Alphabet Inc. (NASDAQ:GOOG)

Current assets exhibited volatility over the five-year period. Initially decreasing from 2021 to 2022, they showed a modest recovery in 2023, followed by a decline in 2024, and a substantial increase in 2025. Adjusted current assets mirrored this pattern, demonstrating similar fluctuations throughout the period.

Overall Trend

The period began with current assets at US$188,143 million in 2021. A decrease of approximately 12.4% was observed in 2022, reaching US$164,795 million. A slight increase occurred in 2023, with current assets rising to US$171,530 million. This was followed by another decrease in 2024 to US$163,711 million. The most significant change occurred in 2025, with current assets increasing substantially to US$206,038 million, representing a roughly 25.8% increase from the prior year.

Adjusted Current Assets vs. Reported Current Assets

Adjusted current assets consistently exceeded reported current assets across all years examined. The difference between the two values remained relatively stable, generally ranging between US$550 million and US$870 million annually. This suggests systematic adjustments are being made to the initially reported current asset figures. The adjustments do not appear to be correlated with the overall trend in current asset values.

Year-over-Year Changes

The largest year-over-year decrease occurred between 2021 and 2022, with a decline of US$23,348 million in reported current assets and US$23,144 million in adjusted current assets. The most substantial increase occurred between 2024 and 2025, with reported current assets increasing by US$42,327 million and adjusted current assets by US$42,372 million. These significant changes warrant further investigation to understand the underlying drivers.

The consistent difference between reported and adjusted current assets indicates the presence of recurring adjustments. The substantial increase in both reported and adjusted current assets in 2025 is a notable development that requires further scrutiny to determine its cause and potential implications.

Total assets exhibited a generally increasing trend from 2021 to 2025. However, adjusted total assets present a slightly different picture, consistently lower than reported total assets and demonstrating a similar upward trajectory, though at a somewhat moderated pace. The difference between the two metrics appears to be widening over the observed period.

Overall Growth

Reported total assets increased from US$359,268 million in 2021 to US$595,281 million in 2025, representing a growth of approximately 65.7%. Adjusted total assets grew from US$358,534 million to US$587,092 million, a growth of approximately 63.4% over the same period. While both metrics show substantial growth, the adjusted figure indicates a slightly slower expansion rate.

Year-over-Year Changes

The largest year-over-year increase in reported total assets occurred between 2024 and 2025, with an increase of US$145,025 million. The largest year-over-year increase in adjusted total assets also occurred between 2024 and 2025, with an increase of US$153,137 million. The increase from 2021 to 2022 was relatively modest for both metrics, at approximately US$6.0 billion for reported assets and US$2.2 billion for adjusted assets.

Discrepancy Between Metrics

The difference between total assets and adjusted total assets was approximately US$734 million in 2021. This difference expanded to US$8,189 million in 2025. This widening gap suggests that the adjustments being made are becoming more substantial over time, potentially indicating changes in asset valuation or classification. Further investigation into the nature of these adjustments would be necessary to understand the underlying drivers.

The consistent presence of adjustments to total assets warrants further scrutiny. Understanding the specific items being adjusted and the rationale behind these adjustments is crucial for a comprehensive assessment of the company’s financial position and performance.

Current liabilities and adjusted current liabilities both demonstrate a consistent upward trend over the five-year period. However, the magnitude of increase differs between the two measures, indicating a systematic adjustment being applied to reported current liabilities.

Overall Trend

Both current liabilities and adjusted current liabilities increased annually from 2021 to 2025. Current liabilities grew from US$64,254 million to US$102,745 million, representing a 60.0% increase over the period. Adjusted current liabilities increased from US$60,966 million to US$96,167 million, a 57.7% increase.

Growth Rate Analysis

The growth in current liabilities varied year-over-year. The largest absolute increase occurred between 2023 and 2024 (US$7,308 million), while the largest percentage increase occurred between 2021 and 2022 (8.1%). The growth rate appears to be moderating slightly in the later years of the period.

Adjusted current liabilities exhibit a similar pattern of annual increases, with the largest absolute increase also occurring between 2023 and 2024 (US$6,409 million). The largest percentage increase was also between 2021 and 2022 (7.3%).

Adjustment Impact

The difference between current liabilities and adjusted current liabilities represents a reduction in reported current obligations. This difference increased from US$3,288 million in 2021 to US$6,578 million in 2025. This suggests the adjustments are becoming more substantial in absolute terms.

The adjustment as a percentage of current liabilities decreased slightly over the period, from 5.1% in 2021 to 6.4% in 2025. This indicates that while the absolute adjustment amount is growing, it is growing at a slower rate than current liabilities themselves.

The consistent application of adjustments to current liabilities warrants further investigation to understand the nature of these adjustments and their impact on the company’s financial position and liquidity ratios. The increasing absolute value of the adjustment suggests a growing significance of these items.

Total liabilities and adjusted total liabilities both demonstrate an increasing trend over the five-year period. However, the magnitude of increase differs between the two measures, particularly in the later years. A consistent pattern emerges where adjusted total liabilities are lower than reported total liabilities across all observed periods.

Overall Growth

Total liabilities increased from US$107,633 million in 2021 to US$180,016 million in 2025, representing a cumulative growth of approximately 67.1%. Adjusted total liabilities grew from US$98,553 million in 2021 to US$170,497 million in 2025, a cumulative growth of roughly 72.9%.

Year-over-Year Changes - Total Liabilities

The increase in total liabilities was relatively modest between 2021 and 2022 (1.4%). Growth accelerated between 2022 and 2023 (8.9%), and continued between 2023 and 2024 (5.1%). The most substantial year-over-year increase occurred between 2024 and 2025, with a significant rise of 43.9%.

Year-over-Year Changes - Adjusted Total Liabilities

Adjusted total liabilities exhibited a similar pattern of increasing growth. The increase from 2021 to 2022 was 5.6%. Growth from 2022 to 2023 was 8.6%, and from 2023 to 2024 was 4.3%. The largest year-over-year increase in adjusted total liabilities also occurred between 2024 and 2025, at 43.8%.

Difference Between Total and Adjusted Liabilities

The difference between total liabilities and adjusted total liabilities remained relatively stable between 2021 and 2024, fluctuating between approximately US$9,000 million and US$10,600 million. However, the gap widened considerably in 2025, reaching approximately US$9,519 million. This suggests that the adjustments made to total liabilities had a more pronounced effect in the final year of the observed period.

The consistent presence of adjustments to total liabilities indicates that certain items are being reclassified or revalued. The accelerating growth in both total and adjusted liabilities, coupled with the widening difference between the two, warrants further investigation to understand the nature of these adjustments and their potential impact on the financial position.

Stockholders’ equity exhibited a generally increasing trend over the five-year period. Reported stockholders’ equity increased from US$251,635 million in 2021 to US$415,265 million in 2025. However, adjusted stockholders’ equity presents a slightly different pattern, with a notable divergence in 2022.

Overall Trend in Stockholders’ Equity

Reported stockholders’ equity demonstrates consistent growth throughout the period, with accelerating increases observed between 2023 and 2025. The increase from 2024 to 2025 was particularly substantial, reaching US$90,181 million.

Adjusted Stockholders’ Equity Fluctuations

Adjusted stockholders’ equity, while also generally increasing, experienced a decrease between 2021 and 2022, falling from US$259,981 million to US$256,658 million. This contrasts with the increase in reported stockholders’ equity during the same period. Following 2022, adjusted stockholders’ equity resumed an upward trajectory, mirroring the trend in reported equity, and ultimately reaching US$416,595 million in 2025.

Relationship Between Reported and Adjusted Equity

The difference between reported and adjusted stockholders’ equity varied over the period. In 2021, adjusted equity exceeded reported equity by US$8,346 million. This relationship reversed in 2022, with reported equity exceeding adjusted equity by US$479 million. By 2025, the difference had narrowed to US$670 million, with reported equity remaining slightly lower than adjusted equity.

The discrepancy between reported and adjusted stockholders’ equity in 2022 warrants further investigation to understand the nature of the adjustments made. The subsequent convergence of the two figures suggests that the factors contributing to the 2022 adjustment may have diminished or reversed in later years. The overall growth in both reported and adjusted equity indicates a strengthening financial position over the observed timeframe.

An examination of the financial information reveals notable shifts in both reported and adjusted capitalization structures over the five-year period. While reported total capital consistently increased, the adjustments to debt and equity suggest a more nuanced picture of the company’s financial position.

Total Capital Trend

Reported total capital experienced steady growth, increasing from US$266,565 million in 2021 to US$466,308 million in 2025. This growth appears to be accelerating, with the largest year-over-year increase occurring between 2024 and 2025. Adjusted total capital also increased over the period, moving from US$288,489 million to US$483,591 million, though at a slightly slower pace than the reported figures.

Debt Analysis

Reported total debt remained relatively stable between 2021 and 2023, fluctuating around US$15 billion. However, a substantial increase is observed in 2025, reaching US$51,043 million. The adjusted total debt figures show a similar pattern, though consistently higher than the reported debt, starting at US$28,508 million in 2021 and rising to US$66,996 million in 2025. The divergence between reported and adjusted debt suggests the adjustments are recognizing obligations not fully captured in the initial reporting.

Equity Analysis

Stockholders’ equity demonstrated consistent growth, increasing from US$251,635 million in 2021 to US$415,265 million in 2025. Adjusted stockholders’ equity followed a similar trajectory, beginning at US$259,981 million and reaching US$416,595 million in 2025. The adjusted equity figures were initially higher than reported equity in 2021, decreased in 2022, and then surpassed reported equity again in 2023, remaining higher through 2025. This indicates adjustments are impacting the valuation of equity over time.

Relationship Between Adjusted and Reported Figures

The difference between reported and adjusted figures widens over time, particularly in debt. This suggests that the adjustments are becoming more significant in reflecting a comprehensive financial picture. The consistent increase in both reported and adjusted capital indicates overall financial expansion, but the adjustments highlight potential differences in how liabilities and equity are assessed.

In summary, the company experienced substantial growth in its capital structure. The increasing gap between reported and adjusted figures warrants further investigation to understand the nature and impact of these adjustments on the overall financial health and risk profile.

Revenues and adjusted revenues for the period demonstrate a consistent upward trend. Both metrics exhibit year-over-year growth from 2021 through 2025. The difference between reported revenues and adjusted revenues remains relatively small and stable across the observed period.

Overall Revenue Trend

Revenues increased from US$257,637 million in 2021 to US$402,836 million in 2025, representing a cumulative growth of approximately 56.2%. The growth rate appears to be accelerating, with larger absolute increases observed in later years.

Adjusted Revenue Trend

Adjusted revenues followed a similar trajectory, rising from US$258,436 million in 2021 to US$405,436 million in 2025, a cumulative growth of approximately 56.9%. The pattern of accelerating growth is also present in adjusted revenues.

Revenue Adjustment Analysis

The difference between revenues and adjusted revenues was US$799 million in 2021. This difference increased slightly to US$684 million in 2022, then remained relatively consistent at approximately US$541 million in 2023, US$952 million in 2024, and US$1,600 million in 2025. This suggests that the nature or magnitude of adjustments to revenue is evolving over time, with a more substantial difference appearing in the most recent year.

Year-over-Year Growth Rates

Revenue growth rates were approximately 9.8% (2022), 8.7% (2023), 14.0% (2024), and 15.0% (2025). Adjusted revenue growth rates mirrored these trends closely, at 9.7% (2022), 8.7% (2023), 14.3% (2024), and 15.6% (2025). The acceleration in growth from 2022 to 2023 is modest, but the increases from 2023 to 2024 and 2024 to 2025 are more pronounced.

The consistent growth in both revenue metrics indicates a strong underlying business performance. The increasing difference between revenues and adjusted revenues warrants further investigation to understand the specific nature of these adjustments and their potential impact on financial reporting.

Net income and adjusted net income exhibited distinct trends over the five-year period. While both metrics generally increased, the magnitude and consistency of growth differed significantly. Net income experienced a decrease from 2021 to 2022, followed by recovery and substantial growth in subsequent years. Adjusted net income, however, showed a more pronounced initial decline and a consistently lower value compared to reported net income throughout the period.

Overall Trend

Both net income and adjusted net income demonstrate an overall upward trajectory from 2022 to 2025. However, the growth rate for adjusted net income consistently exceeds that of net income during this recovery phase. The largest absolute increase in net income occurred between 2023 and 2024, while the largest absolute increase in adjusted net income occurred between 2024 and 2025.

Initial Decline (2021-2022)

A notable decrease is observed in both net income and adjusted net income between 2021 and 2022. Net income decreased from US$76,033 million to US$59,972 million, representing a decline of approximately 21.1%. The decrease in adjusted net income was even more substantial, falling from US$76,220 million to US$46,682 million, a decrease of approximately 38.7%. This suggests the presence of significant adjustments impacting reported earnings in 2022.

Divergence Between Metrics

A consistent difference exists between net income and adjusted net income throughout the period. The difference between the two metrics was relatively small in 2021 (US$187 million). However, this difference widened considerably in 2022 (US$13,238 million) and remained substantial in subsequent years, indicating that adjustments consistently reduce reported earnings. By 2025, the difference reached US$13,779 million. This suggests the presence of recurring non-cash or unusual items that are removed in the adjusted net income calculation.

Growth Rates

From 2022 to 2023, net income increased by approximately 22.9%, while adjusted net income increased by approximately 49.7%. From 2023 to 2024, net income increased by approximately 35.9%, while adjusted net income increased by approximately 36.8%. From 2024 to 2025, net income increased by approximately 32.0%, while adjusted net income increased by approximately 52.7%. The consistently higher growth rate of adjusted net income suggests that the items being adjusted for had a more significant negative impact in earlier periods.

In summary, the financial performance, as reflected by these metrics, indicates a recovery from a downturn in 2022, with adjusted net income demonstrating a stronger growth pattern than net income. The consistent adjustments to net income suggest the presence of items that warrant further investigation to understand their nature and impact on the company’s underlying profitability.