Balance Sheet: Assets
The balance sheet provides creditors, investors, and analysts with information on company resources (assets) and its sources of capital (its equity and liabilities). It normally also provides information about the future earnings capacity of a company assets as well as an indication of cash flows that may come from receivables and inventories.
Assets are resources controlled by the company as a result of past events and from which future economic benefits are expected to flow to the entity.
Humana Inc., consolidated balance sheet: assets
US$ in millions
Based on: 10-K (reporting date: 2023-12-31), 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).
The financial data reveals several notable trends in the company's asset composition and overall asset growth from the end of 2019 through the end of 2023.
- Cash and Cash Equivalents
- After an initial increase from 4,054 million in 2019 to 4,673 million in 2020, cash balances declined significantly in 2021 to 3,394 million. This was followed by a recovery to 5,061 million in 2022, then a slight decrease to 4,694 million in 2023, indicating some volatility in liquidity levels over the period.
- Investment Securities
- Investment securities demonstrated a consistent upward trend, increasing each year from 10,972 million in 2019 to 16,626 million in 2023. This suggests a growing allocation towards marketable or strategic investments.
- Receivables, Net of Allowances
- Receivables showed significant growth, more than doubling from 1,056 million in 2019 to 2,035 million in 2023. There was a notable spike in 2021, reflecting either increased sales on credit or potential changes in credit terms or customer base.
- Other Current Assets
- These assets increased overall from 3,806 million in 2019 to 6,631 million in 2023, with a peak in 2021 at 6,493 million. The slight dip in 2022 was followed by an increase in 2023, indicating fluctuations perhaps related to prepaid expenses or other short-term assets.
- Current Assets
- The aggregate of current assets grew steadily, from 19,888 million in 2019 to 29,986 million in 2023, underscoring improved short-term liquidity and asset base expansion.
- Property and Equipment, Net
- Net property and equipment showed growth from 1,955 million in 2019 to a peak of 3,221 million in 2022, before slightly declining to 3,030 million in 2023. This suggests ongoing investment in fixed assets with potential disposal or depreciation effects in the final year.
- Long-Term Investment Securities
- Long-term investment securities were relatively volatile, with a peak of 1,212 million in 2020, then a sharp decline to 380 million by 2022, remaining stable into 2023. This may reflect strategic repositioning or asset reclassification.
- Goodwill
- Goodwill almost tripled between 2020 and 2021, peaking at 11,092 million before decreasing in 2022 and slightly recovering in 2023. This volatility likely indicates acquisitions and possible impairments or adjustments occurring during this timeframe.
- Equity Method Investments
- These investments dropped sharply from 1,170 million in 2020 to only 141 million in 2021, then partially recovered to around 740 million by 2023, suggesting significant divestitures or changes in associated companies during this period.
- Other Long-Term Assets
- Other long-term assets more than doubled from 1,834 million in 2019 to 4,379 million in 2021 and then declined steadily to 3,377 million in 2023, indicating fluctuations possibly related to deferred charges or intangible assets.
- Long-Term Assets
- Long-term assets overall increased from 9,186 million in 2019 to a peak of 19,465 million in 2021, followed by a decline and stabilization near 17,079 million in 2023, reflecting the combined effect of goodwill changes, impairments, and asset revaluations.
- Total Assets
- The company's total assets rose significantly from 29,074 million in 2019 to a peak of 44,358 million in 2021. Despite a dip to 43,055 million in 2022, total assets rebounded to reach 47,065 million in 2023, indicating overall asset base growth and successful capital expansion over the five-year period.