The income statement for Invesco Ltd (IVZ) provides detailed information about the company's revenue, expenses, and profits over a specific period of time. It shows the company's gross profit, operating expenses, operating income, and net income. In 2020, Invesco reported a total revenue of $6.15 billion, with a gross profit of $4.1 billion. The company's operating expenses were $2.5 billion, resulting in an operating income of $1.6 billion. After accounting for taxes and other expenses, the company had a net income of $1.2 billion.
In terms of profitability, Invesco's gross profit margin was 66.67% in 2020, indicating that the company was able to generate a significant amount of revenue after accounting for the cost of goods sold. The company's net profit margin was 19.51%, indicating that the company was able to convert a good portion of its revenue into profits. Invesco's return on assets (ROA) was 5.21%, indicating that the company was able to generate a decent return on its assets. The company's return on equity (ROE) was 11.82%, indicating that the company was able to generate a good return for its shareholders.
The balance sheet provides a snapshot of a company's financial position at a given point in time. Invesco's total assets amounted to $28.9 billion in 2020, with stockholders' equity of $7.5 billion. The company's total liabilities were $21.4 billion, including both short-term and long-term debt. In terms of liquidity, Invesco had $1.5 billion in cash equivalents, providing the company with the ability to meet its short-term obligations. In addition, the company had a net debt of $8.9 billion, indicating that it had more debt than cash and cash equivalents.
Invesco's cash flow statement provides insights into the company's cash inflows and outflows during a specific period of time. The statement includes operating cash flow, investing cash flow, and financing cash flow. In 2020, Invesco reported an operating cash flow of $1.7 billion, indicating that the company was able to generate a good amount of cash from its core operations. The company also reported an investing cash flow of -$321 million, primarily due to investments in property and equipment. In terms of financing, Invesco had a cash outflow of $451 million, primarily due to dividend payments and debt repayments.
Invesco's free cash flow is an important indicator of the company's ability to generate cash after accounting for capital expenditures. In 2020, Invesco reported a free cash flow of $1.4 billion, indicating that the company had a good amount of cash left over after investing in its business. This cash can be used for various purposes, such as paying dividends, repurchasing shares, or making acquisitions. Overall, Invesco's financial statements show that the company has a strong financial position and is able to generate consistent profits.