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.

Estée Lauder Cos. Inc., consolidated balance sheet: assets

US$ in millions

	Jun 30, 2023	Jun 30, 2022	Jun 30, 2021	Jun 30, 2020	Jun 30, 2019	Jun 30, 2018
Cash and cash equivalents	4,029)	3,957)	4,958)	5,022)	2,987)	2,181)
Short-term investments	—)	—)	—)	—)	—)	534)
Accounts receivable, net	1,452)	1,629)	1,702)	1,194)	1,831)	1,487)
Inventory and promotional merchandise	2,979)	2,920)	2,505)	2,062)	2,006)	1,618)
Prepaid expenses and other current assets	679)	792)	603)	614)	388)	348)
Current assets	9,139)	9,298)	9,768)	8,892)	7,212)	6,168)
Property, plant and equipment, net	3,179)	2,650)	2,280)	2,055)	2,068)	1,823)
Operating lease right-of-use assets	1,797)	1,949)	2,190)	2,282)	—)	—)
Goodwill	2,486)	2,521)	2,616)	1,401)	1,868)	1,926)
Other intangible assets, net	5,602)	3,428)	4,095)	2,338)	1,203)	1,276)
Other assets	1,212)	1,064)	1,022)	813)	805)	1,374)
Other assets	11,097)	8,962)	9,923)	6,834)	3,876)	4,576)
Noncurrent assets	14,276)	11,612)	12,203)	8,889)	5,944)	6,399)
Total assets	23,415)	20,910)	21,971)	17,781)	13,156)	12,567)

Based on: 10-K (reporting date: 2023-06-30), 10-K (reporting date: 2022-06-30), 10-K (reporting date: 2021-06-30), 10-K (reporting date: 2020-06-30), 10-K (reporting date: 2019-06-30), 10-K (reporting date: 2018-06-30).

Total assets exhibited a significant upward trajectory from June 30, 2018, to June 30, 2023, nearly doubling from 12,567 million USD to 23,415 million USD. This expansion was driven by growth in both current and noncurrent asset categories, with the most substantial increase occurring between 2020 and 2021.

Liquidity and Current Asset Trends: Cash and cash equivalents experienced a sharp increase between 2018 and 2020, rising from 2,181 million USD to 5,022 million USD, before stabilizing around 4,000 million USD in the final two years of the period. Inventory and promotional merchandise showed a consistent and uninterrupted upward trend, increasing from 1,618 million USD in 2018 to 2,979 million USD by 2023, suggesting a steady accumulation of stock.
Noncurrent Asset Expansion: Noncurrent assets grew from 6,399 million USD in 2018 to 14,276 million USD in 2023. This was supported by a steady rise in property, plant, and equipment, which increased from 1,823 million USD to 3,179 million USD over the six-year span. The appearance of operating lease right-of-use assets in 2020 at 2,282 million USD, followed by a gradual decline to 1,797 million USD in 2023, reflects adjustments in lease accounting and obligations.
Intangible Assets and Strategic Growth: A substantial increase is observed in intangible assets, which suggests a strategy centered on acquisitions and brand expansion. Other intangible assets, net, rose from 1,276 million USD in 2018 to 5,602 million USD in 2023. Goodwill also saw a significant spike in 2021, increasing to 2,616 million USD from 1,401 million USD in 2020, further indicating significant business acquisitions during that fiscal year.

Overall, the balance sheet demonstrates a transition toward a more asset-heavy structure, characterized by a marked increase in long-term intangible assets and a consistently rising inventory base, alongside a strengthened cash position compared to 2018 levels.

Estée Lauder Cos. Inc. (NYSE:EL)

Balance Sheet: Assets

Assets: Selected Items

Current Assets: Selected Items