Analysis of Long-term (Investment) Activity Ratios
Quarterly Data
Activity ratios measure how efficiently a company performs day-to-day tasks, such us the collection of receivables and management of inventory.
Long-term Activity Ratios (Summary)
Edwards Lifesciences Corp., long-term (investment) activity ratios (quarterly data)
Based on: 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), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31), 10-K (reporting date: 2017-12-31), 10-Q (reporting date: 2017-09-30), 10-Q (reporting date: 2017-06-30), 10-Q (reporting date: 2017-03-31).
- Net Fixed Asset Turnover
- The net fixed asset turnover ratio exhibits a declining trend over the observed periods. Starting at 5.05 in March 2018, the ratio steadily decreases to 3.38 by December 2021. This suggests that the company's efficiency in generating sales from its fixed assets has diminished over time, indicating potential increases in fixed asset base that outpace revenue growth or less effective utilization of these assets. Despite minor fluctuations, the overall trajectory points to reduced turnover efficiency.
- Net Fixed Asset Turnover Including Operating Lease, Right-of-Use Asset
- When including operating leases and right-of-use assets, the net fixed asset turnover shows a similar declining pattern. From 5.05 in March 2018, the ratio decreases to 3.19 by December 2021. The ratio is consistently lower than the traditional net fixed asset turnover from mid-2019 onward, reflecting the capitalized lease assets' impact on the asset base. The decline is slightly steeper in this measurement, which may highlight increased lease asset capitalization affecting turnover adversely.
- Total Asset Turnover
- The total asset turnover ratio reveals some variability but remains within a relatively narrow range, fluctuating between a low of 0.59 and a high of 0.74. Initially around 0.60 in early 2018, it peaks at 0.74 in June 2020, suggesting periods of improved asset utilization efficiency. However, post mid-2020, the ratio tapers down to about 0.62 by the end of 2021. The pattern indicates moderate consistency in generating revenue from total assets, with some sensitivity to operational or market conditions during the observed timeframe.
- Equity Turnover
- The equity turnover ratio portrays a downward trend over the analyzed periods. From a level of approximately 1.16 in March 2018, it declines to 0.90 by December 2021. This signals a reduction in revenue generated per unit of shareholder equity, potentially due to slower revenue growth relative to equity increases or shifts in capital structure. The steady decrease, with minor intermittent recoveries, may indicate evolving financial strategies or changes in operational scale affecting shareholder equity productivity.
- Overall Observations
- Across all turnover ratios, there is a general pattern of declining efficiency in asset and equity utilization over the period starting from early 2018 through the end of 2021. The decrease in net fixed asset turnover and equity turnover suggests that the company may be experiencing challenges in converting its asset base and equity into sales at previous levels of efficiency. The total asset turnover remains relatively more stable, yet also shows slight declines toward the latter part of the period. The inclusion of operating lease assets in fixed asset calculations reveals the impact of accounting changes on reported ratios. These trends may warrant further examination of asset management practices, investment decisions, and revenue growth strategies.
Net Fixed Asset Turnover
Edwards Lifesciences Corp., net fixed asset turnover calculation (quarterly data)
| Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | Dec 31, 2018 | Sep 30, 2018 | Jun 30, 2018 | Mar 31, 2018 | Dec 31, 2017 | Sep 30, 2017 | Jun 30, 2017 | Mar 31, 2017 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||||||||||||||||||||||
| Net sales | 1,329,700) | 1,310,200) | 1,376,000) | 1,216,600) | 1,191,700) | 1,140,900) | 925,000) | 1,128,700) | 1,174,100) | 1,094,000) | 1,086,900) | 993,000) | 977,700) | 906,600) | 943,700) | 894,800) | 888,500) | 821,500) | 841,800) | 883,500) | ||||||
| Property, plant, and equipment, net | 1,546,600) | 1,464,600) | 1,445,800) | 1,417,900) | 1,395,200) | 1,276,300) | 1,195,600) | 1,100,600) | 1,060,300) | 973,600) | 931,100) | 892,200) | 867,500) | 826,100) | 770,200) | 711,600) | 679,700) | 649,600) | 627,900) | 588,800) | ||||||
| Long-term Activity Ratio | ||||||||||||||||||||||||||
| Net fixed asset turnover1 | 3.38 | 3.48 | 3.41 | 3.16 | 3.14 | 3.42 | 3.61 | 4.07 | 4.10 | 4.26 | 4.26 | 4.28 | 4.29 | 4.40 | 4.61 | 4.84 | 5.05 | — | — | — | ||||||
| Benchmarks | ||||||||||||||||||||||||||
| Net Fixed Asset Turnover, Competitors2 | ||||||||||||||||||||||||||
| Abbott Laboratories | 4.81 | 4.79 | 4.56 | 4.23 | 3.83 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | ||||||
| CVS Health Corp. | 22.56 | 22.24 | 21.90 | 21.42 | 21.25 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | ||||||
| Elevance Health Inc. | 34.94 | 34.54 | 34.17 | 34.94 | 34.69 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | ||||||
| Intuitive Surgical Inc. | 3.04 | 3.16 | 3.13 | 2.86 | 2.76 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | ||||||
| Medtronic PLC | 5.77 | 5.56 | 5.64 | 5.72 | 5.99 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | ||||||
| UnitedHealth Group Inc. | 31.81 | 31.77 | 30.94 | 30.76 | 29.64 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | ||||||
Based on: 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), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31), 10-K (reporting date: 2017-12-31), 10-Q (reporting date: 2017-09-30), 10-Q (reporting date: 2017-06-30), 10-Q (reporting date: 2017-03-31).
1 Q4 2021 Calculation
Net fixed asset turnover
= (Net salesQ4 2021
+ Net salesQ3 2021
+ Net salesQ2 2021
+ Net salesQ1 2021)
÷ Property, plant, and equipment, net
= (1,329,700 + 1,310,200 + 1,376,000 + 1,216,600)
÷ 1,546,600 = 3.38
2 Click competitor name to see calculations.
- Net Sales
- The net sales exhibit a generally increasing trend over the analyzed period. Starting at 883.5 million USD in the first quarter of 2017, sales fluctuated slightly in the early quarters but showed steady growth from the first quarter of 2018 onwards. By the fourth quarter of 2019, net sales reached 1.174 billion USD, followed by a decline in mid-2020, likely influenced by external factors, before resuming growth. Sales peaked at 1.376 billion USD in the second quarter of 2021, with a slight decline in subsequent quarters but remaining above the 1.3 billion USD mark at the end of 2021.
- Property, Plant, and Equipment, Net
- The net value of property, plant, and equipment shows consistent growth throughout the entire period. Beginning at 588.8 million USD in early 2017, this amount increased steadily every quarter, reaching 1.546 billion USD by the last quarter of 2021. This continuous upward trajectory suggests ongoing investment in fixed assets, reflecting capacity expansion or modernization efforts within the company.
- Net Fixed Asset Turnover Ratio
- The net fixed asset turnover ratio, available from the third quarter of 2017 onward, indicates a declining efficiency in the use of fixed assets over time. It started at 5.05 and gradually decreased to around 3.14 by the last quarter of 2020, signaling that revenue generated per unit of fixed assets is reducing. Although slight improvements were observed in 2021 with ratios fluctuating between 3.14 and 3.48, the overall trend remains downward compared to earlier years. This could imply that while asset base has expanded significantly, sales growth has not kept pace proportionally with asset investment.
Net Fixed Asset Turnover (including Operating Lease, Right-of-Use Asset)
Edwards Lifesciences Corp., net fixed asset turnover (including operating lease, right-of-use asset) calculation (quarterly data)
| Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | Dec 31, 2018 | Sep 30, 2018 | Jun 30, 2018 | Mar 31, 2018 | Dec 31, 2017 | Sep 30, 2017 | Jun 30, 2017 | Mar 31, 2017 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||||||||||||||||||||||
| Net sales | 1,329,700) | 1,310,200) | 1,376,000) | 1,216,600) | 1,191,700) | 1,140,900) | 925,000) | 1,128,700) | 1,174,100) | 1,094,000) | 1,086,900) | 993,000) | 977,700) | 906,600) | 943,700) | 894,800) | 888,500) | 821,500) | 841,800) | 883,500) | ||||||
| Property, plant, and equipment, net | 1,546,600) | 1,464,600) | 1,445,800) | 1,417,900) | 1,395,200) | 1,276,300) | 1,195,600) | 1,100,600) | 1,060,300) | 973,600) | 931,100) | 892,200) | 867,500) | 826,100) | 770,200) | 711,600) | 679,700) | 649,600) | 627,900) | 588,800) | ||||||
| Operating lease right-of-use assets | 92,100) | 84,800) | 84,600) | 88,500) | 94,200) | 89,500) | 84,700) | 75,500) | 80,100) | 73,300) | 71,200) | 69,900) | —) | —) | —) | —) | —) | —) | —) | —) | ||||||
| Property, plant, and equipment, net (including operating lease, right-of-use asset) | 1,638,700) | 1,549,400) | 1,530,400) | 1,506,400) | 1,489,400) | 1,365,800) | 1,280,300) | 1,176,100) | 1,140,400) | 1,046,900) | 1,002,300) | 962,100) | 867,500) | 826,100) | 770,200) | 711,600) | 679,700) | 649,600) | 627,900) | 588,800) | ||||||
| Long-term Activity Ratio | ||||||||||||||||||||||||||
| Net fixed asset turnover (including operating lease, right-of-use asset)1 | 3.19 | 3.29 | 3.22 | 2.97 | 2.95 | 3.20 | 3.38 | 3.81 | 3.81 | 3.97 | 3.96 | 3.97 | 4.29 | 4.40 | 4.61 | 4.84 | 5.05 | — | — | — | ||||||
| Benchmarks | ||||||||||||||||||||||||||
| Net Fixed Asset Turnover (including Operating Lease, Right-of-Use Asset), Competitors2 | ||||||||||||||||||||||||||
| CVS Health Corp. | 9.09 | 8.55 | 8.37 | 8.15 | 8.04 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | ||||||
Based on: 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), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31), 10-K (reporting date: 2017-12-31), 10-Q (reporting date: 2017-09-30), 10-Q (reporting date: 2017-06-30), 10-Q (reporting date: 2017-03-31).
1 Q4 2021 Calculation
Net fixed asset turnover (including operating lease, right-of-use asset)
= (Net salesQ4 2021
+ Net salesQ3 2021
+ Net salesQ2 2021
+ Net salesQ1 2021)
÷ Property, plant, and equipment, net (including operating lease, right-of-use asset)
= (1,329,700 + 1,310,200 + 1,376,000 + 1,216,600)
÷ 1,638,700 = 3.19
2 Click competitor name to see calculations.
- Net Sales
- Net sales exhibit a generally upward trajectory from March 31, 2017 to December 31, 2021. Initial figures start near 883.5 million US dollars and show some fluctuation through 2017 and 2018. A noticeable increase occurs starting in early 2019, peaking in December 2021 at approximately 1.33 billion US dollars. Despite a dip observed in the second quarter of 2020, likely influenced by external factors, the company recovers strongly in subsequent quarters, achieving record sales by late 2021.
- Property, Plant, and Equipment, Net (Including Operating Lease, Right-of-Use Asset)
- The net value of property, plant, and equipment consistently rises over the period under review, indicating ongoing investments or capital expenditures. The asset base grows from roughly 588.8 million US dollars at the beginning of 2017 to about 1.64 billion US dollars by the end of 2021. This steady increase suggests expansion or upgrades in operational capacity.
- Net Fixed Asset Turnover (Including Operating Lease, Right-of-Use Asset)
- The net fixed asset turnover ratio reveals a declining trend from 2017 through 2020, dropping from 5.05 to around 2.95-3.2. This indicates diminishing efficiency in utilizing fixed assets to generate sales, which may be due to the significant growth in asset base outpacing sales increases during this period. However, from late 2020 into 2021, the ratio shows a modest recovery, improving from a low near 2.95 in March 2021 to approximately 3.19 by December 2021, suggesting some improvement in asset utilization efficiency.
Total Asset Turnover
Edwards Lifesciences Corp., total asset turnover calculation (quarterly data)
| Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | Dec 31, 2018 | Sep 30, 2018 | Jun 30, 2018 | Mar 31, 2018 | Dec 31, 2017 | Sep 30, 2017 | Jun 30, 2017 | Mar 31, 2017 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||||||||||||||||||||||
| Net sales | 1,329,700) | 1,310,200) | 1,376,000) | 1,216,600) | 1,191,700) | 1,140,900) | 925,000) | 1,128,700) | 1,174,100) | 1,094,000) | 1,086,900) | 993,000) | 977,700) | 906,600) | 943,700) | 894,800) | 888,500) | 821,500) | 841,800) | 883,500) | ||||||
| Total assets | 8,502,600) | 8,160,300) | 7,662,100) | 7,213,700) | 7,237,100) | 6,800,800) | 6,424,100) | 6,076,100) | 6,488,100) | 5,966,300) | 5,573,500) | 5,469,300) | 5,323,700) | 5,958,200) | 5,686,100) | 5,825,100) | 5,695,800) | 5,488,400) | 5,138,500) | 4,780,400) | ||||||
| Long-term Activity Ratio | ||||||||||||||||||||||||||
| Total asset turnover1 | 0.62 | 0.62 | 0.64 | 0.62 | 0.61 | 0.64 | 0.67 | 0.74 | 0.67 | 0.70 | 0.71 | 0.70 | 0.70 | 0.61 | 0.62 | 0.59 | 0.60 | — | — | — | ||||||
| Benchmarks | ||||||||||||||||||||||||||
| Total Asset Turnover, Competitors2 | ||||||||||||||||||||||||||
| Abbott Laboratories | 0.57 | 0.57 | 0.55 | 0.51 | 0.48 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | ||||||
| CVS Health Corp. | 1.25 | 1.21 | 1.20 | 1.18 | 1.16 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | ||||||
| Elevance Health Inc. | 1.41 | 1.35 | 1.33 | 1.29 | 1.39 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | ||||||
| Intuitive Surgical Inc. | 0.42 | 0.42 | 0.42 | 0.39 | 0.39 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | ||||||
| Medtronic PLC | 0.32 | 0.29 | 0.29 | 0.30 | 0.32 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | ||||||
| UnitedHealth Group Inc. | 1.34 | 1.30 | 1.29 | 1.27 | 1.30 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | ||||||
Based on: 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), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31), 10-K (reporting date: 2017-12-31), 10-Q (reporting date: 2017-09-30), 10-Q (reporting date: 2017-06-30), 10-Q (reporting date: 2017-03-31).
1 Q4 2021 Calculation
Total asset turnover
= (Net salesQ4 2021
+ Net salesQ3 2021
+ Net salesQ2 2021
+ Net salesQ1 2021)
÷ Total assets
= (1,329,700 + 1,310,200 + 1,376,000 + 1,216,600)
÷ 8,502,600 = 0.62
2 Click competitor name to see calculations.
- Net Sales
- Over the analyzed time frame, net sales exhibited a generally positive trajectory with some fluctuations. Beginning at approximately 883.5 million USD in March 2017, sales saw a slight decline in the third quarter of 2017, followed by recovery and incremental growth through 2018 and 2019, reaching a peak of about 1.17 billion USD by December 2019. A notable dip occurred in the first half of 2020, with sales decreasing to roughly 925 million USD in March 2020, likely indicating market or operational challenges during that period. However, sales rebounded strongly in the subsequent quarters of 2020 and maintained an upward trend into 2021, peaking at approximately 1.38 billion USD in June 2021, before slightly declining toward the end of the year.
- Total Assets
- Total assets showed consistent growth over the observed intervals. Starting at 4.78 billion USD in March 2017, assets increased steadily through 2018, with a brief plateau and slight decline observed at the end of 2018. From early 2019 onwards, total assets resumed growth, accelerating notably by the end of 2020 and into 2021. By December 2021, total assets reached approximately 8.5 billion USD, reflecting sustained investment or asset accumulation during this period.
- Total Asset Turnover
- The total asset turnover ratio, available from September 2017 forward, fluctuated within a relatively narrow range from 0.59 to 0.74. Early observations in late 2017 and early 2018 indicated a ratio near 0.6 to 0.62, suggesting moderate efficiency in utilizing assets to generate sales. The ratio peaked at 0.74 in June 2020, coinciding with the period following the dip in net sales, indicating improved asset utilization efficiency. Afterward, the ratio experienced a gradual decline back to around 0.62 by the end of 2021, suggesting a stabilization in asset usage relative to sales volumes.
- Overall Insights
- The data reveals a company experiencing steady asset growth while managing to grow sales substantially over four years. Despite disruptions in early 2020 likely due to external market conditions, the recovery in net sales was robust. The total asset turnover ratio implies that asset efficiency improved temporarily post-2020 dip, before returning to prior levels. This pattern suggests that the company effectively adapted to transient challenges and expanded its asset base, supporting revenue growth without significant deterioration in asset utilization.
Equity Turnover
Edwards Lifesciences Corp., equity turnover calculation (quarterly data)
| Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | Dec 31, 2018 | Sep 30, 2018 | Jun 30, 2018 | Mar 31, 2018 | Dec 31, 2017 | Sep 30, 2017 | Jun 30, 2017 | Mar 31, 2017 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||||||||||||||||||||||
| Net sales | 1,329,700) | 1,310,200) | 1,376,000) | 1,216,600) | 1,191,700) | 1,140,900) | 925,000) | 1,128,700) | 1,174,100) | 1,094,000) | 1,086,900) | 993,000) | 977,700) | 906,600) | 943,700) | 894,800) | 888,500) | 821,500) | 841,800) | 883,500) | ||||||
| Stockholders’ equity | 5,835,900) | 5,541,300) | 5,133,300) | 4,658,400) | 4,574,300) | 4,210,300) | 3,839,100) | 3,901,100) | 4,148,300) | 3,814,800) | 3,500,300) | 3,447,500) | 3,140,400) | 3,361,300) | 3,164,200) | 3,245,700) | 2,956,200) | 3,162,500) | 2,939,600) | 2,742,700) | ||||||
| Long-term Activity Ratio | ||||||||||||||||||||||||||
| Equity turnover1 | 0.90 | 0.92 | 0.96 | 0.96 | 0.96 | 1.04 | 1.13 | 1.15 | 1.05 | 1.09 | 1.13 | 1.11 | 1.19 | 1.08 | 1.12 | 1.06 | 1.16 | — | — | — | ||||||
| Benchmarks | ||||||||||||||||||||||||||
| Equity Turnover, Competitors2 | ||||||||||||||||||||||||||
| Abbott Laboratories | 1.20 | 1.23 | 1.19 | 1.11 | 1.06 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | ||||||
| CVS Health Corp. | 3.87 | 3.82 | 3.79 | 3.81 | 3.86 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | ||||||
| Elevance Health Inc. | 3.80 | 3.71 | 3.65 | 3.65 | 3.64 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | ||||||
| Intuitive Surgical Inc. | 0.48 | 0.48 | 0.48 | 0.45 | 0.45 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | ||||||
| Medtronic PLC | 0.59 | 0.55 | 0.56 | 0.56 | 0.57 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | ||||||
| UnitedHealth Group Inc. | 3.98 | 3.95 | 3.92 | 3.94 | 3.90 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | ||||||
Based on: 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), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31), 10-K (reporting date: 2017-12-31), 10-Q (reporting date: 2017-09-30), 10-Q (reporting date: 2017-06-30), 10-Q (reporting date: 2017-03-31).
1 Q4 2021 Calculation
Equity turnover
= (Net salesQ4 2021
+ Net salesQ3 2021
+ Net salesQ2 2021
+ Net salesQ1 2021)
÷ Stockholders’ equity
= (1,329,700 + 1,310,200 + 1,376,000 + 1,216,600)
÷ 5,835,900 = 0.90
2 Click competitor name to see calculations.
- Net Sales
- Net sales exhibited a generally upward trend from March 31, 2017, through December 31, 2021, with fluctuations observed within interim quarters. Initial sales were approximately 883.5 million USD in Q1 2017, remaining relatively steady but with some decreases in mid-2017 before rising again towards the end of 2017. From 2018 onward, net sales showed a consistent increase, reaching a peak of approximately 1.376 billion USD in Q2 2021. A notable dip occurred in Q2 2020, where sales dropped to 925 million USD, which may reflect external factors impacting that quarter. After this dip, sales quickly rebounded and continued to rise through the end of 2021, indicating recovery and growth.
- Stockholders’ Equity
- Stockholders’ equity displayed an overall increasing trend over the period analyzed, starting at about 2.74 billion USD at the end of Q1 2017 and growing to approximately 5.84 billion USD by Q4 2021. Some fluctuations were present, including a decline in equity at the end of 2017 and another slight decrease in mid-2020, coinciding with the period when net sales temporarily decreased. Despite these fluctuations, the general pattern indicates sustained growth in equity, with particularly strong increases evident from late 2019 onwards, reflecting possible additional capital contributions or retained earnings accumulation.
- Equity Turnover
- The equity turnover ratio, available from Q4 2017 through Q4 2021, suggests a gradual decline over the period. Starting at 1.16 in Q4 2017, the ratio decreased steadily over subsequent quarters, falling below 1.0 from Q1 2021 onward, ending at 0.90 in Q4 2021. This indicates that the efficiency with which the company utilized its equity to generate sales diminished somewhat over time, despite increasing sales and equity in absolute terms. The decrease in equity turnover ratio may suggest that while equity grew substantially, the corresponding increase in sales was proportionally smaller, reflecting changing operational dynamics or increased capital investment relative to sales growth.