Coherent Inc (COHR)

Activity ratios

Short-term

Turnover ratios

	Jun 30, 2024	Mar 31, 2024	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
Inventory turnover	3.64	3.72	3.75	4.00	4.21	3.38	3.06	2.57	3.12	3.06	3.27	3.53	3.70	3.75	3.57	3.77	3.47	2.96	2.49	1.65
Receivables turnover	5.21	4.50	5.07	5.78	5.47	5.03	4.47	3.83	4.57	4.84	5.20	4.71	4.62	4.83	4.90	4.62	3.83	3.88	3.40	2.65
Payables turnover	7.41	8.10	9.60	11.41	13.22	10.98	9.76	7.22	6.47	7.44	7.87	8.95	8.74	9.09	9.34	9.42	7.99	8.90	7.22	5.24
Working capital turnover	1.91	1.92	1.94	2.13	2.27	2.02	1.87	1.69	1.05	1.50	1.51	1.54	1.32	1.34	1.90	1.98	2.05	1.88	1.64	1.13

Coherent Inc's activity ratios provide insight into how efficiently the company is managing its inventory, receivables, payables, and working capital.

1. Inventory turnover: Coherent Inc's inventory turnover has fluctuated over the periods analyzed, ranging from 1.65 to 4.21. A higher inventory turnover indicates that the company is selling its inventory more frequently, which is generally more favorable as it suggests efficient management of inventory levels.

2. Receivables turnover: The receivables turnover ratio for Coherent Inc has also varied, ranging from 2.65 to 5.78. A higher receivables turnover ratio indicates that the company is collecting its accounts receivables more quickly, which is positive as it reflects effective credit management practices.

3. Payables turnover: Coherent Inc's payables turnover has fluctuated between 5.24 and 13.22. A higher payables turnover ratio suggests that the company is paying its suppliers more quickly, which can indicate strong relationships with suppliers and effective cash management.

4. Working capital turnover: The working capital turnover ratio has varied between 1.05 and 2.27 for Coherent Inc. A higher working capital turnover ratio indicates that the company is efficiently utilizing its working capital to generate revenue, which is generally seen as favorable.

Overall, analyzing these activity ratios can provide valuable insights into Coherent Inc's operational efficiency and how effectively it is managing its assets and liabilities to generate sales and cash flow.

Average number of days

		Jun 30, 2024	Mar 31, 2024	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
Days of inventory on hand (DOH)	days	100.38	98.05	97.41	91.22	86.70	108.04	119.16	142.11	117.15	119.38	111.76	103.30	98.69	97.40	102.34	96.81	105.29	123.50	146.36	221.67
Days of sales outstanding (DSO)	days	70.02	81.13	71.99	63.18	66.68	72.54	81.73	95.32	79.83	75.48	70.18	77.57	79.06	75.62	74.51	79.08	95.35	94.08	107.23	137.62
Number of days of payables	days	49.28	45.05	38.01	31.99	27.62	33.24	37.38	50.58	56.45	49.07	46.39	40.77	41.77	40.13	39.06	38.74	45.66	41.02	50.56	69.64

Coherent Inc's activity ratios provide insight into its efficiency in managing inventory, collecting receivables, and paying suppliers.

1. Days of Inventory on Hand (DOH): The trend in DOH indicates the number of days it takes for Coherent Inc to sell its inventory. Over the analyzed period, DOH has fluctuated, with significantly high levels in the past but showing improvement in recent quarters. This suggests that the company has been able to better manage its inventory levels and turnover process.

2. Days of Sales Outstanding (DSO): DSO reflects the average number of days it takes for Coherent Inc to collect payment from customers. The trend in DSO has also varied, showing some improvement in recent quarters compared to higher levels in the past. A lower DSO indicates a more efficient collection process and better cash flow management.

3. Number of Days of Payables: This metric represents the number of days Coherent Inc takes to pay its suppliers. The trend in payables days has been relatively stable, with some fluctuations noted. A longer period indicates a strategy to extend payment terms and preserve cash, while a shorter period may indicate good relationships with suppliers or operational efficiencies.

Overall, Coherent Inc has shown improvements in managing inventory and collecting receivables efficiently, thus enhancing cash flow and overall working capital management. However, ongoing monitoring and optimization of these activity ratios are crucial to maintain financial health and operational effectiveness.

Long-term

	Jun 30, 2024	Mar 31, 2024	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
Fixed asset turnover	2.43	2.32	2.35	2.59	2.77	2.43	2.28	2.07	2.35	2.39	2.47	2.52	2.45	2.41	2.24	2.19	1.88	1.54	1.24	1.02
Total asset turnover	0.31	0.30	0.30	0.34	0.36	0.33	0.30	0.27	0.41	0.41	0.41	0.48	0.47	0.47	0.50	0.49	0.44	0.38	0.32	0.25

The fixed asset turnover ratio for Coherent Inc has shown some fluctuations over the periods analyzed, ranging from 1.02 to 2.77. This ratio indicates how efficiently the company is utilizing its fixed assets to generate sales. A higher fixed asset turnover ratio generally signifies better efficiency in asset utilization.

On the other hand, the total asset turnover ratio has also varied over time, ranging from 0.25 to 0.50. This ratio measures how efficiently the company is using all of its assets to generate revenue. A higher total asset turnover ratio indicates that the company is generating more revenue per dollar of assets.

Overall, Coherent Inc's fixed asset turnover ratio has generally been higher and more stable compared to the total asset turnover ratio. This could suggest that the company is effectively utilizing its fixed assets to generate sales, but there may be room for improvement in utilizing all of its assets to generate revenue. Further analysis and comparison to industry benchmarks could provide more insights into the company's long-term activity efficiency.