Financial health has improved dramatically as the debt-to-equity ratio declined from 6.45 in 2025Q1 to 1.49 in 2026Q1, supported by a reversal of historical losses into $1.9B of retained earnings.
| Total Current Assets | 4.85B | 4.43B | 2.31B | 1.62B | 1.94B | 3.24B | 662.99M | 586.22M | 407.55M |
| Cash & Short-Term Investments | 2.76B | 2.49B | 741.41M | 502.15M | 1.08B | 1.52B | 317.24M | 396.25M | 276.12M |
| Cash Only | 2.76B | 2.49B | 741.41M | 502.15M | 1.08B | 1.52B | 317.24M | 396.25M | 276.12M |
| Short-Term Investments | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Accounts Receivable | 1.96B | 1.82B | 1.41B | 953.81M | 702.81M | 514.52M | 296.96M | 161.35M | 122.46M |
| Days Sales Outstanding | 103.08 | 121.16 | 109.61 | 106.04 | 91.06 | 67.24 | 74.7 | 59.24 | 92.47 |
| Inventory | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Days Inventory Outstanding | - | - | - | - | - | - | - | - | - |
| Other Current Assets | 130.88M | 124.33M | 156.53M | 160.2M | 155.78M | 1.05B | 0 | 0 | 1.7M |
| Total Non-Current Assets | 2.86B | 2.83B | 3.56B | 3.74B | 3.91B | 2.93B | 1.49B | 616.26M | 129.31M |
| Property, Plant & Equipment | 114.82M | 147.9M | 198.6M | 221.54M | 138.92M | 134.58M | 112.92M | 22.8M | 8.53M |
| Fixed Asset Turnover | 47.13x | 37.06x | 23.71x | 14.82x | 20.28x | 20.75x | 12.85x | 43.61x | 56.69x |
| Goodwill | 1.52B | 1.54B | 1.8B | 1.84B | 1.82B | 966.43M | 249.77M | 137.12M | 98.64M |
| Intangible Assets | 369M | 396.71M | 896.68M | 1.29B | 1.68B | 1.71B | 1.09B | 440.9M | 13.25M |
| Long-Term Investments | 576.34M | 287.67M | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Non-Current Assets | 564.6M | 456.55M | 658.37M | 386M | 268.43M | 118.16M | 42.57M | 15.44M | 8.89M |
| Total Assets | 7.71B | 7.26B | 5.87B | 5.36B | 5.85B | 6.16B | 2.15B | 1.2B | 536.86M |
| Asset Turnover | 0.90x | 0.75x | 0.80x | 0.61x | 0.48x | 0.45x | 0.67x | 0.83x | 0.90x |
| Asset Growth % | 88.39% | 23.69% | 9.52% | -8.36% | -5.12% | 186.07% | 79.18% | 123.99% | - |
| Total Current Liabilities | 1.49B | 1.33B | 1.06B | 944.12M | 578.96M | 640.1M | 598.05M | 238.88M | 113.88M |
| Accounts Payable | 697.52M | 746.98M | 563.43M | 371.7M | 273.2M | 258.22M | 147.28M | 70.52M | 59.53M |
| Days Payables Outstanding | 319.99 | 409.91 | 176.25 | 128.09 | 79.39 | 95.39 | 96.76 | 106.69 | 404.17 |
| Short-Term Debt | 0 | 0 | 0 | 215M | 33.31M | 25.81M | 15.21M | 12.21M | 0 |
| Deferred Revenue (Current) | 138.41M | 47.68M | 69.84M | 78.56M | 64.02M | 78.93M | 86.89M | 8.2M | 0 |
| Other Current Liabilities | 0 | 18.34M | 64.64M | 48.26M | 70.6M | 157.84M | 270.49M | 108.14M | 41.95M |
| Current Ratio | 3.24x | 3.32x | 2.19x | 1.71x | 3.35x | 5.05x | 1.11x | 2.45x | 3.58x |
| Quick Ratio | 3.24x | 3.32x | 2.19x | 1.71x | 3.35x | 5.05x | 1.11x | 2.45x | 3.58x |
| Cash Conversion Cycle | -216.91 | - | - | - | - | - | - | - | - |
| Total Non-Current Liabilities | 3.85B | 3.79B | 3.72B | 3.16B | 3.37B | 3.39B | 1.71B | 1.22B | 801.33M |
| Long-Term Debt | 3.51B | 3.51B | 3.51B | 2.91B | 3.18B | 3.2B | 1.58B | 1.17B | 796.09M |
| Capital Lease Obligations | 17.81M | 17.81M | 32.61M | 42.91M | 54.15M | 62.5M | 71.75M | 12.74M | 0 |
| Deferred Tax Liabilities | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Non-Current Liabilities | 335.82M | 260.35M | 180.38M | 209.93M | 133.65M | 120.86M | 59.03M | 39.06M | 5.24M |
| Total Liabilities | 5.34B | 5.12B | 4.78B | 4.1B | 3.95B | 4.03B | 2.31B | 1.46B | 915.21M |
| Total Debt | 3.51B | 3.54B | 3.56B | 3.18B | 3.28B | 3.33B | 1.7B | 1.2B | 796.09M |
| Net Debt | 755.35M | 1.06B | 2.81B | 2.68B | 2.2B | 1.81B | 1.38B | 799.59M | 519.97M |
| Debt / Equity | 1.49x | 1.66x | 3.26x | 2.53x | 1.72x | 1.56x | - | - | - |
| Debt / EBITDA | 0.73x | 0.82x | 1.53x | 2.79x | 6.57x | 5.73x | 8.79x | 4.16x | 3.08x |
| Net Debt / EBITDA | 0.16x | 0.24x | 1.21x | 2.35x | 4.41x | 3.11x | 7.15x | 2.78x | 2.01x |
| Interest Coverage | 22.94x | 20.09x | 5.95x | 2.38x | -0.19x | 1.45x | -0.74x | 2.71x | - |
| Total Equity | 2.36B | 2.13B | 1.09B | 1.26B | 1.9B | 2.14B | -158.24M | -256.57M | -378.36M |
| Equity Growth % | 506.95% | 95.87% | -13.25% | -33.97% | -11.02% | 1451.33% | 38.33% | 32.19% | - |
| Book Value per Share | 6.98 | 6.24 | 3.13 | 3.46 | 5.12 | 6.24 | -0.74 | -1.21 | -2.00 |
| Total Shareholders' Equity | 2.36B | 2.13B | 1.09B | 1.26B | 1.9B | 2.14B | -158.54M | -256.57M | -378.36M |
| Common Stock | 11K | 11K | 11K | 11K | 11K | 11K | 7K | 7K | 5K |
| Retained Earnings | 1.93B | 1.74B | 599.2M | -812.99M | -1.17B | -976.95M | -1.01B | -887.21M | -1.01B |
| Treasury Stock | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Accumulated OCI | -67.77M | -46.99M | -103.1M | -65.27M | -83.38M | -45.45M | 604K | -4.14M | -2.62M |
| Minority Interest | 0 | 0 | 0 | 0 | 0 | 201K | 309K | 0 | 0 |
Privacy-driven data signal degradation
According to quarterly financial statements, AppLovin has successfully transitioned from a negative retained earnings position of $813.0M in 2023Q4 to a positive $1.9B by 2026Q1, signaling a fundamental improvement in the company's long-term financial health and its ability to generate sustainable shareholder value.
The rapid accumulation of retained earnings suggests that the shift toward the high-margin software platform is effectively compounding capital. This trajectory indicates that the business is moving away from its historical reliance on external financing, instead funding its growth through internal cash generation.
As reported in recent filings, the company's debt-to-equity ratio has improved significantly from 6.45 in 2025Q1 to 1.49 in 2026Q1, reflecting a strategic reduction in relative leverage as the equity base expands through consistent profitability and disciplined capital management.
While the absolute debt load has remained relatively stable near $3.5B, the dramatic improvement in the D/E ratio highlights the company's success in scaling its equity base. Investors should monitor whether this leverage profile remains sustainable if the software segment faces cyclical headwinds or increased competitive pressure.
Based on the latest balance sheet data, AppLovin's cash position has surged to $2.8B in 2026Q1 from $551.0M in 2025Q1, providing a robust liquidity buffer that significantly improves the current ratio to 3.24, up from the more constrained 1.68 levels observed just one year prior.
This substantial increase in cash reserves suggests a strengthened ability to navigate potential market volatility or fund strategic initiatives without needing to access capital markets. The improved current ratio indicates a high degree of short-term solvency, which provides management with significant operational flexibility.
Analysis of the balance sheet reveals that equity has grown from $575.4M in 2025Q1 to $2.4B in 2026Q1, a trend primarily driven by the reversal of historical losses into substantial retained earnings as the software platform's high-margin revenue model takes full effect.
The shift from negative to positive retained earnings is a critical indicator of maturing business quality. This improvement suggests that the company is no longer reliant on dilutive equity issuance to sustain its operations, which may be viewed positively by long-term investors focused on earnings quality.
Despite the overall strengthening of the balance sheet, $1.5B in goodwill remains on the books as of 2026Q1, representing a significant portion of total assets that warrants investigation regarding the potential for future impairment if the acquired software assets fail to meet long-term growth expectations.
While the current performance is strong, the reliance on past acquisitions to build the software platform means that a large portion of the asset base is intangible. Investors should remain cautious about the sensitivity of these valuations to changes in the underlying performance of the integrated ad-tech units.
Quick answers to the most common questions about buying APP stock.
As of 2025, AppLovin Corporation (APP) had total assets of $7.26B including $4.43B in current assets.
AppLovin Corporation (APP) carries total debt of $3.54B, offset by $2.49B in cash and short-term investments. Comparing total debt to cash helps evaluate the company's debt burden and net leverage.
AppLovin Corporation (APP) has total shareholders' equity (book value) of $2.13B ($6.24 book value per share). Book value represents the net worth of the company belonging to common stock holders.
AppLovin Corporation (APP) reported a current ratio of 3.32x. A current ratio above 1.0x indicates that the company has more current assets than current liabilities, suggesting sufficient short-term liquidity.