Common-Size Balance Sheet: Assets
Quarterly Data
Ross Stores Inc., common-size consolidated balance sheet: assets (quarterly data)
Based on: 10-Q (reporting date: 2022-10-29), 10-Q (reporting date: 2022-07-30), 10-Q (reporting date: 2022-04-30), 10-K (reporting date: 2022-01-29), 10-Q (reporting date: 2021-10-30), 10-Q (reporting date: 2021-07-31), 10-Q (reporting date: 2021-05-01), 10-K (reporting date: 2021-01-30), 10-Q (reporting date: 2020-10-31), 10-Q (reporting date: 2020-08-01), 10-Q (reporting date: 2020-05-02), 10-K (reporting date: 2020-02-01), 10-Q (reporting date: 2019-11-02), 10-Q (reporting date: 2019-08-03), 10-Q (reporting date: 2019-05-04), 10-K (reporting date: 2019-02-02), 10-Q (reporting date: 2018-11-03), 10-Q (reporting date: 2018-08-04), 10-Q (reporting date: 2018-05-05), 10-K (reporting date: 2018-02-03), 10-Q (reporting date: 2017-10-28), 10-Q (reporting date: 2017-07-29), 10-Q (reporting date: 2017-04-29), 10-K (reporting date: 2017-01-28), 10-Q (reporting date: 2016-10-29), 10-Q (reporting date: 2016-07-30), 10-Q (reporting date: 2016-04-30).
- Cash and Cash Equivalents
- The percentage of cash and cash equivalents relative to total assets displays a fluctuating yet generally upward trend over the periods analyzed. Starting around 17.79%, it dips below 15% during mid-2019, then rises markedly, peaking at over 40% in early 2021 before slightly declining to approximately 30% by late 2022. This indicates an increased liquidity position in recent years.
- Short-term Investments
- The presence of short-term investments is minimal and sporadic, consistently hovering near 0.01% to 0.03% of total assets, suggesting this asset category is not a significant part of the portfolio.
- Accounts Receivable
- Accounts receivable as a proportion of total assets shows modest variation with a general decline during the early pandemic period (2020). It starts at about 1.88%, dips below 0.5% during mid-2020, then slightly recovers to around 1.2% by late 2022. This pattern may reflect changes in sales credit policy or customer payment behavior.
- Merchandise Inventory
- Merchandise inventory exhibits a downward shift overall. From highs near 33% in late 2016, it declines significantly around 2019 to approximately 20%, reaching a low near 10% in 2020. It then partially recovers to about 20% by late 2022. The sharp mid-period contraction could be associated with inventory optimization or sales disruptions, followed by gradual rebuilding.
- Prepaid Expenses and Other Current Assets
- This category remains relatively stable but low, fluctuating between roughly 1% and 3% throughout. Notable is a dip to around 1.04% in early 2020, consistent with general tightening of current assets.
- Current Assets
- Current assets as a total percentage show a decline from mid-50% values around 2016–2018 to below 40% during early 2019, before rebounding post-2020 to a range of 50–56%. The drop correlates with declines in inventory and prepaid expenses, while the later recovery aligns with increased cash holdings.
- Land and Buildings
- The share of land and buildings in total assets gradually decreases over the term, moving from around 21% to near 11% by 2020, then stabilizing slightly above 11%. This suggests depreciation or asset divestiture outpacing acquisitions.
- Fixtures and Equipment
- This asset category exhibits a downward trend, declining from the mid-40% range near 2016 to roughly 24% by 2020, then modestly increasing toward 29% by late 2022. The initial decline may indicate disposals or asset aging, followed by reinvestment or acquisition activity.
- Leasehold Improvements
- Leasehold improvements decrease from approximately 18% to 9–10% over the period. The halving portion within total assets may reflect amortization or reduced capital leases.
- Construction-in-Progress
- Construction-in-progress shows variability, initially near 1.25%, rising to over 3.5% around 2021, then declining back near 1.3% in late 2022. This pattern suggests phased investment cycles in property and equipment development.
- Property and Equipment, Gross and Net
- The gross property and equipment ratio declines from mid-80% figures to around 50% in 2019, with a slow upward correction following. Net property and equipment follow a similar trend, dropping from approximately 45% to about 20% and remaining near this level thereafter. This reduction aligns with accumulated depreciation increases and possibly asset sales or impairments.
- Accumulated Depreciation and Amortization
- Accumulated depreciation steadily increases in absolute terms (negative values), moving from about -40% to roughly -30%, reflecting ongoing asset aging and write-downs.
- Operating Lease Assets
- Operating lease assets appear only from 2019 onward, starting near a 32% share and decreasing to approximately 21–23% by late 2022. This decline may coincide with lease maturities, remeasurements, or modifications to leasing strategies.
- Other Long-term Assets
- This category remains relatively stable around 1.7–3.5%, with occasional minor fluctuations, indicating a consistent but minor exposure in long-term investments or intangible assets.
- Long-term Assets
- The proportion of long-term assets drops from nearly 49% before 2019 to a range around 44–48% afterward, illustrating a gradual shift in asset structure, potentially favoring liquidity or current assets.
- Total Assets
- Total assets remain constant at 100% for reference throughout the periods.
- Overall Observations
- The data reveals a structural shift in asset allocation over the observed periods, characterized by increased liquidity, reduced investment in property and equipment on a net basis, and adaptation in lease-related assets. Notable is the significant impact of the 2020 period, likely influenced by external economic factors, leading to a sharp increase in cash holdings and a reduction in inventory and fixed asset proportions. The gradual recovery post-2020 shows partial restoration of certain asset categories but with a lasting elevated liquidity position.