IQVIA Holdings Inc. (NYSE:IQV)

Total liabilities have shown a consistent upward trend over the five-year period, increasing from 69.16% to 77.25% of total liabilities and stockholders’ equity. Current liabilities rose from 15.67% to 22.02%, with notable growth in accrued expenses and accounts payable combined, which expanded from 10.18% to 13.09%. Conversely, long-term liabilities remained relatively stable, fluctuating slightly around 54% to 56%. Within current liabilities, unearned income rose sharply from 4.47% to a peak of 7.39% in 2021 before slightly declining to 7.09% in 2022.

Specific components such as client contract-related liabilities increased steadily from 3.01% to 4.2%, indicating rising obligations associated with client agreements. Compensation-related liabilities also rose from 2.93% to 3.87%, reflecting potential growth in employee-related costs. On the other hand, several expense-related liabilities such as professional fees and contingent considerations showed minor fluctuations but no significant trend, with professional fees roughly stable around 0.4% and contingent considerations varying without clear direction.

Interest expenses as a percentage decreased slightly from 0.2% to 0.17%, and restructuring liabilities declined from 0.33% to 0.1%, suggesting reduced restructuring costs over time. Other liabilities saw a modest increase from 0.98% to 1.45%, while deferred income taxes declined from 3.26% to around 1.83%, indicating changes in tax timing differences.

Long-term debt (excluding current portion) remained the dominant liability, consistently near half of total liabilities and equity, with values between approximately 48.37% and 50.42%. The current portion of long-term debt increased modestly, with some volatility, ranging from 0.37% to 0.61%. New classifications such as current and long-term finance lease liabilities appeared from 2021 onwards, representing a small but growing portion of liabilities.

Total stockholders’ equity, including both common equity and non-controlling interests, diminished steadily from 30.84% to 22.75% of total capital structure. This decline was primarily driven by decreases in common stock and additional paid-in capital, which fell from 48.34% to 43.01%. Treasury stock, representing repurchased shares, increased in absolute negative value from -21.15% to -30.55%, indicating a significant share repurchase trend that reduces total equity.

Retained earnings experienced notable growth, rising from 3.58% to 13.16%, which suggests an accumulation of earnings over the period despite the overall equity decline. Accumulated other comprehensive loss widened from -0.99% to -2.87%, signaling increased unrealized losses or gains adjustments.

Non-controlling interests remained small and relatively stable before disappearing from the data after 2020.

The overall capitalization structure reveals a shift towards higher leverage, with liabilities increasing as a portion of total capital and equity decreasing. The growing liabilities are largely driven by current liabilities, especially accrued expenses and client contract-related obligations. The equity base shrank mainly due to increasing treasury stock, outweighing gains in retained earnings.

Financial commitments in the form of leases and contracts have become more prominent starting in 2020-2021, reflecting possible changes in accounting standards or company financing strategies.

Interest-bearing liabilities remain a significant but controlled part of the capital structure, with only minor changes in interest-related liabilities and expense ratios, suggesting stable financing costs despite increased overall borrowing.