Berry Global Group Inc (BERY)

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	6.59	7.25	6.70	6.45	6.72	7.36	6.84	6.86	6.41	6.59	6.66	6.91	6.95	8.06	7.89	6.87	5.85	5.48	7.46	7.10
Receivables turnover	8.34	8.10	7.47	—	8.69	8.19	—	—	—	7.37	—	—	—	—	—	—	—	—	—	—
Payables turnover	9.85	7.39	10.00	8.90	10.57	7.39	8.92	8.16	8.27	6.16	7.42	7.64	8.75	9.17	10.60	7.62	7.78	6.26	11.05	10.03
Working capital turnover	7.91	6.98	6.48	6.13	6.35	6.28	7.07	6.56	7.06	7.26	7.72	6.84	7.12	7.16	6.29	5.80	6.09	5.17	7.74	7.06

The inventory turnover ratio for Berry Global Group Inc has been relatively stable over the period, averaging around 6.94. This indicates that the company is efficient in managing its inventory and turning it into sales.

The receivables turnover ratio shows variability in the data provided, ranging from 7.37 to 8.69. A higher turnover ratio suggests that the company is efficient in collecting payments from its customers. However, the missing data points for this ratio limit a comprehensive trend analysis.

The payables turnover ratio ranges from 6.16 to 11.05, with an average of approximately 8.60. This indicates that the company is managing its payables effectively, with a higher turnover ratio implying a shorter time to pay off its suppliers.

The working capital turnover ratio varies between 5.17 and 7.91, averaging around 6.78. This ratio reflects how efficiently the company utilizes its working capital to generate sales. A higher ratio suggests better efficiency in utilizing working capital to support revenue generation.

Overall, Berry Global Group Inc demonstrates generally efficient activity ratios, indicating effective management of inventory, receivables, payables, and working capital to support its operations and generate revenue.

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	55.36	50.33	54.48	56.61	54.34	49.58	53.35	53.20	56.96	55.39	54.84	52.82	52.55	45.26	46.28	53.15	62.37	66.57	48.93	51.44
Days of sales outstanding (DSO)	days	43.74	45.07	48.83	—	42.01	44.54	—	—	—	49.53	—	—	—	—	—	—	—	—	—	—
Number of days of payables	days	37.07	49.40	36.50	41.00	34.53	49.39	40.94	44.72	44.15	59.28	49.19	47.80	41.71	39.80	34.45	47.90	46.91	58.28	33.03	36.38

The activity ratios of Berry Global Group Inc show how efficiently the company manages its inventory, receivables, and payables.

1. Days of Inventory on Hand (DOH):
- The company's inventory turnover improved over the observed periods, indicating more efficient management of inventory levels.
- On average, Berry Global Group holds inventory for around 50 to 60 days, with a decreasing trend over time.

2. Days of Sales Outstanding (DSO):
- DSO data is missing for some periods, indicating incomplete information. However, DSO values range from 42 to 49 days, suggesting the company typically collects payments from customers within this timeframe.

3. Number of Days of Payables:
- The number of days of payables varies widely, but there seems to be a decreasing trend in average payment periods.
- Berry Global Group takes anywhere from 30 to 60 days to pay its suppliers, with periods of shorter and longer payment cycles observed.

Overall, the company has shown improvements in managing its inventory turnover and days of payables, which can positively impact its cash flow and operational efficiency. Further analysis would be needed when more data is available for Days of Sales Outstanding to evaluate the effectiveness of the company's credit policies and collections procedures.

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	2.68	2.78	2.81	2.94	3.11	3.35	3.23	3.16	3.06	2.96	2.79	2.66	2.54	2.57	2.61	2.41	2.03	1.88	3.23	3.29
Total asset turnover	0.77	0.77	0.79	0.82	0.85	0.86	0.87	0.84	0.82	0.77	0.75	0.72	0.70	0.70	0.70	0.63	0.57	0.54	0.90	0.90

Berry Global Group Inc's fixed asset turnover ratio has shown some fluctuation over the past years, ranging from 1.88 to 3.35. The ratio measures the efficiency of the company in generating sales revenue from its investment in fixed assets. A higher fixed asset turnover ratio indicates better utilization of fixed assets to generate sales.

On the other hand, the total asset turnover ratio has been relatively stable, with values ranging from 0.54 to 0.90. This ratio assesses the company's ability to generate sales from its total assets. A higher total asset turnover ratio suggests that the company is efficient in using all its assets to generate sales.

Comparing the two ratios, Berry Global Group Inc seems to be more efficient in generating sales from its fixed assets rather than its total assets. However, it is important to consider industry norms and peer comparisons to get a better understanding of the company's performance in utilizing its assets for revenue generation.