Qualcomm Inc. (NASDAQ:QCOM)

Net Fixed Asset Turnover

The net fixed asset turnover demonstrates a generally positive trend from the earliest available data point in September 2019 through to March 2025. Initially, the ratio decreased from 7.88 to a low of 5.74 in late 2019 but subsequently showed a steady increase. From early 2020 onwards, the ratio rose consistently, reaching a peak of 9.59 by the end of 2024 and continuing to increase slightly into March 2025. This pattern indicates improving efficiency in using fixed assets to generate sales over this period despite some fluctuations in the earlier phases.

Total Asset Turnover

Total asset turnover exhibited moderate variability across the observed periods. Starting near 0.74 in mid-2019, the ratio fluctuated between 0.62 and 0.9, with peaks occurring around late 2021 and early 2022. However, after reaching approximately 0.9, the turnover ratio showed a gradual decline, dipping to a low of 0.68 by early 2024. Towards the latest periods, there is a slight recovery observed, with the ratio increasing again to 0.76 by March 2025. This suggests periods of varying overall asset efficiency in generating revenue, with a peak in early 2022 followed by some downturn and a subsequent modest rebound.

Equity Turnover

Equity turnover exhibited a markedly downward trajectory over the analyzed timeframe. Starting from a peak value above 8 in mid-2019, the ratio experienced sharp declines by late 2019 and early 2020, reaching below 4. Post this steep fall, a more prolonged steady decline is observed, with the ratio gradually diminishing quarter-over-quarter. By the end of 2024 and into early 2025, the equity turnover stabilized at a lower level around 1.5. This trend may reflect changes in equity levels relative to sales, indicating a reduction in sales generated per unit of equity or possible equity base expansion outpacing sales growth.

The quarterly financial data reveals several notable trends concerning revenues, property, plant and equipment (net), and net fixed asset turnover over the observed periods.

Revenues

The revenue figures show considerable fluctuations and an overall upward trend. Initial quarters in 2018 and early 2019 maintain revenues around the 4,800 to 5,200 million US$ range. A remarkable spike is observed in Q2 2019, reaching 9,635 million US$, followed by a sharp decline back to approximately 4,800 to 5,200 million US$ in the subsequent quarters of 2019 and early 2020. From late 2020 onwards, revenues demonstrate a general increasing trajectory, peaking at 11,705 million US$ around Q4 2021. Despite some dips, particularly in late 2022 and early 2023 where revenues fall to around 8,400-9,400 million US$, a recovery trend occurs near the end of the dataset, reaching approximately 11,700 million US$ in late 2024 before a slight drop to 10,979 million US$ by Q1 2025.

Property, Plant and Equipment, Net

The net value of property, plant, and equipment steadily rises throughout the recorded periods, beginning at 2,932 million US$ in late 2018 and increasing consistently to peak near 5,281 million US$ by Q1 2023. After this peak, a gentle decline is noted, decreasing to 4,410 million US$ by the first quarter of 2025. This trend indicates consistent investment in fixed assets over the years, with possible asset disposals or depreciation effects emerging towards the latest quarters.

Net Fixed Asset Turnover Ratio

The net fixed asset turnover ratio data starts from mid-2019, where it initially registers a high value of 7.88, followed by a minor decline to 5.74 in late 2019 and subsequent increase in 2020. The ratio fluctuates moderately but generally trends upwards from 7.36 in late 2020 to 9.59 in late 2024, with a slight dip in early 2023 and a renewed rise afterward. This suggests improving efficiency in utilizing fixed assets to generate revenues, with the company achieving better revenue output per unit of fixed asset investment over time, especially notable in the later quarters.

In summary, the data reflects a recovery and growth phase in revenues following fluctuations, steady asset base expansion with some recent contractions, and growing operational efficiency as indicated by the rising fixed asset turnover ratio. These trends highlight an increasing scale of operations alongside enhanced asset utilization efficiency, which could be indicative of strategic capital deployment and revenue optimization efforts.

Revenues

Revenues exhibit notable variability over the periods observed. Initial quarters show moderate growth from approximately $4.8 billion to over $9.6 billion by mid-2019, though the figures fluctuate sharply between quarters during this period. From late 2019 into 2021, revenues maintain a generally upward trend with occasional declines, peaking near $11.2 billion in early 2022. However, the subsequent quarters reveal some volatility, with revenue dipping below $9.5 billion in late 2022 and early 2023, followed by recovery towards $11.7 billion by late 2024. Overall, while the revenue demonstrates growth over the multiyear span, it is punctuated by fluctuations likely tied to seasonality or market dynamics.

Total Assets

Total assets present a consistent upward trajectory throughout the timeframe. Beginning around $34.2 billion at the end of 2018, assets grow steadily to exceed $55.5 billion by the end of 2024. This growth is relatively smooth, with slight deceleration or minor dips around early 2023, but the overall trend suggests ongoing asset accumulation or investment. The steady increase in total assets may indicate expansion initiatives, capital investments, or accumulation of financial and operational resources.

Total Asset Turnover

The total asset turnover ratio, calculated in selected quarters from mid-2019 onward, shows a general pattern of gradual improvement followed by a moderate decline. Starting in mid-2019 with ratios in the range of 0.62 to 0.74, the ratio climbs steadily, peaking around 0.9 in early 2022. This peak suggests increased efficiency in utilizing assets to generate revenues during that period. However, following this peak, the ratio declines to approximately 0.68-0.7 in late 2023 and early 2024 before slightly rebounding towards 0.76 by the end of 2024. The fluctuations in asset turnover may reflect changes in operational efficiency, asset base composition, or sales performance relative to asset size.

Summary of Observations

The financial data indicate progressive asset growth accompanied by fluctuating but overall increasing revenue levels. The highest asset turnover ratios align with periods of rising revenues, implying effective use of assets in revenue generation. However, recent decreases in this ratio suggest some challenges in maintaining this efficiency, possibly due to changes in asset structure or revenue dynamics. The variability in revenues highlights the importance of seasonality or market factors influencing sales, while the steady asset growth points to ongoing investment or accumulation supporting long-term capacity. These patterns underscore a firm managing growth while navigating fluctuations in operational performance.

The financial data reveals several noteworthy trends over the examined quarters. Revenues exhibit considerable fluctuation, with a peak reaching 11,705 million US dollars in December 2021, followed by periodic decreases and increases, and culminating again in an upward trend peaking at 11,669 million in December 2024. This pattern suggests cyclicality or volatility in earnings, possibly influenced by market conditions or business cycles.

Stockholders’ equity shows a consistent growth trend over time. Starting from 3,617 million US dollars at the end of 2018, it increases steadily, reaching 27,728 million US dollars by September 2024. This steady rise in equity indicates strengthening financial stability and accumulation of net assets within the company.

Equity turnover, which measures how efficiently the company utilizes its equity to generate revenues, displays a declining trend throughout the periods. After an initial peak ratio of 8.13 in June 2020, the ratio decreases progressively to a range between approximately 1.48 and 1.53 in the latest quarters. This decline suggests that while equity is growing, revenue growth is not keeping pace proportionately, indicating reduced efficiency or a shift in the company’s leverage or asset base management.

Overall, the data portrays a company with expanding equity base but facing challenges in maintaining steady revenue growth relative to its equity size, as implied by the decreasing equity turnover ratio.

Revenue Trends

Significant fluctuations with peaks in late 2021 and late 2024, indicating possible business cyclicality or market volatility.

Stockholders' Equity

Consistent and substantial growth throughout the period, indicating enhanced financial strength and asset accumulation.

Equity Turnover

Marked decrease from over 8 to approximately 1.5, reflecting a decline in the efficiency of equity use to generate revenues.