Common-Size Balance Sheet: Liabilities and Stockholders’ Equity
Quarterly Data
Microchip Technology Inc., common-size consolidated balance sheet: liabilities and stockholders’ equity (quarterly data)
Based on: 10-Q (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-K (reporting date: 2022-03-31), 10-Q (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-K (reporting date: 2021-03-31), 10-Q (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-K (reporting date: 2020-03-31), 10-Q (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-K (reporting date: 2019-03-31), 10-Q (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-K (reporting date: 2018-03-31), 10-Q (reporting date: 2017-12-31), 10-Q (reporting date: 2017-09-30), 10-Q (reporting date: 2017-06-30), 10-K (reporting date: 2017-03-31), 10-Q (reporting date: 2016-12-31), 10-Q (reporting date: 2016-09-30), 10-Q (reporting date: 2016-06-30).
- Accounts Payable
- Accounts payable as a percentage of total liabilities and stockholders’ equity exhibited modest fluctuations over the periods. It peaked at 2.35% around September 2022, signaling a slight increase in short-term obligations, but mostly remained within a 1.19% to 2.35% range, indicating relative stability in trade payables.
- Accrued Liabilities
- This item demonstrated a clear upward trend, rising from approximately 3.02% in mid-2016 to 7.8% by the end of 2022. The sustained increase indicates growing accrued expenses relative to the company's capital structure, potentially reflecting increased operational costs or deferred expense recognition.
- Deferred Income on Shipments to Distributors
- Data for deferred income was sparse and only recorded from mid-2016 to mid-2018, showing an increase from 2.9% to around 4.13%. This growth suggests timing differences in revenue recognition related to shipments but limited data prevents further trend analysis beyond early 2018.
- Current Portion of Long-Term Debt
- Values for this metric showed volatility and intermittent reporting, with notable spikes such as 15.86% in June 2018 and fluctuating values thereafter. This behavior might indicate changes in short-term debt restructuring or repayments but inconsistent data coverage hinders conclusive analysis.
- Current Liabilities
- Current liabilities experienced irregular movements with significant spikes, notably 24.43% in March 2018, which is an outlier compared to the more typical range around 6.69% to 15.73%. These fluctuations suggest episodic shifts in short-term obligations possibly linked to working capital management or accounting reclassifications.
- Long-Term Debt Excluding Current Maturities
- Long-term debt showed high variability, declining from over 45% in 2016-2017 to a low near 21.3% by March 2018, followed by an increase to levels above 50% afterward. The drop in early 2018 might reflect debt repayments or refinancing, with subsequent rises indicating new borrowings or reclassification of liabilities.
- Long-term Income Tax Payable
- This liability remained relatively stable, fluctuating narrowly between about 2.37% and 9.14%, with occasional rises noted around late 2017 and early 2018. The general steadiness suggests consistent tax obligations proportionate to the company's financial structure.
- Long-term Deferred Tax Liability
- There was a distinct downward trend in deferred tax liabilities, falling from above 6.37% in mid-2016 to approximately 0.25% by the end of 2022. This decline could be associated with changes in tax regulations, amortization of deferred tax assets/liabilities, or shifting earnings composition reducing future tax obligations.
- Other Long-term Liabilities
- Other long-term liabilities showed minor fluctuations mostly around 2% to 3%, with a notable increase to 5.61% at the end of 2022. This recent rise suggests additional obligations or provisions recognized toward the latest period.
- Long-term Liabilities
- Overall long-term liabilities mirrored the behavior of its components, exhibiting a moderate decline from near 58% in 2016 to about 50.84% in late 2022, albeit with cyclical ups and downs. The data reflects the dynamic management of long-term debt and liabilities in alignment with capital needs and financing strategies.
- Total Liabilities
- Total liabilities as a percentage of the financial base were mostly stable, fluctuating between 60.84% and 73.38%. Higher values were clustered around 2018, while a gradual decrease appeared toward 2022, indicating a possible reduction in overall leverage or increased equity financing.
- Equity Components
-
- Additional Paid-in Capital
- This item decreased sharply from the high twenties in 2016 to the mid-teens by 2018 and then stabilized around 14-15%, indicating changes in share issuance or adjustments to contributed capital during this period.
- Common Stock Held in Treasury
- There was a consistent trend of increasing negative values in treasury stock from approximately -10.79% to -8.74%, reflecting ongoing repurchases of the company’s shares or retention in treasury, reducing overall equity.
- Accumulated Other Comprehensive Loss
- The comprehensive loss remained relatively small and stable, around -0.2% to -0.07%, showing minimal impact on equity from other comprehensive income items.
- Retained Earnings
- Retained earnings showed a steady and notable increase from roughly 19.56% to 33.23%, highlighting continued profitability and accrual of earnings retained within the company to support growth or debt reduction.
- Stockholders’ Equity
- Overall equity increased from about 34.42% in 2016 to 39.16% by the end of 2022, with some volatility. This reflects strengthening equity base supported primarily by rising retained earnings despite offsets from treasury stock and fluctuating paid-in capital.
- Total Liabilities and Stockholders’ Equity
- As expected, this total maintained a constant 100% throughout all periods, serving as the benchmark for all analyzed ratios.