Caseys General Stores Inc (CASY)

Short-term

Turnover ratios

Caseys General Stores Inc's inventory turnover ratio has been consistently high over the past few years, indicating efficient management of inventory levels. This suggests that the company is effectively selling and replacing its inventory within a short period.

The receivables turnover ratio has shown significant fluctuations, with exceptionally high values in some periods, possibly due to specific factors impacting receivables collection efficiency. Overall, it seems that the company may need to focus on optimizing its accounts receivable management to maintain a more stable turnover ratio.

In terms of payables turnover, Caseys General Stores Inc has maintained relatively stable values, indicating a consistent pattern in managing its accounts payable. A higher payables turnover ratio suggests that the company is paying its suppliers more frequently, potentially benefiting from discounts or favorable payment terms.

The working capital turnover ratio has displayed variations, with some periods showing high turnover values. This metric reflects how efficiently the company is utilizing its working capital to generate sales. It appears that there have been fluctuations in the effectiveness of using working capital for revenue generation.

Overall, Caseys General Stores Inc's activity ratios point towards efficient inventory management and stable accounts payable turnover, but there may be opportunities for improvement in receivables management and working capital utilization to enhance overall operational efficiency.

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Average number of days

Caseys General Stores Inc's activity ratios provide insight into the efficiency of the company's management of inventory, receivables, and payables.

1. Days of Inventory on Hand (DOH):
- The trend in DOH indicates how many days, on average, the company holds inventory before selling it.
- There has been fluctuation in DOH over the periods shown, ranging from a low of 10.99 days to a high of 16.29 days.
- It is important to note that in the latest period, the DOH has increased to 12.99 days from the previous quarter, suggesting a slightly slower rate of inventory turnover compared to prior periods.

2. Days of Sales Outstanding (DSO):
- DSO measures the average number of days it takes for the company to collect payment after making a sale.
- The trend in DSO has also shown variability over the periods, with values ranging from 0.05 days to 1.77 days.
- Notably, in some periods, data is missing, suggesting potential issues with data availability or significant changes in sales collection practices.

3. Number of Days of Payables:
- This ratio indicates the average number of days the company takes to pay its suppliers.
- Caseys General Stores Inc has shown fluctuations in the number of days of payables over the periods, with values ranging from 9.59 days to 21.35 days.
- In the latest period, the number of days of payables increased to 17.26 days from the previous quarter, indicating a longer timeframe for paying suppliers.

Overall, a higher DOH and DSO, along with a lower number of days of payables, can tie up capital in inventory and receivables, potentially impacting liquidity and cash flow. It is essential for the company to closely monitor and manage these activity ratios to ensure optimal efficiency in its operations.

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Long-term

Caseys General Stores Inc's long-term activity ratios can provide insights into how efficiently the company is utilizing its assets to generate sales. The fixed asset turnover ratio measures how effectively the company is using its fixed assets to generate revenue. Over the past few quarters, the fixed asset turnover ratio has fluctuated, but overall it has remained relatively stable, ranging from 2.49 to 3.73. This indicates that, on average, Caseys General Stores Inc is generating between $2.49 to $3.73 in sales for every dollar of fixed assets.

In comparison, the total asset turnover ratio measures the company's overall efficiency in generating sales from all its assets, both fixed and current. Caseys General Stores Inc's total asset turnover ratio has also shown some fluctuations but has generally remained consistent between 1.85 to 2.61 over the quarters analyzed. This suggests that the company is generating between $1.85 to $2.61 in sales for every dollar of total assets.

When comparing the fixed asset turnover to the total asset turnover, it is evident that the company is more efficient in generating sales from its fixed assets compared to its total assets. This could indicate that Caseys General Stores Inc's fixed assets are being utilized more effectively in the revenue generation process.

Overall, the analysis of these long-term activity ratios indicates that Caseys General Stores Inc has been maintaining a reasonable level of efficiency in utilizing its assets to drive sales growth. It is important for the company to continue monitoring and optimizing its asset utilization to ensure sustainable performance and profitability in the long run.