Albany International Corporation (AIN)

Short-term

Turnover ratios

Albany International Corporation's inventory turnover has been relatively stable over the years, decreasing slightly from 4.79 in December 2020 to 4.31 in December 2023 before bouncing back to 5.68 in December 2024. This indicates that the company is managing its inventory efficiently, with a higher turnover ratio suggesting that inventory is being sold and replenished at a faster rate.

The receivables turnover and payables turnover ratios are not provided in the data, which limits the analysis of the company's effectiveness in collecting receivables and managing payments to suppliers.

In terms of working capital turnover, Albany International Corporation has shown an improving trend from 1.71 in December 2020 to 2.44 in December 2024. This indicates that the company is generating more revenue per dollar of working capital invested, reflecting increased efficiency in utilizing its working capital to support sales and operations. This improvement suggests that the company is becoming more efficient in utilizing its resources to generate sales revenue.

Overall, based on the available activity ratios, Albany International Corporation appears to be effectively managing its inventory and working capital, potentially leading to improved operational efficiency over time. However, a lack of data on receivables and payables turnover ratios restricts a comprehensive analysis of the company's overall liquidity and operational effectiveness.

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Average number of days

Based on the provided data, we can analyze the activity ratios of Albany International Corporation as follows:

1. Days of Inventory on Hand (DOH):
- The days of inventory on hand have fluctuated over the years, ranging from 64.23 days at the end of December 31, 2024, to 84.72 days at the end of December 31, 2023. This ratio indicates the number of days a company holds inventory before it is sold. A lower DOH is generally preferred as it suggests efficient inventory management.

2. Days of Sales Outstanding (DSO):
- The data provided does not include information on the days of sales outstanding for Albany International Corporation. DSO is a measure of how long it takes a company to collect its accounts receivable. A lower DSO is typically favorable as it indicates quicker collection of receivables.

3. Number of Days of Payables:
- The data does not provide information on the number of days of payables for Albany International Corporation. This ratio reflects how long a company takes to pay its suppliers. A longer payable period can be advantageous for the company as it indicates improved cash flow management.

In conclusion, while we have detailed information on the days of inventory on hand for Albany International Corporation, the data for days of sales outstanding and number of days of payables are not available for analysis. Efficient management of inventory, receivables, and payables is crucial for maintaining a healthy working capital cycle and overall financial performance.

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Long-term

Albany International Corporation's fixed asset turnover ratio has shown a consistent improvement over the years, increasing from 2.01 in December 2020 to 2.32 in December 2022. This indicates that the company is generating more revenue per dollar invested in fixed assets, reflecting efficient asset utilization.

In terms of total asset turnover, the company's performance has also been positive, with the ratio increasing from 0.58 in December 2020 to 0.75 in December 2024. This signifies that Albany International Corporation is generating more sales relative to its total assets, showing effective management of its assets to generate revenue.

Overall, the trend in both fixed asset turnover and total asset turnover ratios suggest that Albany International Corporation has been effectively managing its assets to generate revenue and improve efficiency in its operations over the years.