Stock Analysis on Net
Stock Analysis on Net

Adobe Inc. (NASDAQ:ADBE)

Common-Size Balance Sheet: Liabilities and Stockholders’ Equity 

Adobe Inc., common-size consolidated balance sheet: liabilities and stockholders’ equity

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Nov 28, 2025 Nov 29, 2024 Dec 1, 2023 Dec 2, 2022 Dec 3, 2021 Nov 27, 2020
Trade payables 1.41 1.19 1.05 1.40 1.15 1.26
Accrued compensation costs 4.56 4.04 3.63 3.59 3.47 2.90
Accrued corporate marketing 0.67 0.58 0.44 0.57 0.35 0.55
Sales and use taxes payable 0.51 0.40 0.41 0.43 0.44 0.39
Refund liabilities 0.46 0.47 0.37 0.39 0.47 0.52
Excise taxes payable 0.36 0.24 0.00 0.00 0.00 0.00
Fair value of derivative liabilities 0.35 0.03 0.00 0.00 0.00 0.00
Derivative collateral liabilities 0.34 0.56 0.17 0.00 0.00 0.00
Other 1.73 1.41 1.49 1.62 1.64 1.49
Accrued expenses and other current liabilities 8.98% 7.73% 6.52% 6.59% 6.37% 5.86%
Debt, current portion 0.00 4.96 0.00 1.84 0.00 0.00
Deferred revenue 23.41 20.28 19.60 19.50 17.37 14.94
Income taxes payable 0.52 0.39 0.29 0.28 0.20 0.26
Current operating lease liabilities 0.26 0.25 0.25 0.32 0.36 0.38
Current liabilities 34.58% 34.80% 27.71% 29.92% 25.45% 22.70%
Debt, excluding current portion 21.05 13.66 12.20 13.36 15.14 16.95
Deferred revenue 0.42 0.42 0.38 0.43 0.53 0.54
Income taxes payable 1.59 1.81 1.73 1.95 1.96 2.18
Long-term operating lease liabilities 1.22 1.17 1.25 1.54 1.66 2.05
Other liabilities 1.72 1.48 1.26 1.08 0.94 0.96
Long-term liabilities 26.01% 18.54% 16.82% 18.35% 20.23% 22.68%
Total liabilities 60.59% 53.34% 44.53% 48.28% 45.68% 45.38%
Preferred stock, $0.0001 par value; none issued 0.00 0.00 0.00 0.00 0.00 0.00
Common stock, $0.0001 par value 0.00 0.00 0.00 0.00 0.00 0.00
Additional paid-in-capital 52.08 44.39 38.91 36.33 30.94 30.30
Retained earnings 153.76 127.26 111.98 104.25 87.75 80.76
Accumulated other comprehensive loss -0.83 -0.66 -0.96 -1.08 -0.50 -0.65
Treasury stock, at cost -165.61 -124.32 -94.46 -87.77 -63.87 -55.78
Stockholders’ equity 39.41% 46.66% 55.47% 51.72% 54.32% 54.62%
Total liabilities and stockholders’ equity 100.00% 100.00% 100.00% 100.00% 100.00% 100.00%

Based on: 10-K (reporting date: 2025-11-28), 10-K (reporting date: 2024-11-29), 10-K (reporting date: 2023-12-01), 10-K (reporting date: 2022-12-02), 10-K (reporting date: 2021-12-03), 10-K (reporting date: 2020-11-27).

The composition of liabilities and stockholders’ equity has undergone notable shifts between November 2020 and November 2025. A significant trend is the increasing proportion of total liabilities relative to stockholders’ equity, rising from 45.38% to 60.59% over the period. This indicates a growing reliance on debt financing or an increase in other liabilities compared to equity funding.

Current Liabilities
Current liabilities as a percentage of the total increased substantially from 22.70% in November 2020 to 34.80% in December 2023, before stabilizing at 34.58% in November 2025. A key driver of this increase appears to be deferred revenue, which grew consistently from 14.94% to 23.41% over the same period. Accrued expenses and other current liabilities also exhibited a marked increase, rising from 5.86% to 8.98% by November 2025. The introduction of derivative collateral liabilities in December 2023, and their subsequent growth, also contributed to the rise in current liabilities.
Long-Term Liabilities
Long-term liabilities demonstrated a more moderate increase initially, decreasing from 22.68% in November 2020 to 16.82% in December 2023, before increasing significantly to 26.01% in November 2025. This increase is largely attributable to a substantial rise in debt excluding the current portion, which nearly doubled from 12.20% to 21.05% between December 2023 and November 2025. Long-term operating lease liabilities remained relatively stable.
Stockholders’ Equity
Stockholders’ equity experienced a consistent decline as a percentage of the total, falling from 54.62% in November 2020 to 39.41% in November 2025. This decrease is primarily driven by a significant increase in treasury stock, which grew from -55.78% to -165.61% over the period. While retained earnings increased substantially, from 80.76% to 153.76%, this was not sufficient to offset the impact of the growing treasury stock. Additional paid-in-capital also increased, but at a slower rate.
Specific Liability Accounts
Several specific liability accounts exhibited notable trends. Accrued compensation costs increased steadily from 2.90% to 4.56%. Excise taxes payable and fair value of derivative liabilities were introduced in later periods, representing a small but growing portion of total liabilities. Trade payables fluctuated, with a peak in December 2022 (1.40%) and a return to levels similar to those in November 2020 (1.41%) by November 2025.

Overall, the observed trends suggest a shift in the company’s financial structure towards greater leverage and a more substantial investment in treasury stock, potentially indicating share repurchase activity. The increasing deferred revenue suggests strong sales performance or a growing backlog of obligations. Continued monitoring of these trends is warranted to assess their long-term implications for the company’s financial health.