How do you interpret global components — goodwill translation adjustments?

An increase or decrease reflects currency market movements rather than operational performance or business health.

How does global components — goodwill translation adjustments compare across companies?

Standard 'Foreign Currency Translation Adjustment' for goodwill, common in multinational corporations.

Arrow Electronics ARW Global Components — Goodwill Translation Adjustments

Discontinued — last reported Q4 '16

Similar metrics at other companies

MOG.BComponents — Goodwill Translation Adjustments

$852K—

IRMCorporate And Other — Goodwill Translation Adjustments

$0—

RRXCommercialand Industrial Systems — Goodwill Translation Adjustments

-$1.78M+43.7%

GGGProcess — Goodwill Translation Adjustments

-$4.4M-421%

MOG.BComponents — Goodwill Foreign Currency Translation Gain Loss

$2.53M+201,980%

MKCConsumer — Goodwill Translation Adjustments

$12.7M+191%

Other financials

Income statement

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Revenue$9.5B+39.0%

Gross profit$1.1B+40.9%

Operating income$361.6M+128%

Net income$235.1M+195%

EPS (diluted)$4.55+201%

Balance sheet

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Cash & equivalents$286.5M+23.6%

Total debt$2.5B-13.3%

Total equity$6.7B+13.8%

Total assets$36.0B+68.0%

Cash flow

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Operating cash flow$699.8M+99.0%

CapEx$32.1M+28.5%

Free cash flow$667.6M+104%

Valuation

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Market cap$11.9B+36.0%

Enterprise value$14.08B+18.9%

P/E16.4×-6.2×

P/S0.4×0.0×

Profitability

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Gross margin11.3%-0.2pp

Operating margin3.1%+0.4pp

Net margin2.2%+0.8pp

FCF margin3.6%—

Returns & leverage

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Return on equity11.5%+4.8pp

Debt / equity0.4×-0.1×

Current ratio1.2×-0.2×

Where this comes from

Reported directly by Arrow Electronics in its filing.

Tagged under the XBRL concept us-gaap:GoodwillTranslationAdjustments.

The official record: Arrow Electronics’s 10-K, filed February 7, 2017, on SEC EDGAR. View the filing →

Questions, answered.

What does global components — goodwill translation adjustments mean?: The change in goodwill value caused solely by fluctuations in foreign currency exchange rates.
How do you interpret global components — goodwill translation adjustments?: An increase or decrease reflects currency market movements rather than operational performance or business health.
How does global components — goodwill translation adjustments compare across companies?: Standard 'Foreign Currency Translation Adjustment' for goodwill, common in multinational corporations.