AMN Healthcare Services Inc (AMN)
Activity ratios
Short-term
Turnover ratios
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Inventory turnover | — | — | — | 26.29 | 41.24 |
| Receivables turnover | — | — | — | — | — |
| Payables turnover | — | — | — | — | — |
| Working capital turnover | 60.73 | 20.42 | 22.24 | 10.49 | 21.61 |
AMN Healthcare Services Inc's activity ratios provide insights into the efficiency of the company's operations.
1. Inventory Turnover:
- The inventory turnover ratio measures how efficiently the company is managing its inventory. In this case, the ratio has decreased from 41.24 in 2020 to 26.29 in 2021, indicating a decline in the rate at which inventory is being sold. This might suggest potential issues with inventory management or a change in sales patterns.
2. Receivables Turnover:
- The receivables turnover ratio evaluates how quickly the company collects payments from its customers. However, all values are not available for this metric, suggesting a lack of data to assess the efficiency of the company's accounts receivable management.
3. Payables Turnover:
- The payables turnover ratio reflects how efficiently the company pays its suppliers. Similar to receivables turnover, the data is not available for this ratio, making it challenging to evaluate the effectiveness of the company's payment practices.
4. Working Capital Turnover:
- The working capital turnover ratio indicates how effectively the company is utilizing its working capital to generate sales. The ratio has fluctuated over the years, from 21.61 in 2020 to 60.73 in 2024, with varying levels of efficiency in utilizing working capital to drive revenue. A higher turnover ratio typically indicates better efficiency in generating sales relative to the amount of working capital invested.
Overall, while the working capital turnover ratio suggests improvements in efficiency, a lack of data for inventory turnover, receivables turnover, and payables turnover limits a comprehensive assessment of AMN Healthcare Services Inc's activity ratios.
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 | — | — | — | 13.88 | 8.85 |
| Days of sales outstanding (DSO) | days | — | — | — | — | — |
| Number of days of payables | days | — | — | — | — | — |
Based on the provided data for AMN Healthcare Services Inc, we can analyze the activity ratios as follows:
1. Days of Inventory on Hand (DOH):
- On December 31, 2020, the company had 8.85 days of inventory on hand, which increased to 13.88 days on December 31, 2021.
- As of December 31, 2022, December 31, 2023, and December 31, 2024, specific data for days of inventory on hand is not available.
2. Days of Sales Outstanding (DSO):
- The data for days of sales outstanding is not provided for any of the years (2020-2024), indicating that the company's accounts receivable turnover is unknown.
3. Number of Days of Payables:
- Similarly, specific data for the number of days of payables is not disclosed for the years 2020 to 2024, making it difficult to assess the company's ability to manage its payables efficiently.
In conclusion, the lack of detailed data for days of sales outstanding and number of days of payables hinders a comprehensive evaluation of AMN Healthcare Services Inc's efficiency in managing its accounts receivables and payables. The increase in days of inventory on hand from 2020 to 2021 suggests a potential change in the company's inventory management practices which would require further scrutiny to assess its impact on the overall operational efficiency.
Long-term
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Fixed asset turnover | — | — | 35.12 | 25.72 | 20.60 |
| Total asset turnover | 1.24 | 1.30 | 1.82 | 1.27 | 1.02 |
The analysis of AMN Healthcare Services Inc's long-term activity ratios reveals a notable improvement in its efficiency in utilizing fixed assets over the years. The fixed asset turnover ratio, which measures how effectively the company generates revenue from its fixed assets, demonstrates a consistent upward trend from 20.60 in 2020 to 35.12 in 2022, indicating that the company has been able to generate higher revenue relative to its investment in fixed assets.
On the other hand, the total asset turnover ratio, which assesses the company's overall efficiency in generating sales from all assets, shows a fluctuating trend. While it increased from 1.02 in 2020 to 1.82 in 2022, indicating a substantial improvement in asset utilization efficiency during this period, it experienced a decline in subsequent years to 1.30 in 2023 and 1.24 in 2024.
Overall, AMN Healthcare Services Inc's long-term activity ratios suggest that the company has been effectively leveraging its fixed assets to generate revenue, although there has been some variability in its overall asset utilization efficiency in recent years. Further analysis and consideration of other financial metrics are recommended to gain a comprehensive understanding of the company's operational performance.