Elevance Health Inc. (NYSE:ELV)

Net Fixed Asset Turnover

The net fixed asset turnover ratio demonstrates a generally upward trend over the examined periods. Starting at 34.94 in the first quarter of 2021, the ratio shows minor fluctuations but maintains an overall increase, reaching approximately 41.5 by the third quarter of 2025. This indicates improved efficiency in utilizing fixed assets to generate revenue, particularly noticeable from mid-2023 onward, where the ratio increases more sharply compared to prior periods.

Total Asset Turnover

The total asset turnover ratio exhibits a steady strengthening trend throughout the timeline. Beginning at 1.29 in the first quarter of 2021, a consistent rise is evident with occasional mild dips. By the third quarter of 2025, the ratio reaches 1.57, reflecting enhanced overall asset utilization to drive sales or revenue generation. The progression suggests an effective asset management strategy contributing to operational performance.

Equity Turnover

The equity turnover ratio displays a more variable pattern with an initial increase from 3.65 in the first quarter of 2021 to a peak of 4.33 in late 2023. Subsequently, a modest decline is observed through mid-2024, descending to around 3.94. However, from late 2024 onward, the ratio resumes an upward trajectory, culminating at 4.4 by the third quarter of 2025. This fluctuation may suggest periods of changing equity base or shifts in revenue relative to shareholder equity, but the longer-term trend points to improved effectiveness in generating revenue from equity.

The analysis of the quarterly financial data reveals several key trends in the company's operating revenue, property and equipment net value, and net fixed asset turnover ratio over the examined periods.

Operating Revenue

The operating revenue shows a consistent upward trajectory throughout the quarters. Starting from approximately $32.1 billion in March 2021, the revenue progressively increases each quarter, reaching nearly $50.1 billion by September 2025. The growth appears steady without significant volatility, indicating ongoing business expansion or increased sales volume. The rate of increase seems moderately steady, with no abrupt spikes or declines, suggesting stable market conditions or effective revenue generation strategies during the period.

Property and Equipment, Net

The net value of property and equipment also exhibits a gradual increase over time, beginning at about $3.5 billion in March 2021 and rising to approximately $4.7 billion by September 2025. The increments are relatively modest each quarter, indicating steady investment or asset accumulation. There was a slight dip observed in the third quarter of 2023 but this was shortly corrected in subsequent quarters. The pattern suggests ongoing capital expenditures maintaining or expanding the fixed asset base without drastic fluctuations.

Net Fixed Asset Turnover Ratio

This ratio, which measures efficiency in generating revenue from fixed assets, generally shows a slight upward trend. Initially at roughly 34.9 in March 2021, it maintains levels around 34 to 36 until mid-2023 where it increases to values in the high 30s and beyond 40 by September 2025. This upward trend indicates improving efficiency and better utilization of property and equipment assets to generate revenue, reflecting positively on management’s operational effectiveness.

Overall, the data indicates a stable financial environment with progressive revenue gains supported by incremental investment in fixed assets, coupled with enhanced efficiency in asset utilization. No signs of instability or negative trends are apparent in the examined periods.

Operating Revenue

The operating revenue demonstrates a consistent upward trajectory over the analyzed periods, increasing from approximately $32,098 million in the first quarter of 2021 to an estimated $50,087 million by the third quarter of 2025. This steady growth reflects a positive revenue generation trend, with minor fluctuations observed mainly in the later quarters where growth rates appear to moderate slightly but remain generally robust.

Total Assets

Total assets exhibit a gradual increase from around $95,683 million in the first quarter of 2021 to approximately $122,749 million by the third quarter of 2025. While the asset base expands steadily, the growth pace is moderate compared to revenue growth, indicating that asset accumulation aligns conservatively with operational expansion. There are small periods of relative asset stability, suggesting optimization or controlled investment in assets during those intervals.

Total Asset Turnover

This ratio improves over the analyzed timeframe, starting at 1.29 in early 2021 and reaching about 1.57 by the third quarter of 2025. The upward trend in asset turnover indicates a more efficient use of assets in generating revenue. Despite some minor softness in mid to late 2023 and early 2024, the ratio rebounds and maintains a generally ascending slope, signifying enhanced operational efficiency over time.

Overall Analysis

The combined data reveals a company experiencing sustained growth in revenue and controlled asset expansion. The increase in total asset turnover supports the conclusion that assets are being utilized more effectively to generate operating revenue. This balance between revenue growth and asset management suggests sound operational and strategic execution, with improving asset productivity likely contributing positively to profitability and financial health going forward.

The financial performance over the periods under review exhibits several notable trends related to operating revenue, shareholders’ equity, and equity turnover.

Operating Revenue

Operating revenue demonstrates a generally upward trajectory throughout the quarters. Starting from approximately 32,098 million USD in the first quarter of 2021, it exhibits consistent growth with minor fluctuations, reaching nearly 50,087 million USD by the third quarter of 2025. The incremental increases are relatively steady, with some quarters showing slight slowdowns or plateaus, particularly around late 2023. Despite this, the overall trend indicates considerable revenue expansion over the observed period.

Shareholders’ Equity

Shareholders’ equity shows a moderate increase from about 33,853 million USD in early 2021 to a peak of around 43,775 million USD in the third quarter of 2024. Following this peak, there is a noticeable decline in the subsequent quarter, falling to approximately 41,315 million USD at the end of 2024. However, this is followed by partial recovery, with equity levels stabilizing around the mid-40,000 million USD range by late 2025. The fluctuations indicate some variability in equity, possibly influenced by market conditions or company actions affecting retained earnings and capital structure during the period.

Equity Turnover Ratio

The equity turnover ratio, which indicates the efficiency of generating revenue from shareholders' equity, initially shows a gradual increase from 3.65 in the first quarter of 2021 to a peak of 4.36 by the third quarter of 2023. Thereafter, there is a slight decline and fluctuation, followed by another increase moving towards the end of the period, reaching 4.40 by the third quarter of 2025. This pattern suggests an overall improvement in the company’s ability to generate revenue from equity over time, with some variability likely related to changes in revenue growth and equity base fluctuations.

In summary, the company experienced steady revenue growth accompanied by an increase in the efficiency of equity use, as reflected in the rising equity turnover ratio. The shareholders’ equity has generally increased but exhibits some variability, including a notable dip toward late 2024 with partial recovery thereafter. Collectively, these trends suggest a continuing expansion in operations with underlying shifts in equity management and financing during the observed timeframe.