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.
General Dynamics Corp., consolidated balance sheet: assets
US$ in millions
Based on: 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31).
The analysis of the financial data reveals several notable trends and changes over the five-year period.
- Liquidity Position
- Cash and equivalents decreased markedly from US$2,785 million in 2015 to US$902 million in 2019, indicating a reduction in readily available liquid assets. Meanwhile, accounts receivable remained relatively stable, fluctuating slightly around the US$3,500 million mark. Unbilled receivables consistently increased each year, rising from US$4,357 million to US$7,857 million, suggesting growing amounts of revenue not yet invoiced by the end of each period. This could indicate increased sales activity or changes in billing practices.
- Inventory Levels
- Inventory levels showed a steady upward trend, rising from US$3,366 million in 2015 to US$6,306 million in 2019. The consistent growth in inventories may reflect increased production or stockpiling, possibly in anticipation of future sales or reflecting supply chain dynamics.
- Other Current Assets and Current Assets
- Other current assets experienced growth overall, increasing from US$617 million in 2015 to US$1,171 million in 2019, with some fluctuations. Total current assets rose steadily from US$14,571 million to US$19,780 million, showing general strengthening in short-term asset positions.
- Long-Term Asset Base
- Property, plant, and equipment (net) showed a gradual increase from US$3,466 million to US$4,475 million, indicating modest investment or depreciation management. Intangible assets exhibited significant growth starting in 2018, jumping to US$2,585 million from a baseline near US$700 million in prior years, maintaining elevated levels in 2019. This sharp increase may be attributable to acquisitions or revaluations. Goodwill also increased substantially, particularly between 2017 and 2018, from approximately US$11,914 million to US$19,594 million, remaining stable in 2019, indicating significant acquisition activity or asset reclassification during this timeframe.
- Other Assets and Noncurrent Assets
- Other noncurrent assets displayed volatility, dipping notably in 2017 before rising sharply to US$2,594 million in 2019. The total noncurrent assets increased from US$17,426 million to US$29,061 million, reflecting overall growth in long-term investments and asset holdings.
- Total Assets
- Total assets rose steadily from US$31,997 million in 2015 to US$48,841 million in 2019. The most pronounced increase occurred between 2017 and 2018, primarily driven by surges in intangible assets, goodwill, and noncurrent assets, reflecting substantial investments or acquisitions that expanded the asset base significantly.
Overall, the data indicates the company underwent considerable growth in both current and long-term assets, particularly through acquisitions or asset revaluations starting in 2018. While liquid assets declined, increases in receivables and inventories suggest intensified business activity. The expansion in goodwill and intangible assets points to strategic investments that reshaped the balance sheet composition.