 | 13.9% |
Diluted Shares | 878 | 894 | (1.8%) |
Get back to basics with a look at the income statement.
Margin Checkup
Q1 2006 | Q1 2005 | Change* | |
|---|---|---|---|
Gross Margin | 34.13% | 34.16% | (0.03) |
Operating Margin | 7.91% | 7.9% | 0.01 |
Net Margin | 4.31% | 4.3% | 0.01 |
Margins are the earnings engine. See how they work.
Balance Sheet Highlights
Assets | Q1 2006 | Q1 2005 | Change |
|---|---|---|---|
Cash + ST Invest. | $989 | $1,152 | (14.1%) |
Accounts Rec. | $5,368 | $4,857 | 10.5% |
Inventory | $6,030 | $5,407 | 11.5% |
Liabilities | Q1 2006 | Q1 2005 | Change |
|---|---|---|---|
Accounts Payable | $5,707 | $5,110 | 11.7% |
Long-Term Debt | $8,596 | $9,005 | (4.5%) |
Learn the ways of the balance sheet.
Cash Flow Highlights
Q1 2006 | Q1 2005 | Change | |
|---|---|---|---|
Cash From Ops. | $527 | $600 | (12.2%) |
Capital Expenditures | $884 | $717 | 23.3% |
Free Cash Flow | ($357) | ($117) | N/A |
Find out why Fools always follow the money.
Related companies:
- Wal-Mart
(NYSE:WMT) - BJ's Wholesale Club
(NYSE:BJ) - Sears Holdings
(NASDAQ:SHLD) - Costco
(NASDAQ:COST)
Related Foolishness:
- Foolish Fundamentals: Margins
- Foolish Fundamentals: Enterprise Value
- Foolish Fundamentals: Free Cash Flow
What kind of investor are you? Costco was recommended in Stock Advisor and Wal-Mart in Inside Value. Learn more about them -- and talk to other investors interested in these stocks on our discussion boards -- when you take afree trial to any of our newsletters.
Fool by Numbers is designed to give you the raw earnings information in a timely fashion, putting all the numbers you need in one easy-to-read place. But at The Motley Fool, we believe numbers tell only part of the story, so checkFool.com for more of our in-depth discussion of what the numbers mean.
At the time of publication, Seth Jayson had no positions in any company mentioned here. Fool rules are here.
