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.

Arista Networks Inc., consolidated balance sheet: assets

US$ in thousands

	Dec 31, 2025	Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021
Cash and cash equivalents	1,963,900)	2,762,357)	1,938,606)	671,707)	620,813)
Marketable securities	8,779,100)	5,541,116)	3,069,362)	2,352,022)	2,787,502)
Accounts receivable, net	1,886,900)	1,140,478)	1,024,569)	923,096)	516,509)
Inventories	2,247,100)	1,834,572)	1,945,180)	1,289,706)	650,117)
Deferred cost of goods sold	1,197,000)	291,300)	—)	—)	—)
Other prepaid expenses and deposits	313,000)	340,992)	412,518)	314,217)	237,735)
Prepaid expenses and other current assets	1,510,000)	632,292)	412,518)	314,217)	237,735)
Current assets	16,387,000)	11,910,815)	8,390,235)	5,550,748)	4,812,676)
Property and equipment, net	203,100)	98,845)	101,580)	95,009)	78,634)
Goodwill	416,100)	268,532)	268,531)	265,924)	188,397)
Deferred tax assets	1,773,600)	1,440,418)	945,792)	574,912)	442,295)
Other assets	668,800)	325,311)	240,668)	288,817)	212,427)
Long-term assets	3,061,600)	2,133,106)	1,556,571)	1,224,662)	921,753)
Total assets	19,448,600)	14,043,921)	9,946,806)	6,775,410)	5,734,429)

Based on: 10-K (reporting date: 2025-12-31), 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31).

Total assets experienced substantial growth over the five-year period, increasing from US$5.73 billion in 2021 to US$19.45 billion in 2025. This growth was primarily driven by significant increases in current assets, particularly cash, marketable securities, and accounts receivable. A detailed examination of individual asset categories reveals notable trends and potential areas of interest.

Liquidity and Cash Position: Cash and cash equivalents demonstrated a dramatic increase, rising from US$620.81 million in 2021 to US$2.76 billion in 2024 before decreasing to US$1.96 billion in 2025. Marketable securities followed a similar pattern, growing from US$2.79 billion to US$8.78 billion in 2025. This suggests a very strong and increasingly liquid position, although the slight decrease in cash in 2025 warrants further investigation. The combined growth of these two items significantly contributed to the overall asset expansion.
Working Capital Components: Accounts receivable, net, increased consistently from US$516.51 million in 2021 to US$1.89 billion in 2025, indicating growing sales or potentially lengthening collection periods. Inventories also exhibited a substantial increase, more than tripling from US$650.12 million to US$2.25 billion over the period. The emergence of 'Deferred cost of goods sold' in 2024, reaching US$1.20 billion by 2025, is a new development that requires further scrutiny to understand its nature and impact on cost of goods sold recognition. Prepaid expenses and other current assets also showed a considerable increase, particularly in 2025.
Long-Term Investments: Long-term assets also increased, though at a slower pace than current assets. Property and equipment, net, experienced modest growth, rising from US$78.63 million to US$203.10 million. Goodwill increased from US$188.40 million to US$416.10 million, potentially reflecting acquisitions or changes in valuation. Deferred tax assets saw a significant rise, increasing from US$442.29 million to US$1.77 billion, which could be related to changes in tax regulations or the utilization of tax loss carryforwards. Other assets also increased, but at a more moderate rate.

The substantial growth in total assets suggests a period of significant expansion for the company. The increases in current assets, particularly cash and marketable securities, indicate a strong financial position. However, the increases in accounts receivable and inventories, along with the emergence of deferred cost of goods sold, warrant further investigation to assess their implications for profitability and operational efficiency. The growth in long-term assets suggests continued investment in the business.

Arista Networks Inc. (NYSE:ANET)

Balance Sheet: Assets

Assets: Selected Items

Current Assets: Selected Items