Costco Wholesale Corp. (NASDAQ:COST)

Current Assets

Current assets exhibited a consistent upward trend from 2019 to 2023, increasing from $23,485 million to $35,879 million. This represents a significant growth over the five-year period, indicating improved liquidity and possibly enhanced operational capacity.

In the most recent period ending September 1, 2024, current assets declined slightly to $34,246 million. This minor decrease may suggest a stabilization phase or a strategic reallocation of resources.

Adjusted Current Assets

Adjusted current assets mirrored the trend observed in current assets, starting at $23,485 million in 2019 and rising steadily to $35,879 million by 2023. The adjustment appears to have negligible impact on the overall trend, indicating consistency in asset classification or valuation methods during this timeframe.

Similar to current assets, adjusted current assets declined to $34,246 million in 2024, reaffirming the slight contraction seen in the latest fiscal year.

The analysis of the annual financial data reveals a consistent upward trend in both total assets and adjusted total assets over the six-year period presented.

Total assets

The total assets exhibited steady growth each year, starting at 45,400 million US dollars in 2019 and increasing to 69,831 million US dollars by 2024. This represents a compound increase, indicating a significant asset expansion of approximately 53.7% over the period. The year-to-year increases were relatively consistent, with no periods of decline or stagnation.

Adjusted total assets

Adjusted total assets followed a similar trajectory, beginning at 46,884 million US dollars in 2019 and rising to 69,283 million US dollars in 2024. The adjusted values remain closely aligned with the reported total assets, with slight variations but maintaining the upward trend. This indicates that adjustments made to the asset values did not materially alter the overall growth pattern and suggest stable asset valuation adjustments over time.

Overall, the data suggest robust asset growth, reflecting potentially successful investment, acquisition, or organic expansion strategies leading to increased resource base and capacity. The close correspondence between total and adjusted assets underscores consistency in financial reporting and asset valuation practices throughout the analyzed years.

The annual financial data indicates a consistent upward trend in both total liabilities and adjusted total liabilities over the six-year period.

Total liabilities

The total liabilities increased steadily from 29,816 million US dollars in 2019 to 46,209 million US dollars in 2024. This represents a significant increase of approximately 55% over the period. The rise appears relatively consistent year over year, with the largest year-to-year increases occurring between 2019 and 2020, and continuing at a moderate pace through 2024.

Adjusted total liabilities

The adjusted total liabilities also show a similar consistent upward trend, rising from 31,155 million US dollars in 2019 to 45,440 million US dollars in 2024. The adjusted figures closely follow the pattern of total liabilities, with fluctuations proportionally similar each year. This suggests that adjustments do not significantly change the overall liability trend but provide a slightly higher liability estimate each year compared to the total liabilities reported.

Overall, the data reveals a persistent increase in the company’s liabilities over the analyzed period, indicating growing financial obligations. The steady rise in both recorded and adjusted liabilities suggests the company might be leveraging more debt or incurring more obligations as part of its operations or expansion strategy. Monitoring these increasing liabilities in conjunction with other financial indicators would be advisable to assess financial stability and risk exposure comprehensively.

The analysis of the annual financial data reveals several trends concerning the equity position over the six-year period ending in 2024.

Total Costco stockholders' equity

This value demonstrated an overall increasing trend from 2019 through 2023, rising from 15,243 million USD in 2019 to a peak of 25,058 million USD in 2023. However, in 2024 there was a slight decrease to 23,622 million USD. The upward trend over the initial years indicates strengthening equity, while the reduction in 2024 suggests a potential variation in retained earnings, share repurchases, or other equity-related transactions.

Adjusted total equity

Similar to total stockholders’ equity, adjusted total equity increased from 15,729 million USD in 2019 to 25,362 million USD in 2023. In 2024, it also decreased to 23,843 million USD. The parallel movement with total equity confirms consistency in the adjustment measures applied. The fluctuations imply that adjustments have maintained a stable relation to the reported total equity figure over time.

Overall, the equity base expanded strongly from 2019 to 2023, reflecting growth and value accumulation within the company. The moderate decreases observed in 2024 merit further investigation to understand the underlying causes, such as changes in earnings, dividend policy, or other capital management decisions.

The financial data reveals several key trends over the examined periods, reflecting changes in debt, equity, and overall capital structure.

Total Reported Debt

This metric displayed a gradual increase from 7,244 million USD in 2019 to a peak of 8,543 million USD in 2021, followed by a declining trend down to 7,395 million USD by 2024. The initial rise may indicate increased borrowing, whereas the subsequent decrease suggests efforts toward debt reduction or improved cash flow management.

Total Costco Stockholders' Equity

Stockholders’ equity consistently increased throughout the periods, rising from 15,243 million USD in 2019 to 25,058 million USD in 2023, with a slight decrease to 23,622 million USD in 2024. This overall upward movement reflects stronger equity financing, potentially due to retained earnings growth or equity issuance, enhancing the company’s net worth.

Total Reported Capital

Total reported capital, the sum of debt and equity, followed an upward trajectory consistent with equity growth, increasing from 22,487 million USD in 2019 to 32,948 million USD in 2023, before a moderate decline to 31,017 million USD in 2024. This suggests expanded financial resources over time, with a recent stabilization or consolidation phase.

Adjusted Total Debt

Adjusted total debt mirrored the trend of reported debt but at higher absolute levels, starting at 9,126 million USD in 2019 and rising to 11,407 million USD in 2021. Subsequently, it decreased steadily to 9,949 million USD by 2024, reinforcing the observation of initial leverage increase followed by debt reduction efforts when considering additional adjustments.

Adjusted Total Equity

Adjusted equity also demonstrated consistent growth from 15,729 million USD in 2019 to 25,362 million USD in 2023, decreasing slightly to 23,843 million USD in 2024. This pattern aligns closely with reported equity trends, indicating sustained equity value growth even after adjustments.

Adjusted Total Capital

The overall adjusted total capital increased from 24,855 million USD in 2019 to 35,898 million USD in 2023, followed by a contraction to 33,792 million USD in 2024. This suggests that while the company expanded its base of combined debt and equity, there was a partial retrenchment or strategic capital restructuring in the latest period.

In summary, the data points to a phase of capital growth characterized by increasing equity and controlled debt increments until 2021, after which debt levels show a declining trend. Equity maintains a generally positive trend, supporting capital expansion. Adjusted figures affirm these observations, highlighting the company’s movement toward optimizing its capital structure in recent years.

Net Income Attributable to Costco

The net income attributable to Costco exhibited a consistent upward trend over the six-year period. Starting from $3,659 million in 2019, it increased each year, reaching $7,367 million by 2024. This represents a more than doubling of net income, indicating strong profitability growth and possibly effective cost management or revenue expansion during this timeframe.

Adjusted Net Income Including Noncontrolling Interests

The adjusted net income, which includes noncontrolling interests, follows a similar ascending pattern as net income. Beginning at $3,601 million in 2019, it rose steadily to $7,243 million by 2024. The growth pace is consistent with the net income trend, suggesting that adjustments and noncontrolling interests do not materially alter the overall profitability trajectory. This consistency reinforces the underlying financial strength of the company.