chap012EquityAnalysisandValuation財務報表分析課件

chap012EquityAnalysisandValuation(財務報表分析-2022/12/26chap012EquityAnalysisandValuation(財務報表分析chap012EquityAnalysisandValuat1EarningsPersistenceRecastingandAdjusting? Earningspersistenceisakeytoeffectiveequity analysisandvaluation? Analyzingearningspersistenceisamainanalysis objective? Attributesofearningspersistenceinclude: Stability Predictability Variability Trend Earningsmanagement Accountingmethodschap012EquityAnalysisandValuation(財務報表分析EarningsPersistenceRecasting2EarningsPersistenceRecastingandAdjustingTwocommonmethodstohelpassessearningspersistence: Recastingofincomestatement Adjustingofincomestatementchap012EquityAnalysisandValuation(財務報表分析EarningsPersistenceRecasting3EarningsPersistenceRecastingandAdjustingInformationforRecastingandAdjusting Incomestatement,includingitssubdivisions: Incomefromcontinuingoperations Incomefromdiscontinuedoperations Extraordinarygainsandlosses Cumulativeeffectofchangesinaccounting principles Otherfinancialstatementsandnotes Managementcommentaryinfinancialstatements Management’sDiscussionandAnalysis Other:product?mixchanges,technological innovations,workstoppages,andrawmaterial constraintschap012EquityAnalysisandValuation(財務報表分析EarningsPersistenceRecasting4EarningsPersistenceRecastingandAdjustingObjectivesofRecasting1.Recastearningsandearningscomponentssothatstable,normalandcontinuingelementscomprisingearningsaredistinguishedandseparatelyanalyzedfromrandom,erratic,unusualandnonrecurringelements 2.Recastelementsincludedincurrent earningsthatshouldmoreproperlybe includedintheoperatingresultsofone ormorepriorperiods Recastingandadjustingearningsalso aidsindeterminingearningpowerchap012EquityAnalysisandValuation(財務報表分析EarningsPersistenceRecasting5GeneralRecastingProcedures Incomestatementsofseveralyears(typicallyatleast five)arerecast Recastearningscomponentstoyieldmeaningful classificationsandarelevantformatforanalysis Componentscanberearranged,subdivided,andtax effected

Totalrecastedcomponents mustreconciletoreported netincomeEarningsPersistenceRecastingandAdjustingchap012EquityAnalysisandValuation(財務報表分析GeneralRecastingProceduresEa6SpecificRecastingProcedures? Discretionaryexpensesaresegregated? Distinctcomponentsaresegregated(suchasequityinincomeof unconsolidatedsubsidiaries)andoftenreportednetoftax? Whencomponentsofcontinuingincomeareseparately reclassified,theirpre-taxamountsalongwiththeirtaxeffects mustberemoved? Incometaxdisclosuresenableonetoseparatefactorsthateither reduceorincreasetaxessuchas:

Deductions—taxcredits,capital gainsrates,tax-free income,lowerforeigntaxrates

Additions—additionalforeign taxes,non-tax-deductible expenses,andstateandlocal taxes(netoffederaltaxbenefit)EarningsPersistenceRecastingandAdjustingchap012EquityAnalysisandValuation(財務報表分析SpecificRecastingProceduresE7RecastingandAdjusting--IllustrationEarningPersistenceCampbellSoupCompanyRecastIncomeStatements($mil.)Item Year11 Year10 Year9 Year8 Year7 Year6 13 Netsales $ 6,204.1 $ 6,205.8 $ 5,672.1 $ 4,868.9 $ 4,490.4 $ 4,286.8 19 Interestincome 26.0

17.6

38.3

33.2

29.5

27.4 Totalrevenue $ 6,230.1 $ 6,223.4 $ 5,710.4 $ 4,902.1 $ 4,519.9 $ 4,314.2 Costsandexpenses: Costofproductssold(seeNote1below) $ 3,727.1 $ 3,893.5 $ 3,651.8 $ 3,077.8 $ 2,897.8 $ 2,820.5 Marketingandsellingexpenses(seeNote2below) 760.8 760.1 605.9 514.2 422.7 363.0 145 Advertising(seeNote2below) 195.4 220.4 212.9 219.1 203.5 181.4 144 Repairsandmaintenance(seeNote1below) 173.9 180.6 173.9 155.6 148.8 144.0 16 Administrativeexpenses 306.7 290.7 252.1 232.6 213.9 195.9 17 Researchanddevelopmentexpenses 56.3 53.7 47.7 46.9 44.8 42.2 102 Stockpricerelatedincentiveprograms(seeNote3below) 15.4 (0.1) 17.4 (2.7) — 8.5 20 Foreignexchangeadjustment 0.8 3.3 19.3 16.6 4.8 0.7 104 Other,net(seeNote3below) (3.3) (2.0) (1.4) (4.7) (0.4) (9.0) 162A Depreciation(seeNote1below) 194.5 184.1 175.9 162.0 139.0 120.8 103 Amortizationofintangibleandotherassets(seeNote3below) 14.1 16.8 16.4 8.9 5.6 6.0 18 Interestexpense 116.2

111.6

94.1

53.9

51.7

56.0 Totalcostsandexpenses $ 5,557.9 $ 5,712.7 $ 5,266.0 $ 4,480.2 $ 4,132.2 $ 3,930.0 23 Earningsbeforeequityinearningsofaffiliates&erests $ 672.2 $ 510.7 $ 444.4 $ 421.9 $ 387.7 $ 384.2 24 Equityinearningsofaffiliates 2.4 13.5 10.4 6.3 15.1 4.3 25 Minorityinterests (7.2)

(5.7)

(5.3)

(6.3)

(4.7)

(3.9) 26 Incomebeforetaxes $ 667.4 $ 518.5 $ 449.5 $ 421.9 $ 398.1 $ 384.6 Incometaxesatstatutoryrate* (226.9)

(176.3)

(152.8)

(143.5)

(179.1)

(176.9) Incomefromcontinuingoperations $ 440.5 $ 342.2 $ 296.7 $ 278.4 $ 219.0 $ 207.7 135 Statetaxes(netoffederaltaxbenefit) (20.0) (6.6) (3.8) (11.8) (8.6) (8.0) Investmenttaxcredit — — — — 4.4 11.6 137 Nondeductibleamortizationofintangibles (4.0) (1.6) (1.2) (2.6) (1.4) — 138 Foreignearningsnottaxedortaxedatotherthanstatutoryrate 2.0 (2.2) (0.2) 3.2 11.1 15.2 139 Other:Taxeffects (17.0) (2.2) (0.1) (3.7) 7.5 (4.7) AlaskaNativeCorporationtransaction — — — — 4.5 — 22 Divestitures,restructuringandunusualcharges — (339.1) (343.0) (40.6) — — Taxeffectofdivest.,restructuring&unusualcharges(Note4) — 13.9 64.7 13.9 — — (Continuedonnextpage)chap012EquityAnalysisandValuation(財務報表分析RecastingandAdjusting--Ill8RecastingandAdjusting--IllustrationEarningPersistenceCampbellSoupCompanyRecastIncomeStatements($mil.)Item Year11 Year10 Year9 Year8 Year7 Year6 Gainonsaleofbusinessesin(Yr8)andsub.inYr7 — — — 3.1 9.7 — Lossonsaleofexerciseequipmentsubsidiary,netoftax — — — — (1.7) — LIFOliquidationgain(seeNote1below) —

—

—

1.7

2.8

1.4 Incomebeforecumulativeeffectofaccountingchange$ 401.5 $ 4.4 $ 13.1 $ 241.6 $ 247.3 $ 223.2 153A Cumulativeeffectofaccountingchangeforincometaxes —

—

—

32.5

—

— 28 Netincomeasreported $ 401.5 $ 4.4 $ 13.1 $ 274.1 $ 247.3 $ 223.2 14 (Note1)Costofproductssold $ 4,095.5 $ 4,258.2 $ 4,001.6 $ 3,392.8 $ 3,180.5 $ 3,082.8 144 Less:Repairandmaintenanceexpenses (173.9) (180.6) (173.9) (155.6) (148.8) (144.0) 162A Less:Depreciation(a) (194.5) (184.1) (175.9) (162.0) (139.0) (120.0) 153A Plus:LIFOliquidationgain(b)

—

—

—

2.6

5.1

2.6 $ 3,727.1 $ 3,893.5 $ 3,651.8 $ 3,077.8 $ 2,897.8 $ 2,821.4 15 (Note2)Marketingandsellingexpenses $ 956.2 $ 980.5 $ 818.8 $ 733.3 $ 626.2 $ 544.4 145 Less:Advertising (195.4)

(20.4)

(212.9)

(219.1)

(203.5)

(181.4) $ 760.8 $ 960.1 $ 605.9 $ 514.2 $ 422.7 $ 363.0 21 (Note3)Otherexpenses(income) $ 26.2 $ 14.7 $ 32.4 $ (3.2) $ (9.5) $ 5.5 102 Less:Stockprice–relatedincentiveprograms (15.4) 0.1 (17.4) 2.7 — (8.5) 103 Less:Amortizationofintangibleandotherassets (14.1) (16.8) (16.4) (8.9) (5.6) (6.0) Less:Gainonsaleofbusinesses(Yr8)andsub.(Yr7) —

—

—

4.7

14.7

— 104 Other,net $ (3.3) $ (2.0) $ (1.4) $ (4.7) $ (0.4) $ (9.0) (Note4)Taxeffectofdivest,restruc.,&unusualcharges — $ 115.3(c) $ 116.6(d) $ 13.9 — — 136 Nondeductibledivestitures,restructuring,andunusualcharges

—

(101.4)(e)

(51.9)(f)

—

— — — $ 13.9 $ 64.7 $ 13.9 — —*Statutoryfederaltaxrateis34%inYear8throughYear11,45%inYear7,and46%inYear6.?ThisamountisnotdisclosedforYear6.(a)Weassumemostdepreciationisincludedincostofproductssold.(b)LIFOliquidationgainbeforetax.Forexample,forYear8thisis$2.58million,computedas$1.7/(10.34).(c)$339.122 0.34=$115.3.(d)$343.022 0.34=$116.6(e)$179.426 0.565136 =$101.4.(f)$106.526 0.487136 =$51.9.chap012EquityAnalysisandValuation(財務報表分析RecastingandAdjusting--Ill9EarningsPersistenceRecastingandAdjusting--IllustrationObjectiveofAdjustingAssignearningscomponentstoperiodswheretheymostproperlybelongNote:Usesdatafromrecastincomestatementsandanyotherrelevantinformationchap012EquityAnalysisandValuation(財務報表分析EarningsPersistenceRecasting10GeneralAdjustingProceduresAllearningscomponentsmustbeconsideredWhenacomponentisexcludedfromtheperiodwhenreported,then1.Shiftit(netoftax)totheoperatingresultsofoneor morepriorperiods,or2. Spread(average)itoverearningsfortheperiod underanalysisNote:OnlyspreaditemsoverpriorearningswhentheycannotbeidentifiedwithspecificperiodsEarningsPersistenceRecastingandAdjustingchap012EquityAnalysisandValuation(財務報表分析GeneralAdjustingProceduresEa11Specific(Typical)AdjustingProcedures?Assignextraordinaryandunusualitems(netoftax)to applicableyears? Taxbenefitofcarryforwardsnormallymovedtotheloss year? Costsorbenefitsfromlawsuitsettlementsmovedto relevantprioryears? Gainsandlossesfromdisposalsofdiscontinued operationsusuallyrelatetooperatingresultsofseveral prior years? Changesinaccountingprinciplesor estimatesyieldadjustmentstoall yearsunderanalysistoacomparable basis—redistribute“cumulativeeffect” totherelevantprioryears? NormallyincludeitemsthatincreaseordecreaseequityEarningsPersistenceRecastingandAdjustingchap012EquityAnalysisandValuation(財務報表分析Specific(Typical)AdjustingP12EarningsPersistenceRecastingandAdjustingCampbellSoupCompanyAdjustedIncomeStatements($mil.)

Year11 Year10 Year9 Year8 Year7 Year6 TotalNetincomeasreported $ 401.5 $ 4.4 $ 13.1 $ 274.1 $ 247.3 $ 223.2 $ 1,163.6Divestitures,restructuring&unusualcharges 339.1 343.0 40.6Taxeffectofdivestitures,restructuring,etc. (13.9) (64.7) (13.9)Gainonsaleofbusinesses(Yr8)andsaleof

subsidiary(Yr7),netoftax (3.1) (9.7)Lossonsaleofexerciseequipmentsubsidiary 1.7ANCtransaction (4.5)LIFOliquidationgain (1.7) (2.8) (1.4)Cumulativeeffectofchangeinacctgfortaxes (32.5)Adjustednetincome $ 401.5 $ 329.6 $ 291.4 $ 263.5 $ 232.0 $ 221.8Totalnetincomefortheperiod $1,739.8Averageearningsfortheperiod $ 289.97chap012EquityAnalysisandValuation(財務報表分析EarningsPersistenceRecasting13EarningsPersistenceDeterminantsofPersistenceEarningspersistencedeterminedbymanyfactorsincluding:EarningsvariabilityEarningstrendEarningsstabilityEarningspredictabilityEarningsManagementManagementIncentivesNote:Assessearningspersistenceoverboththebusinesscycleandthelongtermchap012EquityAnalysisandValuation(財務報表分析EarningsPersistenceDeterminan14EarningsPersistenceMeasuringPersistenceEarningsvariabilitycanbemeasured:1. Standardvariabilitymeasures2. Averageearnings--typicallyusing5to10 yearsofdata3. Minimumearnings--typicallyselectedfrom themostrecentbusinesscycle,reflectinga worst-casescenariochap012EquityAnalysisandValuation(財務報表分析EarningsPersistenceMeasuring15EarningsPersistenceMeasuringPersistenceEarningsTrendcanbemeasured:1.Statisticalmethods2.Trendstatements(suchasIndexnumbers)chap012EquityAnalysisandValuation(財務報表分析EarningsPersistenceMeasuring16EarningsPersistenceMeasuringPersistenceEarningsManagementisreflectedasfollows: ? Changesinaccounting methodsorassumptions ? Offsettingextraordinary /unusualgainsand losses ? Bigbaths ? Write-downs ? Timingrevenueandexpenserecognition ? Aggressiveaccountingapplicationschap012EquityAnalysisandValuation(財務報表分析EarningsPersistenceMeasuring17EarningsPersistenceMeasuringPersistenceManagementIncentivesaffectingpersistenceinclude:

Personalobjectivesandinterests Companiesindistress Prosperouscompanies—preservinghard?earned reputations Compensationplans Accounting-basedincentivesandconstraints

Analyststargetschap012EquityAnalysisandValuation(財務報表分析EarningsPersistenceMeasuring18EarningsPersistenceMeasuringPersistenceEarningspersistenceofcomponentsdependsonkeyattributesRecurringvsNon-recurringOperatingvsNon-operatingKeyapplicationoftheseattributesisthereportingofExtraordinaryvsNon-extraordinarychap012EquityAnalysisandValuation(財務報表分析EarningsPersistenceMeasuring19EarningsPersistenceMeasuringPersistenceAnalyzingandInterpretingExtraordinaryItems1. Determinewhetheranitem isextraordinary(less persistent)ornot2. Assessingwhetheranitem isunusual,non-operating, or non-recurring3. Determineadjustments necessarygiven assessmentofpersistencechap012EquityAnalysisandValuation(財務報表分析EarningsPersistenceMeasuring20Threebroadcategories:1.Nonrecurringoperatinggains andlosses -Usuallyincludeincurrentoperating income2.Recurringnon-operatinggainsandlosses -Considerinclusionincurrentoperatingearnings3.Nonrecurringnon-operatinggainsandlosses -OmittedfromoperatingearningsofasingleyearEarningPersistenceMeasuringPersistencechap012EquityAnalysisandValuation(財務報表分析EarningPersistenceMeasuringP21 Equityvalue(Vt) Bookvalue(BVt) ResidualIncome(RIt=Netincome–k*BVt-1) Costofequitycapital(k)Earning-BasedValuationStockPricesandAccountingDatachap012EquityAnalysisandValuation(財務報表分析Earning-BasedValuationStockP22Earning-BasedValuationValuationMultiplesPrice-to-Book(PB)chap012EquityAnalysisandValuation(財務報表分析Earning-BasedValuationValuati23Earning-BasedValuationValuationMultiplesPrice-to-Book(PB)expressedinaccountingdataNoteROCEandgrowthinbookvalueincreasePBincreasesCost(risk)ofequitycapitalincreasesPBdecreasesPresentvalueoffutureabnormalearningsis positive(negative)PBisgreater (less)than1.0chap012EquityAnalysisandValuation(財務報表分析Earning-BasedValuationValuati24Earning-BasedValuationValuationMultiplesPrice-to-Earnings(PE)chap012EquityAnalysisandValuation(財務報表分析Earning-BasedValuationValuati25Earning-BasedValuationValuationMultiplesPrice-to-Earnings(PE)expressedinaccountingdataWherekisthecostofequitycapital,STG(LTG)istheexpectedshort-term(long-term)%changeinepsrelativetoexpected“normal”growth(STG>LTGandLTG>k)ThePEisinverselyrelatedtokThePEispositivelyrelatedtotheexpectedgrowthin epsrelativetonormalgrowth.chap012EquityAnalysisandValuation(財務報表分析Earning-BasedValuationValuati26IfLTG=0(long-termgrowthinepsrelativeto“normal”growthisexpectedtoremainconstant)ThisyieldsthepopularPEGratio.Example:IfPE=20andk=10%,proponentsofthisscreeningdevicerecommendstockpurchase(sale)iftheexpectedepsgrowthisgreater(less)than20%.Earning-BasedValuationValuationMultiples-PEGRatiochap012EquityAnalysisandValuation(財務報表分析IfLTG=0(long-termgrowthin27Earning-BasedValuationEarnings-BasedValuation--IllustrationChristyCo.bookvalueofequityatJanuary1,Year1,is$50,000Christyhasa15%costofequitycapital(k)ForecastsofChristy’saccountingdatafollow:

Year1 Year2 Year3 Year4 Year5Sales $ 100,000 $ 113,000 $ 127,690 $ 144,290 $144,290Operatingexpenses 77,500 90,000 103,500 118,000 119,040Depreciation 10,000 11,300 12,770 14,430 14,430Netincome $ 12,500 $ 11,700 $ 11,420 $ 11,860 $ 10,820Dividends 6,000 4,355 3,120 11,860 10,820Year6andbeyond=BothaccountingdataanddividendsapproximateYear5levelschap012EquityAnalysisandValuation(財務報表分析Earning-BasedValuationEarning28Earning-BasedValuationEarnings-BasedValuation--IllustrationChristy’sforecastedbookvalueatJanuary1,Year1is$58,594—computedas:ThisimpliesChristystockshouldsellataPBratioof1.17($58,594/$50,000)atJanuary1,Year1chap012EquityAnalysisandValuation(財務報表分析Earning-BasedValuationEarning29Earning-BasedValuationEarnings-BasedValuation--IllustrationTwoadditionalobservationsareimportant.1.ExpectedROCEequals15%(Christy’scostofcapital)forYear5andbeyond.SinceROCEequalsthecostofcapitalforYear5andbeyond,theseyears’resultsdonotchangethevalueofChristy(thatis,abnormalearningsequalzeroforthoseyears).Theanticipatedeffectsofcompetitionareimplicitinestimatesoffutureprofitability.2.Valuationestimatesassumedividendpaymentsoccurattheendofeachyear.Amorerealisticassumptionisthat,onaverage,thesecashoutflowsoccurmidwaythroughtheyear.Toadjustvaluationestimatesformid-yeardiscounting,multiplythepresentvalueoffutureabnormalearningsby(1k/2).ForChristineCompanytheadjustedvaluationestimateequals$59,239.Thisiscomputedas$50,000plus(11[.15/2])3$8,594.chap012EquityAnalysisandValuation(財務報表分析Earning-BasedValuationEarning30EarningPowerandForecastingEarningPowerEarningpoweristheearningslevelexpectedtopersistintotheforeseeablefuture Accounting-basedvaluationmodelscapitalize earningpower Manyfinancialanalyses directedatdetermining earningpowerchap012EquityAnalysisandValuation(財務報表分析EarningPowerandForecastingE31EarningPowerandForecastingEarningPowerMeasurementofEarningPowerreflects:EarningsandallitscomponentsStabilityandpersistenceofearningsandits componentsSustainabletrendsin earningsandits componentschap012EquityAnalysisandValuation(財務報表分析EarningPowerandForecastingE32EarningPowerandForecastingEarningPowerFactorsinselectingatimehorizonformeasuringearningpower

One-yearperiodisoftentooshorttoreliablymeasure earningpower

Manyinvestingandfinancingactivitiesarelongterm

Bettertomeasureearningpowerbyusingaverage(or cumulative)earningsoverseveralyears

Anextendedperiodisless subjecttodistortions, irregularities,and othertransitoryeffects

Preferredtimehorizonin measuringearningpoweris typically4to7yearschap012EquityAnalysisandValuation(財務報表分析EarningPowerandForecastingE33EarningForecastingEarningPowerandForecasting? MechanicsofEarningsForecasting? QuantitativeMethods—time-seriesandregression models? JudgmentalMethods? CombinationsofQuantitativeandJudgmentalMethodschap012EquityAnalysisandValuation(財務報表分析EarningForecastingEarningPow34EarningForecastingEarningPowerandForecastingFactorsImpactingEarningsForecastsCurrentandpastevidenceContinuityandmomentumofcompanyperformanceIndustryprospectsManagementManagementquality—resourcefulnessAssetmanagement—operatingskillsEconomicandcompetitivefactorsKeyIndicatorssuchas

capitalexpenditures

orderbacklogs

demandtrendschap012EquityAnalysisandValuation(財務報表分析EarningForecastingEarningPow35MonitoringandRevisingEarningsForecastsEarningPowerandForecastingAvailableInterimReportsQuarterlyreports(Form10?Q)Reportsoncurrentdevelopments(Form8?K)Disclosureofseparatefourth-quarterresultsDetailsofyear?endadjustmentsInterimreportsfiledwiththeSECsuchas:Comparativeinterimandyear-to-dateincomestatementComparativebalancesheetsYear?to?datestatementofcashflowsProformainformationonbusinesscombinationsDisclosureofaccountingchangesManagement’snarrativeanalysisofoperatingresultsReportsofachangeinauditorchap012EquityAnalysisandValuation(財務報表分析MonitoringandRevisingEarnin36演講完畢，謝謝聽講!再見，seeyouagain2022/12/26chap012EquityAnalysisandValuation(財務報表分析演講完畢，謝謝聽講!再見，seeyouagain202237chap012EquityAnalysisandValuation(財務報表分析-2022/12/26chap012EquityAnalysisandValuation(財務報表分析chap012EquityAnalysisandValuat38EarningsPersistenceRecastingandAdjusting? Earningspersistenceisakeytoeffectiveequity analysisandvaluation? Analyzingearningspersistenceisamainanalysis objective? Attributesofearningspersistenceinclude: Stability Predictability Variability Trend Earningsmanagement Accountingmethodschap012EquityAnalysisandValuation(財務報表分析EarningsPersistenceRecasting39EarningsPersistenceRecastingandAdjustingTwocommonmethodstohelpassessearningspersistence: Recastingofincomestatement Adjustingofincomestatementchap012EquityAnalysisandValuation(財務報表分析EarningsPersistenceRecasting40EarningsPersistenceRecastingandAdjustingInformationforRecastingandAdjusting Incomestatement,includingitssubdivisions: Incomefromcontinuingoperations Incomefromdiscontinuedoperations Extraordinarygainsandlosses Cumulativeeffectofchangesinaccounting principles Otherfinancialstatementsandnotes Managementcommentaryinfinancialstatements Management’sDiscussionandAnalysis Other:product?mixchanges,technological innovations,workstoppages,andrawmaterial constraintschap012EquityAnalysisandValuation(財務報表分析EarningsPersistenceRecasting41EarningsPersistenceRecastingandAdjustingObjectivesofRecasting1.Recastearningsandearningscomponentssothatstable,normalandcontinuingelementscomprisingearningsaredistinguishedandseparatelyanalyzedfromrandom,erratic,unusualandnonrecurringelements 2.Recastelementsincludedincurrent earningsthatshouldmoreproperlybe includedintheoperatingresultsofone ormorepriorperiods Recastingandadjustingearningsalso aidsindeterminingearningpowerchap012EquityAnalysisandValuation(財務報表分析EarningsPersistenceRecasting42GeneralRecastingProcedures Incomestatementsofseveralyears(typicallyatleast five)arerecast Recastearningscomponentstoyieldmeaningful classificationsandarelevantformatforanalysis Componentscanberearranged,subdivided,andtax effected

Totalrecastedcomponents mustreconciletoreported netincomeEarningsPersistenceRecastingandAdjustingchap012EquityAnalysisandValuation(財務報表分析GeneralRecastingProceduresEa43SpecificRecastingProcedures? Discretionaryexpensesaresegregated? Distinctcomponentsaresegregated(suchasequityinincomeof unconsolidatedsubsidiaries)andoftenreportednetoftax? Whencomponentsofcontinuingincomeareseparately reclassified,theirpre-taxamountsalongwiththeirtaxeffects mustberemoved? Incometaxdisclosuresenableonetoseparatefactorsthateither reduceorincreasetaxessuchas:

Deductions—taxcredits,capital gainsrates,tax-free income,lowerforeigntaxrates

Additions—additionalforeign taxes,non-tax-deductible expenses,andstateandlocal taxes(netoffederaltaxbenefit)EarningsPersistenceRecastingandAdjustingchap012EquityAnalysisandValuation(財務報表分析SpecificRecastingProceduresE44RecastingandAdjusting--IllustrationEarningPersistenceCampbellSoupCompanyRecastIncomeStatements($mil.)Item Year11 Year10 Year9 Year8 Year7 Year6 13 Netsales $ 6,204.1 $ 6,205.8 $ 5,672.1 $ 4,868.9 $ 4,490.4 $ 4,286.8 19 Interestincome 26.0

17.6

38.3

33.2

29.5

27.4 Totalrevenue $ 6,230.1 $ 6,223.4 $ 5,710.4 $ 4,902.1 $ 4,519.9 $ 4,314.2 Costsandexpenses: Costofproductssold(seeNote1below) $ 3,727.1 $ 3,893.5 $ 3,651.8 $ 3,077.8 $ 2,897.8 $ 2,820.5 Marketingandsellingexpenses(seeNote2below) 760.8 760.1 605.9 514.2 422.7 363.0 145 Advertising(seeNote2below) 195.4 220.4 212.9 219.1 203.5 181.4 144 Repairsandmaintenance(seeNote1below) 173.9 180.6 173.9 155.6 148.8 144.0 16 Administrativeexpenses 306.7 290.7 252.1 232.6 213.9 195.9 17 Researchanddevelopmentexpenses 56.3 53.7 47.7 46.9 44.8 42.2 102 Stockpricerelatedincentiveprograms(seeNote3below) 15.4 (0.1) 17.4 (2.7) — 8.5 20 Foreignexchangeadjustment 0.8 3.3 19.3 16.6 4.8 0.7 104 Other,net(seeNote3below) (3.3) (2.0) (1.4) (4.7) (0.4) (9.0) 162A Depreciation(seeNote1below) 194.5 184.1 175.9 162.0 139.0 120.8 103 Amortizationofintangibleandotherassets(seeNote3below) 14.1 16.8 16.4 8.9 5.6 6.0 18 Interestexpense 116.2

111.6

94.1

53.9

51.7

56.0 Totalcostsandexpenses $ 5,557.9 $ 5,712.7 $ 5,266.0 $ 4,480.2 $ 4,132.2 $ 3,930.0 23 Earningsbeforeequityinearningsofaffiliates&erests $ 672.2 $ 510.7 $ 444.4 $ 421.9 $ 387.7 $ 384.2 24 Equityinearningsofaffiliates 2.4 13.5 10.4 6.3 15.1 4.3 25 Minorityinterests (7.2)

(5.7)

(5.3)

(6.3)

(4.7)

(3.9) 26 Incomebeforetaxes $ 667.4 $ 518.5 $ 449.5 $ 421.9 $ 398.1 $ 384.6 Incometaxesatstatutoryrate* (226.9)

(176.3)

(152.8)

(143.5)

(179.1)

(176.9) Incomefromcontinuingoperations $ 440.5 $ 342.2 $ 296.7 $ 278.4 $ 219.0 $ 207.7 135 Statetaxes(netoffederaltaxbenefit) (20.0) (6.6) (3.8) (11.8) (8.6) (8.0) Investmenttaxcredit — — — — 4.4 11.6 137 Nondeductibleamortizationofintangibles (4.0) (1.6) (1.2) (2.6) (1.4) — 138 Foreignearningsnottaxedortaxedatotherthanstatutoryrate 2.0 (2.2) (0.2) 3.2 11.1 15.2 139 Other:Taxeffects (17.0) (2.2) (0.1) (3.7) 7.5 (4.7) AlaskaNativeCorporationtransaction — — — — 4.5 — 22 Divestitures,restructuringandunusualcharges — (339.1) (343.0) (40.6) — — Taxeffectofdivest.,restructuring&unusualcharges(Note4) — 13.9 64.7 13.9 — — (Continuedonnextpage)chap012EquityAnalysisandValuation(財務報表分析RecastingandAdjusting--Ill45RecastingandAdjusting--IllustrationEarningPersistenceCampbellSoupCompanyRecastIncomeStatements($mil.)Item Year11 Year10 Year9 Year8 Year7 Year6 Gainonsaleofbusinessesin(Yr8)andsub.inYr7 — — — 3.1 9.7 — Lossonsaleofexerciseequipmentsubsidiary,netoftax — — — — (1.7) — LIFOliquidationgain(seeNote1below) —

—

—

1.7

2.8