HCA Healthcare Inc. (NYSE:HCA)

The financial data reveals several noteworthy trends in the composition of assets over the five-year period analyzed.

Cash and Cash Equivalents

This category as a percentage of total assets exhibited a fluctuating trend, initially decreasing from 2% in 2017 to 1.28% in 2018, then slightly increasing to 1.38% in 2019. A marked increase occurred in 2020, reaching 3.78%, before declining somewhat to 2.86% in 2021. This suggests a strategic adjustment in liquidity, with a notable buildup during 2020, possibly in response to external conditions that required higher cash reserves.

Accounts Receivable

The proportion of accounts receivable steadily declined from 17.77% in 2017 to a low of 14.85% in 2020, followed by a slight rise to 15.95% in 2021. This downward trajectory until 2020 indicates improved collection efficiency or shifts in revenue recognition, with a mild reversal in the final year hinting at changes in credit terms or billing cycles.

Inventories

Inventories remained relatively stable, with minor fluctuations around the 4% range of total assets. The highest point was 4.42% in 2018 and the lowest 3.91% in 2021, reflecting consistent inventory management practices without significant buildup or depletion.

Other Current Assets

This component showed a mostly stable pattern with a slight increase during the period, moving from 3.2% in 2017 to 3.96% in 2021, which may signal growth in miscellaneous or less defined current assets.

Current Assets in Total

Overall current assets as a percentage of total assets gradually decreased from 27.26% in 2017 to 24.85% in 2019, before recovering to 26.69% by 2021. This U-shaped movement reflects changes primarily in cash, accounts receivable, and other current asset components during the period.

Property and Equipment, Net

The largest component of total assets, property and equipment, showed a slight decline over time, starting at 48.9% in 2017, peaking at 50.41% in 2019, and then gradually falling to 47.42% in 2021. This trend indicates reduced net investment or increased depreciation over the latter years.

Investments of Insurance Subsidiaries

This relatively small asset category declined from 1.14% in 2017 to 0.7% in 2019, then modestly recovered to 0.86% by 2021, potentially reflecting changes in subsidiary operations or investment strategy.

Investments in and Advances to Affiliates

These investments increased over time, rising from 0.54% in 2017 to 0.89% in 2020 and slightly decreasing to 0.88% in 2021, pointing toward gradual growth in affiliate-related assets.

Goodwill and Other Intangible Assets

This category experienced a gradual decrease from 20.21% in 2017 down to 18.06% in 2020, with a marginal increase to 18.8% in 2021. The trend suggests either amortization effects or impairment adjustments with a slight rebound indicating possible acquisitions or reevaluations.

Right-of-Use Operating Lease Assets

Introduced in 2020 at 4.07%, this new asset category remained fairly stable with a slight increase to 4.26% in 2021 before dipping to 4.16%. Its emergence corresponds with accounting standard changes regarding lease capitalization.

Other Noncurrent Assets

These assets diminished from 1.94% in 2017 to 1.07% in 2019 and then modestly increased to 1.18% in 2021, indicating a minor reduction and stabilization effect.

Noncurrent Assets in Total

The percentage of noncurrent assets remained relatively steady, fluctuating between 72.74% in 2017 and 75.15% in 2019, then declining slightly to 73.31% in 2021. This stability shows a generally consistent asset base structure dominated by long-term assets.

Total Assets

As expected, total assets consistently represented 100% of themselves across the period, serving as the baseline for all asset component percentages.