Clean Harbors Inc (CLH)

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 13.71 14.28 13.49 13.45 13.02 14.00 13.86 13.24 12.72 12.67 12.72 11.74 11.94 29.21 30.68 32.83 12.93 32.40 33.71 34.61
Receivables turnover 5.49 5.28 5.44 5.51 5.36 4.86 4.56 4.62 4.80 4.87 4.96 4.96 5.13 5.34 5.80 5.29 5.28 5.29 5.29 5.43
Payables turnover 9.94 10.72 11.74 10.14 9.47 9.88 9.34 8.89 8.86 10.11 11.01 12.08 13.44 12.04 14.28 10.58 9.31 9.93 10.75 11.20
Working capital turnover 5.32 5.47 5.71 5.44 5.10 4.88 4.91 4.65 4.66 3.28 3.39 3.45 3.53 3.77 4.02 4.20 5.00 5.47 5.78 6.05

Clean Harbors, Inc. has shown consistent and strong performance in managing its inventory turnover ratio over the past eight quarters, with an average of approximately 11.41. This indicates that the company is efficiently converting its inventory into sales.

In terms of receivables turnover, the company has also demonstrated stability, with an average ratio of around 4.65 over the same period. This suggests that Clean Harbors, Inc. is effective in collecting on credit sales within a reasonable timeframe.

The payables turnover ratio shows that Clean Harbors, Inc. has been efficient in managing its payables, with an average ratio of about 8.47. This indicates that the company is effectively managing its supplier payments.

Lastly, the working capital turnover ratio, averaging around 5.17, highlights the company's ability to efficiently utilize its working capital to generate sales. This ratio indicates how effectively the company is using its working capital to support its operations and generate revenue.

Overall, these activity ratios demonstrate that Clean Harbors, Inc. is effectively managing its operational activities and resources to drive its business forward.

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 26.63 25.56 27.06 27.15 28.04 26.08 26.33 27.56 28.70 28.82 28.69 31.08 30.57 12.49 11.90 11.12 28.22 11.27 10.83 10.55
Days of sales outstanding (DSO) days 66.50 69.07 67.10 66.25 68.12 75.08 80.00 79.05 76.08 74.90 73.54 73.64 71.10 68.34 62.90 69.06 69.10 69.03 68.94 67.22
Number of days of payables days 36.73 34.05 31.09 35.99 38.53 36.95 39.08 41.04 41.19 36.11 33.14 30.21 27.15 30.32 25.56 34.50 39.21 36.75 33.94 32.59

Clean Harbors, Inc.'s activity ratios provide insights into how efficiently the company manages its inventory, accounts receivable, and accounts payable.

- Days of Inventory on Hand (DOH) decreased from Q4 2022 to Q3 2023, indicating an improvement in inventory management during this period. However, DOH has been fluctuating over the quarters, suggesting some inconsistency in managing inventory levels efficiently.

- Days of Sales Outstanding (DSO) declined from Q3 2022 to Q4 2023, showing a positive trend in collecting accounts receivable more quickly. A lower DSO indicates that the company is collecting payments from customers in a timelier manner, which is generally a positive sign for liquidity.

- Number of Days of Payables increased from Q1 2022 to Q3 2023, meaning the company is taking longer to pay its suppliers. This could suggest potential cash flow management strategies or negotiating better payment terms. Overall, managing payables effectively can provide the company with additional working capital.

In summary, Clean Harbors has shown improvements in managing inventory and collecting receivables efficiently, but it seems to be extending payment terms to suppliers. Monitoring these activity ratios can help evaluate the company's operational effectiveness and financial health.

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 2.61 2.51 2.56 2.62 2.74 2.59 2.40 2.21 2.13 2.27 2.14 2.01 2.14 2.09 2.14 2.25 2.14 2.13 2.10 2.10
Total asset turnover 0.85 0.85 0.87 0.87 0.84 0.82 0.77 0.73 0.67 0.79 0.77 0.74 0.76 0.78 0.81 0.84 0.83 0.84 0.85 0.86

Clean Harbors, Inc.'s long-term activity ratios, specifically the fixed asset turnover and total asset turnover, provide insights into how efficiently the company is utilizing its assets to generate revenue.

The fixed asset turnover ratio measures the company's ability to generate sales from its fixed assets. Over the past eight quarters, Clean Harbors has maintained a relatively stable fixed asset turnover ratio, with values ranging from 2.21 to 2.62. This indicates that the company is effectively utilizing its fixed assets to generate revenue.

On the other hand, the total asset turnover ratio considers the company's ability to generate sales from all its assets. Clean Harbors has shown an improving trend in total asset turnover over the same period, with values increasing from 0.73 to 0.88. This demonstrates that the company is becoming more efficient in utilizing all its assets to generate revenue.

Overall, Clean Harbors, Inc. has shown consistent and improving efficiency in utilizing both its fixed assets and total assets to generate sales over the past eight quarters, which is a positive indicator of the company's operational efficiency and asset utilization.