ALC ALCON INC

Overview and Growth

ALCON INC generated $7.18B of revenue in fiscal 2010. At $7.18B, the top line establishes the operating scale supporting the company’s profit and cash-flow profile. Revenue was 10.5% above fiscal 2009 revenue of $6.50B, marking a year-over-year increase. Diluted earnings per share were $7.27, translating the period’s attributable earnings into the amount reported for each diluted share. The per-share result recorded a 9.2% increase from fiscal 2009 diluted EPS of $6.66. The diluted weighted-average share count was 304.10M, linking total earnings with the per-share result received by shareholders. Total assets stood at $10.07B, showing the scale of resources supporting revenue, earnings, liquidity, and financing. Asset turnover was 0.71x, relating the company’s annual revenue directly to the total assets reported at the period end.

Profitability

After reported cost of revenue, the company retained $5.50B as gross profit before recognizing operating expenses and other items. Gross margin was 76.7%, so that share of each revenue unit remained after the cost of revenue reported for the period. Operating income was $2.48B, the earnings remaining from reported operations after the company’s recognized operating cost structure. Operating margin measured 34.5%, showing the portion of revenue preserved after the full set of operating costs. Reported EBITDA totaled $2.69B, adding a pre-interest, tax, depreciation, and amortization perspective to the profitability profile. Income tax expense totaled $317.00M, providing the reported tax component that separates pretax and after-tax earnings.

Liquidity and Capital Structure

At period end, the $10.07B asset base was financed through $2.82B of liabilities and $7.25B of equity. At period end, current assets of $6.07B compared with current liabilities of $1.79B, defining the company’s short-term resource position. Current assets covered current liabilities by 3.39x, leaving a positive buffer for near-term obligations. Reported cash and equivalents were $2.52B, separating immediately recognizable cash resources from the rest of the current-asset base. Measured only with cash and equivalents, coverage of current liabilities was 141.0%, excluding receivables and other current assets. The company carried $62.00M of total debt at period end, which frames its leverage and debt-service burden. Debt equaled 0.01x of book equity, describing the relative scale of borrowing and shareholder capital. The debt-to-assets relationship was 0.6%, comparing borrowing with the total asset balance. Book equity represented 72.0% of total assets, quantifying the balance-sheet share supported by shareholder capital. The liabilities-to-assets relationship was 28.0%, placing reported obligations against the full positive asset balance. Measured against total assets, cash and equivalents represented 25.1%, a balance-sheet composition measure rather than a liquidity forecast. The asset base changed 16.0% from $8.69B in fiscal 2009, leaving current total assets higher year over year. Against $5.91B of equity in fiscal 2009, the current book-equity balance moved 22.8% and ended higher. Cash and equivalents were 16.0% lower than fiscal 2009 cash of $3.01B, showing the year-over-year change in liquid resources.

Cash Flow and Earnings Quality

Cash flow from operations was $2.38B, a reported cash inflow that can be compared directly with net income and capital spending. Capital expenditures used $309.00M, identifying the reported investment outflow deducted from operating cash flow in the free-cash-flow calculation. Capital spending absorbed 13.0% of operating cash flow, quantifying the share of cash from operations directed to investment. The combination of operating cash flow and capital spending produced $2.07B of positive free cash flow for the period. The free-cash-flow margin was 28.8%, measuring cash remaining after capital spending against revenue. Measured against total assets, free cash flow represented 20.5%, showing the cash productivity of the company’s assets. The operating cash outcome moved from $2.42B in fiscal 2009 to $2.38B, ending below the prior-year level.

Based on the annual report for the fiscal year ending Dec 31, 2010. Analysis generated Oct 21, 2026.