PRECISION CASTPARTS CORP

CIK:0000079958|SEC Filings

Condensed Consolidated Statements of Income (Unaudited) - USD ($) shares in Millions, $ in Millions	3 Months Ended		6 Months Ended
	Sep. 27, 2015	Sep. 28, 2014	Sep. 27, 2015	Sep. 28, 2014
Income Statement [Abstract]
Net sales	$ 2,287	$ 2,522	$ 4,699	$ 5,042
Costs and expenses:
Cost of goods sold	1,572	1,658	3,197	3,285
Selling and administrative expenses	167	158	335	314
Interest expense	33	17	53	34
Interest income	(1)	(1)	(2)	(2)
Total costs and expenses	1,771	1,832	3,583	3,631
Income before income tax expense and equity in loss of unconsolidated affiliates	516	690	1,116	1,411
Income tax expense	(169)	(220)	(366)	(457)
Equity in loss of unconsolidated affiliates	(2)	(1)	(5)	(1)
Net income from continuing operations	345	469	745	953
Net loss from discontinued operations	(1)	(1)	(1)	(3)
Net income	344	468	744	950
Net income attributable to noncontrolling interest	(1)	(1)	(2)	0
Net income attributable to Precision Castparts Corp. (“PCC”)	$ 343	$ 467	$ 742	$ 950
Net income (loss) per common share attributable to PCC shareholders - basic:
Net income from continuing operations	$ 2.50	$ 3.27	$ 5.39	$ 6.61
Net loss from discontinued operations	(0.01)	(0.01)	(0.01)	(0.02)
Net income per share	2.49	3.26	5.38	6.59
Net income (loss) per common share attributable to PCC shareholders - diluted:
Net income from continuing operations	2.49	3.24	5.36	6.57
Net loss from discontinued operations	(0.01)	0.00	(0.01)	(0.02)
Net income per share	$ 2.48	$ 3.24	$ 5.35	$ 6.55
Weighted average common shares outstanding:
Basic	137.5	143.3	137.8	144.1
Diluted	138.3	144.3	138.6	145.1

Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Millions	6 Months Ended
	Sep. 27, 2015	Sep. 28, 2014
Operating activities:
Net income	$ 744	$ 950
Net loss from discontinued operations	1	3
Non-cash items:
Depreciation and amortization	168	156
Deferred income taxes	88	62
Stock-based compensation expense	28	27
Excess tax benefits from share-based payment arrangements	(3)	(10)
Other non-cash adjustments	(8)	(5)
Changes in assets and liabilities, excluding effects of acquisitions and dispositions of businesses:
Receivables	148	(71)
Inventories	(98)	(163)
Prepaid expenses and other current assets	(4)	15
Income taxes receivable and payable	(18)	(2)
Payables and accruals	(265)	(67)
Pension and other postretirement benefit plans	(27)	4
Other non-current assets and liabilities	(41)	(150)
Net cash used by operating activities of discontinued operations	(5)	(8)
Net cash provided by operating activities	708	741
Investing activities:
Acquisitions of businesses, net of cash acquired	(504)	(629)
Capital expenditures	(210)	(178)
Dispositions of businesses	1	15
Other investing activities, net	(5)	25
Net cash used by investing activities of discontinued operations	(5)	(1)
Net cash used by investing activities	(723)	(768)
Financing activities:
Net change in commercial paper borrowings	(1,587)	748
Proceeds from issuance of long-term debt	1,997	0
Payments for debt issuance costs	(14)	0
Common stock issued	35	39
Excess tax benefits from share-based payment arrangements	3	10
Repurchase of common stock	(271)	(683)
Cash dividends	(8)	(9)
Other financing activities, net	(1)	0
Net cash provided by financing activities	154	105
Effect of exchange rate changes on cash and cash equivalents	19	(35)
Net increase in cash and cash equivalents	158	43
Cash and cash equivalents at beginning of period	474	361
Cash and cash equivalents at end of period	$ 632	$ 404

Condensed Consolidated Balance Sheets (Unaudited) - USD ($) $ in Millions	Sep. 27, 2015	Mar. 29, 2015
Current assets:
Cash and cash equivalents	$ 632	$ 474
Receivables, net	1,582	1,710
Inventories	3,769	3,640
Prepaid expense and other current assets	65	81
Income tax receivable	71	37
Deferred income taxes	4	2
Discontinued operations	29	28
Total current assets	6,152	5,972
Property, plant and equipment, at cost	4,576	4,328
Accumulated depreciation	(1,988)	(1,854)
Net property, plant and equipment	2,588	2,474
Goodwill	6,875	6,661
Acquired intangible assets, net	3,961	3,744
Investment in unconsolidated affiliates	229	238
Other assets	341	311
Deferred income taxes	12	0
Discontinued operations	31	28
Total assets	20,189	19,428
Current liabilities:
Long-term debt currently due and short-term borrowings	507	1,093
Accounts payable	945	1,162
Accrued liabilities	506	559
Deferred income taxes	44	0
Discontinued operations	11	13
Total current liabilities	2,013	2,827
Long-term debt	4,491	3,493
Pension and other postretirement benefit obligations	664	678
Other long-term liabilities	524	546
Deferred income taxes	989	924
Discontinued operations	$ 3	$ 3
Commitments and Contingencies (See Notes)
Equity:
Preferred stock	$ 0	$ 0
Common stock	137	139
Paid-in capital	0	60
Retained earnings	12,277	11,685
Accumulated other comprehensive loss	(938)	(955)
Total PCC shareholders' equity	11,476	10,929
Noncontrolling interest	29	28
Total equity	11,505	10,957
Total liabilities and stockholders' equity	$ 20,189	$ 19,428