Analysis of Solvency Ratios
Solvency ratios also known as long-term debt ratios measure a company ability to meet long-term obligations.
Solvency Ratios (Summary)
Adobe Inc., solvency ratios
Based on: 10-K (reporting date: 2023-12-01), 10-K (reporting date: 2022-12-02), 10-K (reporting date: 2021-12-03), 10-K (reporting date: 2020-11-27), 10-K (reporting date: 2019-11-29), 10-K (reporting date: 2018-11-30).
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to equity ratio | A solvency ratio calculated as total debt divided by total shareholders’ equity. | Adobe Inc. debt to equity ratio deteriorated from 2021 to 2022 but then improved from 2022 to 2023 exceeding 2021 level. |
| Debt to equity ratio (including operating lease liability) | A solvency ratio calculated as total debt (including operating lease liability) divided by total shareholders’ equity. | Adobe Inc. debt to equity ratio (including operating lease liability) deteriorated from 2021 to 2022 but then improved from 2022 to 2023 exceeding 2021 level. |
| Debt to capital ratio | A solvency ratio calculated as total debt divided by total debt plus shareholders’ equity. | Adobe Inc. debt to capital ratio deteriorated from 2021 to 2022 but then improved from 2022 to 2023 exceeding 2021 level. |
| Debt to capital ratio (including operating lease liability) | A solvency ratio calculated as total debt (including operating lease liability) divided by total debt (including operating lease liability) plus shareholders’ equity. | Adobe Inc. debt to capital ratio (including operating lease liability) deteriorated from 2021 to 2022 but then improved from 2022 to 2023 exceeding 2021 level. |
| Debt to assets ratio | A solvency ratio calculated as total debt divided by total assets. | Adobe Inc. debt to assets ratio deteriorated from 2021 to 2022 but then improved from 2022 to 2023 exceeding 2021 level. |
| Debt to assets ratio (including operating lease liability) | A solvency ratio calculated as total debt (including operating lease liability) divided by total assets. | Adobe Inc. debt to assets ratio (including operating lease liability) improved from 2021 to 2022 and from 2022 to 2023. |
| Financial leverage ratio | A solvency ratio calculated as total assets divided by total shareholders’ equity. | Adobe Inc. financial leverage ratio increased from 2021 to 2022 but then decreased significantly from 2022 to 2023. |
| Solvency ratio | Description | The company |
|---|---|---|
| Interest coverage ratio | A solvency ratio calculated as EBIT divided by interest payments. | Adobe Inc. interest coverage ratio improved from 2021 to 2022 and from 2022 to 2023. |
| Fixed charge coverage ratio | A solvency ratio calculated as earnings before fixed charges and tax divided by fixed charges. | Adobe Inc. fixed charge coverage ratio improved from 2021 to 2022 and from 2022 to 2023. |
Debt to Equity
Adobe Inc., debt to equity calculation, comparison to benchmarks
| Dec 1, 2023 | Dec 2, 2022 | Dec 3, 2021 | Nov 27, 2020 | Nov 29, 2019 | Nov 30, 2018 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||
| Debt, current portion | —) | 500) | —) | —) | 3,149) | —) | |
| Debt, excluding current portion | 3,634) | 3,629) | 4,123) | 4,117) | 989) | 4,125) | |
| Total debt | 3,634) | 4,129) | 4,123) | 4,117) | 4,138) | 4,125) | |
| Stockholders’ equity | 16,518) | 14,051) | 14,797) | 13,264) | 10,530) | 9,362) | |
| Solvency Ratio | |||||||
| Debt to equity1 | 0.22 | 0.29 | 0.28 | 0.31 | 0.39 | 0.44 | |
| Benchmarks | |||||||
| Debt to Equity, Competitors2 | |||||||
| Accenture PLC | 0.01 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | |
| International Business Machines Corp. | 2.51 | 2.32 | 2.74 | 2.99 | 3.02 | — | |
| Intuit Inc. | 0.35 | 0.42 | 0.21 | 0.66 | 0.12 | 0.19 | |
| Microsoft Corp. | 0.31 | 0.39 | 0.50 | 0.62 | 0.77 | 0.97 | |
| Oracle Corp. | 84.33 | — | 16.08 | 5.93 | 2.58 | 1.33 | |
| Palo Alto Networks Inc. | 1.14 | 17.51 | 5.08 | 2.80 | 0.90 | 1.99 | |
| Salesforce Inc. | 0.20 | 0.19 | 0.07 | 0.09 | 0.22 | — | |
| ServiceNow Inc. | 0.20 | 0.30 | 0.43 | 0.58 | 0.33 | — | |
| Synopsys Inc. | 0.00 | 0.00 | 0.02 | 0.03 | 0.03 | 0.13 | |
| Debt to Equity, Sector | |||||||
| Software & Services | 0.65 | 0.72 | 0.84 | 0.97 | 1.06 | — | |
| Debt to Equity, Industry | |||||||
| Information Technology | 0.63 | 0.67 | 0.77 | 0.88 | 0.88 | — | |
Based on: 10-K (reporting date: 2023-12-01), 10-K (reporting date: 2022-12-02), 10-K (reporting date: 2021-12-03), 10-K (reporting date: 2020-11-27), 10-K (reporting date: 2019-11-29), 10-K (reporting date: 2018-11-30).
1 2023 Calculation
Debt to equity = Total debt ÷ Stockholders’ equity
= 3,634 ÷ 16,518 = 0.22
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to equity ratio | A solvency ratio calculated as total debt divided by total shareholders’ equity. | Adobe Inc. debt to equity ratio deteriorated from 2021 to 2022 but then improved from 2022 to 2023 exceeding 2021 level. |
Debt to Equity (including Operating Lease Liability)
Adobe Inc., debt to equity (including operating lease liability) calculation, comparison to benchmarks
| Dec 1, 2023 | Dec 2, 2022 | Dec 3, 2021 | Nov 27, 2020 | Nov 29, 2019 | Nov 30, 2018 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||
| Debt, current portion | —) | 500) | —) | —) | 3,149) | —) | |
| Debt, excluding current portion | 3,634) | 3,629) | 4,123) | 4,117) | 989) | 4,125) | |
| Total debt | 3,634) | 4,129) | 4,123) | 4,117) | 4,138) | 4,125) | |
| Current operating lease liabilities | 73) | 87) | 97) | 92) | —) | —) | |
| Long-term operating lease liabilities | 373) | 417) | 453) | 499) | —) | —) | |
| Total debt (including operating lease liability) | 4,080) | 4,633) | 4,673) | 4,708) | 4,138) | 4,125) | |
| Stockholders’ equity | 16,518) | 14,051) | 14,797) | 13,264) | 10,530) | 9,362) | |
| Solvency Ratio | |||||||
| Debt to equity (including operating lease liability)1 | 0.25 | 0.33 | 0.32 | 0.35 | 0.39 | 0.44 | |
| Benchmarks | |||||||
| Debt to Equity (including Operating Lease Liability), Competitors2 | |||||||
| Accenture PLC | 0.12 | 0.15 | 0.18 | 0.21 | 0.00 | 0.00 | |
| International Business Machines Corp. | 2.66 | 2.46 | 2.92 | 3.23 | 3.27 | — | |
| Intuit Inc. | 0.39 | 0.46 | 0.25 | 0.71 | 0.12 | 0.19 | |
| Microsoft Corp. | 0.39 | 0.47 | 0.58 | 0.69 | 0.84 | 1.06 | |
| Oracle Corp. | 88.84 | — | 16.61 | 6.10 | 2.58 | 1.33 | |
| Palo Alto Networks Inc. | 1.33 | 19.12 | 5.68 | 3.16 | 0.90 | 1.99 | |
| Salesforce Inc. | 0.25 | 0.25 | 0.15 | 0.18 | 0.22 | — | |
| ServiceNow Inc. | 0.30 | 0.44 | 0.60 | 0.75 | 0.53 | — | |
| Synopsys Inc. | 0.11 | 0.12 | 0.13 | 0.14 | 0.03 | 0.13 | |
| Debt to Equity (including Operating Lease Liability), Sector | |||||||
| Software & Services | 0.74 | 0.82 | 0.95 | 1.08 | 1.12 | — | |
| Debt to Equity (including Operating Lease Liability), Industry | |||||||
| Information Technology | 0.69 | 0.73 | 0.84 | 0.95 | 0.90 | — | |
Based on: 10-K (reporting date: 2023-12-01), 10-K (reporting date: 2022-12-02), 10-K (reporting date: 2021-12-03), 10-K (reporting date: 2020-11-27), 10-K (reporting date: 2019-11-29), 10-K (reporting date: 2018-11-30).
1 2023 Calculation
Debt to equity (including operating lease liability) = Total debt (including operating lease liability) ÷ Stockholders’ equity
= 4,080 ÷ 16,518 = 0.25
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to equity ratio (including operating lease liability) | A solvency ratio calculated as total debt (including operating lease liability) divided by total shareholders’ equity. | Adobe Inc. debt to equity ratio (including operating lease liability) deteriorated from 2021 to 2022 but then improved from 2022 to 2023 exceeding 2021 level. |
Debt to Capital
Adobe Inc., debt to capital calculation, comparison to benchmarks
| Dec 1, 2023 | Dec 2, 2022 | Dec 3, 2021 | Nov 27, 2020 | Nov 29, 2019 | Nov 30, 2018 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||
| Debt, current portion | —) | 500) | —) | —) | 3,149) | —) | |
| Debt, excluding current portion | 3,634) | 3,629) | 4,123) | 4,117) | 989) | 4,125) | |
| Total debt | 3,634) | 4,129) | 4,123) | 4,117) | 4,138) | 4,125) | |
| Stockholders’ equity | 16,518) | 14,051) | 14,797) | 13,264) | 10,530) | 9,362) | |
| Total capital | 20,152) | 18,180) | 18,920) | 17,381) | 14,668) | 13,487) | |
| Solvency Ratio | |||||||
| Debt to capital1 | 0.18 | 0.23 | 0.22 | 0.24 | 0.28 | 0.31 | |
| Benchmarks | |||||||
| Debt to Capital, Competitors2 | |||||||
| Accenture PLC | 0.01 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | |
| International Business Machines Corp. | 0.72 | 0.70 | 0.73 | 0.75 | 0.75 | — | |
| Intuit Inc. | 0.26 | 0.30 | 0.17 | 0.40 | 0.10 | 0.16 | |
| Microsoft Corp. | 0.24 | 0.28 | 0.33 | 0.38 | 0.43 | 0.49 | |
| Oracle Corp. | 0.99 | 1.09 | 0.94 | 0.86 | 0.72 | 0.57 | |
| Palo Alto Networks Inc. | 0.53 | 0.95 | 0.84 | 0.74 | 0.47 | 0.67 | |
| Salesforce Inc. | 0.16 | 0.16 | 0.06 | 0.08 | 0.18 | — | |
| ServiceNow Inc. | 0.16 | 0.23 | 0.30 | 0.37 | 0.25 | — | |
| Synopsys Inc. | 0.00 | 0.00 | 0.02 | 0.03 | 0.03 | 0.12 | |
| Debt to Capital, Sector | |||||||
| Software & Services | 0.39 | 0.42 | 0.46 | 0.49 | 0.51 | — | |
| Debt to Capital, Industry | |||||||
| Information Technology | 0.38 | 0.40 | 0.43 | 0.47 | 0.47 | — | |
Based on: 10-K (reporting date: 2023-12-01), 10-K (reporting date: 2022-12-02), 10-K (reporting date: 2021-12-03), 10-K (reporting date: 2020-11-27), 10-K (reporting date: 2019-11-29), 10-K (reporting date: 2018-11-30).
1 2023 Calculation
Debt to capital = Total debt ÷ Total capital
= 3,634 ÷ 20,152 = 0.18
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to capital ratio | A solvency ratio calculated as total debt divided by total debt plus shareholders’ equity. | Adobe Inc. debt to capital ratio deteriorated from 2021 to 2022 but then improved from 2022 to 2023 exceeding 2021 level. |
Debt to Capital (including Operating Lease Liability)
Adobe Inc., debt to capital (including operating lease liability) calculation, comparison to benchmarks
| Dec 1, 2023 | Dec 2, 2022 | Dec 3, 2021 | Nov 27, 2020 | Nov 29, 2019 | Nov 30, 2018 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||
| Debt, current portion | —) | 500) | —) | —) | 3,149) | —) | |
| Debt, excluding current portion | 3,634) | 3,629) | 4,123) | 4,117) | 989) | 4,125) | |
| Total debt | 3,634) | 4,129) | 4,123) | 4,117) | 4,138) | 4,125) | |
| Current operating lease liabilities | 73) | 87) | 97) | 92) | —) | —) | |
| Long-term operating lease liabilities | 373) | 417) | 453) | 499) | —) | —) | |
| Total debt (including operating lease liability) | 4,080) | 4,633) | 4,673) | 4,708) | 4,138) | 4,125) | |
| Stockholders’ equity | 16,518) | 14,051) | 14,797) | 13,264) | 10,530) | 9,362) | |
| Total capital (including operating lease liability) | 20,598) | 18,684) | 19,470) | 17,972) | 14,668) | 13,487) | |
| Solvency Ratio | |||||||
| Debt to capital (including operating lease liability)1 | 0.20 | 0.25 | 0.24 | 0.26 | 0.28 | 0.31 | |
| Benchmarks | |||||||
| Debt to Capital (including Operating Lease Liability), Competitors2 | |||||||
| Accenture PLC | 0.11 | 0.13 | 0.15 | 0.17 | 0.00 | 0.00 | |
| International Business Machines Corp. | 0.73 | 0.71 | 0.74 | 0.76 | 0.77 | — | |
| Intuit Inc. | 0.28 | 0.31 | 0.20 | 0.42 | 0.10 | 0.16 | |
| Microsoft Corp. | 0.28 | 0.32 | 0.37 | 0.41 | 0.46 | 0.51 | |
| Oracle Corp. | 0.99 | 1.08 | 0.94 | 0.86 | 0.72 | 0.57 | |
| Palo Alto Networks Inc. | 0.57 | 0.95 | 0.85 | 0.76 | 0.47 | 0.67 | |
| Salesforce Inc. | 0.20 | 0.20 | 0.13 | 0.16 | 0.18 | — | |
| ServiceNow Inc. | 0.23 | 0.31 | 0.37 | 0.43 | 0.35 | — | |
| Synopsys Inc. | 0.10 | 0.11 | 0.11 | 0.12 | 0.03 | 0.12 | |
| Debt to Capital (including Operating Lease Liability), Sector | |||||||
| Software & Services | 0.43 | 0.45 | 0.49 | 0.52 | 0.53 | — | |
| Debt to Capital (including Operating Lease Liability), Industry | |||||||
| Information Technology | 0.41 | 0.42 | 0.46 | 0.49 | 0.47 | — | |
Based on: 10-K (reporting date: 2023-12-01), 10-K (reporting date: 2022-12-02), 10-K (reporting date: 2021-12-03), 10-K (reporting date: 2020-11-27), 10-K (reporting date: 2019-11-29), 10-K (reporting date: 2018-11-30).
1 2023 Calculation
Debt to capital (including operating lease liability) = Total debt (including operating lease liability) ÷ Total capital (including operating lease liability)
= 4,080 ÷ 20,598 = 0.20
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to capital ratio (including operating lease liability) | A solvency ratio calculated as total debt (including operating lease liability) divided by total debt (including operating lease liability) plus shareholders’ equity. | Adobe Inc. debt to capital ratio (including operating lease liability) deteriorated from 2021 to 2022 but then improved from 2022 to 2023 exceeding 2021 level. |
Debt to Assets
Adobe Inc., debt to assets calculation, comparison to benchmarks
| Dec 1, 2023 | Dec 2, 2022 | Dec 3, 2021 | Nov 27, 2020 | Nov 29, 2019 | Nov 30, 2018 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||
| Debt, current portion | —) | 500) | —) | —) | 3,149) | —) | |
| Debt, excluding current portion | 3,634) | 3,629) | 4,123) | 4,117) | 989) | 4,125) | |
| Total debt | 3,634) | 4,129) | 4,123) | 4,117) | 4,138) | 4,125) | |
| Total assets | 29,779) | 27,165) | 27,241) | 24,284) | 20,762) | 18,769) | |
| Solvency Ratio | |||||||
| Debt to assets1 | 0.12 | 0.15 | 0.15 | 0.17 | 0.20 | 0.22 | |
| Benchmarks | |||||||
| Debt to Assets, Competitors2 | |||||||
| Accenture PLC | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | |
| International Business Machines Corp. | 0.42 | 0.40 | 0.39 | 0.39 | 0.41 | — | |
| Intuit Inc. | 0.22 | 0.25 | 0.13 | 0.31 | 0.07 | 0.08 | |
| Microsoft Corp. | 0.16 | 0.18 | 0.21 | 0.24 | 0.27 | 0.31 | |
| Oracle Corp. | 0.67 | 0.69 | 0.64 | 0.62 | 0.52 | 0.44 | |
| Palo Alto Networks Inc. | 0.14 | 0.30 | 0.31 | 0.34 | 0.22 | 0.33 | |
| Salesforce Inc. | 0.12 | 0.12 | 0.04 | 0.06 | 0.11 | — | |
| ServiceNow Inc. | 0.09 | 0.11 | 0.15 | 0.19 | 0.12 | — | |
| Synopsys Inc. | 0.00 | 0.00 | 0.01 | 0.02 | 0.02 | 0.08 | |
| Debt to Assets, Sector | |||||||
| Software & Services | 0.25 | 0.26 | 0.28 | 0.31 | 0.32 | — | |
| Debt to Assets, Industry | |||||||
| Information Technology | 0.26 | 0.26 | 0.28 | 0.30 | 0.31 | — | |
Based on: 10-K (reporting date: 2023-12-01), 10-K (reporting date: 2022-12-02), 10-K (reporting date: 2021-12-03), 10-K (reporting date: 2020-11-27), 10-K (reporting date: 2019-11-29), 10-K (reporting date: 2018-11-30).
1 2023 Calculation
Debt to assets = Total debt ÷ Total assets
= 3,634 ÷ 29,779 = 0.12
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to assets ratio | A solvency ratio calculated as total debt divided by total assets. | Adobe Inc. debt to assets ratio deteriorated from 2021 to 2022 but then improved from 2022 to 2023 exceeding 2021 level. |
Debt to Assets (including Operating Lease Liability)
Adobe Inc., debt to assets (including operating lease liability) calculation, comparison to benchmarks
| Dec 1, 2023 | Dec 2, 2022 | Dec 3, 2021 | Nov 27, 2020 | Nov 29, 2019 | Nov 30, 2018 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||
| Debt, current portion | —) | 500) | —) | —) | 3,149) | —) | |
| Debt, excluding current portion | 3,634) | 3,629) | 4,123) | 4,117) | 989) | 4,125) | |
| Total debt | 3,634) | 4,129) | 4,123) | 4,117) | 4,138) | 4,125) | |
| Current operating lease liabilities | 73) | 87) | 97) | 92) | —) | —) | |
| Long-term operating lease liabilities | 373) | 417) | 453) | 499) | —) | —) | |
| Total debt (including operating lease liability) | 4,080) | 4,633) | 4,673) | 4,708) | 4,138) | 4,125) | |
| Total assets | 29,779) | 27,165) | 27,241) | 24,284) | 20,762) | 18,769) | |
| Solvency Ratio | |||||||
| Debt to assets (including operating lease liability)1 | 0.14 | 0.17 | 0.17 | 0.19 | 0.20 | 0.22 | |
| Benchmarks | |||||||
| Debt to Assets (including Operating Lease Liability), Competitors2 | |||||||
| Accenture PLC | 0.06 | 0.07 | 0.08 | 0.09 | 0.00 | 0.00 | |
| International Business Machines Corp. | 0.44 | 0.42 | 0.42 | 0.43 | 0.45 | — | |
| Intuit Inc. | 0.24 | 0.27 | 0.16 | 0.33 | 0.07 | 0.08 | |
| Microsoft Corp. | 0.19 | 0.21 | 0.25 | 0.27 | 0.30 | 0.34 | |
| Oracle Corp. | 0.71 | 0.73 | 0.66 | 0.64 | 0.52 | 0.44 | |
| Palo Alto Networks Inc. | 0.16 | 0.33 | 0.35 | 0.38 | 0.22 | 0.33 | |
| Salesforce Inc. | 0.15 | 0.15 | 0.10 | 0.11 | 0.11 | — | |
| ServiceNow Inc. | 0.13 | 0.17 | 0.21 | 0.24 | 0.19 | — | |
| Synopsys Inc. | 0.07 | 0.07 | 0.08 | 0.08 | 0.02 | 0.08 | |
| Debt to Assets (including Operating Lease Liability), Sector | |||||||
| Software & Services | 0.29 | 0.30 | 0.32 | 0.34 | 0.34 | — | |
| Debt to Assets (including Operating Lease Liability), Industry | |||||||
| Information Technology | 0.28 | 0.29 | 0.31 | 0.33 | 0.32 | — | |
Based on: 10-K (reporting date: 2023-12-01), 10-K (reporting date: 2022-12-02), 10-K (reporting date: 2021-12-03), 10-K (reporting date: 2020-11-27), 10-K (reporting date: 2019-11-29), 10-K (reporting date: 2018-11-30).
1 2023 Calculation
Debt to assets (including operating lease liability) = Total debt (including operating lease liability) ÷ Total assets
= 4,080 ÷ 29,779 = 0.14
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to assets ratio (including operating lease liability) | A solvency ratio calculated as total debt (including operating lease liability) divided by total assets. | Adobe Inc. debt to assets ratio (including operating lease liability) improved from 2021 to 2022 and from 2022 to 2023. |
Financial Leverage
Adobe Inc., financial leverage calculation, comparison to benchmarks
| Dec 1, 2023 | Dec 2, 2022 | Dec 3, 2021 | Nov 27, 2020 | Nov 29, 2019 | Nov 30, 2018 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||
| Total assets | 29,779) | 27,165) | 27,241) | 24,284) | 20,762) | 18,769) | |
| Stockholders’ equity | 16,518) | 14,051) | 14,797) | 13,264) | 10,530) | 9,362) | |
| Solvency Ratio | |||||||
| Financial leverage1 | 1.80 | 1.93 | 1.84 | 1.83 | 1.97 | 2.00 | |
| Benchmarks | |||||||
| Financial Leverage, Competitors2 | |||||||
| Accenture PLC | 1.99 | 2.14 | 2.21 | 2.18 | 2.07 | 2.36 | |
| International Business Machines Corp. | 6.00 | 5.80 | 6.98 | 7.57 | 7.30 | — | |
| Intuit Inc. | 1.61 | 1.69 | 1.57 | 2.14 | 1.68 | 2.20 | |
| Microsoft Corp. | 2.00 | 2.19 | 2.35 | 2.55 | 2.80 | 3.13 | |
| Oracle Corp. | 125.24 | — | 25.03 | 9.56 | 4.99 | 3.00 | |
| Palo Alto Networks Inc. | 8.29 | 58.35 | 16.14 | 8.23 | 4.16 | 6.03 | |
| Salesforce Inc. | 1.69 | 1.64 | 1.60 | 1.63 | 1.97 | — | |
| ServiceNow Inc. | 2.28 | 2.64 | 2.92 | 3.07 | 2.83 | — | |
| Synopsys Inc. | 1.68 | 1.71 | 1.65 | 1.64 | 1.57 | 1.77 | |
| Financial Leverage, Sector | |||||||
| Software & Services | 2.56 | 2.74 | 2.98 | 3.17 | 3.32 | — | |
| Financial Leverage, Industry | |||||||
| Information Technology | 2.44 | 2.56 | 2.72 | 2.90 | 2.87 | — | |
Based on: 10-K (reporting date: 2023-12-01), 10-K (reporting date: 2022-12-02), 10-K (reporting date: 2021-12-03), 10-K (reporting date: 2020-11-27), 10-K (reporting date: 2019-11-29), 10-K (reporting date: 2018-11-30).
1 2023 Calculation
Financial leverage = Total assets ÷ Stockholders’ equity
= 29,779 ÷ 16,518 = 1.80
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Financial leverage ratio | A solvency ratio calculated as total assets divided by total shareholders’ equity. | Adobe Inc. financial leverage ratio increased from 2021 to 2022 but then decreased significantly from 2022 to 2023. |
Interest Coverage
Adobe Inc., interest coverage calculation, comparison to benchmarks
| Dec 1, 2023 | Dec 2, 2022 | Dec 3, 2021 | Nov 27, 2020 | Nov 29, 2019 | Nov 30, 2018 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||
| Net income | 5,428) | 4,756) | 4,822) | 5,260) | 2,951) | 2,591) | |
| Add: Income tax expense | 1,371) | 1,252) | 883) | (1,084) | 253) | 203) | |
| Add: Interest expense | 113) | 112) | 113) | 116) | 157) | 89) | |
| Earnings before interest and tax (EBIT) | 6,912) | 6,120) | 5,818) | 4,292) | 3,362) | 2,883) | |
| Solvency Ratio | |||||||
| Interest coverage1 | 61.17 | 54.64 | 51.49 | 37.00 | 21.38 | 32.31 | |
| Benchmarks | |||||||
| Interest Coverage, Competitors2 | |||||||
| Accenture PLC | 193.31 | 195.34 | 131.46 | 205.84 | 273.26 | 298.26 | |
| International Business Machines Corp. | 6.42 | 1.97 | 5.20 | 4.62 | 8.58 | — | |
| Intuit Inc. | 13.05 | 32.38 | 89.14 | 158.00 | 126.40 | 76.15 | |
| Microsoft Corp. | 46.38 | 41.58 | 31.31 | 21.47 | 17.27 | 14.35 | |
| Oracle Corp. | 3.65 | 3.84 | 6.28 | 7.13 | 6.97 | 7.43 | |
| Palo Alto Networks Inc. | 21.82 | -6.56 | -1.85 | -1.61 | 0.11 | -3.40 | |
| Salesforce Inc. | 3.30 | 8.09 | 24.28 | 7.42 | 8.80 | — | |
| ServiceNow Inc. | 43.00 | 15.78 | 9.89 | 5.56 | 3.02 | — | |
| Synopsys Inc. | 1,106.08 | 657.96 | 240.38 | 125.16 | 47.79 | 24.29 | |
| Interest Coverage, Sector | |||||||
| Software & Services | 17.58 | 18.31 | 17.65 | 14.44 | 13.06 | — | |
| Interest Coverage, Industry | |||||||
| Information Technology | 18.91 | 24.76 | 22.93 | 16.69 | 15.79 | — | |
Based on: 10-K (reporting date: 2023-12-01), 10-K (reporting date: 2022-12-02), 10-K (reporting date: 2021-12-03), 10-K (reporting date: 2020-11-27), 10-K (reporting date: 2019-11-29), 10-K (reporting date: 2018-11-30).
1 2023 Calculation
Interest coverage = EBIT ÷ Interest expense
= 6,912 ÷ 113 = 61.17
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Interest coverage ratio | A solvency ratio calculated as EBIT divided by interest payments. | Adobe Inc. interest coverage ratio improved from 2021 to 2022 and from 2022 to 2023. |
Fixed Charge Coverage
Adobe Inc., fixed charge coverage calculation, comparison to benchmarks
| Dec 1, 2023 | Dec 2, 2022 | Dec 3, 2021 | Nov 27, 2020 | Nov 29, 2019 | Nov 30, 2018 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||
| Net income | 5,428) | 4,756) | 4,822) | 5,260) | 2,951) | 2,591) | |
| Add: Income tax expense | 1,371) | 1,252) | 883) | (1,084) | 253) | 203) | |
| Add: Interest expense | 113) | 112) | 113) | 116) | 157) | 89) | |
| Earnings before interest and tax (EBIT) | 6,912) | 6,120) | 5,818) | 4,292) | 3,362) | 2,883) | |
| Add: Operating lease expense | 117) | 121) | 119) | 119) | 171) | 137) | |
| Earnings before fixed charges and tax | 7,029) | 6,241) | 5,937) | 4,411) | 3,532) | 3,020) | |
| Interest expense | 113) | 112) | 113) | 116) | 157) | 89) | |
| Operating lease expense | 117) | 121) | 119) | 119) | 171) | 137) | |
| Fixed charges | 230) | 233) | 232) | 235) | 328) | 226) | |
| Solvency Ratio | |||||||
| Fixed charge coverage1 | 30.56 | 26.79 | 25.59 | 18.77 | 10.78 | 13.34 | |
| Benchmarks | |||||||
| Fixed Charge Coverage, Competitors2 | |||||||
| Accenture PLC | 10.98 | 12.25 | 10.41 | 9.66 | 10.07 | 9.63 | |
| International Business Machines Corp. | 4.32 | 1.52 | 3.13 | 2.62 | 4.41 | — | |
| Intuit Inc. | 9.03 | 14.67 | 25.58 | 27.48 | 34.00 | 26.91 | |
| Microsoft Corp. | 19.44 | 19.50 | 16.90 | 12.44 | 10.94 | 9.45 | |
| Oracle Corp. | 3.12 | 3.22 | 5.17 | 5.68 | 5.50 | 6.38 | |
| Palo Alto Networks Inc. | 7.20 | -1.18 | -1.09 | -0.52 | 0.41 | -1.01 | |
| Salesforce Inc. | 1.52 | 2.18 | 2.94 | 1.69 | 3.00 | — | |
| ServiceNow Inc. | 7.59 | 3.87 | 2.95 | 2.29 | 1.69 | — | |
| Synopsys Inc. | 14.38 | 12.91 | 9.29 | 7.46 | 6.30 | 4.98 | |
| Fixed Charge Coverage, Sector | |||||||
| Software & Services | 9.66 | 9.60 | 9.43 | 7.69 | 7.58 | — | |
| Fixed Charge Coverage, Industry | |||||||
| Information Technology | 12.67 | 14.28 | 13.50 | 10.20 | 10.46 | — | |
Based on: 10-K (reporting date: 2023-12-01), 10-K (reporting date: 2022-12-02), 10-K (reporting date: 2021-12-03), 10-K (reporting date: 2020-11-27), 10-K (reporting date: 2019-11-29), 10-K (reporting date: 2018-11-30).
1 2023 Calculation
Fixed charge coverage = Earnings before fixed charges and tax ÷ Fixed charges
= 7,029 ÷ 230 = 30.56
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Fixed charge coverage ratio | A solvency ratio calculated as earnings before fixed charges and tax divided by fixed charges. | Adobe Inc. fixed charge coverage ratio improved from 2021 to 2022 and from 2022 to 2023. |