10-KPeriod: FY2017

FREEPORT-MCMORAN INC Annual Report, Year Ended Dec 31, 2017

Filed February 20, 2018For Securities:FCX

Summary

Freeport-McMoRan Inc. (FCX) filed its 10-K for the period ending December 30, 2017, on February 19, 2018. This filing primarily incorporates by reference details from its definitive proxy statement regarding executive compensation, security ownership, and related party transactions. While a comprehensive financial overview is not detailed within the provided excerpts, the filing highlights the company's use of equity compensation plans, including the 2016 Stock Incentive Plan and plans assumed through acquisitions. The report also includes the Schedule II – Valuation and Qualifying Accounts, detailing movements in reserves and allowances. Notably, for the year ended December 31, 2017, there was a significant decrease in the valuation allowance for deferred tax assets, attributed to a reduction in the U.S. federal corporate income tax rate and the reversal of allowances on U.S. federal alternative minimum tax credits. The company also reported reserves for non-income taxes, showing a decrease in the net balance.

Financial Highlights

51 data points
Beta

Revenue

$16.40B

27.0% Gross Margin

Net Income

$1.82B

11.1% Net Margin

EPS (Diluted)

$1.25

Total Assets

$37.30B

Cash & Equivalents

$4.53B

Free Cash Flow

$4.67B

Financial Statements
Beta
Revenue$16.40B
Cost of Revenue$11.98B
Gross Profit$4.42B
SG&A Expenses$477.00M
Operating Expenses$12.71B
Operating Income$3.69B
Net Income$1.82B
EPS (Basic)$1.25
EPS (Diluted)$1.25
Shares Outstanding (Basic)1.45B
Shares Outstanding (Diluted)1.45B

Key Highlights

  • 1Key details on executive and director compensation, security ownership, and related party transactions are incorporated by reference from the company's definitive proxy statement.
  • 2Freeport-McMoRan utilizes equity compensation plans, including the 2016 Stock Incentive Plan, and previously assumed plans from acquisitions.
  • 3Schedule II – Valuation and Qualifying Accounts provides details on changes in reserves and allowances.
  • 4A significant reduction in the valuation allowance for deferred tax assets occurred in 2017, driven by U.S. federal tax rate changes.
  • 5The company reported a decrease in reserves for non-income taxes for the year ended December 31, 2017.
  • 6The filing is rich in exhibits, detailing numerous agreements, indentures, and corporate plans, underscoring the complexity of FCX's legal and contractual framework.

Frequently Asked Questions

The provided excerpt from the 10-K filing indicates that the consolidated financial statements (statements of operations, comprehensive income, cash flows, equity, and balance sheets) are included as part of Item 8, 'Financial Statements and Supplementary Data'. Investors should refer to Item 8 for a comprehensive view of the company's financial performance.

The filing states that the decrease in the valuation allowance for deferred tax assets in 2017 was primarily due to a reduction in the U.S. federal corporate income tax rate applicable to these assets, as well as the reversal of valuation allowances related to U.S. federal alternative minimum tax credits.

Information regarding executive compensation, director compensation, and security ownership by certain beneficial owners and management is incorporated by reference from the company's definitive proxy statement, which was to be filed in relation to the 2018 annual meeting of stockholders.

Yes, Freeport-McMoRan has equity compensation plans. The 2016 Stock Incentive Plan has shares available for future grants. Additionally, the company has plans assumed through past acquisitions (Plains Exploration & Production Company and McMoRan Exploration Co.) under which stock-settled restricted stock units and nonqualified stock options have been issued.