ACADIA Pharmaceuticals Inc (ACAD)
Activity ratios
Short-term
Turnover ratios
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Inventory turnover | 3.73 | 1.28 | 1.53 | 2.43 | 2.12 |
| Receivables turnover | — | — | — | — | — |
| Payables turnover | — | — | — | — | — |
| Working capital turnover | 1.76 | 2.01 | 1.35 | 0.93 | 0.72 |
The inventory turnover ratio for ACADIA Pharmaceuticals Inc has shown fluctuations over the years, indicating changes in the efficiency of managing its inventory. The ratio increased from 2.12 in 2020 to 3.73 in 2024, suggesting a significant improvement in inventory turnover efficiency in the most recent year.
On the other hand, the receivables turnover ratio is not available (marked as "—"), indicating that data for this ratio is not provided for the company in the given years. This makes it difficult to evaluate how effectively the company is collecting on its receivables.
Similarly, the payables turnover ratio is also not available (marked as "—"), meaning there is no information provided on how quickly the company is paying its suppliers and creditors.
In terms of working capital turnover, the company's performance has been positive, with an improving trend from 0.72 in 2020 to 1.76 in 2024. This implies that ACADIA Pharmaceuticals Inc is generating more revenue relative to its working capital over the years, indicating efficient utilization of working capital to generate sales.
Overall, while the inventory turnover and working capital turnover ratios show positive trends, the lack of data for receivables and payables turnover ratios hinders a complete assessment of the company's overall activity ratios performance.
Average number of days
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Days of inventory on hand (DOH) | days | 97.89 | 285.89 | 238.26 | 150.28 | 171.97 |
| Days of sales outstanding (DSO) | days | — | — | — | — | — |
| Number of days of payables | days | — | — | — | — | — |
Based on the provided data, we can analyze ACADIA Pharmaceuticals Inc's activity ratios as follows:
1. Days of Inventory on Hand (DOH):
- The trend in DOH shows variability over the years, ranging from 97.89 days to 285.89 days.
- A decrease in DOH from 2023 to 2024 indicates better inventory management efficiency.
- Overall, a lower DOH is favorable as it suggests faster inventory turnover and efficient management of stock levels.
2. Days of Sales Outstanding (DSO):
- The data does not provide specific DSO figures for any year, indicating that the company's accounts receivable turnover was not available.
- Without DSO data, it's challenging to assess how quickly ACADIA Pharmaceuticals collects its receivables, which can impact cash flow and overall liquidity.
3. Number of Days of Payables:
- The absence of information regarding days of payables makes it difficult to evaluate the company's payment practices with suppliers.
- A longer period of payables could suggest favorable terms with suppliers, providing liquidity benefits, while shorter payables might strain cash flows.
In conclusion, the analysis of ACADIA Pharmaceuticals Inc's activity ratios indicates varying levels of efficiency in managing inventory, collecting receivables, and paying suppliers. Further information on DSO and payables would be necessary to provide a more comprehensive assessment of the company's operational performance.
Long-term
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Fixed asset turnover | — | — | 8.40 | 7.30 | 48.22 |
| Total asset turnover | 0.81 | 0.97 | 0.88 | 0.69 | 0.56 |
ACADIA Pharmaceuticals Inc's long-term activity ratios indicate the efficiency of the company in generating sales in relation to its fixed assets and total assets.
1. Fixed Asset Turnover:
- The fixed asset turnover ratio measures how efficiently the company is utilizing its fixed assets to generate revenue.
- In December 2020, the ratio was particularly high at 48.22, which suggests that the company generated significant sales relative to its investment in fixed assets.
- However, this ratio decreased significantly to 7.30 in December 2021, indicating a decline in the efficiency of generating revenue from fixed assets.
- The ratio improved slightly to 8.40 in December 2022, but there is incomplete data for 2023 and 2024.
- Overall, a higher fixed asset turnover ratio is preferable as it indicates better asset utilization efficiency.
2. Total Asset Turnover:
- The total asset turnover ratio measures how efficiently the company is using all its assets to generate revenue.
- In December 2020, the total asset turnover ratio was 0.56, indicating that the company generated $0.56 in revenue for every dollar of assets it owned.
- The ratio improved over the years, reaching 0.97 in December 2023 before dropping to 0.81 in December 2024.
- A higher total asset turnover ratio generally indicates more efficient use of assets to generate sales.
In conclusion, the analysis of ACADIA Pharmaceuticals Inc's long-term activity ratios reflects fluctuations in the company's efficiency in utilizing fixed assets and total assets to generate revenue over the years. It is essential for the company to focus on improving these ratios to enhance its operational efficiency and overall performance.