Adient PLC (ADNT)
Activity ratios
Short-term
Turnover ratios
| Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Inventory turnover | 18.15 | 17.96 | 17.91 | 17.18 | 17.08 | 16.25 | 15.03 | 13.86 | 13.97 | 13.31 | 12.49 | 13.43 | 13.17 | 15.85 | 16.08 | 16.75 | 17.63 | 16.87 | 18.92 | 19.97 |
| Receivables turnover | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Payables turnover | 5.39 | 5.65 | 5.64 | 5.91 | 5.69 | 5.39 | 5.16 | 5.56 | 5.37 | 5.37 | 5.05 | 5.54 | 6.03 | 6.43 | 5.11 | 5.35 | 5.54 | 8.49 | 6.66 | 6.14 |
| Working capital turnover | 36.00 | 47.46 | 32.54 | 29.19 | 26.63 | 22.33 | 24.66 | 21.43 | 21.33 | 19.62 | 19.73 | 9.87 | 8.69 | 30.03 | 30.05 | 13.80 | 19.11 | 34.56 | 294.09 | 140.55 |
Inventory turnover is a measure of how efficiently a company is managing its inventory. A higher inventory turnover ratio indicates that the company is selling its inventory more quickly. Adient PLC's inventory turnover has been relatively stable over the periods analyzed, ranging from 12.49 to 19.97. This suggests that Adient has been effectively managing its inventory levels and turning them into sales.
Receivables turnover measures how quickly a company collects its accounts receivables. However, data for Adient's receivables turnover is unavailable in the provided table, making it difficult to assess the company's efficiency in collecting payments from customers.
Payables turnover reflects how efficiently a company pays its suppliers. Adient's payables turnover has shown some fluctuations over time, ranging from 5.05 to 8.49. Generally, a higher payables turnover ratio indicates that the company is taking longer to pay its suppliers, which can sometimes signal cash flow issues.
Working capital turnover measures how efficiently a company is utilizing its working capital to generate revenue. Adient's working capital turnover has varied significantly, from as low as 8.69 to as high as 294.09. Such fluctuations may indicate changes in the company's operations or financial health, and further analysis would be needed to understand the reasons behind these variations.
In conclusion, Adient PLC's activity ratios demonstrate varying levels of efficiency in managing inventory, payables, and working capital over the periods analyzed. Further investigation into the context and business operations of the company would be required to provide a more detailed assessment of its performance.
Average number of days
| Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Days of inventory on hand (DOH) | days | 20.11 | 20.32 | 20.38 | 21.25 | 21.37 | 22.46 | 24.29 | 26.33 | 26.13 | 27.43 | 29.23 | 27.17 | 27.71 | 23.03 | 22.69 | 21.79 | 20.70 | 21.63 | 19.29 | 18.27 |
| Days of sales outstanding (DSO) | days | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Number of days of payables | days | 67.69 | 64.55 | 64.72 | 61.79 | 64.20 | 67.77 | 70.76 | 65.61 | 67.93 | 67.96 | 72.29 | 65.88 | 60.48 | 56.73 | 71.38 | 68.27 | 65.85 | 43.01 | 54.84 | 59.44 |
Days of inventory on hand (DOH) measures how quickly a company is able to turn its inventory into sales. A lower number indicates more efficient inventory management. Adient PLC's DOH decreased from 21.63 days in Q4 2020 to 20.11 days in Q3 2024, indicating improved inventory turnover efficiency overall, with a slight fluctuation in between.
Days of sales outstanding (DSO) is a measure of how long it takes a company to collect payments from its customers. Unfortunately, there is missing data for DSO in the provided table, so a comprehensive analysis based on this metric is not possible.
Number of days of payables indicates how long a company takes to pay its suppliers. Adient PLC's number of days of payables has fluctuated over the quarters, ranging from 43.01 days in Q4 2019 to 72.29 days in Q2 2022. In Q3 2024, the number of days of payables was 67.69 days, which suggests that the company takes around 67 days to pay its suppliers.
Overall, Adient PLC's activity ratios show varying levels of efficiency in managing inventory turnover and payables, which may have implications for the company's working capital management and cash flow.
Long-term
| Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Fixed asset turnover | 10.42 | 10.88 | 11.08 | 10.96 | 11.14 | 10.96 | 10.41 | 10.11 | 10.25 | 9.18 | 8.54 | 8.54 | 8.51 | 9.36 | 8.31 | 7.83 | 8.01 | 8.16 | 9.80 | 9.65 |
| Total asset turnover | 1.57 | 1.63 | 1.64 | 1.65 | 1.63 | 1.62 | 1.56 | 1.55 | 1.54 | 1.42 | 1.32 | 1.24 | 1.27 | 1.48 | 1.29 | 1.19 | 1.23 | 1.35 | 1.46 | 1.57 |
Long-term activity ratios provide insights into how efficiently a company is utilizing its assets to generate sales. The fixed asset turnover ratio for Adient PLC has been relatively stable over the past few quarters, ranging between 8.54 and 11.14. This indicates that the company is generating revenue efficiently from its fixed assets.
The total asset turnover ratio, on the other hand, shows how effectively Adient PLC is utilizing all its assets to generate revenue. The company's total asset turnover ratio has been fluctuating, ranging from 1.19 to 1.65 over the same period. Although there are fluctuations, the general trend shows that Adient PLC is effectively generating revenue from its total assets.
In conclusion, Adient PLC's long-term activity ratios suggest that the company is efficiently utilizing both its fixed assets and total assets to generate sales, which is a positive sign for the company's operational efficiency.