How do you interpret popular bank — goodwill purchase accounting adjustments?

Frequent or large adjustments may signal volatility in acquisition valuation processes or integration challenges.

How does popular bank — goodwill purchase accounting adjustments compare across companies?

Standard accounting practice for M&A activity, comparable to 'purchase price allocation adjustments' found in the footnotes of any acquiring firm.

Popular BPOP Popular Bank — Goodwill Purchase Accounting Adjustments

Discontinued — last reported Q4 '18

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Other financials

Income statement

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Revenue$835.8M+10.3%

Net income$245.7M+38.4%

EPS (diluted)$3.78+47.7%

Balance sheet

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Cash & equivalents$394.7M+1.1%

Total debt$1.6B+13.3%

Total equity$6.3B+8.8%

Total assets$76.1B+2.8%

Cash flow

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Operating cash flow$191.6M+11.4%

CapEx$36.7M-28.8%

Free cash flow$154.9M+28.5%

Valuation

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Market cap$10.28B+36.1%

Enterprise value$11.49B+33.6%

P/E11.4×+0.4×

P/S3.1×+0.6×

Profitability

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Net margin27.5%+4.4pp

FCF margin21.8%+5.9pp

Returns & leverage

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Return on equity14.9%+2.3pp

Debt / equity0.3×0.0×

Where this comes from

Reported directly by Popular in its filing.

Tagged under the XBRL concept us-gaap:GoodwillPurchaseAccountingAdjustments.

The official record: Popular’s 10-K, filed March 2, 2020, on SEC EDGAR. View the filing →

Questions, answered.

What does popular bank — goodwill purchase accounting adjustments mean?: Adjustments to the recorded value of goodwill following an acquisition as purchase price details are finalized.
How do you interpret popular bank — goodwill purchase accounting adjustments?: Frequent or large adjustments may signal volatility in acquisition valuation processes or integration challenges.
How does popular bank — goodwill purchase accounting adjustments compare across companies?: Standard accounting practice for M&A activity, comparable to 'purchase price allocation adjustments' found in the footnotes of any acquiring firm.