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)
Express Scripts Holding Co., long-term (investment) activity ratios (quarterly data)
Based on: 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31), 10-K (reporting date: 2017-12-31), 10-Q (reporting date: 2017-09-30), 10-Q (reporting date: 2017-06-30), 10-Q (reporting date: 2017-03-31), 10-K (reporting date: 2016-12-31), 10-Q (reporting date: 2016-09-30), 10-Q (reporting date: 2016-06-30), 10-Q (reporting date: 2016-03-31), 10-K (reporting date: 2015-12-31), 10-Q (reporting date: 2015-09-30), 10-Q (reporting date: 2015-06-30), 10-Q (reporting date: 2015-03-31), 10-K (reporting date: 2014-12-31), 10-Q (reporting date: 2014-09-30), 10-Q (reporting date: 2014-06-30), 10-Q (reporting date: 2014-03-31), 10-K (reporting date: 2013-12-31), 10-Q (reporting date: 2013-09-30), 10-Q (reporting date: 2013-06-30), 10-Q (reporting date: 2013-03-31).
The analysis of the quarterly financial ratios reveals several notable trends over the observed periods.
- Net Fixed Asset Turnover
- The net fixed asset turnover ratio is not available for the early quarters but begins at 62.75 in March 2013. From this point, it shows a gradual increase through 2013 and 2014, rising from 61.33 to 75.86, indicating improving efficiency in using fixed assets to generate sales. This upward trend continues throughout 2015 and 2016, peaking around 81.19 in September 2016. There is slight fluctuation but generally stable performance around the 78 to 81 range through 2017. Starting in March 2018, a significant jump is observed, with ratios sharply increasing to 181.51 and peaking at 206.46 by the end of the analyzed period, suggesting a dramatic improvement in asset utilization or possibly changes in asset base or sales figures impacting the ratio.
- Total Asset Turnover
- The total asset turnover ratio shows relative stability over the periods of analysis. Initial data from March 2013 indicates values around 1.94 to 1.88, with minor fluctuations between quarters. The ratio maintains a narrow range mostly between 1.83 and 2 throughout the entire timeframe, reflecting steady efficiency in total asset utilization for revenue generation without significant volatility or marked improvement.
- Equity Turnover
- Equity turnover begins with ratios around 4.77 in early 2013 and exhibits some variability over the period. The ratio fluctuates moderately between 4.65 and 6.85, with peaks occurring notably in the mid-2015 to mid-2016 period, where values exceed 6.5. From late 2016 through 2017, the ratio remains relatively stable around 6.0 to 6.3 but starts to decline gradually after 2017, decreasing from 5.52 in March 2018 down to 4.93 by the end of the data, indicating reduced efficiency in generating revenue from shareholders’ equity over time toward the end of the period.
Net Fixed Asset Turnover
Express Scripts Holding Co., net fixed asset turnover calculation (quarterly data)
| Sep 30, 2018 | Jun 30, 2018 | Mar 31, 2018 | Dec 31, 2017 | Sep 30, 2017 | Jun 30, 2017 | Mar 31, 2017 | Dec 31, 2016 | Sep 30, 2016 | Jun 30, 2016 | Mar 31, 2016 | Dec 31, 2015 | Sep 30, 2015 | Jun 30, 2015 | Mar 31, 2015 | Dec 31, 2014 | Sep 30, 2014 | Jun 30, 2014 | Mar 31, 2014 | Dec 31, 2013 | Sep 30, 2013 | Jun 30, 2013 | Mar 31, 2013 | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||||||||||||||||||||||||||
| Revenues | 25,563,200) | 25,641,800) | 24,769,400) | 25,378,800) | 24,683,400) | 25,347,500) | 24,654,900) | 24,863,300) | 25,410,100) | 25,222,300) | 24,791,800) | 26,175,400) | 25,222,600) | 25,454,200) | 24,899,600) | 26,312,600) | 25,778,500) | 25,111,000) | 23,685,000) | 25,781,400) | 25,915,600) | 26,381,900) | 26,019,900) | |||||||
| Property and equipment, net | 490,900) | 504,700) | 552,900) | 551,300) | 1,266,600) | 1,255,200) | 1,277,800) | 1,273,600) | 1,255,500) | 1,249,100) | 1,259,700) | 1,291,300) | 1,343,100) | 1,411,900) | 1,510,200) | 1,584,000) | 1,639,900) | 1,644,100) | 1,659,400) | 1,658,900) | 1,629,200) | 1,663,600) | 1,679,700) | |||||||
| Long-term Activity Ratio | ||||||||||||||||||||||||||||||
| Net fixed asset turnover1 | 206.46 | 199.08 | 181.19 | 181.51 | 78.60 | 79.89 | 78.38 | 78.74 | 80.92 | 81.19 | 80.69 | 78.80 | 75.86 | 72.56 | 67.61 | 63.69 | 61.20 | 61.12 | 61.33 | 62.75 | — | — | — | |||||||
| Benchmarks | ||||||||||||||||||||||||||||||
| Net Fixed Asset Turnover, Competitors2 | ||||||||||||||||||||||||||||||
| Abbott Laboratories | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||||
| Elevance Health Inc. | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||||
| Intuitive Surgical Inc. | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||||
| Medtronic PLC | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||||
| UnitedHealth Group Inc. | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||||
Based on: 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31), 10-K (reporting date: 2017-12-31), 10-Q (reporting date: 2017-09-30), 10-Q (reporting date: 2017-06-30), 10-Q (reporting date: 2017-03-31), 10-K (reporting date: 2016-12-31), 10-Q (reporting date: 2016-09-30), 10-Q (reporting date: 2016-06-30), 10-Q (reporting date: 2016-03-31), 10-K (reporting date: 2015-12-31), 10-Q (reporting date: 2015-09-30), 10-Q (reporting date: 2015-06-30), 10-Q (reporting date: 2015-03-31), 10-K (reporting date: 2014-12-31), 10-Q (reporting date: 2014-09-30), 10-Q (reporting date: 2014-06-30), 10-Q (reporting date: 2014-03-31), 10-K (reporting date: 2013-12-31), 10-Q (reporting date: 2013-09-30), 10-Q (reporting date: 2013-06-30), 10-Q (reporting date: 2013-03-31).
1 Q3 2018 Calculation
Net fixed asset turnover
= (RevenuesQ3 2018
+ RevenuesQ2 2018
+ RevenuesQ1 2018
+ RevenuesQ4 2017)
÷ Property and equipment, net
= (25,563,200 + 25,641,800 + 24,769,400 + 25,378,800)
÷ 490,900 = 206.46
2 Click competitor name to see calculations.
The financial data reveals several key trends in the company's operations over the analyzed periods.
- Revenues
- The revenue figures exhibit fluctuations across the quarters but generally maintain a level between approximately 23.7 billion and 26.5 billion US dollars. Initially, revenues declined from around 26 billion in early 2013 to a low point near 23.7 billion in the first quarter of 2014. Following this, there was a recovery phase with revenues increasing to about 26.3 billion by the end of 2014. Post-2014, revenues display some variability, often oscillating in the 24.7 to 26 billion range. No clear sustained upward or downward trend is visible, but periodic variability suggests responsiveness to operational or market conditions.
- Property and Equipment, Net
- There is a clear downward trend in net property and equipment values from 2013 through 2018. The figures decrease steadily from approximately 1.68 billion US dollars in early 2013 to under 0.5 billion US dollars by late 2018. This consistent decline may indicate asset disposals, depreciation outpacing new investment, or restructuring of fixed assets. Of note is a marked reduction in the 2017-2018 period, where the net property and equipment value falls significantly from over 1.2 billion to under 0.5 billion US dollars, suggesting a major asset divestiture or reclassification during this time frame.
- Net Fixed Asset Turnover Ratio
- This ratio, available only starting in late 2013, shows a strong upward trajectory through to the end of the reported period. Starting at about 62.75 in the last quarter of 2013, the ratio increases gradually each quarter, reaching values surpassing 200 by late 2018. The increasing net fixed asset turnover indicates the company is generating substantially more revenue per unit of net fixed assets held. This aligns with the observed decline in net fixed assets, implying improved asset utilization or changes in asset base composition leading to higher efficiency in generating sales from the fixed asset investment.
In summary, the data indicates that while revenues have fluctuated within a moderate range, the company has been reducing its net property and equipment substantially over time. Meanwhile, asset turnover efficiency has improved markedly, suggesting a strategic focus on asset optimization or shifts in business operations that reduce asset intensity. The combination of steady revenues and rising asset turnover despite contracting fixed asset base points to enhanced efficiency or operational changes during the period analyzed.
Total Asset Turnover
Express Scripts Holding Co., total asset turnover calculation (quarterly data)
| Sep 30, 2018 | Jun 30, 2018 | Mar 31, 2018 | Dec 31, 2017 | Sep 30, 2017 | Jun 30, 2017 | Mar 31, 2017 | Dec 31, 2016 | Sep 30, 2016 | Jun 30, 2016 | Mar 31, 2016 | Dec 31, 2015 | Sep 30, 2015 | Jun 30, 2015 | Mar 31, 2015 | Dec 31, 2014 | Sep 30, 2014 | Jun 30, 2014 | Mar 31, 2014 | Dec 31, 2013 | Sep 30, 2013 | Jun 30, 2013 | Mar 31, 2013 | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||||||||||||||||||||||||||
| Revenues | 25,563,200) | 25,641,800) | 24,769,400) | 25,378,800) | 24,683,400) | 25,347,500) | 24,654,900) | 24,863,300) | 25,410,100) | 25,222,300) | 24,791,800) | 26,175,400) | 25,222,600) | 25,454,200) | 24,899,600) | 26,312,600) | 25,778,500) | 25,111,000) | 23,685,000) | 25,781,400) | 25,915,600) | 26,381,900) | 26,019,900) | |||||||
| Total assets | 55,441,600) | 54,677,800) | 53,405,600) | 54,255,800) | 51,206,200) | 50,513,400) | 51,056,000) | 51,744,900) | 50,909,300) | 50,858,600) | 51,107,600) | 53,243,300) | 51,996,500) | 51,867,800) | 51,905,100) | 53,798,900) | 53,439,200) | 54,633,800) | 52,747,100) | 53,548,200) | 54,763,000) | 54,581,500) | 55,585,700) | |||||||
| Long-term Activity Ratio | ||||||||||||||||||||||||||||||
| Total asset turnover1 | 1.83 | 1.84 | 1.88 | 1.84 | 1.94 | 1.99 | 1.96 | 1.94 | 2.00 | 1.99 | 1.99 | 1.91 | 1.96 | 1.98 | 1.97 | 1.88 | 1.88 | 1.84 | 1.93 | 1.94 | — | — | — | |||||||
| Benchmarks | ||||||||||||||||||||||||||||||
| Total Asset Turnover, Competitors2 | ||||||||||||||||||||||||||||||
| Abbott Laboratories | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||||
| Elevance Health Inc. | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||||
| Intuitive Surgical Inc. | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||||
| Medtronic PLC | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||||
| UnitedHealth Group Inc. | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||||
Based on: 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31), 10-K (reporting date: 2017-12-31), 10-Q (reporting date: 2017-09-30), 10-Q (reporting date: 2017-06-30), 10-Q (reporting date: 2017-03-31), 10-K (reporting date: 2016-12-31), 10-Q (reporting date: 2016-09-30), 10-Q (reporting date: 2016-06-30), 10-Q (reporting date: 2016-03-31), 10-K (reporting date: 2015-12-31), 10-Q (reporting date: 2015-09-30), 10-Q (reporting date: 2015-06-30), 10-Q (reporting date: 2015-03-31), 10-K (reporting date: 2014-12-31), 10-Q (reporting date: 2014-09-30), 10-Q (reporting date: 2014-06-30), 10-Q (reporting date: 2014-03-31), 10-K (reporting date: 2013-12-31), 10-Q (reporting date: 2013-09-30), 10-Q (reporting date: 2013-06-30), 10-Q (reporting date: 2013-03-31).
1 Q3 2018 Calculation
Total asset turnover
= (RevenuesQ3 2018
+ RevenuesQ2 2018
+ RevenuesQ1 2018
+ RevenuesQ4 2017)
÷ Total assets
= (25,563,200 + 25,641,800 + 24,769,400 + 25,378,800)
÷ 55,441,600 = 1.83
2 Click competitor name to see calculations.
The financial data reveals several notable trends over the analyzed periods. Revenues have exhibited fluctuations across quarters, generally maintaining a range between approximately 23.7 billion and 26.3 billion US dollars. A decline in revenues is observable in the first quarter of 2014 compared to the same quarter of 2013, followed by a recovery in subsequent quarters. However, revenues did not return to the highest levels seen in early 2013. Throughout 2015 and 2016, revenues exhibited relative stability with some seasonal variation, while in 2017 and 2018, they remained somewhat consistent, with slight downward and upward movements but no significant growth trend.
Total assets have shown a gradual downward trend from approximately 55.6 billion US dollars at the end of March 2013 to around 51.0 billion at the end of June 2017. After mid-2017, total assets increased again, reaching around 55.4 billion by the third quarter of 2018. This trend suggests a cyclical pattern where the asset base contracted steadily for several years and then expanded again toward the end of the period analyzed.
The total asset turnover ratio, available for the period from March 31, 2014, onwards, consistently remains near 1.8 to 2.0. This ratio reflects how efficiently the company uses its assets to generate revenues. The ratio exhibits minor quarter-to-quarter fluctuations but no significant trend, indicating stable operational efficiency in asset utilization. The ratio hovers around approximately 1.9 to 2.0 for most quarters, with occasional slight dips and increases, suggesting the company maintained a fairly steady efficiency level in asset use throughout this period.
- Revenues
- Display fluctuations within a typical range and a slight decline at the start of 2014 with partial recovery afterward, stabilizing at a level below early 2013 peaks.
- Total Assets
- Experience a general decline from early 2013 to mid-2017, followed by a recovery through to late 2018, indicating changes in the asset base possibly related to strategic adjustments or capital expenditures.
- Total Asset Turnover
- Maintains relative stability, indicating consistent efficiency in converting assets into revenues, with values generally close to 2.0 without large variations.
Overall, the data points to a company maintaining stable operational performance and asset efficiency despite some variability in revenues and significant shifts in its asset base over the stated timeframe. The periods of asset decline and subsequent increase warrant further analysis to understand underlying causes such as asset sales, acquisitions, or changes in investment strategy.
Equity Turnover
Express Scripts Holding Co., equity turnover calculation (quarterly data)
| Sep 30, 2018 | Jun 30, 2018 | Mar 31, 2018 | Dec 31, 2017 | Sep 30, 2017 | Jun 30, 2017 | Mar 31, 2017 | Dec 31, 2016 | Sep 30, 2016 | Jun 30, 2016 | Mar 31, 2016 | Dec 31, 2015 | Sep 30, 2015 | Jun 30, 2015 | Mar 31, 2015 | Dec 31, 2014 | Sep 30, 2014 | Jun 30, 2014 | Mar 31, 2014 | Dec 31, 2013 | Sep 30, 2013 | Jun 30, 2013 | Mar 31, 2013 | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||||||||||||||||||||||||||
| Revenues | 25,563,200) | 25,641,800) | 24,769,400) | 25,378,800) | 24,683,400) | 25,347,500) | 24,654,900) | 24,863,300) | 25,410,100) | 25,222,300) | 24,791,800) | 26,175,400) | 25,222,600) | 25,454,200) | 24,899,600) | 26,312,600) | 25,778,500) | 25,111,000) | 23,685,000) | 25,781,400) | 25,915,600) | 26,381,900) | 26,019,900) | |||||||
| Total Express Scripts stockholders’ equity | 20,565,900) | 19,370,000) | 18,442,500) | 18,119,600) | 15,916,500) | 15,744,600) | 15,922,600) | 16,236,000) | 15,600,300) | 15,403,100) | 14,841,100) | 17,372,800) | 16,538,300) | 15,822,200) | 20,604,800) | 20,054,200) | 20,157,700) | 20,451,900) | 21,874,300) | 21,837,400) | 23,702,300) | 23,866,500) | 23,617,800) | |||||||
| Long-term Activity Ratio | ||||||||||||||||||||||||||||||
| Equity turnover1 | 4.93 | 5.19 | 5.43 | 5.52 | 6.25 | 6.37 | 6.29 | 6.18 | 6.51 | 6.58 | 6.85 | 5.86 | 6.16 | 6.47 | 4.96 | 5.03 | 4.98 | 4.91 | 4.65 | 4.77 | — | — | — | |||||||
| Benchmarks | ||||||||||||||||||||||||||||||
| Equity Turnover, Competitors2 | ||||||||||||||||||||||||||||||
| Abbott Laboratories | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||||
| Elevance Health Inc. | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||||
| Intuitive Surgical Inc. | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||||
| Medtronic PLC | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||||
| UnitedHealth Group Inc. | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||||
Based on: 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31), 10-K (reporting date: 2017-12-31), 10-Q (reporting date: 2017-09-30), 10-Q (reporting date: 2017-06-30), 10-Q (reporting date: 2017-03-31), 10-K (reporting date: 2016-12-31), 10-Q (reporting date: 2016-09-30), 10-Q (reporting date: 2016-06-30), 10-Q (reporting date: 2016-03-31), 10-K (reporting date: 2015-12-31), 10-Q (reporting date: 2015-09-30), 10-Q (reporting date: 2015-06-30), 10-Q (reporting date: 2015-03-31), 10-K (reporting date: 2014-12-31), 10-Q (reporting date: 2014-09-30), 10-Q (reporting date: 2014-06-30), 10-Q (reporting date: 2014-03-31), 10-K (reporting date: 2013-12-31), 10-Q (reporting date: 2013-09-30), 10-Q (reporting date: 2013-06-30), 10-Q (reporting date: 2013-03-31).
1 Q3 2018 Calculation
Equity turnover
= (RevenuesQ3 2018
+ RevenuesQ2 2018
+ RevenuesQ1 2018
+ RevenuesQ4 2017)
÷ Total Express Scripts stockholders’ equity
= (25,563,200 + 25,641,800 + 24,769,400 + 25,378,800)
÷ 20,565,900 = 4.93
2 Click competitor name to see calculations.
The financial data exhibits several notable trends and patterns over the observed periods. Revenues generally fluctuate within a range, displaying some seasonality but maintaining a relatively stable average over time. Beginning at approximately 26 billion US dollars in early 2013, revenues experienced a decline in the first quarter of 2014, dropping below 24 billion US dollars, followed by a gradual recovery back to mid-25 billion US dollars levels toward the end of the observed period in late 2018. This suggests a temporary downturn with subsequent stabilization.
Total stockholders’ equity demonstrates a different pattern, with a marked decline starting in late 2013 from around 23.6 billion US dollars to a low near 15 billion US dollars by mid-2016. Following this trough, there is a clear recovery trend, with equity rising steadily to over 20.5 billion US dollars by the third quarter of 2018. This indicates a period of equity erosion potentially linked to operational or market challenges, followed by a gradual rebuilding phase.
Equity turnover ratio data, available from late 2013 onward, reveals fluctuations consistent with changes in revenues and equity. Initially reported around 4.77, the ratio increased gradually, peaking above 6.8 in late 2016, which coincides with the lowest levels of equity. The ratio then saw a downward trend in 2017 and 2018, ending near 4.93. This pattern reflects an initially increasing efficiency in generating revenues from equity during the equity decline, followed by reduced turnover as equity recovered.
- Revenue Trends
- Revenues show a cyclical pattern with declines in early 2014 and partial recovery thereafter. The overall level remains broadly stable across the periods after initial dips.
- Stockholders’ Equity
- There is a significant decrease in equity from late 2013 through mid-2016, followed by a steady recovery after that period, suggesting capital structure adjustments and potential profitability challenges in the earlier years.
- Equity Turnover Ratio
- The ratio increases sharply as equity falls, indicating improved revenue generation relative to equity during stress periods, before declining as equity rebounds, reflecting normalization of operational efficiency.