Balance Sheet: Assets
The balance sheet provides creditors, investors, and analysts with information on company resources (assets) and its sources of capital (its equity and liabilities). It normally also provides information about the future earnings capacity of a company assets as well as an indication of cash flows that may come from receivables and inventories.
Assets are resources controlled by the company as a result of past events and from which future economic benefits are expected to flow to the entity.
Kraft Heinz Co., consolidated balance sheet: assets
US$ in millions
Based on: 10-K (reporting date: 2019-12-28), 10-K (reporting date: 2018-12-29), 10-K (reporting date: 2017-12-30), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31).
The financial data reflects various trends and shifts in asset composition over the five-year period ending in 2019.
- Liquidity and Current Assets
- Cash and cash equivalents show a marked decline from 2015 through 2018, dropping from $4,837 million to $1,130 million, before increasing to $2,279 million in 2019. Trade receivables exhibit volatility, initially decreasing from $871 million in 2015 to $769 million in 2016, then rising sharply to $2,129 million by 2018, slightly declining to $1,973 million in 2019. Sold receivables data is incomplete but suggests fluctuating values with a peak in 2017 at $353 million. Income taxes receivable increase from $260 million in 2016 to $582 million in 2017 and then decrease in subsequent years. Inventories maintain relative stability, fluctuating within a range between $2,618 million and $2,815 million. Prepaid expenses, recorded starting in 2017, remain fairly consistent with a minor decrease in 2019. Other current assets decrease overall, with a considerable increase in 2018 before a sharp decline in 2019. Assets held for sale appear in 2018 and 2019, indicating disposals or restructuring activities.
- Property and Long-term Assets
- Property, plant, and equipment remain relatively steady, showing slight increases to 2017 followed by minor declines. Goodwill peaks in 2017 at $44,824 million, followed by a significant decrease in 2018 to $36,503 million and a further decline in 2019. Intangible assets follow a similar downward trend starting from $62,120 million in 2015, decreasing notably in 2018 and 2019. Other non-current assets remain relatively stable with a slight increase in 2019.
- Total Assets
- Total assets decrease gradually from a high of $122,973 million in 2015 to $101,450 million in 2019, reflecting reductions primarily in goodwill and intangible assets alongside fluctuations in current assets.
Overall, the data indicates a contraction in total asset base over the period with significant write-downs or impairments in goodwill and intangible assets beginning in 2018. Current assets present mixed trends with some recovery in liquidity by 2019. The presence and later reduction of assets held for sale suggest strategic divestitures. These patterns may reflect adjustments to the company’s asset structure and financial positioning during this interval.