Intuit Inc. (NASDAQ:INTU)

Asset Turnover

The reported total asset turnover ratio demonstrates a consistent decline from 1.08 in 2019 to 0.46 in 2022, followed by a moderate recovery to 0.52 in 2023 and a slight decrease to 0.51 in 2024. The adjusted total asset turnover follows a very similar pattern, indicating a significant reduction in efficiency in utilizing assets to generate revenue over the initial years, with some stabilization in the most recent periods.

Current Ratio

The reported current ratio experiences fluctuations, increasing from 1.83 in 2019 to a peak of 2.26 in 2020, then declining substantially to 1.39 in 2022 before a minor improvement to 1.47 in 2023 and a drop again to 1.29 in 2024. Adjusted figures show a higher starting point and maintain higher ratios overall, with a similar downward trend from 2.78 in 2020 to 1.46 in 2024, signaling a gradual decrease in short-term liquidity over the examined period.

Debt to Equity and Debt to Capital Ratios

The company’s reported debt to equity ratio surged sharply from 0.12 in 2019 to 0.66 in 2020, then exhibited volatility, declining to 0.21 in 2021 before rising again and stabilizing around the mid-0.3 range in the latest years. The debt to capital ratio shows a comparable trend with a peak of 0.4 in 2020, followed by decreases and stabilization near 0.25 by 2024. Adjusted ratios closely mirror these patterns, implying that leverage increased notably in 2020 but subsequently moderated though remaining above 2019 levels.

Financial Leverage

The reported financial leverage ratio increased from 1.68 in 2019 to 2.14 in 2020, then decreased to 1.57 in 2021, with minor variations thereafter terminating at 1.74 in 2024. Adjusted financial leverage trends are similar but exhibit slightly lower absolute values. This indicates a rise in leverage during 2020, followed by a reduction and relative stability at moderately elevated levels compared to the beginning of the period.

Profitability Metrics

The reported net profit margin was relatively high and stable from 2019 to 2021, peaking at 23.78% in 2020 before declining sharply to 16.23% in 2022, and then showing a moderate recovery to 18.19% by 2024. Adjusted net profit margin also declined overall but shows a more pronounced drop in 2023 to 12.56%, improving somewhat to 15.18% in 2024. This suggests pressures on profitability emerging after 2021 with partial recovery in recent years.

Return on Equity (ROE)

The reported ROE exhibits a marked downward trend from a very high 41.53% in 2019 to 12.57% in 2022, with a modest increase to 16.07% by 2024. The adjusted ROE similarly declines from 35.5% to 12.22% over the same period and rises slightly to 13.1% in 2024. These changes point to significant challenges in generating returns on shareholder equity, especially strong deterioration after 2019, with signs of a modest recovery.

Return on Assets (ROA)

Reported ROA decreased from 24.78% in 2019 down to a low of 7.45% in 2022, followed by slight improvement to 9.22% in 2024. The adjusted ROA also declines over the period, from 23.59% to 7.88% in 2022 and then marginally increasing to 7.84% in 2024. This consistent downward trajectory reflects diminished overall efficiency in asset utilization to generate profits, with only limited signs of recovery toward the end of the period.

Overall Insights

The data reveals a period of heightened leverage and reduced asset turnover beginning in 2020, accompanied by declines in liquidity ratios, profitability margins, and returns on equity and assets through at least 2022. The slight improvements seen in 2023 and 2024 across many indicators suggest a tentative stabilization or recovery phase. However, profitability and efficiency metrics remain below their earlier levels, implying ongoing operational and financial challenges.

Net Revenue

Net revenue has shown a consistent upward trajectory from 2019 to 2024. Beginning at $6,784 million in 2019, it increased steadily each year, reaching $16,285 million in 2024. The most significant increments are observed between 2020 to 2022, with growth slowing but remaining positive in the subsequent periods.

Total Assets

Total assets experienced notable growth over the analyzed period. Starting at $6,283 million in 2019, total assets surged to $32,132 million by 2024. The increase was especially pronounced between 2020 and 2022, where the asset base more than doubled, before stabilizing somewhat in 2023 and 2024.

Reported Total Asset Turnover

The reported total asset turnover ratio declined overall from 1.08 in 2019 to 0.51 in 2024. The ratio fell sharply after 2019, reaching a low of 0.46 in 2022, indicating slower asset utilization or lower revenue generation per unit of asset. There was a slight recovery to 0.52 in 2023 and stabilization in 2024.

Adjusted Net Revenue

Adjusted net revenue follows a similar trend to net revenue with consistent growth across the years. The values start at $6,823 million in 2019 and increase steadily to $16,235 million in 2024. This adjusted figure remains slightly higher than reported net revenue but with parallel growth patterns.

Adjusted Total Assets

Adjusted total assets increased from $6,637 million in 2019 to $31,439 million in 2024. The growth trajectory closely mirrors that of the reported total assets, with substantial increases between 2019 and 2022 and relative stabilization thereafter.

Adjusted Total Asset Turnover

The adjusted total asset turnover ratio also demonstrates a declining trend from 1.03 in 2019 to 0.52 in 2024. Similar to the reported ratio, it dips to a low point of 0.46 in 2022, with a modest recovery and stabilization thereafter, indicating a decline in efficiency in generating revenue from assets over the period, followed by slight improvement.

Current Assets

Current assets showed a generally upward trend between 2019 and 2024, with an increase from $3,594 million in 2019 to $9,678 million in 2024. Notably, there was a peak in 2020 at $7,980 million, followed by a decline in 2021 and 2022 before rising again in the last two years.

Current Liabilities

Current liabilities also increased significantly over the period, rising from $1,966 million in 2019 to $7,491 million in 2024. The figures show notable volatility, with a sharp increase in 2020, a drop in 2021, and a continuous rise afterward, reaching the highest point in 2024.

Reported Current Ratio

The reported current ratio fluctuated during the period. It peaked at 2.26 in 2020, indicating improved short-term liquidity, but then declined steadily to 1.29 by 2024. This downward trend suggests decreasing liquidity or increasing current liabilities relative to current assets in recent years.

Adjusted Current Assets

Adjusted current assets closely followed the trend of reported current assets, rising from $3,597 million in 2019 to $9,683 million in 2024. The adjustments had a minor impact overall, maintaining the pattern of an initial increase, mid-period decline, and subsequent recovery.

Adjusted Current Liabilities

Adjusted current liabilities exhibited a more moderate increase compared to reported liabilities, rising from $1,347 million in 2019 to $6,619 million in 2024. The trend shows fluctuations similar to reported liabilities, but with a generally lower base and less volatility until recent years.

Adjusted Current Ratio

The adjusted current ratio started at a strong 2.67 in 2019 and increased slightly to 2.78 in 2020, indicating robust liquidity after adjustments. However, it declined steadily thereafter, reaching 1.46 in 2024. This pattern suggests that while liquidity remained relatively strong after adjustment, it weakened consistently over time, mirroring the trend seen in the reported ratio but at higher levels.

Overall Analysis

The financial data indicates an overall increase in both current assets and liabilities over the period, with liabilities growing at a faster pace in recent years, contributing to declining current ratios. Both reported and adjusted ratios reveal a trend of diminishing liquidity, particularly after 2020. The adjusted ratios stay consistently higher than reported ones, reflecting the effect of adjustments on liabilities and assets. The decline in liquidity ratios highlights a potential risk in short-term financial stability that may warrant closer management attention.

The financial data reveals significant fluctuations in both debt and equity levels over the examined periods. Total debt exhibited a marked increase from July 31, 2019 to July 31, 2020, rising from 436 million USD to 3,369 million USD. This surge was followed by a decline in the subsequent year to 2,034 million USD but then escalated sharply to reach a peak of 6,914 million USD by July 31, 2022. In the years following, total debt showed a moderate decreasing trend, stabilizing around 6,038 million USD by July 31, 2024.

Stockholders’ equity demonstrated a generally strong upward trajectory during the entire period. Starting at 3,749 million USD in 2019, it increased consistently to 5,106 million USD in 2020, followed by a substantial jump to 9,869 million USD in 2021. This growth continued robustly into 2022 and beyond, reaching 18,436 million USD by the end of the most recent period in 2024.

When examining the reported debt to equity ratio, there is clear evidence of variability that aligns with fluctuations in total debt and equity. The ratio began at a low 0.12 in 2019, surged to 0.66 in 2020, reflecting the steep increase in debt relative to equity. It then dropped sharply to 0.21 in 2021, corresponding with the significant equity growth and debt reduction. The ratio climbed again to 0.42 in 2022 before gradually decreasing to 0.33 by 2024, indicating a relative stabilization with equity growing faster than debt in the later years.

Adjusted figures mirror the trends observed in reported values but at higher absolute levels. Adjusted total debt followed a similar pattern, rising sharply to 3,636 million USD in 2020, then fluctuating before peaking at 7,540 million USD in 2022 and easing slightly after. Adjusted stockholders’ equity increased steadily, converging with the reported equity trends and reaching 18,809 million USD by 2024.

The adjusted debt to equity ratio moves in close alignment with the reported ratio, showing an increase from 0.18 in 2019 to a peak of 0.64 in 2020, a drop to 0.22 in 2021, a rise to 0.42 in 2022, and a gradual decline to 0.35 by 2024. This similarity confirms the consistent relationship between debt and equity under both reported and adjusted measures.

Overall, the data suggests a period of heightened leverage around 2020 and 2022, followed by a phase of consolidation and equity strengthening. The stable downward movement in debt-to-equity ratios in the most recent years signals improved financial leverage management and a stronger equity base relative to debt.

Total Debt

The total debt exhibited substantial volatility during the analyzed periods. Initially, there was a sharp increase from 436 million USD in 2019 to 3,369 million USD in 2020. This was followed by a decline to 2,034 million USD in 2021. Subsequently, total debt escalated considerably to a peak of 6,914 million USD in 2022 before moderately decreasing to 6,120 million USD in 2023 and further to 6,038 million USD in 2024. Overall, the debt levels demonstrate a pattern of significant increase with fluctuations over the years.

Total Capital

Total capital showed a consistent upward trend throughout the period. Beginning at 4,185 million USD in 2019, the capital base more than doubled by 2020 reaching 8,475 million USD, and continued to grow substantially to 11,903 million USD in 2021. The upward trajectory accelerated in 2022 with total capital rising to 23,355 million USD, followed by stabilization around the 23,000 to 24,000 million USD range in 2023 and 2024. This steady growth highlights an expansion in the company's capital resources over the study period.

Reported Debt to Capital Ratio

The reported debt to capital ratio mirrored the fluctuations observed in total debt, but remained relatively moderate. Starting at a low ratio of 0.10 in 2019, it surged to 0.40 in 2020, reflecting increased leverage. The ratio then dropped significantly to 0.17 in 2021, before rising again to 0.30 in 2022. In the final two years, 2023 and 2024, the ratio declined slightly to 0.26 and 0.25 respectively, indicating a modest reduction in leverage. Overall, leverage levels showed volatility but stayed below 0.4 after 2020.

Adjusted Total Debt

Adjusted total debt figures followed a pattern similar to reported total debt but exhibited higher absolute values in all periods. Beginning at 788 million USD in 2019, adjusted debt increased sharply to 3,636 million USD in 2020 before declining to 2,480 million USD in 2021. It then rose to its highest level of 7,540 million USD in 2022, followed by decreases to 6,689 million USD and 6,567 million USD in 2023 and 2024, respectively. The adjusted debt data confirm the trend of significant debt variability with a peak in 2022.

Adjusted Total Capital

Adjusted total capital consistently increased over the time frame, beginning from 5,199 million USD in 2019 and reaching 9,356 million USD in 2020. The upward trend continued to 13,654 million USD in 2021 and surged to 25,434 million USD in 2022. In 2023 and 2024, adjusted capital stabilized in the 24,800 to 25,400 million USD range. This reflects a strong and steady expansion of the company's adjusted capital base, in line with the reported total capital growth.

Adjusted Debt to Capital Ratio

The adjusted debt to capital ratio follows a trend similar to the reported ratio but with slightly higher values throughout the period. The ratio increased from 0.15 in 2019 to 0.39 in 2020, decreased to 0.18 in 2021, surged again to 0.30 in 2022, and then moderately declined to 0.27 in 2023 and 0.26 in 2024. This pattern indicates fluctuating leverage with peaks coinciding with debt increases, yet overall maintaining leverage ratios under the 0.4 level after 2020.

Total Assets

The total assets demonstrated a consistent upward trend from July 31, 2019, through July 31, 2024. The asset base grew significantly from approximately $6.3 billion in 2019 to over $32.1 billion in 2024, more than quintupling over the six-year period. Notable acceleration in asset growth occurred between 2020 and 2022, with the figure nearly doubling from about $11 billion to over $27.7 billion.

Stockholders’ Equity

Stockholders' equity followed a similar growth trajectory, increasing markedly from $3.7 billion in 2019 to $18.4 billion in 2024. The equity balance expanded steadily each year, with the most pronounced increase observed from 2020 onward. The rise in equity suggests considerable value creation and retained earnings accumulation over the timeframe.

Reported Financial Leverage

Reported financial leverage showed some variability but remained within a relatively narrow band between 1.57 and 2.14. It rose from 1.68 in 2019 to a peak of 2.14 in 2020, before declining again to 1.57 in 2021. Subsequent years experienced moderate fluctuations, stabilizing around 1.6 to 1.7. This pattern indicates a balanced approach to leverage, without significant increases in reliance on debt relative to equity.

Adjusted Total Assets

The adjusted total assets closely mirror the movement in reported total assets, growing from $6.6 billion in 2019 to $31.4 billion in 2024. The adjusted figures confirm the strong asset growth trend, with a similar rate of increase and a slight recalibration in absolute values compared to reported assets.

Adjusted Stockholders’ Equity

Adjusted stockholders’ equity increased substantially from $4.4 billion in 2019 to nearly $18.8 billion in 2024. The adjusted equity consistently exceeded reported equity, highlighting possible accounting adjustments or revaluations that favorably impacted the equity balance. The steady annual increases reflect sustained profitability and equity strengthening.

Adjusted Financial Leverage

The adjusted financial leverage ratio remained below the reported leverage across all periods and exhibited a declining trend initially, moving from 1.5 in 2019 up to 1.9 in 2020, then falling to a low of 1.4 in 2021. From 2021 onwards, the ratio gradually increased but did not exceed 1.67 by 2024. This indicates a conservative leverage posture when considering adjustments, with effective management of asset and equity balances.

The financial data reveals several noteworthy trends over the analyzed periods, reflecting changes in profitability, revenue growth, and margin stability.

Net Income

The net income exhibits a consistent upward trajectory from 2019 to 2024, increasing from $1,557 million to $2,963 million. This represents almost a doubling in net income over the six-year span, with particularly notable increments occurring between 2022 and 2024.

Net Revenue

Net revenue shows a robust and steady increase throughout the period, rising from $6,784 million in 2019 to $16,285 million in 2024. The growth rate appears to accelerate especially from 2020 onwards, highlighting strong top-line expansion across these years.

Reported Net Profit Margin

The reported net profit margin starts at 22.95% in 2019, peaking at 23.78% in 2020, before entering a downward phase that bottoms at 16.23% in 2022. Following this, a modest recovery is observed in 2023 and 2024, reaching 18.19%. This indicates some margin compression during the mid-period, with partial restoration in more recent years.

Adjusted Net Income

Adjusted net income trends similarly to reported net income, starting at $1,566 million in 2019 and moving upward to $2,464 million in 2024. The values are closely aligned with the reported figures, though a dip occurs in 2023 before rebounding in 2024.

Adjusted Net Revenue

Adjusted net revenue parallels the pattern of reported net revenue, increasing from $6,823 million to $16,235 million over the period. This confirms consistent revenue growth even after adjustments.

Adjusted Net Profit Margin

The adjusted net profit margin reflects a similar trajectory to the reported margin but shows slightly lower percentages in recent years. It begins at 22.95% in 2019, peaks at 23.07% in 2020, and then declines to a low of 12.56% in 2023 before partially recovering to 15.18% in 2024. This variation suggests that adjustments have increased expense recognition or affected profitability measures, especially in the latter years.

In summary, the company has demonstrated strong revenue growth over the six-year horizon, nearly doubling its top-line figures. Although net income has also increased substantially, profit margins have experienced significant compression from 2020 through 2023, with some recovery observed in 2024. The divergence between reported and adjusted profit margins in recent years indicates the impact of non-recurring items or accounting adjustments. Overall, the data reflects a growing business with improving profitability in the latest period following a phase of margin erosion.

Net Income

Net income demonstrated a consistent upward trend over the six-year period, increasing from $1,557 million in 2019 to $2,963 million in 2024. This represents nearly a doubling of net income, with steady annual growth except for a minor plateau between 2021 and 2022.

Stockholders’ Equity

Stockholders’ equity showed a significant increase, more than quadrupling from $3,749 million in 2019 to $18,436 million in 2024. The growth was particularly pronounced between 2020 and 2022, indicating strong capital accumulation or retained earnings during these years.

Reported Return on Equity (ROE)

Reported ROE declined substantially from 41.53% in 2019 to a low of 12.57% in 2022. After this decline, a moderate recovery took place, with ROE reaching 16.07% by 2024. Despite the recovery, the ROE in recent years remains considerably lower than the initial levels, suggesting increased equity base outpacing net income growth.

Adjusted Net Income

Adjusted net income generally increased from $1,566 million in 2019 to $2,464 million in 2024, although it experienced a noticeable dip in 2023, falling to $1,818 million before rebounding the following year. This pattern may indicate the impact of non-recurring or adjusted items affecting profitability in certain periods.

Adjusted Stockholders’ Equity

Adjusted stockholders’ equity grew substantially over the period, rising from $4,411 million in 2019 to $18,809 million in 2024. The trend mirrors that of reported equity, with marked growth particularly between 2020 and 2022, followed by more modest increases thereafter.

Adjusted Return on Equity (ROE)

Adjusted ROE decreased from 35.5% in 2019 to 10.02% in 2023, reflecting a consistent downward trend similar to reported ROE, with a recovery to 13.1% in 2024. The lower adjusted ROE values compared to reported figures highlight the impact of adjustments on profitability metrics and indicate a reduction in returns relative to equity invested.

The financial data reveals several notable trends over the six-year period under review.

Net Income

There is a consistent upward trend in net income, increasing from $1,557 million in 2019 to $2,963 million in 2024. The growth shows particular acceleration in the final year, marking the highest value in the period.

Total Assets

Total assets surged significantly from $6,283 million in 2019 to $32,132 million in 2024. The most pronounced increase occurs between 2021 and 2022, more than doubling the asset base, after which the growth continues but at a moderated pace.

Reported Return on Assets (ROA)

Reported ROA demonstrates a downward trend from 24.78% in 2019 to a low of 7.45% in 2022. This decline corresponds with the rapid expansion in total assets. Subsequently, ROA shows a slight recovery to 9.22% by 2024, indicating some improvement in asset utilization efficiency.

Adjusted Net Income

Adjusted net income follows a similar trend to reported net income, increasing from $1,566 million in 2019 to $2,464 million in 2024. However, there is a noticeable dip in 2023 to $1,818 million before rebounding in 2024, suggesting the impact of some adjustments affecting reported profitability.

Adjusted Total Assets

Adjusted total assets mirror the movements of total assets closely, expanding from $6,637 million in 2019 to $31,439 million in 2024. The largest increase occurs during the 2021–2022 timeframe, stabilizing in subsequent years.

Adjusted Return on Assets (ROA)

Adjusted ROA declines similarly to the reported ROA, falling from 23.59% in 2019 to a minimum of 6.56% in 2023, followed by a moderate increase to 7.84% in 2024. The adjusted measures exhibit a slightly more pronounced dip and slower recovery compared to the reported figures.

In summary, the company has experienced robust growth in net income and asset base over the period, with rapid asset expansion impacting the efficiency as measured by ROA. While net income has generally increased, profitability relative to assets declined significantly before showing signs of recovery. The adjusted figures reinforce these observations, with some fluctuations in profitability reflecting adjustments in income and asset valuations.