Tuesday, March 12, 2013

US Big Conglomerate Corps 2012 Annual Earnings Up 10.6% and EPS Up a Higher 12.0%

I found 3 US Big Conglomerate Corps filing with the SEC which generated Non-GAAP Adjusted After-tax Net Income of over $1 bil each in either annual 2012 or annual 2011.  I am excluding here large Manufacturing Conglomerates such as 3M since it was included with the large Manufacturing Corps in an earlier post.

Non-GAAP Adjusted After-tax Net Income, which is generally used by the investment community to value common stocks, was used when this amount was disclosed in the company's earnings release, and it excludes Special, Unusual Items which are significant in amount relative to Reported GAAP Net Income.

How did these 3 US Big Conglomerate Corps do on the earnings front in 2012?  Very well.

The Total Non-GAAP Adjusted After-tax Net Income of these 3 US Big Conglomerate Corps was $29.6 bil in annual 2012, up a robust 10.6% over 2011.

And on an Earnings Per Share basis, the total growth was an even more robust 12.0%, due to largest earner General Electric having a huge common stock buyback program.

The huge GE had a very solid earnings year in 2012 and the exceptionally well run Berkshire Hathaway had a superb earnings year in 2012.

Below here is the Non-GAAP Adjusted After-tax Net Income for both annual 2012 and 2011 for each of these 3 US Conglomerate Corps:




Annual Annual Adjusted Adjusted Non-GAAP Over

2012 2011 Net Net Adjusted Earnings

Non-GAAP Non-GAAP Income Income EPS Growth

Adjusted Adjusted Increase Increase Increase Positive

Net Net (Decrease) (Decrease) (Decrease) %
Company Income Income Amount % % Spread

mils of $s mils of $s mils of $s


General Electric
16,065 14,915 1,150 7.7% 10.1% 2.4%
Berkshire Hathaway
12,597 10,775 1,822 16.9% 16.8% -0.1%
968 1,093 (125) -11.4% -9.3% 2.1%

Total of all 3
29,630 26,783 2,847 10.6% 12.0% 1.4%