Item 6. Selected Financial Data

This selected financial data should be read in conjunction with “Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations” and our Consolidated Financial Statements and the accompanying Notes contained in “Item 8. Financial Statements and Supplementary Data.”



	(Dollars in millions, except per share amounts)
	2016			2017			2018			2019			2020
For Year Ended April 30:
Sales	$	4,011		$	3,857		$	4,201		$	4,276		$	4,306
Excise taxes	$	922		$	863		$	953		$	952		$	943
Net sales	$	3,089		$	2,994		$	3,248		$	3,324		$	3,363
Gross profit	$	2,144		$	2,021		$	2,202		$	2,166		$	2,127
Operating income	$	1,556		$	1,010		$	1,048		$	1,144		$	1,091
Net income	$	1,067		$	669		$	717		$	835		$	827
Weighted average shares (in millions) used to calculate earnings per share
– Basic	507.4			484.6			480.3			479.0			477.8
– Diluted	510.7			488.1			484.2			482.1			480.4
Earnings per share from continuing operations
– Basic	$	2.10		$	1.38		$	1.49		$	1.74		$	1.73
– Diluted	$	2.09		$	1.37		$	1.48		$	1.73		$	1.72
Gross margin	69.4		%	67.5		%	67.8		%	65.2		%	63.2		%
Operating margin	50.4		%	33.8		%	32.3		%	34.4		%	32.4		%
Effective tax rate	28.3		%	28.3		%	26.6		%	19.8		%	18.0		%
Average invested capital	$	3,221		$	3,591		$	3,832		$	4,125		$	4,387
Return on average invested capital	34.1		%	19.8		%	20.0		%	22.0		%	20.4		%
Cash provided by operations	$	545		$	656		$	653		$	800		$	724
Cash dividends declared per common share	$	0.5240		$	0.5640		$	1.6080		$	0.6480		$	0.6806
Dividend payout ratio	25.0		%	40.9		%	107.8		%	37.2		%	39.3		%
As of April 30:
Total assets	$	4,183		$	4,625		$	4,976		$	5,139		$	5,766
Long-term debt	$	1,230		$	1,689		$	2,341		$	2,290		$	2,269
Total debt	$	1,501		$	2,149		$	2,556		$	2,440		$	2,602

Notes:



1.	Includes the results of Southern Comfort and Tuaca, both of which were sold in March 2016 at a gain of $485 million (pre-tax). Includes the results of BenRiach since its acquisition in June 2016.
2.	Weighted average shares, earnings per share, and cash dividends declared per common share have been adjusted for a 2-for-1 stock split in August 2016 and a 5-for-4 stock split in February 2018.
3.	See “Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operation – Presentation Basis – Non-GAAP Financial Measures” for details on our use of “return on average invested capital,” including how we calculate this measure and why we think this information is useful to readers.
4.	Cash dividends declared per common share include a special cash dividend of $1.00 in fiscal 2018.
5.	We define dividend payout ratio as cash dividends divided by net income.

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