Analysis of Long-term (Investment) Activity Ratios
Quarterly Data
Activity ratios measure how efficiently a company performs day-to-day tasks, such us the collection of receivables and management of inventory.
Long-term Activity Ratios (Summary)
Amazon.com Inc., long-term (investment) activity ratios (quarterly data)
Based on: 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31).
The financial ratios indicate a general declining trend in efficiency metrics over the observed periods.
- Net fixed asset turnover
- This ratio shows a steady decrease from 3.45 in early 2021 to 2.13 projected in late 2025. The decline suggests diminishing efficiency in generating sales from fixed assets over time. Minor fluctuations occur, but the overall trajectory is downward.
- Net fixed asset turnover (including operating lease, right-of-use asset)
- The adjusted net fixed asset turnover ratio also demonstrates a consistent decrease, starting at 2.61 in Q1 2021 and falling to an estimated 1.69 by Q3 2025. This highlights a similar efficiency loss when considering leased assets alongside owned fixed assets.
- Total asset turnover
- Total asset turnover begins at 1.30 in Q1 2021 and declines to 0.95 by Q3 2025. The pattern suggests a gradual reduction in the company's ability to generate revenue relative to its total asset base, which may reflect increased asset investment or slower revenue growth.
- Equity turnover
- Equity turnover declines markedly from 4.06 in early 2021 to a projected 1.87 by late 2025. This ratio's drop signals decreasing effectiveness in utilizing shareholders' equity to produce revenue, potentially reflecting rising equity levels or relatively slower revenue growth compared to equity increases.
Overall, the trends across all turnover ratios reveal a consistent decrease in operational efficiency metrics spanning fixed assets, total assets, and equity. This pattern may indicate heavier asset bases or equity without corresponding growth in revenue, pointing toward a potential need to improve asset utilization and operational productivity going forward.
Net Fixed Asset Turnover
Amazon.com Inc., net fixed asset turnover calculation (quarterly data)
| Sep 30, 2025 | Jun 30, 2025 | Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||||||
| Net sales | 180,169) | 167,702) | 155,667) | 187,792) | 158,877) | 147,977) | 143,313) | 169,961) | 143,083) | 134,383) | 127,358) | 149,204) | 127,101) | 121,234) | 116,444) | 137,412) | 110,812) | 113,080) | 108,518) | ||||||
| Property and equipment, net | 324,435) | 297,616) | 272,781) | 252,665) | 237,917) | 220,717) | 209,950) | 204,177) | 196,468) | 193,784) | 190,754) | 186,715) | 177,195) | 173,706) | 168,468) | 160,281) | 147,152) | 133,502) | 121,461) | ||||||
| Long-term Activity Ratio | |||||||||||||||||||||||||
| Net fixed asset turnover1 | 2.13 | 2.25 | 2.38 | 2.52 | 2.61 | 2.74 | 2.81 | 2.82 | 2.82 | 2.78 | 2.75 | 2.75 | 2.83 | 2.80 | 2.84 | 2.93 | 3.11 | 3.32 | 3.45 | ||||||
| Benchmarks | |||||||||||||||||||||||||
| Net Fixed Asset Turnover, Competitors2 | |||||||||||||||||||||||||
| Home Depot Inc. | 5.82 | 5.71 | 5.84 | 5.84 | 5.97 | 5.98 | 6.07 | 6.14 | 6.23 | 6.15 | 6.06 | 6.00 | 5.92 | 5.83 | 5.73 | 5.35 | 5.27 | 5.10 | 4.94 | ||||||
| Lowe’s Cos. Inc. | 4.76 | 4.80 | 4.87 | 4.89 | 5.15 | 5.37 | 5.50 | 5.53 | 5.55 | 5.10 | 5.05 | 5.05 | 5.03 | 4.97 | 4.95 | 4.68 | 4.57 | 4.32 | 4.00 | ||||||
| TJX Cos. Inc. | 7.91 | 7.98 | 8.29 | 8.25 | 8.36 | 8.31 | 8.53 | 8.63 | 8.84 | 9.21 | 9.43 | 9.21 | 8.84 | 8.46 | 7.46 | 6.38 | 6.67 | 6.61 | 7.08 | ||||||
Based on: 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31).
1 Q3 2025 Calculation
Net fixed asset turnover
= (Net salesQ3 2025
+ Net salesQ2 2025
+ Net salesQ1 2025
+ Net salesQ4 2024)
÷ Property and equipment, net
= (180,169 + 167,702 + 155,667 + 187,792)
÷ 324,435 = 2.13
2 Click competitor name to see calculations.
- Net Sales
- Net sales demonstrated a generally upward trend over the observed periods, increasing from $108.5 billion in the first quarter of 2021 to an estimated $180.2 billion by the third quarter of 2025. This growth was marked by seasonal fluctuations, with peak values typically observed in the fourth quarter each year, indicative of cyclical revenue strength likely related to holiday sales. The growth trajectory accelerated in the later periods, with more pronounced increases in the last quarters of 2023, 2024, and 2025.
- Property and Equipment, Net
- The net value of property and equipment consistently increased throughout the timeline, starting at $121.5 billion in Q1 2021 and reaching approximately $324.4 billion by Q3 2025. This steady expansion signifies ongoing investment in fixed assets, potentially reflecting capacity expansion, technology upgrades, or infrastructure development. Growth in net fixed assets was continuous, indicating a strategic emphasis on long-term asset accumulation.
- Net Fixed Asset Turnover Ratio
- The net fixed asset turnover ratio exhibited a declining trend, decreasing from 3.45 in Q1 2021 to 2.13 by Q3 2025. This ratio measures the efficiency of asset use in generating sales revenue. The decline suggests that while sales rose, the growth in property and equipment outpaced sales increases, reflecting lower sales generated per unit of fixed assets over time. This decreasing efficiency could imply that recent asset investments may not yet be fully optimized or that asset base expansion is outstripping revenue growth efficiency.
- Summary Insights
- Overall, the data reflects strong sales growth concurrent with substantial asset investment. However, the declining net fixed asset turnover ratio highlights a relative decrease in asset productivity. This pattern may warrant further analysis into the nature of asset investments, operational efficiency, and potential future returns on these capital expenditures. The seasonal pattern in sales remains consistent, with significant increases in the fourth quarters, reinforcing the importance of those periods for revenue generation.
Net Fixed Asset Turnover (including Operating Lease, Right-of-Use Asset)
Amazon.com Inc., net fixed asset turnover (including operating lease, right-of-use asset) calculation (quarterly data)
| Sep 30, 2025 | Jun 30, 2025 | Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||||||
| Net sales | 180,169) | 167,702) | 155,667) | 187,792) | 158,877) | 147,977) | 143,313) | 169,961) | 143,083) | 134,383) | 127,358) | 149,204) | 127,101) | 121,234) | 116,444) | 137,412) | 110,812) | 113,080) | 108,518) | ||||||
| Property and equipment, net | 324,435) | 297,616) | 272,781) | 252,665) | 237,917) | 220,717) | 209,950) | 204,177) | 196,468) | 193,784) | 190,754) | 186,715) | 177,195) | 173,706) | 168,468) | 160,281) | 147,152) | 133,502) | 121,461) | ||||||
| Operating leases | 83,456) | 82,125) | 78,495) | 76,141) | 76,527) | 74,575) | 73,313) | 72,513) | 70,758) | 70,332) | 68,262) | 66,123) | 62,033) | 58,430) | 56,161) | 56,082) | 52,151) | 43,346) | 39,328) | ||||||
| Property and equipment, net (including operating lease, right-of-use asset) | 407,891) | 379,741) | 351,276) | 328,806) | 314,444) | 295,292) | 283,263) | 276,690) | 267,226) | 264,116) | 259,016) | 252,838) | 239,228) | 232,136) | 224,629) | 216,363) | 199,303) | 176,848) | 160,789) | ||||||
| Long-term Activity Ratio | |||||||||||||||||||||||||
| Net fixed asset turnover (including operating lease, right-of-use asset)1 | 1.69 | 1.76 | 1.85 | 1.94 | 1.97 | 2.05 | 2.09 | 2.08 | 2.07 | 2.04 | 2.03 | 2.03 | 2.10 | 2.09 | 2.13 | 2.17 | 2.30 | 2.51 | 2.61 | ||||||
| Benchmarks | |||||||||||||||||||||||||
| Net Fixed Asset Turnover (including Operating Lease, Right-of-Use Asset), Competitors2 | |||||||||||||||||||||||||
| Home Depot Inc. | 4.41 | 4.31 | 4.48 | 4.49 | 4.69 | 4.69 | 4.78 | 4.83 | 4.95 | 4.95 | 4.90 | 4.85 | 4.79 | 4.70 | 4.63 | 4.31 | 4.29 | 4.14 | 3.96 | ||||||
| Lowe’s Cos. Inc. | 3.92 | 3.94 | 4.00 | 4.04 | 4.26 | 4.43 | 4.58 | 4.60 | 4.62 | 4.17 | 4.15 | 4.15 | 4.12 | 4.14 | 4.11 | 3.90 | 3.79 | 3.59 | 3.31 | ||||||
| TJX Cos. Inc. | 3.38 | 3.37 | 3.41 | 3.40 | 3.36 | 3.29 | 3.34 | 3.36 | 3.38 | 3.45 | 3.47 | 3.44 | 3.19 | 3.02 | 2.66 | 2.29 | 2.38 | 2.38 | 2.58 | ||||||
Based on: 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31).
1 Q3 2025 Calculation
Net fixed asset turnover (including operating lease, right-of-use asset)
= (Net salesQ3 2025
+ Net salesQ2 2025
+ Net salesQ1 2025
+ Net salesQ4 2024)
÷ Property and equipment, net (including operating lease, right-of-use asset)
= (180,169 + 167,702 + 155,667 + 187,792)
÷ 407,891 = 1.69
2 Click competitor name to see calculations.
- Net Sales Trends
- Net sales demonstrate a generally upward trajectory over the reported periods. Beginning at approximately $108.5 billion in the first quarter of 2021, net sales experienced growth with some fluctuations, reaching about $149.2 billion by the fourth quarter of 2021. Following a brief dip in early 2022, sales continued to increase steadily, culminating in a significant peak around $187.8 billion in the final quarter of 2024. The trend reflects strong expansion, although there are interim periods of slower growth or slight declines, notably in the earlier quarters of 2023 and 2024, before accelerating again.
- Property and Equipment, Net
- The net value of property and equipment, including operating lease right-of-use assets, shows consistent growth throughout the entire timeline. Starting near $161 billion at the end of the first quarter of 2021, the asset base expands progressively each quarter. By the fourth quarter of 2024, the net property and equipment value reaches almost $408 billion, more than doubling over the span of four years. This continuous increase indicates ongoing investment and capital expenditure to support business operations and growth initiatives.
- Net Fixed Asset Turnover Ratio
- The net fixed asset turnover ratio, which measures the efficiency in using fixed assets to generate sales, exhibits a downward trend. Beginning at 2.61 in the first quarter of 2021, the ratio gradually declines throughout the periods, falling to 1.69 by the third quarter of 2025. This consistent decrease suggests that although asset base has grown substantially, sales growth has not kept pace with the expansion of fixed assets, indicating a reduction in asset utilization efficiency over time.
- Combined Analysis
- The data indicate robust growth in net sales and significant capital investment reflected in increasing property and equipment values. However, the declining fixed asset turnover ratio highlights diminishing efficiency in asset usage, which may warrant closer examination of asset deployment strategies or the lag effect of recent investments on revenue generation. The overall pattern underscores a business scaling operations but facing challenges in maintaining proportional sales revenue relative to asset growth.
Total Asset Turnover
Amazon.com Inc., total asset turnover calculation (quarterly data)
| Sep 30, 2025 | Jun 30, 2025 | Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||||||
| Net sales | 180,169) | 167,702) | 155,667) | 187,792) | 158,877) | 147,977) | 143,313) | 169,961) | 143,083) | 134,383) | 127,358) | 149,204) | 127,101) | 121,234) | 116,444) | 137,412) | 110,812) | 113,080) | 108,518) | ||||||
| Total assets | 727,921) | 682,170) | 643,256) | 624,894) | 584,626) | 554,818) | 530,969) | 527,854) | 486,883) | 477,607) | 464,378) | 462,675) | 428,362) | 419,728) | 410,767) | 420,549) | 382,406) | 360,319) | 323,077) | ||||||
| Long-term Activity Ratio | |||||||||||||||||||||||||
| Total asset turnover1 | 0.95 | 0.98 | 1.01 | 1.02 | 1.06 | 1.09 | 1.11 | 1.09 | 1.14 | 1.13 | 1.13 | 1.11 | 1.17 | 1.16 | 1.16 | 1.12 | 1.20 | 1.23 | 1.30 | ||||||
| Benchmarks | |||||||||||||||||||||||||
| Total Asset Turnover, Competitors2 | |||||||||||||||||||||||||
| Home Depot Inc. | 1.59 | 1.57 | 1.92 | 1.99 | 2.03 | 2.03 | 2.04 | 2.06 | 2.05 | 2.05 | 1.99 | 2.10 | 2.02 | 2.04 | 1.95 | 1.87 | 1.88 | 1.88 | 1.91 | ||||||
| Lowe’s Cos. Inc. | 1.87 | 1.87 | 1.88 | 2.07 | 2.12 | 2.09 | 2.09 | 2.22 | 2.04 | 2.04 | 1.92 | 2.16 | 1.93 | 1.92 | 1.84 | 1.92 | 1.68 | 1.55 | 1.62 | ||||||
| TJX Cos. Inc. | 1.74 | 1.82 | 1.85 | 1.82 | 1.72 | 1.77 | 1.75 | 1.76 | 1.73 | 1.83 | 1.80 | 1.71 | 1.52 | 1.50 | 1.25 | 1.04 | 1.06 | 1.27 | 1.45 | ||||||
Based on: 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31).
1 Q3 2025 Calculation
Total asset turnover
= (Net salesQ3 2025
+ Net salesQ2 2025
+ Net salesQ1 2025
+ Net salesQ4 2024)
÷ Total assets
= (180,169 + 167,702 + 155,667 + 187,792)
÷ 727,921 = 0.95
2 Click competitor name to see calculations.
The analysis of the financial data over the specified periods reveals several key trends across net sales, total assets, and total asset turnover.
- Net Sales
-
Net sales exhibit a general upward trajectory with periodic fluctuations. Starting at $108,518 million in the first quarter of 2021, net sales increased steadily through 2021 and 2022, reaching a peak of $187,792 million by the fourth quarter of 2024. There are seasonal variations visible, notably higher sales in the fourth quarters each year, which align with typical holiday season gains.
Mid-2023 to early-2025 data continue this growth pattern, although the rate of increase appears somewhat more moderated compared to earlier years. The trend suggests consistent expansion in revenue generation over time despite some quarterly variability.
- Total Assets
-
Total assets show consistent growth throughout the period under review. Beginning at $323,077 million in early 2021, total assets increase progressively each quarter, reaching $727,921 million by the third quarter of 2025.
This steady asset growth indicates ongoing investments and expansion of resources. The growth pace appears relatively stable without sharp increases or declines, reflecting sustained capital accumulation and possibly acquisitions or infrastructure enhancement.
- Total Asset Turnover
-
The total asset turnover ratio, which measures the efficiency of asset use to generate sales, displays a declining trend over the analyzed quarters. It starts at a ratio of 1.3 in the first quarter of 2021 and decreases gradually to 0.95 by the third quarter of 2025.
This declining ratio suggests that although net sales are increasing, total assets are growing at a faster rate than sales. As a result, the company's efficiency in utilizing its assets to generate revenue is reducing over time. The downward trend may point towards potential asset underutilization or increasing investment in assets that have yet to translate into proportionate sales growth.
In summary, the company exhibits strong and consistent revenue growth alongside significant accumulation of assets. However, the efficiency metric implied by total asset turnover indicates a gradual reduction in how effectively assets are being used to produce sales. This suggests that management may need to focus on optimizing asset utilization to sustain profitability and operating efficiency with continuing expansion.
Equity Turnover
Amazon.com Inc., equity turnover calculation (quarterly data)
| Sep 30, 2025 | Jun 30, 2025 | Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||||||
| Net sales | 180,169) | 167,702) | 155,667) | 187,792) | 158,877) | 147,977) | 143,313) | 169,961) | 143,083) | 134,383) | 127,358) | 149,204) | 127,101) | 121,234) | 116,444) | 137,412) | 110,812) | 113,080) | 108,518) | ||||||
| Stockholders’ equity | 369,631) | 333,775) | 305,867) | 285,970) | 259,151) | 236,447) | 216,661) | 201,875) | 182,973) | 168,602) | 154,526) | 146,043) | 137,489) | 131,402) | 134,001) | 138,245) | 120,564) | 114,803) | 103,320) | ||||||
| Long-term Activity Ratio | |||||||||||||||||||||||||
| Equity turnover1 | 1.87 | 2.01 | 2.13 | 2.23 | 2.39 | 2.56 | 2.73 | 2.85 | 3.03 | 3.19 | 3.40 | 3.52 | 3.65 | 3.70 | 3.57 | 3.40 | 3.80 | 3.86 | 4.06 | ||||||
| Benchmarks | |||||||||||||||||||||||||
| Equity Turnover, Competitors2 | |||||||||||||||||||||||||
| Home Depot Inc. | 26.72 | 34.41 | 83.42 | 146.23 | 107.49 | 116.01 | 430.25 | 100.77 | 121.18 | 655.02 | — | — | 142.70 | 69.80 | 80.86 | 40.05 | 81.84 | — | — | ||||||
| Lowe’s Cos. Inc. | — | — | — | — | — | — | — | — | — | — | — | — | — | — | 212.01 | 62.35 | 20.95 | 18.46 | 43.17 | ||||||
| TJX Cos. Inc. | 6.90 | 7.15 | 7.32 | 7.42 | 7.66 | 7.75 | 7.83 | 7.85 | 8.70 | 9.20 | 8.91 | 8.09 | 7.08 | 6.75 | 6.16 | 5.51 | 6.00 | 7.24 | 7.78 | ||||||
Based on: 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31).
1 Q3 2025 Calculation
Equity turnover
= (Net salesQ3 2025
+ Net salesQ2 2025
+ Net salesQ1 2025
+ Net salesQ4 2024)
÷ Stockholders’ equity
= (180,169 + 167,702 + 155,667 + 187,792)
÷ 369,631 = 1.87
2 Click competitor name to see calculations.
- Net Sales
- Net sales exhibit a generally increasing trend over the observed periods, with some short-term fluctuations. Starting at approximately 108.5 billion USD in the first quarter of 2021, net sales rise steadily to peak at around 187.8 billion USD by the fourth quarter of 2024. Periods of more significant growth are evident between late 2021 and early 2022, as well as from late 2023 through 2024. Despite consistent growth, quarterly sales show seasonality, with stronger performance typically recorded in the fourth quarters, reflecting possible seasonal spending patterns.
- Stockholders’ Equity
- Stockholders’ equity has shown a strong upward trajectory, advancing from about 103.3 billion USD in the first quarter of 2021 to an estimated 369.6 billion USD by the third quarter of 2025. This reflects a robust accumulation of net assets, underlying sustained capital growth. The equity increases nearly every quarter, indicating consistent reinvestment of earnings or additional capital inflows. The steady rise in equity suggests a strengthening balance sheet and enhanced shareholder value over the period.
- Equity Turnover Ratio
- The equity turnover ratio demonstrates a declining trend throughout the timeframe, falling from 4.06 in early 2021 to 1.87 by late 2025. This ratio decline indicates that the company is generating less sales per unit of equity over time. The reduction is gradual but consistent, which may suggest that while equity is growing rapidly, sales growth is not keeping pace proportionately. The diminishing equity turnover ratio signals a potential decrease in operational efficiency or a shift in the company’s asset intensity relative to sales generation.
- Overall Analysis
- The data reveals a company experiencing strong growth in both sales and equity, signaling an expanding business and an increasingly solid financial foundation. However, the declining equity turnover ratio highlights a relative decrease in sales efficiency per equity dollar, which may warrant further examination of capital utilization or asset deployment strategies. The interplay of rising equity alongside slower relative sales growth might suggest strategic investments or shifts in business model affecting asset intensity. Seasonality and cyclical trends also appear relevant, particularly in net sales fluctuations.