Amphastar P (AMPH)
Activity ratios
Short-term
Turnover ratios
| 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 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Inventory turnover | 2.77 | 2.50 | 2.53 | 2.43 | 2.41 | 2.43 | 2.54 | 2.57 | 2.56 | 2.32 | 2.23 | 2.23 | 2.13 | 1.81 | 1.87 | 1.76 | 1.72 | 1.78 | 1.98 | 2.48 |
| Receivables turnover | 5.61 | 5.05 | 5.17 | 5.15 | 5.62 | 6.29 | 5.90 | 6.22 | 5.56 | 5.29 | 5.66 | 4.72 | 5.30 | 6.44 | 6.70 | 5.66 | 7.10 | 7.26 | 6.64 | 5.75 |
| Payables turnover | 11.53 | 8.61 | 14.05 | 11.45 | 12.20 | 12.57 | 8.06 | 10.25 | 10.72 | 10.73 | 7.87 | 9.43 | 8.48 | 8.52 | 9.00 | 11.48 | 7.60 | 8.87 | 6.26 | 5.69 |
| Working capital turnover | 2.44 | 2.11 | 4.06 | 1.72 | 1.76 | 1.72 | 1.74 | 1.82 | 2.04 | 2.01 | 2.06 | 2.13 | 2.09 | 1.88 | 1.92 | 2.00 | 1.95 | 1.80 | 1.77 | 2.67 |
Amphastar Pharmaceuticals Inc's activity ratios provide insight into the company's efficiency in managing its assets and liabilities.
1. Inventory Turnover: This ratio measures how efficiently the company is managing its inventory. With a range of 2.41 to 2.77 over the past eight quarters, we see a relatively consistent performance in turning over inventory. However, there was a slight increase in Q4 2023 compared to the previous quarters, indicating a potential improvement in inventory management efficiency.
2. Receivables Turnover: This ratio indicates how many times a company collects its accounts receivable in a given period. The trend for Amphastar Pharmaceuticals Inc over the last two years shows fluctuation, with a high of 6.29 in Q3 2022 and a low of 5.05 in Q3 2023. Overall, the company appears to be effectively collecting its receivables, although there have been some variations in performance.
3. Payables Turnover: This ratio reflects how quickly a company pays its suppliers. Amphastar Pharmaceuticals Inc's payables turnover has been relatively stable over the past eight quarters, ranging from 8.06 to 14.05. The company seems to be managing its payables efficiently, with no significant outliers in the data.
4. Working Capital Turnover: This ratio shows how effectively a company is utilizing its working capital to generate revenue. The trend for Amphastar Pharmaceuticals Inc demonstrates some variation, with a peak of 4.06 in Q2 2023 and a low of 1.72 in Q1 2023. It appears that the company has been able to generate revenue more efficiently in quarters with higher working capital turnover.
In conclusion, while there are some fluctuations in the activity ratios of Amphastar Pharmaceuticals Inc, the general trend shows a decent level of efficiency in managing inventory, accounts receivable, payables, and working capital to support the company's operations and revenue generation.
Average number of days
| 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 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Days of inventory on hand (DOH) | days | 131.72 | 145.88 | 144.30 | 150.26 | 151.16 | 150.19 | 143.97 | 142.04 | 142.31 | 157.39 | 163.69 | 163.56 | 171.15 | 201.29 | 195.64 | 207.93 | 211.79 | 205.17 | 184.01 | 146.97 |
| Days of sales outstanding (DSO) | days | 65.11 | 72.23 | 70.66 | 70.83 | 64.96 | 58.04 | 61.85 | 58.68 | 65.70 | 69.05 | 64.53 | 77.27 | 68.86 | 56.68 | 54.49 | 64.45 | 51.38 | 50.26 | 54.99 | 63.43 |
| Number of days of payables | days | 31.66 | 42.41 | 25.97 | 31.86 | 29.92 | 29.04 | 45.31 | 35.59 | 34.06 | 34.01 | 46.39 | 38.72 | 43.05 | 42.84 | 40.55 | 31.81 | 48.03 | 41.17 | 58.34 | 64.10 |
Amphastar Pharmaceuticals Inc's activity ratios provide insights into how efficiently the company manages its inventory, collects its receivables, and pays its suppliers.
1. Days of Inventory on Hand (DOH): The trend of DOH shows that the company has been effectively managing its inventory levels over the quarters. A lower number of days indicates that inventory turnover is high, which is generally favorable as it indicates efficient management of inventory.
2. Days of Sales Outstanding (DSO): The DSO shows how quickly the company collects its receivables. The decreasing trend in DSO over the quarters suggests that the company has been improving its collection efficiency. A lower DSO indicates that the company is collecting payments from customers more quickly.
3. Number of Days of Payables: This ratio reflects the number of days it takes for the company to pay its suppliers. The fluctuating trend in the number of days of payables indicates variability in the company's payment practices. A higher number of days of payables may suggest that the company is taking longer to settle its payables, which could indicate cash flow management strategies.
In summary, while the company has effectively managed its inventory levels and improved collection efficiency over the quarters, the payment practices to suppliers have shown some variability. Monitoring these activity ratios can provide valuable insights into the overall operational efficiency and liquidity management of Amphastar Pharmaceuticals Inc.
Long-term
| 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 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Fixed asset turnover | 2.28 | 2.14 | 1.94 | 2.13 | 2.09 | 2.08 | 2.01 | 1.87 | 1.79 | 1.70 | 1.52 | 1.45 | 1.35 | 1.37 | 1.40 | 1.41 | 1.38 | 1.48 | 1.47 | 1.47 |
| Total asset turnover | 0.43 | 0.39 | 0.39 | 0.67 | 0.67 | 0.67 | 0.66 | 0.64 | 0.65 | 0.63 | 0.58 | 0.57 | 0.55 | 0.55 | 0.56 | 0.57 | 0.55 | 0.56 | 0.54 | 0.58 |
The fixed asset turnover ratio measures the efficiency with which a company generates sales using its fixed assets. For Amphastar Pharmaceuticals Inc, the fixed asset turnover ratio has shown a generally increasing trend from Q1 2022 to Q4 2023, indicating that the company is becoming more efficient in utilizing its fixed assets to generate revenue. The ratio was highest in Q4 2023 at 2.28, suggesting that for every dollar invested in fixed assets, Amphastar generated $2.28 in sales during that quarter.
On the other hand, the total asset turnover ratio measures how efficiently a company generates sales from all of its assets. In the case of Amphastar Pharmaceuticals Inc, the total asset turnover ratio fluctuated over the quarters but generally remained between 0.39 and 0.67. This indicates that the company has been able to generate approximately $0.39 to $0.67 in sales for each dollar of total assets it owns over the periods.
Comparing the fixed asset turnover and total asset turnover ratios, we can see that the company is more efficient in generating sales using its fixed assets specifically, as shown by the consistently higher fixed asset turnover ratios compared to the total asset turnover ratios. This implies that the company may have a significant portion of its revenue tied to its fixed assets, such as manufacturing equipment or property.
Overall, the trend in both ratios for Amphastar Pharmaceuticals Inc suggests that the company is effectively utilizing its assets to generate revenue, with a particularly notable improvement in the efficiency of its fixed asset utilization over the analyzed quarters.