Bloomin Brands Inc (BLMN)

Short-term

Turnover ratios

The activity ratios provide insights into Bloomin Brands Inc's efficiency in managing its assets and liabilities.

1. Inventory turnover: The company's inventory turnover has consistently improved over the years, indicating that Bloomin Brands is selling its inventory at a faster rate. This suggests effective inventory management and potentially lower inventory holding costs.

2. Receivables turnover: Bloomin Brands has shown a steady increase in receivables turnover, reflecting its ability to collect outstanding receivables more efficiently. A higher turnover ratio implies that the company is converting credit sales into cash quickly, improving its liquidity position.

3. Payables turnover: The payables turnover ratio has remained relatively stable over the years, indicating that Bloomin Brands is managing its trade payables effectively. A stable payables turnover ratio suggests that the company is maintaining good relationships with its suppliers while also managing its working capital efficiently.

4. Working capital turnover: The data indicates that working capital turnover information is not available for analysis. This ratio could provide insights into how efficiently Bloomin Brands is using its working capital to generate sales revenue. It is important to note that a higher working capital turnover ratio indicates better utilization of working capital.

Overall, the improving trends in inventory turnover and receivables turnover ratios suggest that Bloomin Brands is effectively managing its operating cycle, which could lead to improved profitability and cash flow generation in the future.

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Average number of days

The activity ratios for Bloomin Brands Inc indicate the efficiency of the company in managing its inventory, receivables, and payables over the past five years.

1. Days of Inventory on Hand (DOH):
- Bloomin Brands Inc has shown a decreasing trend in its Days of Inventory on Hand over the past five years, from 24.81 days in 2019 to 19.66 days in 2023. This suggests that the company has been able to effectively manage its inventory levels and turn over its inventory more quickly, which is a positive sign of operational efficiency.

2. Days of Sales Outstanding (DSO):
- The Days of Sales Outstanding for Bloomin Brands Inc have fluctuated slightly over the period, with a decrease in 2023 compared to the previous years. The company was able to collect its receivables in 8.04 days in 2023, a significant improvement from 12.44 days in 2019. This indicates that the company has improved its credit and collection policies, leading to a faster conversion of sales into cash.

3. Number of Days of Payables:
- Bloomin Brands Inc has maintained relatively stable Days of Payables over the past five years, with a slight decrease in 2023 compared to 2022. The company takes approximately 49 days to pay its suppliers, indicating a consistent payment policy.

In conclusion, the overall trend in the activity ratios of Bloomin Brands Inc reflects effective management of inventory, receivables, and payables. The company has shown improvements in inventory turnover and receivables collection, which are essential for maintaining liquidity and operational efficiency.

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Long-term

The long-term activity ratios of Bloomin Brands Inc, specifically the fixed asset turnover and total asset turnover, have shown fluctuations over the past five years.

The fixed asset turnover ratio measures how efficiently the company is utilizing its fixed assets to generate sales. Bloomin Brands Inc experienced a declining trend in fixed asset turnover from 2019 to 2020, indicating that it was generating fewer sales relative to its fixed assets during that period. However, there was a significant improvement in 2021, with the ratio reaching 4.90 and maintaining relatively high levels in 2022 and 2023. This suggests that the company has become more efficient in utilizing its fixed assets to generate revenue.

On the other hand, the total asset turnover ratio reflects how effectively the company is using all its assets to generate revenue. Bloomin Brands Inc saw a fluctuating trend in total asset turnover over the five-year period, with a notable increase in 2021 compared to the previous years. This indicates that the company generated more sales relative to its total assets in 2021. However, the ratio decreased in 2022 and remained relatively stable in 2023.

Overall, the improvement in the fixed asset turnover ratio suggests that Bloomin Brands Inc has become more efficient in utilizing its fixed assets to generate sales, while the fluctuating trend in the total asset turnover ratio indicates varying levels of effectiveness in using all assets to generate revenue over the five-year period.