Axcelis Technologies Inc (ACLS)

Short-term

Turnover ratios

The inventory turnover ratio for Axcelis Technologies Inc has been gradually increasing over the years, indicating an improvement in the management of inventory. This suggests that the company is selling its inventory more efficiently, with a figure of 2.00 at the end of December 31, 2023.

On the other hand, the receivables turnover ratio and payables turnover ratio data are not available for analysis, which makes it challenging to evaluate the efficiency of the company in collecting receivables and managing payables.

The working capital turnover ratio has generally shown an increasing trend up to June 30, 2022, suggesting that the company is effectively utilizing its working capital to generate sales. However, there has been a slight decline in the ratio from March 31, 2023, onwards, indicating a potential decrease in sales relative to the working capital employed.

Overall, the inventory turnover ratio demonstrates positive trends in inventory management efficiency, while the working capital turnover ratio suggests effective utilization of working capital until a slight dip in recent periods. Additional information on the receivables and payables turnover ratios would provide a more comprehensive analysis of Axcelis Technologies Inc's activity ratios.

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Average number of days

Based on the provided data for Axcelis Technologies Inc, let's analyze the activity ratios:

1. Days of Inventory on Hand (DOH):
- The Days of Inventory on Hand measures how many days, on average, a company holds its inventory before selling it.
- Over the period from March 31, 2020, to December 31, 2024, the DOH for Axcelis Technologies Inc fluctuated, with a general decreasing trend from 227.53 days on March 31, 2020, to 182.90 days on December 31, 2024.
- A decreasing trend in the DOH indicates that the company is managing its inventory more efficiently by reducing the time it takes to turn inventory into sales.
- The decrease in DOH from 2020 to 2024 may suggest improvements in inventory management, such as better demand forecasting or tighter control over production and procurement processes.

2. Days of Sales Outstanding (DSO):
- Unfortunately, there is no data available for the Days of Sales Outstanding (DSO) for Axcelis Technologies Inc within the provided dataset.
- DSO measures the average number of days it takes a company to collect revenue after a sale is made.
- Typically, a lower DSO is desirable as it indicates that the company is collecting revenue more quickly, improving cash flow management.

3. Number of Days of Payables:
- Similar to DSO, there is no data available for the Number of Days of Payables within the provided dataset for Axcelis Technologies Inc.
- The Number of Days of Payables measures how long a company takes to pay its suppliers and is an important indicator of liquidity and financial health.
- A longer period of payables may indicate that the company is effectively using trade credit to manage cash flow and working capital.

In conclusion, based on the available data, Axcelis Technologies Inc has shown improvements in managing its inventory efficiently over the years, as indicated by the decreasing trend in Days of Inventory on Hand. Unfortunately, without data on Days of Sales Outstanding and Number of Days of Payables, a complete assessment of the company's overall activity ratios is not possible.

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Long-term

Long-term activity ratios provide insights into how efficiently a company is utilizing its assets to generate sales. For Axcelis Technologies Inc, we can analyze two key long-term activity ratios: Fixed Asset Turnover and Total Asset Turnover.

Fixed Asset Turnover measures the company's ability to generate sales from its fixed assets. The trend for Axcelis shows a general increase from March 31, 2020, to March 31, 2023, with a peak at 23.71, indicating the company was able to generate significant sales relative to its investment in fixed assets. However, the ratio declined in the following periods and lacked data beyond December 31, 2023, which may suggest potential challenges in efficiently utilizing fixed assets in generating sales.

Total Asset Turnover, on the other hand, examines how efficiently the company is using all its assets to generate sales. Axcelis saw an increasing trend from March 31, 2020, to December 31, 2021, suggesting improved efficiency in utilizing its total assets to generate revenue. However, the ratio started declining from March 31, 2022, which may indicate decreasing sales generated per dollar of assets employed. The ratio continued to decrease until December 31, 2024.

In summary, while Axcelis Technologies showed efficiency in generating sales from its assets initially, there was a decline in both Fixed Asset Turnover and Total Asset Turnover in later periods, indicating potential challenges in asset utilization efficiency that may warrant further investigation.