Stock Analysis on Net
Stock Analysis on Net

Express Scripts Holding Co. (NASDAQ:ESRX)

This company has been moved to the archive! The financial data has not been updated since October 31, 2018.

Analysis of Property, Plant and Equipment

Microsoft Excel

Property, Plant and Equipment Disclosure

Express Scripts Holding Co., balance sheet: property, plant and equipment

US$ in thousands

Microsoft Excel
Dec 31, 2017 Dec 31, 2016 Dec 31, 2015 Dec 31, 2014 Dec 31, 2013
Land and buildings 195,300 184,700 200,000 224,000 215,800
Furniture 74,500 70,400 71,900 72,800 71,600
Equipment 543,500 801,400 773,000 785,100 707,500
Computer software — 1,926,000 1,733,800 1,638,600 1,582,300
Leasehold improvements 290,800 240,500 229,000 194,100 173,400
Property and equipment, gross 1,104,100 3,223,000 3,007,700 2,914,600 2,750,600
Accumulated depreciation (552,800) (1,949,400) (1,716,400) (1,330,600) (1,091,700)
Property and equipment, net 551,300 1,273,600 1,291,300 1,584,000 1,658,900

Based on: 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31).

Item Description The company
Property and equipment, gross Amount before accumulated depreciation, depletion and amortization of physical assets used in the normal conduct of business and not intended for resale. Examples include, but are not limited to, land, buildings, machinery and equipment, office equipment, and furniture and fixtures. Express Scripts Holding Co. property and equipment, gross increased from 2015 to 2016 but then decreased significantly from 2016 to 2017.
Property and equipment, net Amount after accumulated depreciation, depletion and amortization of physical assets used in the normal conduct of business to produce goods and services and not intended for resale. Examples include, but are not limited to, land, buildings, machinery and equipment, office equipment, and furniture and fixtures. Express Scripts Holding Co. property and equipment, net decreased from 2015 to 2016 and from 2016 to 2017.

Asset Age Ratios (Summary)

Express Scripts Holding Co., asset age ratios

Microsoft Excel
Dec 31, 2017 Dec 31, 2016 Dec 31, 2015 Dec 31, 2014 Dec 31, 2013
Average age ratio 50.07% 60.48% 57.07% 45.65% 39.69%
Estimated total useful life (years) 8 10 5 6 6
Estimated age, time elapsed since purchase (years) 4 6 3 3 3
Estimated remaining life (years) 4 4 2 3 4

Based on: 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31).

Asset age ratio Description The company
Average age ratio As long as straight-line depreciation is used, this is an accurate estimate of asset age as a percentage of depreciable life. The relative age is a useful measure of whether the company fixed asset base is old or new. Newer assets are likely to be more efficient. Express Scripts Holding Co. average age ratio of depreciable property, plant and equipment deteriorated from 2015 to 2016 but then improved from 2016 to 2017 exceeding 2015 level.
Estimated total useful life Over longer time periods, this ratio is a useful measure of company depreciation policy and can be used for comparisons with competitors. Express Scripts Holding Co. estimated total useful life of depreciable property, plant and equipment increased from 2015 to 2016 but then slightly decreased from 2016 to 2017.
Estimated time elapsed since purchase The approximate age in years of a company fixed assets. Useful for comparison purposes. Express Scripts Holding Co. estimated time elapsed since purchase of depreciable property, plant and equipment deteriorated from 2015 to 2016 but then improved from 2016 to 2017 not reaching 2015 level.
Estimated remaining life Express Scripts Holding Co. estimated remaining life of depreciable property, plant and equipment increased from 2015 to 2016 and from 2016 to 2017.

Average Age

Microsoft Excel
Dec 31, 2017 Dec 31, 2016 Dec 31, 2015 Dec 31, 2014 Dec 31, 2013
Selected Financial Data (US$ in thousands)
Accumulated depreciation 552,800 1,949,400 1,716,400 1,330,600 1,091,700
Property and equipment, gross 1,104,100 3,223,000 3,007,700 2,914,600 2,750,600
Asset Age Ratio
Average age1 50.07% 60.48% 57.07% 45.65% 39.69%

Based on: 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31).

2017 Calculations

1 Average age = 100 × Accumulated depreciation ÷ Property and equipment, gross
= 100 × 552,800 ÷ 1,104,100 = 50.07%

Asset age ratio Description The company
Average age As long as straight-line depreciation is used, this is an accurate estimate of asset age as a percentage of depreciable life. The relative age is a useful measure of whether the company fixed asset base is old or new. Newer assets are likely to be more efficient. Express Scripts Holding Co. average age ratio of depreciable property, plant and equipment deteriorated from 2015 to 2016 but then improved from 2016 to 2017 exceeding 2015 level.

Estimated Total Useful Life

Microsoft Excel
Dec 31, 2017 Dec 31, 2016 Dec 31, 2015 Dec 31, 2014 Dec 31, 2013
Selected Financial Data (US$ in thousands)
Property and equipment, gross 1,104,100 3,223,000 3,007,700 2,914,600 2,750,600
Depreciation expense 134,600 321,800 628,200 489,400 428,800
Asset Age Ratio (Years)
Estimated total useful life1 8 10 5 6 6

Based on: 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31).

2017 Calculations

1 Estimated total useful life = Property and equipment, gross ÷ Depreciation expense
= 1,104,100 ÷ 134,600 = 8

Asset age ratio Description The company
Estimated total useful life Over longer time periods, this ratio is a useful measure of company depreciation policy and can be used for comparisons with competitors. Express Scripts Holding Co. estimated total useful life of depreciable property, plant and equipment increased from 2015 to 2016 but then slightly decreased from 2016 to 2017.

Estimated Age, Time Elapsed since Purchase

Microsoft Excel
Dec 31, 2017 Dec 31, 2016 Dec 31, 2015 Dec 31, 2014 Dec 31, 2013
Selected Financial Data (US$ in thousands)
Accumulated depreciation 552,800 1,949,400 1,716,400 1,330,600 1,091,700
Depreciation expense 134,600 321,800 628,200 489,400 428,800
Asset Age Ratio (Years)
Time elapsed since purchase1 4 6 3 3 3

Based on: 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31).

2017 Calculations

1 Time elapsed since purchase = Accumulated depreciation ÷ Depreciation expense
= 552,800 ÷ 134,600 = 4

Asset age ratio Description The company
Estimated time elapsed since purchase The approximate age in years of a company fixed assets. Useful for comparison purposes. Express Scripts Holding Co. estimated time elapsed since purchase of depreciable property, plant and equipment deteriorated from 2015 to 2016 but then improved from 2016 to 2017 not reaching 2015 level.

Estimated Remaining Life

Microsoft Excel
Dec 31, 2017 Dec 31, 2016 Dec 31, 2015 Dec 31, 2014 Dec 31, 2013
Selected Financial Data (US$ in thousands)
Property and equipment, net 551,300 1,273,600 1,291,300 1,584,000 1,658,900
Depreciation expense 134,600 321,800 628,200 489,400 428,800
Asset Age Ratio (Years)
Estimated remaining life1 4 4 2 3 4

Based on: 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31).

2017 Calculations

1 Estimated remaining life = Property and equipment, net ÷ Depreciation expense
= 551,300 ÷ 134,600 = 4

Asset age ratio Description The company
Estimated remaining life Express Scripts Holding Co. estimated remaining life of depreciable property, plant and equipment increased from 2015 to 2016 and from 2016 to 2017.