Intel Corp. (NASDAQ:INTC)

The financial data indicates several key trends over the five-year period. There is a noticeable decline in asset efficiency as expressed by the reported total asset turnover, which decreases steadily from 0.51 in 2020 to 0.27 in 2024. The adjusted total asset turnover follows a similar pattern, highlighting reduced effectiveness in utilizing assets to generate revenue.

Liquidity ratios such as the current ratio exhibit a downward trend after peaking at 2.1 in 2021. The reported current ratio falls to 1.33 by 2024, and the adjusted ratio shows a comparable decrease, suggesting a diminishing ability to cover short-term liabilities with current assets over the years.

Leverage measures present a mixed picture. The reported debt to equity ratio initially declines slightly but then increases to 0.50 by 2024, reflecting a moderate rise in financial leverage. Adjusted debt to equity aligns closely with this trend. The debt to capital ratio also edges upward, signaling a growing portion of capital structure financed through debt. Financial leverage ratios remain relatively stable with a slight increase toward the end of the period, indicating a cautious but gradually increasing use of debt financing.

Profitability metrics show a marked deterioration. Reported net profit margin drops sharply from 26.84% in 2020 to -35.32% in 2024, indicating a shift from strong profitability to substantial losses. Adjusted net profit margin confirms this negative trajectory, though it is less pronounced. Return on equity (ROE) and return on assets (ROA) follow similar patterns, both sharply declining and turning negative by 2024. These trends point to significant challenges in generating returns for shareholders and a decreasing capacity to convert assets into profits.

Overall, the data reveals a weakening operational efficiency, declining liquidity, increasing leverage, and deteriorating profitability over the analyzed period. These patterns suggest a need for strategic evaluation to address the company's declining financial health.

The financial data indicates several notable trends over the five-year period. Net revenue demonstrates a peak in the earlier years, with a maximum value recorded at the end of 2021, followed by a continuous decline through to the end of 2024. This downward trend suggests challenges in maintaining sales levels or changes in market conditions impacting revenue generation.

Total assets exhibit a consistent upward trajectory, increasing each year from 2020 through 2024. This steady asset growth implies continued investment or accumulation of resources, which may be aimed at future expansion or operational capacity.

The reported total asset turnover ratio shows a decreasing trend over the timeline. Starting near 0.51 in 2020, this ratio declines steadily to about 0.27 by 2024. This falling turnover ratio indicates diminishing efficiency in using assets to generate revenue, as fewer sales are generated per unit of asset over time.

The adjusted total assets mirror the growth seen in total assets, progressively increasing each year. The adjusted total asset turnover ratio similarly declines, reflecting the same pattern as the reported ratio, with a slight variation in the 2023 figure where it briefly stabilizes before continuing downwards. This parallel trend reinforces the observation of declining efficiency in asset utilization.

Combining these observations, the data suggests that while asset bases are expanding, the ability to convert those assets into revenue is weakening. The decline in net revenue coupled with increased assets and falling asset turnover ratios may indicate operational or strategic challenges affecting profitability and asset productivity.

Net revenue

Peaked in 2021 then steadily declined through 2024.

Total assets

Consistently increased over the five years, reflecting asset growth.

Reported total asset turnover

Declined from 0.51 to 0.27, showing reduced efficiency in asset usage.

Adjusted total assets

Showed a steady increase aligned with total assets.

Adjusted total asset turnover

Also decreased, corroborating diminishing turnover efficiency with minor fluctuations.

The analysis of the provided financial data reveals several notable trends in the company's liquidity position over the five-year period.

Current Assets

Current assets initially increased from 47,249 million USD in 2020 to a peak of 57,718 million USD in 2021. Subsequently, a decline occurred, with values decreasing to 50,407 million USD in 2022 and further to 43,269 million USD in 2023. A modest recovery is observed in 2024, with current assets rising again to 47,324 million USD. Overall, the trend indicates volatility and a reduction from the peak in 2021.

Current Liabilities

Current liabilities showed a consistent upward trajectory across the examined years. Starting at 24,754 million USD in 2020, liabilities increased steadily each year, reaching 35,666 million USD by 2024. This steady rise contrasts with the fluctuation observed in current assets and suggests mounting short-term obligations.

Reported Current Ratio

The reported current ratio, defined as current assets divided by current liabilities, decreased over time. The ratio improved from 1.91 in 2020 to 2.1 in 2021, indicating enhanced liquidity initially. Afterward, it dropped to 1.57 in 2022 and slightly declined further to 1.54 in 2023, ultimately reducing to 1.33 in 2024. This downward trend reflects a gradual weakening in short-term liquidity.

Adjusted Figures

Adjusted current liabilities are slightly lower than reported figures starting from 2022, where the 2022 adjusted liabilities are 31,282 million USD compared to 32,155 million USD reported, and a similar pattern continues through 2024. Correspondingly, the adjusted current ratio is marginally higher than the reported ratio during the same years, although the overall decreasing trend remains consistent. The adjusted current ratio decreased from 1.91 in 2020 to 1.34 in 2024, confirming the trend of diminishing liquidity even after adjustments.

In summary, the data reflects a peak in liquidity during 2021, followed by a general decline through 2024. While current liabilities have steadily increased, current assets have shown volatility and a downward tendency after 2021. This dynamics has led to a gradual erosion of the company’s short-term liquidity as measured by both reported and adjusted current ratios.

The financial data reveals several notable trends concerning the company’s debt levels, equity, and leverage ratios over a five-year period ending in December 2024.

Total Debt

Total debt has shown a consistent upward trajectory, increasing from $36,401 million in 2020 to $50,011 million in 2024. This signifies a substantial rise of approximately 37% over the period, with particularly notable increases occurring between 2022 and 2024.

Total Stockholders’ Equity

Equity also grew during the period, rising from $81,038 million in 2020 to a peak of $105,590 million in 2023 before declining to $99,270 million in 2024. This indicates overall growth, though the decrease in the final year suggests some erosion of equity value or potential share repurchases or adjustments.

Reported Debt to Equity Ratio

The reported debt to equity ratio initially decreased from 0.45 in 2020 to 0.40 in 2021, implying improved financial leverage management. However, from 2022 onwards, the ratio increased steadily, reaching 0.50 in 2024. This shift points to a rising reliance on debt financing relative to equity during the latter half of the period.

Adjusted Total Debt and Equity

The adjusted figures follow very similar trends as the reported values. Adjusted total debt increased from $36,928 million in 2020 to $50,471 million in 2024, while adjusted total equity rose from $83,649 million to $106,193 million over the same timeframe. The adjusted debt to equity ratio experienced a fluctuation pattern similar to the reported ratio, decreasing from 0.44 in 2020 to 0.40 in 2021, and subsequently increasing to 0.48 by 2024.

Insights on Financial Leverage

The overall increase in debt levels accompanied by initial growth and subsequent decline in equity suggests a shift toward higher leverage, particularly in the most recent years. Although the equity base remains substantial, the rising debt-to-equity ratios indicate increased financial risk and a greater portion of the company’s capital structure being funded through debt.

Summary

In summary, the data indicates steady growth in both debt and equity with an inflection point around 2022, after which debt growth outpaced equity growth. This has resulted in higher leverage ratios reflecting a more leveraged capital structure as of the end of 2024. Such trends warrant monitoring for potential impacts on financial stability and cost of capital.

The financial data reveals a steady increase in the total debt of the company over the five-year period, rising from $36,401 million in 2020 to $50,011 million in 2024. This represents a substantial growth in the company’s leverage. Concurrently, total capital also showed an overall upward trend, increasing from $117,439 million to $149,281 million, although there was a slight decline from 2023 to 2024.

The reported debt to capital ratio exhibited minor fluctuations during the period. It decreased from 0.31 in 2020 to 0.29 in 2021 and remained stable in 2022, then increased to 0.32 in 2023 and further to 0.34 in 2024. This indicates a gradual increase in the proportion of debt within the capital structure in recent years.

The adjusted total debt follows a similar upward trend to total debt, starting at $36,928 million in 2020 and rising steadily to $50,471 million by 2024. Adjusted total capital also increased overall, from $120,577 million to $156,664 million, showing consistent growth in the company’s capital base.

Regarding the adjusted debt to capital ratio, the value declined slightly from 0.31 in 2020 to 0.28 in 2021, then steadily increased to 0.32 in 2023, where it stabilized through 2024. This stability contrasts with the incremental increase observed in the reported ratio during the last two years.

Overall, the data suggests that while the company's debt levels have increased significantly over the five-year span, the capital base has expanded as well, albeit with some signs of slowing growth in the last year. The leverage ratios reflect a moderate increase in debt relative to capital, indicating a cautious but upward adjustment in financial leverage.

Total Assets

The total assets have shown a consistent upward trend over the five-year period, increasing from $153,091 million in 2020 to $196,485 million in 2024. This reflects a steady asset growth, with the most significant annual increase occurring between 2022 and 2023.

Total Intel Stockholders’ Equity

Stockholders' equity rose from $81,038 million in 2020 to a peak of $105,590 million in 2023 before experiencing a decline to $99,270 million in 2024. The increase over the initial years suggests strengthening shareholder value, although the decrease in the final year indicates a potential reduction in equity, warranting further investigation.

Reported Financial Leverage

The reported financial leverage ratio showed a general decrease from 1.89 in 2020 to 1.77 in 2021, followed by a slight increase and relative stability through 2022 and 2023, before rising to 1.98 in 2024. This indicates that the company initially reduced its leverage but took on more debt or related liabilities relative to equity in the most recent year, suggesting increased financial risk.

Adjusted Total Assets

Adjusted total assets increased steadily from $151,859 million in 2020 to $195,882 million in 2024. The trend closely follows that of total assets, suggesting that the adjustments made did not significantly alter the overall growth perception of the asset base.

Adjusted Total Stockholders’ Equity

Adjusted equity also increased from $83,649 million in 2020 to $106,193 million in 2024, showing continuous growth without the dip observed in the reported equity for 2024. This implies that after adjustments, equity is assessed to be more stable or less volatile, pointing to potential accounting or valuation differences in the adjustments.

Adjusted Financial Leverage

The adjusted financial leverage ratio decreased from 1.82 in 2020 to 1.72 in 2021, then increased gradually to 1.84 in 2024. The pattern is similar to the reported leverage but with slightly lower leverage ratios overall, indicating a relatively more conservative leverage position when adjustments are considered.

Overall Insights

The data reflect steady growth in assets and equity over the five-year span, with adjustments providing a smoother and more optimistic equity trend and lower leverage. The rising leverage in 2024, both reported and adjusted, highlights a turning point where the company may be increasing financial risk. The divergence between reported and adjusted equity in 2024 suggests that adjustments play a role in mitigating perceived volatility or accounting impacts, which should be considered in financial decision-making and risk assessment.

An analysis of the financial data reveals significant fluctuations in the company's profitability and revenue over the five-year period examined.

Net Income (Loss) Attributable to Intel

The net income showed a declining trend, beginning with a strong positive figure of 20,899 million USD in 2020, slightly decreasing to 19,868 million USD in 2021. A sharper decline occurred in 2022, with net income dropping to 8,014 million USD, followed by a substantial decrease to 1,689 million USD in 2023. By 2024, the company reported a net loss of 18,756 million USD, marking a significant reversal from previous years.

Net Revenue

Revenue peaked in 2021 at 79,024 million USD, showing a minor increase from 77,867 million USD in 2020. Subsequently, net revenue declined notably, falling to 63,054 million USD in 2022 and continuing downward to 54,228 million USD in 2023, with a slight further decrease to 53,101 million USD in 2024. This consistent revenue contraction suggests ongoing challenges in maintaining sales volume or pricing.

Reported Net Profit Margin

The net profit margin exhibited a downward trajectory parallel to net income and revenue trends. Starting at 26.84% in 2020, it decreased steadily each year to 25.14% in 2021 and then plunged to 12.71% in 2022. In 2023, the margin contracted sharply to 3.11%, turning negative to -35.32% by 2024, reflecting the net loss position and increasing expense pressures relative to revenue.

Adjusted Net Income (Loss)

Adjusted net income followed a similar pattern of decline but with more volatility. The figure decreased from 23,197 million USD in 2020 to 18,997 million USD in 2021. It then dropped steeply to 4,050 million USD in 2022 and fell into negative territory with a loss of 778 million USD in 2023. The loss expanded significantly to 13,442 million USD in 2024, indicating substantial adjustments that worsened profitability.

Adjusted Net Profit Margin

The pattern of the adjusted net profit margin largely mirrored that of the reported margin, beginning at 29.79% in 2020 and declining to 24.04% in 2021. It then experienced a steep drop to 6.42% in 2022, turned negative at -1.43% in 2023, and further decreased to -25.31% in 2024. The negative margins in the final two years underscore significant operational challenges affecting the company’s core earnings power.

Overall, the data points to a period of increasing financial strain marked by deteriorating profitability despite initially stable revenue. The transition to negative net income and profit margins in the last two years underlines critical issues possibly related to market conditions, cost management, or other internal factors impacting the financial health of the company.

The financial data reveals a clear downward trend in profitability over the analyzed five-year period. Net income attributable to the company experienced a significant decline, starting at $20,899 million in 2020 and dropping sharply to a negative $18,756 million by 2024. This trend is mirrored in the adjusted net income figures, which also decreased notably, moving from $23,197 million in 2020 to a loss of $13,442 million in 2024.

Corresponding to the decline in net income, the reported return on equity (ROE) demonstrated a steep decrease, falling from a strong 25.79% in 2020 to a deeply negative -18.89% in 2024. The adjusted ROE followed a similar pattern, declining from 27.73% in 2020 to -12.66% in 2024, indicating weakening profitability after adjustments as well.

In contrast to the negative trends observed in net income and ROE, total stockholders’ equity showed a generally upward trend during the same period. The reported equity increased from $81,038 million in 2020 to $99,270 million in 2024, reflecting steady growth. Adjusted total stockholders’ equity also increased, from $83,649 million in 2020 to $106,193 million in 2024, indicating a growing equity base when considering adjustments.

The divergence between declining profitability and increasing equity suggests that while the company's asset base or capital structure has expanded, its ability to generate profits on that base has weakened significantly. The negative ROE values in the later years highlight a loss-generating situation relative to shareholders’ equity.

Summary of key trends:

Net income and adjusted net income have decreased considerably, turning negative by 2024.

Reported and adjusted ROE have fallen sharply, becoming negative in the final year, reflecting diminished profitability relative to equity.

Total and adjusted stockholders’ equity increased steadily, indicating growth in the equity base despite deteriorating earnings.

The contrast between rising equity and falling returns suggests challenges in efficiently utilizing capital to generate profits.

The financial data reveals several notable trends over the five-year period analyzed. There is a clear downward trajectory in profitability as measured by both net income and return on assets (ROA), with a notable change in the company's financial health observed toward the end of the period.

Net Income (Loss) Attributable to Intel

The net income demonstrates a significant decline from $20,899 million in 2020 to a loss of $18,756 million in 2024. The most substantial earnings were recorded in 2020 and 2021, followed by a sharp decrease in 2022 and a continuing reduction in subsequent years, culminating in a negative result in 2024.

Total Assets

Total assets show consistent growth throughout the period, increasing from $153,091 million in 2020 to $196,485 million in 2024. Despite the decrease in profitability, the asset base expanded steadily, indicating ongoing investment or acquisition of resources.

Reported Return on Assets (ROA)

Reported ROA declines sharply over the five years, falling from 13.65% in 2020 to a negative figure of -9.55% in 2024. This sharp downturn reflects the diminished efficiency in utilizing assets to generate earnings and aligns with the move from profit to loss.

Adjusted Net Income (Loss)

The adjusted net income, which may exclude certain one-time items or non-operational factors, also follows a downward path, dropping from $23,197 million in 2020 to a loss of $13,442 million in 2024. This measure highlights the core earnings deterioration even when accounting for adjustments.

Adjusted Total Assets

Adjusted total assets increase similarly to reported total assets, moving from $151,859 million in 2020 to $195,882 million in 2024, confirming ongoing asset growth regardless of profitability trends.

Adjusted Return on Assets (Adjusted ROA)

Adjusted ROA declines from 15.28% in 2020 to -6.86% in 2024, mirroring the pattern observed in reported ROA but generally showing slightly higher values throughout the period. This indicates that even after adjustments, asset productivity has deteriorated markedly.

Overall, the analysis highlights a trend of decreasing profitability and return on assets over the examined years, despite steady growth in the asset base. The transition from positive to negative income and ROA points to emerging challenges in operational efficiency or market conditions adversely affecting earnings capacity.