Analysis of Long-term (Investment) Activity Ratios
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)
Fidelity National Information Services Inc., long-term (investment) activity ratios
Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31).
- Net Fixed Asset Turnover
- The net fixed asset turnover ratio experienced fluctuations over the observed period. It decreased from 14.35 in 2018 to 11.48 in 2019, indicating a reduction in efficiency in generating revenue from fixed assets. However, it recovered to 14.15 in 2020 and showed a steady increase thereafter, reaching 16.85 by the end of 2022. This suggests an improving ability to utilize fixed assets effectively in recent years.
- Net Fixed Asset Turnover (Including Operating Lease, Right-of-Use Asset)
- When incorporating operating lease and right-of-use assets, the turnover ratio demonstrated a notable decline from 14.35 in 2018 to 7.06 in 2019. Although it gradually improved year-over-year, reaching 12.36 in 2022, the ratio remained below the initial 2018 level. This pattern reflects the impact of accounting changes related to leases and a gradual adjustment in asset utilization under the new accounting treatment.
- Total Asset Turnover
- The total asset turnover ratio showed a marked downward trend from 0.35 in 2018 to a low of 0.12 in 2019, indicative of decreased efficiency in asset usage to generate revenue. A gradual recovery followed, with the ratio rising to 0.23 by the end of 2022. Despite this improvement, the ratio had not returned to the 2018 level, suggesting ongoing challenges in maximizing overall asset productivity.
- Equity Turnover
- The equity turnover ratio declined sharply from 0.82 in 2018 to 0.21 in 2019, signifying a significant reduction in revenue generated per unit of equity. Subsequently, it displayed a consistent upward trend, reaching 0.53 in 2022. Although the ratio had not fully rebounded to its initial level, the recovery indicates enhanced effectiveness in deploying shareholder equity for generating sales.
Net Fixed Asset Turnover
Fidelity National Information Services Inc., net fixed asset turnover calculation, comparison to benchmarks
| Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | Dec 31, 2018 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Revenue | 14,528) | 13,877) | 12,552) | 10,333) | 8,423) | |
| Property and equipment, net | 862) | 949) | 887) | 900) | 587) | |
| Long-term Activity Ratio | ||||||
| Net fixed asset turnover1 | 16.85 | 14.62 | 14.15 | 11.48 | 14.35 | |
| Benchmarks | ||||||
| Net Fixed Asset Turnover, Competitors2 | ||||||
| Accenture PLC | 37.12 | 30.83 | 28.68 | 31.06 | — | |
| Adobe Inc. | 9.23 | 9.44 | 8.48 | 8.64 | — | |
| Cadence Design Systems Inc. | 9.59 | 9.77 | 8.62 | — | — | |
| CrowdStrike Holdings Inc. | 5.57 | 5.24 | 3.54 | — | — | |
| Fair Isaac Corp. | 78.34 | 47.17 | 27.89 | 21.88 | — | |
| International Business Machines Corp. | 11.35 | 10.07 | 7.33 | — | — | |
| Intuit Inc. | 14.33 | 12.35 | 10.46 | 8.70 | — | |
| Microsoft Corp. | 2.66 | 2.81 | 3.24 | 3.45 | — | |
| Oracle Corp. | 4.37 | 5.74 | 6.26 | — | — | |
| Palantir Technologies Inc. | 27.55 | 49.26 | 36.99 | — | — | |
| Palo Alto Networks Inc. | 15.38 | 13.37 | 9.79 | 9.80 | — | |
| Salesforce Inc. | 9.41 | 8.64 | 7.20 | — | — | |
| ServiceNow Inc. | 6.88 | 7.70 | 6.85 | — | — | |
| Synopsys Inc. | 10.51 | 8.90 | 7.62 | 7.82 | — | |
| Workday Inc. | 4.58 | 4.44 | 3.87 | — | — | |
| Net Fixed Asset Turnover, Sector | ||||||
| Software & Services | 4.49 | 4.73 | 5.15 | — | — | |
| Net Fixed Asset Turnover, Industry | ||||||
| Information Technology | 4.44 | 4.74 | 4.57 | — | — | |
Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31).
1 2022 Calculation
Net fixed asset turnover = Revenue ÷ Property and equipment, net
= 14,528 ÷ 862 = 16.85
2 Click competitor name to see calculations.
The financial data reveals several notable trends over the five-year period ending December 31, 2022. Revenue has shown consistent growth year over year, increasing from $8,423 million in 2018 to $14,528 million in 2022. This represents a significant upward trajectory, indicating expanding sales or service capacity.
- Property and Equipment, Net
- The net value of property and equipment experienced an increase from 2018 to 2019, rising from $587 million to $900 million. However, after 2019, this value declined gradually to reach $862 million by 2022. This pattern suggests initial investment or acquisition of assets followed by depreciation or asset disposals over subsequent years.
- Net Fixed Asset Turnover
- The ratio of net fixed asset turnover, which measures revenue generated per unit of net fixed assets, shows some volatility but trends upward overall. It decreased from 14.35 in 2018 to 11.48 in 2019, then rose to 14.15 in 2020 and continued to increase to 16.85 by 2022. This improvement indicates progressively better utilization efficiency of fixed assets in generating revenue in recent years.
In summary, the data reflects strong revenue growth accompanied by dynamic changes in fixed asset investment and utilization. Despite a dip in fixed asset turnover in 2019, the company has improved efficiency in using its assets to generate revenue, coinciding with controlled levels of property and equipment. The overall trends suggest effective management of resources in conjunction with expanding business operations.
Net Fixed Asset Turnover (including Operating Lease, Right-of-Use Asset)
Fidelity National Information Services Inc., net fixed asset turnover (including operating lease, right-of-use asset) calculation, comparison to benchmarks
| Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | Dec 31, 2018 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Revenue | 14,528) | 13,877) | 12,552) | 10,333) | 8,423) | |
| Property and equipment, net | 862) | 949) | 887) | 900) | 587) | |
| Operating lease ROU assets | 313) | 462) | 534) | 564) | —) | |
| Property and equipment, net (including operating lease, right-of-use asset) | 1,175) | 1,411) | 1,421) | 1,464) | 587) | |
| Long-term Activity Ratio | ||||||
| Net fixed asset turnover (including operating lease, right-of-use asset)1 | 12.36 | 9.83 | 8.83 | 7.06 | 14.35 | |
| Benchmarks | ||||||
| Net Fixed Asset Turnover (including Operating Lease, Right-of-Use Asset), Competitors2 | ||||||
| Accenture PLC | 13.17 | 10.48 | 9.37 | 31.06 | — | |
| Adobe Inc. | 7.61 | 7.46 | 6.42 | 8.64 | — | |
| Cadence Design Systems Inc. | 6.57 | 6.85 | 6.04 | — | — | |
| CrowdStrike Holdings Inc. | 4.97 | 4.30 | 3.54 | — | — | |
| Fair Isaac Corp. | 25.38 | 17.51 | 12.44 | 21.88 | — | |
| International Business Machines Corp. | 7.37 | 6.43 | 5.00 | — | — | |
| Intuit Inc. | 8.86 | 8.30 | 8.00 | 8.70 | — | |
| Microsoft Corp. | 2.26 | 2.37 | 2.70 | 2.87 | — | |
| Oracle Corp. | 3.21 | 4.20 | 4.74 | — | — | |
| Palantir Technologies Inc. | 7.07 | 6.21 | 4.43 | — | — | |
| Palo Alto Networks Inc. | 9.17 | 7.32 | 5.62 | 9.80 | — | |
| Salesforce Inc. | 4.65 | 3.75 | 3.16 | — | — | |
| ServiceNow Inc. | 4.18 | 4.34 | 4.06 | — | — | |
| Synopsys Inc. | 4.87 | 4.35 | 3.88 | 7.82 | — | |
| Workday Inc. | 3.75 | 3.11 | 2.96 | — | — | |
| Net Fixed Asset Turnover (including Operating Lease, Right-of-Use Asset), Sector | ||||||
| Software & Services | 3.50 | 3.58 | 3.82 | — | — | |
| Net Fixed Asset Turnover (including Operating Lease, Right-of-Use Asset), Industry | ||||||
| Information Technology | 3.85 | 4.03 | 3.87 | — | — | |
Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31).
1 2022 Calculation
Net fixed asset turnover (including operating lease, right-of-use asset) = Revenue ÷ Property and equipment, net (including operating lease, right-of-use asset)
= 14,528 ÷ 1,175 = 12.36
2 Click competitor name to see calculations.
- Revenue
-
The revenue shows a consistent upward trend over the five-year period. Starting at 8,423 million US dollars in 2018, it increased to 10,333 million in 2019, then further to 12,552 million in 2020. This growth continued in 2021 with revenue reaching 13,877 million and further rising to 14,528 million in 2022, demonstrating strong and steady top-line expansion.
- Property and Equipment, Net (including operating lease, right-of-use asset)
-
This asset line exhibits significant fluctuation across the years. Beginning at 587 million US dollars in 2018, it sharply increased to 1,464 million in 2019. After this peak, a gradual decrease is observed with values of 1,421 million in 2020, 1,411 million in 2021, and further down to 1,175 million in 2022. This pattern may suggest a considerable acquisition or capitalization event in 2019, followed by a period of asset disposals or depreciation.
- Net Fixed Asset Turnover (including operating lease, right-of-use asset)
-
The net fixed asset turnover ratio detected a notable drop from 14.35 in 2018 to 7.06 in 2019, aligning with the sharp increase in net property and equipment that year. Subsequently, the ratio improved steadily to 8.83 in 2020, 9.83 in 2021, and rose further to 12.36 in 2022. The improvement indicates better utilization of fixed assets relative to revenue, moving closer to the efficiency level seen in 2018 by the end of the period analyzed.
Total Asset Turnover
Fidelity National Information Services Inc., total asset turnover calculation, comparison to benchmarks
| Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | Dec 31, 2018 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Revenue | 14,528) | 13,877) | 12,552) | 10,333) | 8,423) | |
| Total assets | 63,278) | 82,931) | 83,842) | 83,806) | 23,770) | |
| Long-term Activity Ratio | ||||||
| Total asset turnover1 | 0.23 | 0.17 | 0.15 | 0.12 | 0.35 | |
| Benchmarks | ||||||
| Total Asset Turnover, Competitors2 | ||||||
| Accenture PLC | 1.30 | 1.17 | 1.20 | 1.45 | — | |
| Adobe Inc. | 0.65 | 0.58 | 0.53 | 0.54 | — | |
| Cadence Design Systems Inc. | 0.69 | 0.68 | 0.68 | — | — | |
| CrowdStrike Holdings Inc. | 0.40 | 0.32 | 0.34 | — | — | |
| Fair Isaac Corp. | 0.96 | 0.84 | 0.81 | 0.81 | — | |
| International Business Machines Corp. | 0.48 | 0.43 | 0.47 | — | — | |
| Intuit Inc. | 0.46 | 0.62 | 0.70 | 1.08 | — | |
| Microsoft Corp. | 0.54 | 0.50 | 0.47 | 0.44 | — | |
| Oracle Corp. | 0.39 | 0.31 | 0.34 | — | — | |
| Palantir Technologies Inc. | 0.55 | 0.47 | 0.41 | — | — | |
| Palo Alto Networks Inc. | 0.45 | 0.42 | 0.38 | 0.44 | — | |
| Salesforce Inc. | 0.28 | 0.32 | 0.31 | — | — | |
| ServiceNow Inc. | 0.54 | 0.55 | 0.52 | — | — | |
| Synopsys Inc. | 0.54 | 0.48 | 0.46 | 0.52 | — | |
| Workday Inc. | 0.49 | 0.50 | 0.53 | — | — | |
| Total Asset Turnover, Sector | ||||||
| Software & Services | 0.53 | 0.49 | 0.48 | — | — | |
| Total Asset Turnover, Industry | ||||||
| Information Technology | 0.65 | 0.62 | 0.58 | — | — | |
Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31).
1 2022 Calculation
Total asset turnover = Revenue ÷ Total assets
= 14,528 ÷ 63,278 = 0.23
2 Click competitor name to see calculations.
- Revenue
- Revenue exhibited a consistent upward trend over the five-year period. Starting at $8,423 million in 2018, it increased notably each year, reaching $14,528 million by the end of 2022. This represents a substantial growth indicative of expanding business operations or increased market demand.
- Total Assets
- Total assets showed a significant surge from 2018 to 2019, rising sharply from $23,770 million to $83,806 million. Thereafter, the asset base remained relatively stable through 2019 to 2021, with slight decreases observed in 2021 and a substantial decline to $63,278 million in 2022. This pattern suggests a major asset acquisition or consolidation in 2019 followed by divestitures or asset write-downs in the later years.
- Total Asset Turnover Ratio
- The total asset turnover ratio, which measures efficiency in using assets to generate revenue, declined steeply from 0.35 in 2018 to 0.12 in 2019, reflecting the sharp increase in assets not immediately matched by revenue growth. However, from 2019 onwards, the ratio gradually improved each year, rising to 0.23 by 2022. This trend suggests improved asset utilization and operational efficiency following the acquisition or growth in asset base.
Equity Turnover
Fidelity National Information Services Inc., equity turnover calculation, comparison to benchmarks
| Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | Dec 31, 2018 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Revenue | 14,528) | 13,877) | 12,552) | 10,333) | 8,423) | |
| Total FIS stockholders’ equity | 27,218) | 47,347) | 49,300) | 49,440) | 10,215) | |
| Long-term Activity Ratio | ||||||
| Equity turnover1 | 0.53 | 0.29 | 0.25 | 0.21 | 0.82 | |
| Benchmarks | ||||||
| Equity Turnover, Competitors2 | ||||||
| Accenture PLC | 2.79 | 2.59 | 2.61 | 3.00 | — | |
| Adobe Inc. | 1.25 | 1.07 | 0.97 | 1.06 | — | |
| Cadence Design Systems Inc. | 1.30 | 1.09 | 1.08 | — | — | |
| CrowdStrike Holdings Inc. | 1.42 | 1.00 | 0.65 | — | — | |
| Fair Isaac Corp. | — | — | 3.91 | 4.00 | — | |
| International Business Machines Corp. | 2.76 | 3.03 | 3.57 | — | — | |
| Intuit Inc. | 0.77 | 0.98 | 1.50 | 1.81 | — | |
| Microsoft Corp. | 1.19 | 1.18 | 1.21 | 1.23 | — | |
| Oracle Corp. | — | 7.73 | 3.24 | — | — | |
| Palantir Technologies Inc. | 0.74 | 0.67 | 0.72 | — | — | |
| Palo Alto Networks Inc. | 26.20 | 6.71 | 3.09 | 1.83 | — | |
| Salesforce Inc. | 0.46 | 0.51 | 0.50 | — | — | |
| ServiceNow Inc. | 1.44 | 1.60 | 1.59 | — | — | |
| Synopsys Inc. | 0.92 | 0.79 | 0.75 | 0.82 | — | |
| Workday Inc. | 1.13 | 1.32 | 1.46 | — | — | |
| Equity Turnover, Sector | ||||||
| Software & Services | 1.44 | 1.44 | 1.51 | — | — | |
| Equity Turnover, Industry | ||||||
| Information Technology | 1.74 | 1.80 | 1.82 | — | — | |
Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31).
1 2022 Calculation
Equity turnover = Revenue ÷ Total FIS stockholders’ equity
= 14,528 ÷ 27,218 = 0.53
2 Click competitor name to see calculations.
- Revenue
- There is a consistent upward trend in revenue from 2018 to 2022. Revenue increased from $8,423 million in 2018 to $14,528 million in 2022, reflecting steady growth each year. The largest increase occurred between 2019 and 2020, indicating a strengthening sales performance.
- Total stockholders’ equity
- The total stockholders’ equity showed significant volatility. It surged sharply from $10,215 million in 2018 to $49,440 million in 2019, remaining relatively stable through 2020 and 2021, before experiencing a marked decline to $27,218 million in 2022. This pattern suggests a major event affecting equity in 2019 and subsequent changes impacting equity in 2022.
- Equity turnover ratio
- Equity turnover exhibited a declining trend from 0.82 in 2018 to a low of 0.21 in 2019, followed by a gradual recovery to 0.53 in 2022. The initial drop aligns with the significant increase in equity, which temporarily reduced turnover efficiency. The recovery in later years indicates an improvement in revenue generation relative to equity.
- Overall insights
- The data reveals sustained revenue growth, while equity levels experienced large fluctuations, particularly in 2019 and 2022. These equity changes impacted the equity turnover ratio, which initially decreased sharply but improved over time. This suggests operational growth accompanied by significant capital restructuring or transactions within the equity base over the analyzed period.