Annual financials for canadian solar incDocument Transcript
Cash Flow StatementThe following is an example of a Cash Flow Statement. Click on any line item labeland an explanation will be shown. This is a five year statement, however, your firstyears projections should show monthly figures, the second year, quarterly and yearsthree through five should show annual figures. 2011 2012 2013 2014 2015Source of FundsBeginning cash 0 -11,767 143,765 416,274 924,480Sales/Svcs Income 1,366,986 2,662,548 3,416,123 4,565,616 5,981,959Sale of Assets 0 0 0 0 0Customer deposits 0 0 0 0 0Loans 0 0 0 0 0Contributed Capital 400,000 0 0 0 0Available Cash $1,766,986 $2,650,781 $3,559,888 $4,981,890 $6,906,439Use of FundsSalaries 1,355,000 1,676,000 2,044,000 2,557,000 3,355,000Other operating expenses 423,753 759,933 900,245 1,187,340 1,533,432Loan payments 0 24,910 99,640 99,640 99,640Capital Expenditures 0 0 0 0 0Tax Payments 0 46173 99729 213430 277791Total Cash Out $1,778,753 $2,507,016 $3,143,614 $4,057,410 $5,265,863Net Cash Flow ($11,767) $143,765 $416,274 $924,480 $1,640,576
Annual Financials for Canadian Solar Inc.
12/2010 12/2009 12/2008 12/2007All amounts in millions except per share amounts. (TTM) (TTM) (TTM) (TTM)Operating ActivitiesNet Income (Loss) 50.83 22.78 -7.53 -0.21Depreciation 31.27 20.51 9.28 1.68Amortization 0.04 0.04 1.18 0.02Amortization of Intangibles 0.00 0.00 0.00 0.00Deferred Income Taxes -5.18 -10.83 -0.98 -2.93Operating (Gains) Losses -0.13 7.67 -1.50 2.04Extraordinary (Gains) Losses 0.00 0.00 0.00 0.00(Increase) Decrease in Receivables -7.53 -138.44 -0.55 -47.16(Increase) Decrease in Inventories -103.64 -83.97 -39.99 -27.10(Increase) Decrease in Prepaid Expenses -6.88 -16.64 -9.73 -4.85(Increase) Decrease in Other Current Assets -1.35 0.00 0.00 -16.80(Increase) Decrease in Payables 18.10 62.86 19.26 0.72(Increase) Decrease in Other Curr Liabs. -57.76 119.16 10.58 4.76(Increase) Decrease in Other Working Capital 9.55 15.98 -31.32 -0.44Other Non-Cash Items 14.19 51.82 54.50 10.04Net Cash from Continuing Operations -58.49 50.92 3.19 -80.22Net Cash from Discontinued Operations 0.00 0.00 0.00 0.00Net Cash from Operating Activities -58.49 50.92 3.19 -80.22Investing ActivitiesSale of Property, Plant, Equipment 0.29 0.22 0.01 0.22Sale of Long Term Investments 0.00 0.00 0.00 0.00Sale of Short Term Investments 0.00 0.00 0.00 0.00Purchase of Property, Plant, Equipment -134.31 -72.21 -104.82 -42.01Acquisitions 0.00 0.00 0.00 0.00Purchase of Long Term Investments 0.00 0.00 -3.00 0.00Purchase of Short Term Investments -0.99 -158.62 -17.95 0.00Other Investing Changes Net 1.02 -3.95 0.00 -0.70Cash from Disc. Investing Activities 0.00 0.00 0.00 0.00Net Cash from Investing Activities -133.99 -234.57 -125.76 -42.48Financing ActivitiesIssuance of Debt 1,007.17 496.35 259.06 167.09Issuance of Capital Stock 0.82 104.02 114.69 0.15Repayment of Debt -695.51 -371.68 -170.30 -56.16Repurchase of Capital Stock 0.00 0.00 0.00 0.00Payment of Cash Dividends 0.00 0.00 0.00 0.00Other Financing Charges, Net 0.15 -0.53 -2.09 13.74Cash from Disc. Financing Activities 0.00 0.00 0.00 0.00Net Cash from Financing Activities 312.63 228.17 201.36 124.83Effect of Exchange Rate Changes 8.39 -0.07 -0.79 -5.36
Annual Financials for JA Solar Holdings Co. Ltd.ADS
12/2010 12/2009 12/2008 12/2007All amounts in millions except per share amounts. (TTM) (TTM) (TTM) (TTM)Operating ActivitiesNet Income (Loss) 266.38 -28.34 70.21 54.81Depreciation 45.15 26.19 12.93 4.67Amortization 18.80 18.74 0.00 0.00Amortization of Intangibles 0.00 0.00 0.00 0.00Deferred Income Taxes -5.59 -3.17 -3.37 -0.76Operating (Gains) Losses -34.30 3.67 -2.72 12.41Extraordinary (Gains) Losses 0.00 0.00 0.00 0.00(Increase) Decrease in Receivables -111.37 -17.68 -47.81 -0.80(Increase) Decrease in Inventories -109.12 -13.68 -75.13 -0.36(Increase) Decrease in Prepaid Expenses 51.30 46.26 -126.55 0.00(Increase) Decrease in Other Current Assets -51.94 -3.39 -21.80 -249.82(Increase) Decrease in Payables 99.49 36.60 15.81 1.23(Increase) Decrease in Other Curr Liabs. 1.58 1.34 2.43 9.14(Increase) Decrease in Other Working Capital 9.68 60.52 -65.23 0.00Other Non-Cash Items 14.12 38.34 52.29 12.55Net Cash from Continuing Operations 194.17 165.39 -188.94 -156.94Net Cash from Discontinued Operations 0.00 0.00 0.00 0.00Net Cash from Operating Activities 194.17 165.39 -188.94 -156.94Investing ActivitiesSale of Property, Plant, Equipment 1.13 0.04 0.01 0.00Sale of Long Term Investments 0.00 0.00 55.11 0.00Sale of Short Term Investments 35.08 9.67 318.52 0.00Purchase of Property, Plant, Equipment -250.76 -89.77 -119.09 -57.75Acquisitions 0.00 0.00 0.00 0.00Purchase of Long Term Investments 0.00 0.00 0.00 0.00Purchase of Short Term Investments 0.00 0.00 -316.02 -110.99Other Investing Changes Net -40.22 -1.55 0.00 0.00Cash from Disc. Investing Activities 0.00 0.00 0.00 0.00Net Cash from Investing Activities -254.78 -81.61 -61.47 -168.74Financing ActivitiesIssuance of Debt 242.80 105.46 468.93 34.23Issuance of Capital Stock 1.26 2.47 2.77 474.99Repayment of Debt -116.85 -143.49 -89.13 -27.38Repurchase of Capital Stock 0.00 0.00 0.00 0.00Payment of Cash Dividends 0.00 0.00 0.00 0.00Other Financing Charges, Net 0.00 0.00 0.00 0.00Cash from Disc. Financing Activities 0.00 0.00 0.00 0.00Net Cash from Financing Activities 127.21 -35.56 382.57 481.83Effect of Exchange Rate Changes -2.53 -0.70 -13.91 -12.50
Cash Flow Template 1 Business Plan Sample Sources of Cash Flow Template Statement For the Month Ended_________.SalesLoansEquity InvestmentUses of CashExpenses to be PaidStart Up CostBalance(Monthly cash receipts minusmonthly accounts Payable)Other FactorsSeasonalReturn (s)Payment TermsCash Flow Template 2 Cash Flow Template Statement For the Month Ended_________. Estimated ActualCash On Hand(Beginning of the Month)Cash ReceiptsCash SalesCollections From Credit AccountsLoansOtherTotal Cash ReceiptsTotal Cash AvailableCash Paid OutGross WagesPayroll ExpensesOutline ServicesOffice SuppliesOperating Supplies
Repairs and MaintenanceAdvertisingCarDeliveryTravelAccountingLegalRentTelephoneUtilitiesInsuranceTaxesInterestOtherMiscellaneousSubtotalLoan Principal PaymentCapital PurchaseStart Up CostReserve and/or escrowOwners WithdrawalsTotal Cash Paid OutCash PositionEssential Operating Data (non CashFlow information)Sales VolumeAccounts Receivable (end of themonth)Bad Dept (end or the month)Inventory (end of the month)Accounts Payable (end of themonth)Total Cash FlowCash Flow Statement Example-Direct and IndirectMethod:Unlike the major financial statements, cash flow statement is not prepared from the adjustedtrial balance. The information to prepare this statement usually comes from three sources: 1. Comparative balance sheets provide the amount of the changes in assets, liabilities, and equities from the beginning to the end of the period. 2. Current income statement data help the reader determine the amount of cash provided by or used by operations during the period. 3. Selected transaction data from the general ledger provide additional detailed information needed to determine how cash was provided or used during the period
Preparing the statement of cash flows from the data sources above involves three majorsteps:Step 1. Determine the change in cash:This procedure is straight forward because the difference between the beginning and theending cash balance can be easily computed from an examination of the comparativebalance sheet.Step 2. Determine the net cash flow from operating activities:This procedure is complex. It involves analyzing not only the current years income statementbut also comparative balance sheets and selected transitions data.Step 3. Determine net cash flows from investing and financing activities:All other changes in the balance sheet accounts must be analyzed to determine their effectson cash.Cash Flow Statement Example:A Comprehensive illustrationTo illustrate a statement of cash flows we will use the first year of operations for TaxConsultants Inc. The company started on January 1, 2003, when it issued 60,000 shares of$1 par value common stock for $60,000 cash. The company rented its office space andfurniture and equipment, and it performed tax consulting services throughout the first year.The comparative balance sheets at the beginning and at the end of the year 2003 appear asfollows. Assets Change Increase/ Dec. 31, 2003 Jan. 1, 2003 DecreaseCash $49,000 $-0- $49,000 increaseAccounts receivable $36,000 $-0- $36,000 increase ----------- ---------Total $85,000 $-0- ====== ===== Liabilities and Stockholders EquityAccounts payable $ 5,000 $-0- $ 5,000 increaseCommon stock $60,000 $-0- $60,000 increaseRetained earnings $20,000 $-0- $20,000 increase --------- -------Total $85,000 $-0- ======= =====The income statement and additional information for Tax Consultation Inc. are as follows. Tax Consultants Inc. Income Statement For the year ended December 31, 2003
Revenue $125,000Operating expenses $ 85,000 ---------Income before income taxes $ 40,000Income tax expenses $ 6,000 ----------Net income $ 34,000 =======Step 1: Determine the Change in Cash:To prepare a statement of cash flows, the first step―determining the change in cash―is asimple computation. The company has no cash on hand at the beginning of the year 2003,but $49,000 at the end of 2003. Thus the change in cash for 2003 was an increase of $49,000Step 2: Determine Net Cash Flow from Operating Activities:A usual starting point in determining net cash flow from operating activities is to understandwhy net income must be converted. Under generally accepted accounting principles, mostcompanies must use the accrual basis of accounting, requiring revenues be reported whenearned and that expenses be recorded when incurred. Net income may include credit salesthat have not been collected in cash and expenses incurred that may not have been paid incash. Thus, under the accrual basis of accounting, net income will not indicate the net cashflow from operating activities.To arrive at net cash flow from operating activities, it is necessary to report revenue andexpenses on cash basis. This is done by eliminating the effects of statement transactions thatdid not result in a corresponding increase or decrease in cash.The conversion of net income into net cash flow from operating activities may be donethrough either a direct method or an indirect method as explained in the following discussion.1.Direct Method:(also called the income statement method) reports cash receipts and cash disbursementsfrom operating activities. The difference between these two amounts in the net cash flow fromoperating activates. In other words, the direct method deducts from operating cash receiptsthe operating cash disbursements. The direct method results in the presentation of acondensed cash receipts and cash disbursements statement.As directed from the accrual based income statement, Tax consultants Inc. reported revenuesof $125,000. However, because the companys accounts receivable increased during 2003 by$36,000, only $89,000 ($125,000 − $36,000) in cash collected on these revenues. Similarly,company reported operating expenses of $85,000, but accounts payable increased during theperiod by $5,000. Assuming that payable related to operating expenses, cash operatingexpenses were $80,000 ($85,000 − $5,000). Because no taxes payable exist at the end of theyear, the$6,000 income tax expense for 2003 must have been paid in cash during the year.Then the computation of net cash flow from operating activities is as follows:Cash collected from revenues $89,000Cash payment for expenses $80,000 ---------Income before income taxes $ 9,000Cash payments for income taxes $ 6,000 ---------Net cash provided by operating activities $ 3,000
======"Net cash provided by operating activities" is equivalent of cash-basis net income. ("Net cashused by operating activities" would be equivalent to cash-basis net loss)2 Indirect Method:(or reconciliation method) starts with net income and converts it to net cash flow fromoperating activities. In other words, the Indirect method adjusts net income for items thataffected reported net income but didnt affected cash. To compute net cash flows fromoperating activities, noncash changes in the income statement are added back to net income,and net cash credits are deducted. Explanations for the two adjustments to net income in thisexample―namely, the accounts receivable and accounts payable―are as follows.Increase in Accounts Receivable―Indirect Method:When accounts receivable increase during the year, revenues on an accrual basis are higherthan on a cash basis because goods sold on account are reported as revenues. In otherwords, operations for the period led to increased revenues, but not all of these revenuesresulted in an increase in cash. Some of the increase in revenues resulted in an increase inaccounts receivable. To convert net income to net cash flow from operating activities, theincrease of $36,000 in accounts payable must be deducted from net income.Increase in Accounts Payable―Indirect Method:When accounts payable increase during the period, expenses on an accrual basis are higherthan they are on a cash basis because expenses are incurred for which payment has nottaken place. To convert net income to net cash flow from operating activities, the increase of$5,000 in accounts payable must be added back to net income.As a result of the accounts receivable and accounts payable adjustments, net cash providedby operating activities is determined to be $3,000 for the year 2003. This calculation is shownas follows.Net income $34,000Adjustments to reconcile net incometo net cash provided by operatingactivities: $(36,000)Increase in accounts receivable $ 5,000 ($31,000)Increase in accounts payable ---------- $ 3,000Net cash provided by operating =======activitiesNote that net cash provided by operating activities is the same whether the direct or indirectmethod is used.Step 3: Determine Net Cash Flows from Investing and Financing Activities:Once the net cash flows from operating activities is computed, the next step is to determinewhether any other changes in balance sheet accounts caused an increase or decrease incash.For example, an examination of the remaining balance sheet accounts for Tax ConsultantsInc. shows that both common and retained earnings have increased. The common stockincrease of $60,000 resulted from the issuance of common stock for cash. The issuance ofcommon stock is a receipt of cash from a financing activity and is reported as such in thestatement of cash flows. The retained earnings increase of $20,000 is caused by two items:
1. Net income of $34,000 increased retained earnings 2. Dividend declared of $4,000 decreased retained earnings.Net income has been converted into net cash flows from operating activities, as explainedearlier. The additional data indicates that the dividend was paid. Thus, the dividend paymenton common stock is reported as cash outflow, classified as financing activity.We are now ready to prepare the statement of cash flows. The statement starts with theoperating activities section. Either the direct or indirect method may be used to report netcash flow from operating activates.The statement of cash flows under indirect method for Tax Consultation Inc. is as follows. Tax Consultants Inc. cash flow statement-Indirect Method For the year ended December 31, 2003Cash Flows From Operating Activities:Net income $34,000Adjustments to reconcile net income to net cashprovided by operating activities:Increase in accounts receivable $(36,000)Increase in accounts payable $ 5,000 ---------------Net cash provided by operating activities ($31,000) -------------Cash Flows From Financing Activities: $ 3,000Issuance of common stock $60,000Payment of cash dividend $(14,000) ----------Net cash provided by financing activitiesNet increase in cash $46,000Cash, January 1, 2003 ----------- 49,000Cash, December 31, 2003 -0- ---------- $49,000 =======As indicated, the $60,000 increase in common stock results in a cash inflow from a financingactivity. The payment of $14,000 in cash dividends is classified as a use of cash from afinancing activity. The $49,000 increase in cash reported in the statement of cash flowsagrees with the increase of $49,000 shown as the change in the cash account in thecomparative balance sheet.