Common-Size Balance Sheet: Assets
Quarterly Data
Eaton Corp. plc, common-size consolidated balance sheet: assets (quarterly data)
Based on: 10-Q (reporting date: 2026-06-30), 10-Q (reporting date: 2026-03-31), 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31).
The asset composition shows a strategic shift in the balance between current and noncurrent assets over the observed period. While noncurrent assets have historically dominated the balance sheet, there is a visible trend toward an increase in working capital components, specifically accounts receivable and inventory, reflecting changes in operational scale or credit terms.
- Current Asset Trends
- Current assets as a percentage of total assets exhibited volatility, declining from 29.06% in March 2021 to a low of 21.94% in September 2021, before recovering to a peak of 32.13% by June 2024. This recovery was primarily driven by steady growth in accounts receivable and inventory. Accounts receivable rose from 8.99% to a peak of 13.67% in September 2025, indicating a larger proportion of capital tied up in customer credit. Similarly, inventory levels increased from 7.04% in March 2021 to 11.44% by December 2025, suggesting a build-up of stock relative to the total asset base.
- Liquidity and Short-Term Investments
- Cash levels remained consistently low, generally fluctuating between 0.6% and 1.5%, with a singular anomalous spike to 4.53% in March 2025. Short-term investments showed a significant cycle; they remained below 1.2% for the first two years, surged to a peak of 5.69% in June 2024, and then sharply declined to below 0.6% starting in March 2025. This suggests a period of active cash management or temporary liquidity accumulation that was subsequently deployed.
- Noncurrent Asset Structure
- Noncurrent assets consistently represent the majority of the balance sheet, though their weight decreased from a peak of 78.06% in September 2021 to roughly 68-70% through 2024, before rising again to 74.58% in March 2026. The asset base is heavily characterized by intangible assets. Goodwill remained a dominant component, though it saw a gradual decline from 40.37% in March 2021 to 36.01% by June 2026. Conversely, other intangible assets exhibited a sharp increase toward the end of the period, jumping from 12.25% in December 2025 to 22.45% in June 2026.
- Fixed Asset Analysis
- Net property, plant, and equipment (PPE) remained relatively stable as a percentage of total assets, oscillating between 8.3% and 10.5%. Gross PPE stayed consistently around 22-24% until a notable drop to approximately 18.7% in the first half of 2026. This decline in the relative weight of fixed assets coincided with the sharp increase in other intangible assets, suggesting a potential reallocation of capital or a change in asset classification.
Overall, the data indicates a transition toward higher operational asset intensity (receivables and inventory) and a significant shift in the noncurrent asset mix, moving from a primary reliance on goodwill toward a higher proportion of other intangible assets by mid-2026.
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