Stock Analysis on Net
Stock Analysis on Net

Axon Enterprise Inc. (NASDAQ:AXON)

This company has been moved to the archive! The financial data has not been updated since May 9, 2023.

Common-Size Balance Sheet: Liabilities and Stockholders’ Equity 

Axon Enterprise Inc., common-size consolidated balance sheet: liabilities and stockholders’ equity

Microsoft Excel
Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019 Dec 31, 2018
Accounts payable 2.10 1.91 1.75 3.06 2.11
Accrued salaries, benefits and bonus 3.43 3.70 2.67 2.93 2.65
Accrued professional, consulting and lobbying fees 0.14 0.42 0.22 0.38 0.68
Accrued warranty expense 0.03 0.17 0.06 0.17 0.12
Accrued income and other taxes 0.48 0.22 0.28 0.40 0.58
Accrued inventory in transit 0.37 0.59 0.33 0.49 0.00
Other accrued expenses 1.03 1.04 0.77 0.95 1.68
Accrued liabilities 5.47% 6.14% 4.33% 5.32% 5.71%
Current portion of deferred revenue 12.62 15.73 11.87 13.94 14.87
Customer deposits 0.72 0.62 0.21 0.35 0.38
Other current liabilities 0.22 0.39 0.39 0.46 0.01
Current liabilities 21.13% 24.79% 18.56% 23.13% 23.07%
Deferred revenue, net of current portion 8.70 11.00 8.05 10.40 10.34
Liability for unrecognized tax benefits 0.38 0.22 0.33 0.45 0.40
Long-term deferred compensation 0.22 0.34 0.34 0.47 0.45
Deferred tax liability, net 0.00 0.05 0.05 0.04 0.00
Long-term operating lease liabilities 1.30 1.21 1.37 0.80 0.00
Convertible notes, net 23.63 0.00 0.00 0.00 0.00
Other long-term liabilities 0.16 0.32 0.61 0.44 0.79
Long-term liabilities 34.39% 13.14% 10.75% 12.60% 11.98%
Total liabilities 55.52% 37.93% 29.31% 35.73% 35.05%
Preferred stock, $0.00001 par value; no shares issued and outstanding 0.00 0.00 0.00 0.00 0.00
Common stock, $0.00001 par value 0.00 0.00 0.00 0.00 0.00
Additional paid-in capital 41.19 64.88 69.67 62.47 63.01
Treasury stock at cost -5.47 -9.24 -11.29 -18.44 -21.67
Retained earnings 9.01 6.51 12.30 20.37 23.82
Accumulated other comprehensive income (loss) -0.25 -0.08 0.01 -0.13 -0.21
Stockholders’ equity 44.48% 62.07% 70.69% 64.27% 64.95%
Total liabilities and stockholders’ equity 100.00% 100.00% 100.00% 100.00% 100.00%

Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31).

Liabilities

Overall, total liabilities as a percentage of total liabilities and stockholders’ equity increased significantly from 35.05% in 2018 to 55.52% in 2022, indicating a rising reliance on liabilities for financing.

Current liabilities showed fluctuations, decreasing from 23.07% in 2018 to 18.56% in 2020, then peaking at 24.79% in 2021 before declining to 21.13% in 2022. This suggests variability in short-term obligations over the period.

Long-term liabilities remained relatively stable between 2018 and 2021 (about 11.98% to 13.14%), followed by a sharp increase to 34.39% in 2022, largely driven by the introduction of convertible notes at 23.63% of total liabilities and equity, highlighting new long-term debt issuance.

Among accrued liabilities, most individual categories displayed minor fluctuations without clear trends. For example, accrued salaries, benefits, and bonuses remained mostly within 2.65% to 3.7%, while accrued warranty expense stayed low and erratic.

Current portion of deferred revenue showed a decline overall, from 14.87% in 2018 to 12.62% in 2022, though with a peak at 15.73% in 2021, indicating changes in the timing or recognition of revenue.

Other specific liabilities such as accrued professional fees and accrued income taxes decreased over time but ended with slight increases or fluctuations.

Stockholders’ Equity

Stockholders’ equity as a percentage of total liabilities and stockholders’ equity decreased steadily from 64.95% in 2018 to 44.48% in 2022, reflecting the relative growth in liabilities.

Additional paid-in capital declined notably from 69.67% in 2020 to 41.19% in 2022, suggesting less reliance on equity financing or possible share repurchases or capital structure changes.

Treasury stock at cost showed a consistent reduction in negative percentage terms, moving from -21.67% in 2018 to -5.47% in 2022, implying a decrease in treasury stock holdings relative to total financing components.

Retained earnings decreased notably from 23.82% in 2018 to a low of 6.51% in 2021, before a slight recovery to 9.01% in 2022, indicating fluctuations in accumulated profits retained within the company.

Accumulated other comprehensive income (loss) remained minimal and mostly negative, showing no significant impact on total equity.

Summary of Trends

The data reveals a shift in the capital structure over the five-year period, with increasing reliance on liabilities, particularly long-term debt in 2022 driven by convertible notes, and a corresponding decline in stockholders’ equity ratios.

Current liabilities exhibited some volatility but remained a significant proportion of total financing, while individual accrued liabilities showed limited systematic change.

The decline in additional paid-in capital along with decreasing treasury stock suggests changes in equity-related activities, possibly affecting the ownership structure.

Retained earnings’ downward trend points to either reduced profitability retention or increased distributions in the years prior to 2022, with some recuperation in the last reported year.