Common-Size Balance Sheet: Assets
Quarterly Data
General Mills Inc., common-size consolidated balance sheet: assets (quarterly data)
Based on: 10-Q (reporting date: 2019-11-24), 10-Q (reporting date: 2019-08-25), 10-K (reporting date: 2019-05-26), 10-Q (reporting date: 2019-02-24), 10-Q (reporting date: 2018-11-25), 10-Q (reporting date: 2018-08-26), 10-K (reporting date: 2018-05-27), 10-Q (reporting date: 2018-02-25), 10-Q (reporting date: 2017-11-26), 10-Q (reporting date: 2017-08-27), 10-K (reporting date: 2017-05-28), 10-Q (reporting date: 2017-02-26), 10-Q (reporting date: 2016-11-27), 10-Q (reporting date: 2016-08-28), 10-K (reporting date: 2016-05-29), 10-Q (reporting date: 2016-02-28), 10-Q (reporting date: 2015-11-29), 10-Q (reporting date: 2015-08-30), 10-K (reporting date: 2015-05-31), 10-Q (reporting date: 2015-02-22), 10-Q (reporting date: 2014-11-23), 10-Q (reporting date: 2014-08-24), 10-K (reporting date: 2014-05-25), 10-Q (reporting date: 2014-02-23), 10-Q (reporting date: 2013-11-24), 10-Q (reporting date: 2013-08-25).
The asset composition shows a significant structural shift occurring in May 2018, characterized by a transition from a higher concentration of current and physical assets toward a heavy reliance on intangible assets. Prior to this period, the balance sheet maintained a relatively stable distribution, which was subsequently altered by a sharp increase in the proportion of goodwill and other intangibles.
- Current Asset Liquidity
- Current assets remained relatively stable between 18% and 20% of total assets from August 2013 through February 2018. However, a notable contraction occurred in May 2018, where the ratio dropped to 13.47% and remained within the 13% to 14% range through November 2019. This decline is mirrored across all major current asset components: cash and cash equivalents fell from approximately 4.29% to 1.30%, receivables decreased from 6.73% to 5.50%, and inventories dropped from 6.53% to 5.36% during the same transition period.
- Fixed Asset Trends
- Investment in land, buildings, and equipment exhibited a consistent range of 15.8% to 17.2% for the first five years of the observed period. Starting in May 2018, there was a permanent downward shift in this ratio, with values declining to between 11.78% and 13.22% by the end of 2019, indicating that physical assets comprised a smaller portion of the total asset base.
- Intangible Asset Concentration
- A substantial increase in non-current intangible assets is evident starting in May 2018. Goodwill, which fluctuated between 36% and 40% for several years, surged to approximately 46% of total assets. Simultaneously, other intangible assets rose from a steady 20-21% range to approximately 23-24%. This surge drove the total non-current assets from an average of roughly 80% to over 85% of the total balance sheet.
- Overall Asset Structure Transition
- The data indicates a fundamental change in the company's asset profile mid-2018. The simultaneous decrease in the proportion of current assets and physical property, combined with the sharp increase in goodwill and intangibles, suggests a major corporate event, such as a large-scale acquisition, which increased the total asset base and shifted the weight of the balance sheet toward non-physical, non-current assets.
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