Arcosa Inc (ACA)

Activity ratios

Short-term

Turnover ratios

Dec 31, 2023 Sep 30, 2023 Jun 30, 2023 Mar 31, 2023 Dec 31, 2022 Sep 30, 2022 Jun 30, 2022 Mar 31, 2022 Dec 31, 2021 Sep 30, 2021 Jun 30, 2021 Mar 31, 2021 Dec 31, 2020 Sep 30, 2020 Jun 30, 2020 Mar 31, 2020 Dec 31, 2019 Sep 30, 2019 Jun 30, 2019
Inventory turnover 4.64 4.98 5.08 5.55 5.76 5.61 6.13 5.10 5.15 4.68 4.55 5.27 5.61 5.34 4.82 4.82 4.96 3.94 4.20
Receivables turnover 6.46 5.71 5.79 5.73 6.71 6.94 6.34 5.70 6.55 5.42 6.06 6.53 7.44 8.26 8.63 7.62 8.68 7.80 6.99
Payables turnover 6.84 7.34 7.55 8.85 9.54 8.32 8.24 7.65 9.04 7.56 7.67 8.67 10.78 11.29 13.98 12.92 15.61 14.60 16.73
Working capital turnover 4.80 4.07 4.04 4.24 4.59 4.53 4.88 4.87 5.04 4.68 4.42 4.90 5.46 4.49 4.47 3.68 3.67 3.69 3.81

Arcosa Inc's activity ratios provide insight into how efficiently the company is managing its assets and liabilities.

1. Inventory turnover: This ratio measures how many times a company's inventory is sold and replaced over a period. Arcosa Inc's inventory turnover has been relatively stable around 5 times per year, indicating that the company is efficiently managing its inventory levels.

2. Receivables turnover: This ratio reflects how effectively a company is collecting on its credit sales. Arcosa Inc's receivables turnover has fluctuated slightly but generally remains around 6 to 7 times per year, suggesting the company is efficiently collecting payments from its customers.

3. Payables turnover: The payables turnover ratio indicates how quickly a company pays its suppliers. Arcosa Inc's payables turnover has been decreasing over the past quarters, indicating that the company is taking longer to pay its suppliers.

4. Working capital turnover: This ratio measures how efficiently a company is utilizing its working capital to generate sales. Arcosa Inc's working capital turnover has remained fairly consistent around 4 to 5 times per year, suggesting that the company is effectively using its working capital to support its operations.

Overall, Arcosa Inc's activity ratios indicate efficient management of inventory and receivables, but a potential need to optimize its payables turnover to maintain a balanced working capital turnover ratio.

Average number of days

Dec 31, 2023 Sep 30, 2023 Jun 30, 2023 Mar 31, 2023 Dec 31, 2022 Sep 30, 2022 Jun 30, 2022 Mar 31, 2022 Dec 31, 2021 Sep 30, 2021 Jun 30, 2021 Mar 31, 2021 Dec 31, 2020 Sep 30, 2020 Jun 30, 2020 Mar 31, 2020 Dec 31, 2019 Sep 30, 2019 Jun 30, 2019
Days of inventory on hand (DOH) days 78.67 73.35 71.84 65.81 63.33 65.08 59.53 71.55 70.92 77.97 80.16 69.32 65.03 68.37 75.70 75.69 73.62 92.66 86.97
Days of sales outstanding (DSO) days 56.48 63.88 63.03 63.68 54.39 52.57 57.57 63.98 55.71 67.36 60.24 55.90 49.07 44.19 42.30 47.90 42.03 46.80 52.24
Number of days of payables days 53.36 49.71 48.36 41.25 38.24 43.86 44.30 47.73 40.36 48.27 47.59 42.10 33.85 32.33 26.11 28.24 23.39 25.00 21.82

Arcosa Inc's activity ratios provide insight into how efficiently the company manages its assets and liabilities to generate sales.

1. Days of Inventory on Hand (DOH): Arcosa Inc's DOH has been steadily increasing over the quarters, indicating that the company is holding onto inventory for a longer period before selling it. This could be a signal of potential issues in inventory management or declining sales.

2. Days of Sales Outstanding (DSO): The DSO metric shows the average number of days it takes for Arcosa Inc to collect payment after a sale. The increasing trend in DSO indicates that the company is facing challenges in collecting payments from customers promptly, potentially leading to cash flow issues.

3. Number of Days of Payables: The decreasing trend in the number of days of payables suggests that Arcosa Inc is paying off its liabilities faster. This could be a positive sign as it may indicate strong relationships with suppliers or efficient management of payables.

Overall, Arcosa Inc should closely monitor its activity ratios to ensure efficient management of its working capital and improve cash flow and profitability in the long run.

Long-term

Dec 31, 2023 Sep 30, 2023 Jun 30, 2023 Mar 31, 2023 Dec 31, 2022 Sep 30, 2022 Jun 30, 2022 Mar 31, 2022 Dec 31, 2021 Sep 30, 2021 Jun 30, 2021 Mar 31, 2021 Dec 31, 2020 Sep 30, 2020 Jun 30, 2020 Mar 31, 2020 Dec 31, 2019 Sep 30, 2019 Jun 30, 2019
Fixed asset turnover 1.73 1.77 1.81 1.87 1.87 1.93 1.88 1.78 1.69 1.55 1.58 2.09 2.12 2.15 2.10 2.03 2.13 2.04 1.96
Total asset turnover 0.65 0.64 0.64 0.66 0.67 0.67 0.67 0.65 0.64 0.60 0.62 0.71 0.73 0.73 0.73 0.69 0.75 0.75 0.74

Long-term activity ratios provide insights into how efficiently a company is utilizing its assets to generate sales. In the case of Arcosa Inc, the fixed asset turnover has been relatively stable over the past eight quarters, ranging from 1.73 to 1.93. This indicates that the company is generating sales effectively in relation to its investment in fixed assets.

The total asset turnover for Arcosa Inc has shown some fluctuations, but has generally remained within a narrow range, varying from 0.64 to 0.67. This metric reflects the company's ability to generate sales in relation to its total assets. A declining trend in total asset turnover might suggest that the company is becoming less efficient in utilizing its total assets to generate revenue.

Both the fixed asset turnover and total asset turnover ratios are important indicators of operational efficiency and asset utilization. In the case of Arcosa Inc, the relatively stable fixed asset turnover and the consistent, albeit fluctuating, total asset turnover imply that the company is managing its assets efficiently to drive sales. However, management should continue to monitor these ratios to ensure sustained efficiency in the long-term.