Stock Analysis on Net
Stock Analysis on Net

IQVIA Holdings Inc. (NYSE:IQV)

This company has been moved to the archive! The financial data has not been updated since November 1, 2023.

Analysis of Operating Leases

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An operating lease is treated like a rental contract. Neither the leased asset nor the associated liability is reported on the lessee balance sheet, but the rights may be very similar to the rights of an owner. The lessee only records the lease payments as a rental expense in income statement.

Adjustments to Financial Statements for Operating Leases

IQVIA Holdings Inc., adjustments to financial statements

US$ in millions

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Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019 Dec 31, 2018
Adjustment to Total Assets
Total assets (as reported) 25,337 24,689 24,564 23,251 22,549
Add: Operating lease right-of-use asset (before adoption of FASB Topic 842)1 — — — — 613
Total assets (adjusted) 25,337 24,689 24,564 23,251 23,162
Adjustment to Total Debt
Total debt (as reported) 12,976 12,311 12,655 11,645 11,007
Add: Operating lease liability (before adoption of FASB Topic 842)2 — — — — 613
Add: Current operating lease liabilities (included in Other current liabilities) 111 140 156 153 —
Add: Long-term operating lease liabilities 264 313 371 396 —
Total debt (adjusted) 13,351 12,764 13,182 12,194 11,620

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, 2 Equal to total present value of future operating lease payments.

IQVIA Holdings Inc., Financial Data: Reported vs. Adjusted

Adjusted Financial Ratios for Operating Leases (Summary)

IQVIA Holdings Inc., adjusted financial ratios

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Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019 Dec 31, 2018
Total Asset Turnover1
Reported total asset turnover 0.57 0.56 0.46 0.48 0.46
Adjusted total asset turnover 0.57 0.56 0.46 0.48 0.45
Debt to Equity2
Reported debt to equity 2.25 2.04 2.11 1.94 1.64
Adjusted debt to equity 2.32 2.11 2.20 2.03 1.73
Return on Assets3 (ROA)
Reported ROA 4.31% 3.91% 1.14% 0.82% 1.15%
Adjusted ROA 4.31% 3.91% 1.14% 0.82% 1.12%

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 See details »

2 See details »

3 See details »

Financial ratio Description The company
Adjusted total asset turnover An activity ratio calculated as total revenue divided by adjusted total assets. IQVIA Holdings Inc. adjusted total asset turnover ratio improved from 2020 to 2021 and from 2021 to 2022.
Adjusted debt to equity A solvency ratio calculated as adjusted total debt divided by total shareholders’ equity. IQVIA Holdings Inc. adjusted debt to equity ratio improved from 2020 to 2021 but then deteriorated significantly from 2021 to 2022.
Adjusted ROA A profitability ratio calculated as net income divided by adjusted total assets. IQVIA Holdings Inc. adjusted ROA improved from 2020 to 2021 and from 2021 to 2022.

IQVIA Holdings Inc., Financial Ratios: Reported vs. Adjusted

Adjusted Total Asset Turnover

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Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019 Dec 31, 2018
As Reported
Selected Financial Data (US$ in millions)
Revenues 14,410 13,874 11,359 11,088 10,412
Total assets 25,337 24,689 24,564 23,251 22,549
Activity Ratio
Total asset turnover1 0.57 0.56 0.46 0.48 0.46
Adjusted for Operating Leases
Selected Financial Data (US$ in millions)
Revenues 14,410 13,874 11,359 11,088 10,412
Adjusted total assets 25,337 24,689 24,564 23,251 23,162
Activity Ratio
Adjusted total asset turnover2 0.57 0.56 0.46 0.48 0.45

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).

2022 Calculations

1 Total asset turnover = Revenues ÷ Total assets
= 14,410 ÷ 25,337 = 0.57

2 Adjusted total asset turnover = Revenues ÷ Adjusted total assets
= 14,410 ÷ 25,337 = 0.57

Activity ratio Description The company
Adjusted total asset turnover An activity ratio calculated as total revenue divided by adjusted total assets. IQVIA Holdings Inc. adjusted total asset turnover ratio improved from 2020 to 2021 and from 2021 to 2022.

Adjusted Debt to Equity

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Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019 Dec 31, 2018
As Reported
Selected Financial Data (US$ in millions)
Total debt 12,976 12,311 12,655 11,645 11,007
Equity attributable to IQVIA Holdings Inc.’s stockholders 5,765 6,042 6,001 6,003 6,714
Solvency Ratio
Debt to equity1 2.25 2.04 2.11 1.94 1.64
Adjusted for Operating Leases
Selected Financial Data (US$ in millions)
Adjusted total debt 13,351 12,764 13,182 12,194 11,620
Equity attributable to IQVIA Holdings Inc.’s stockholders 5,765 6,042 6,001 6,003 6,714
Solvency Ratio
Adjusted debt to equity2 2.32 2.11 2.20 2.03 1.73

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).

2022 Calculations

1 Debt to equity = Total debt ÷ Equity attributable to IQVIA Holdings Inc.’s stockholders
= 12,976 ÷ 5,765 = 2.25

2 Adjusted debt to equity = Adjusted total debt ÷ Equity attributable to IQVIA Holdings Inc.’s stockholders
= 13,351 ÷ 5,765 = 2.32

Solvency ratio Description The company
Adjusted debt-to-equity A solvency ratio calculated as adjusted total debt divided by total shareholders’ equity. IQVIA Holdings Inc. adjusted debt-to-equity ratio improved from 2020 to 2021 but then deteriorated significantly from 2021 to 2022.

Adjusted Return on Assets (ROA)

Microsoft Excel
Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019 Dec 31, 2018
As Reported
Selected Financial Data (US$ in millions)
Net income attributable to IQVIA Holdings Inc. 1,091 966 279 191 259
Total assets 25,337 24,689 24,564 23,251 22,549
Profitability Ratio
ROA1 4.31% 3.91% 1.14% 0.82% 1.15%
Adjusted for Operating Leases
Selected Financial Data (US$ in millions)
Net income attributable to IQVIA Holdings Inc. 1,091 966 279 191 259
Adjusted total assets 25,337 24,689 24,564 23,251 23,162
Profitability Ratio
Adjusted ROA2 4.31% 3.91% 1.14% 0.82% 1.12%

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).

2022 Calculations

1 ROA = 100 × Net income attributable to IQVIA Holdings Inc. ÷ Total assets
= 100 × 1,091 ÷ 25,337 = 4.31%

2 Adjusted ROA = 100 × Net income attributable to IQVIA Holdings Inc. ÷ Adjusted total assets
= 100 × 1,091 ÷ 25,337 = 4.31%

Profitability ratio Description The company
Adjusted ROA A profitability ratio calculated as net income divided by adjusted total assets. IQVIA Holdings Inc. adjusted ROA improved from 2020 to 2021 and from 2021 to 2022.