Balance Sheet Growth

Balance Sheet Growth

Retrieve and analyze year-over-year growth in key balance sheet items for public companies using Octagon MCP.

Prerequisites

Ensure Octagon MCP is configured in your AI agent (Cursor, Claude Desktop, Windsurf, etc.). See [references/mcp-setup.md](references/mcp-setup.md) for installation instructions.

Query Format

Retrieve year-over-year growth in key balance-sheet items for , limited to  records and filtered by period .

MCP Call:

{
  "server": "octagon-mcp",
  "toolName": "octagon-agent",
  "arguments": {
    "prompt": "Retrieve year-over-year growth in key balance-sheet items for AAPL, limited to 5 records and filtered by period FY"
  }
}

Output Format

The agent returns a table with YoY growth percentages:

| Fiscal Year | Total Assets Growth (%) | Total Liabilities Growth (%) | Shareholders' Equity Growth (%) | Cash & Cash Equivalents Growth (%) | Inventories Growth (%) | |-------------|------------------------|-----------------------------|---------------------------------|-----------------------------------|------------------------| | 2025 | -1.57 | -7.31 | 29.47 | 12.01 | -21.52 | | 2024 | 3.51 | 6.05 | -8.36 | -0.07 | 15.08 | | 2023 | -0.00 | -3.85 | 22.64 | 26.72 | 28.00 | | 2022 | 0.49 | 4.92 | -19.68 | -32.32 | -24.83 |

Data Sources: octagon-companies-agent, octagon-financials-agent

Key Observations Pattern

After receiving data, generate observations:

1. Asset base changes: Track total assets growth/decline and drivers
2. Leverage trends: Compare liabilities growth to equity growth
3. Liquidity position: Monitor cash and cash equivalents trajectory
4. Working capital: Assess inventory management efficiency
5. Capital structure shifts: Note significant equity vs liability changes

Metrics Reference

| Metric | Definition | |--------|------------| | Total Assets Growth | YoY change in all company assets | | Total Liabilities Growth | YoY change in all obligations and debts | | Shareholders' Equity Growth | YoY change in net worth (Assets - Liabilities) | | Cash & Cash Equivalents Growth | YoY change in liquid assets | | Inventories Growth | YoY change in unsold goods and materials |

Analysis Tips

Deleveraging Signal

When Liabilities decline while Equity grows:

• Company paying down debt
• Strengthening balance sheet
• Example: Liabilities -7.31%, Equity +29.47%

Asset-Light Trend

When Assets decline but Equity grows:

• Efficient capital deployment
• Possible divestitures or write-offs
• Focus on return on assets

Cash Accumulation

When Cash grows faster than Assets:

• Building war chest for M&A or buybacks
• Conservative financial positioning
• May signal limited reinvestment opportunities

Inventory Management

When Inventories decline while Revenue grows:

• Improved supply chain efficiency
• Just-in-time inventory practices
• Better demand forecasting

Capital Structure Warning

When Liabilities grow faster than Assets:

• Increasing leverage
• Potential solvency concerns if sustained
• Review debt covenants and maturities

Follow-up Queries

Based on results, suggest deeper analysis:

• "What drove the significant shareholders' equity growth in [YEAR]?"
• "Analyze [COMPANY]'s debt maturity schedule and refinancing risk"
• "Compare [COMPANY]'s leverage ratios to industry peers"
• "Extract cash flow statement data for [TICKER] to understand cash sources"

Source & license

This open-source skill is cataloged on AgentStack and links to its original source — we do not rehost the code.

• Author: OctagonAI
• Source: OctagonAI/skills
• License: MIT
• Homepage: https://octagonai.co

Install and usage instructions live in the source repository linked above.