Cohu Inc (COHU)

Short-term

Turnover ratios

The analysis of Cohu Inc's activity ratios reveals the following trends:

1. Inventory Turnover:
- The inventory turnover ratio has shown a fluctuating trend over the period under review.
- It ranged from a low of 1.77 at the end of December 2024 to a high of 3.20 at the end of September 2021.
- Generally, a higher inventory turnover ratio indicates that the company is managing its inventory efficiently and effectively.

2. Receivables Turnover:
- No data is available for the receivables turnover ratio, indicating a lack of information on how quickly the company is collecting its accounts receivables.

3. Payables Turnover:
- Similarly, there is no data provided for the payables turnover ratio, which would have revealed how quickly the company is paying its suppliers.

4. Working Capital Turnover:
- The working capital turnover ratio has been on a declining trend since March 2021.
- It decreased from 2.05 in December 2020 to 0.89 in December 2024.
- A decreasing trend in this ratio may indicate a decrease in operational efficiency and effectiveness in utilizing working capital.

In conclusion, while the inventory turnover ratio fluctuated, the lack of data for receivables and payables turnover limits a comprehensive analysis of Cohu Inc's working capital efficiency. The declining trend in working capital turnover highlights potential challenges in optimizing working capital utilization over the period.

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Average number of days

Based on the data provided, we can analyze Cohu Inc's activity ratios as follows:

1. Days of Inventory on Hand (DOH):
- Cohu Inc's DOH has shown fluctuations over the periods analyzed, ranging from a low of 114.09 days to a high of 206.41 days.
- Generally, a lower DOH indicates efficient inventory management, while a higher DOH may suggest excessive inventory levels or slow-moving inventory.
- The trend in Cohu Inc's DOH shows variability, with some periods experiencing significant increases and others showing more stable levels.

2. Days of Sales Outstanding (DSO):
- The data provided does not include information on DSO for Cohu Inc, indicating that this ratio was not calculated or may not be applicable for the company during the periods specified.
- DSO is a measure of how long it takes for a company to collect its accounts receivable, and a lower DSO is typically considered favorable as it signifies faster collection of revenues.

3. Number of Days of Payables:
- Similar to DSO, the data does not include information on the number of days of payables for Cohu Inc, suggesting that this ratio was not calculated or may not be relevant for the company during the specified periods.
- The number of days of payables reflects the average number of days it takes a company to pay its suppliers and is related to the company's liquidity and working capital management.

In conclusion, based on the available data, we observe fluctuations in Cohu Inc's inventory management efficiency as indicated by the DOH ratio. However, without information on DSO and the number of days of payables, a comprehensive analysis of the company's overall activity ratios, particularly in terms of accounts receivable and accounts payable management, is limited.

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Long-term

The fixed asset turnover ratio for Cohu Inc has shown fluctuations over the years, indicating the efficiency of the company in generating revenue from its fixed assets. The ratio increased steadily from March 31, 2020, to March 31, 2022, with a peak of 13.45, suggesting improved utilization of fixed assets to generate sales. However, there was a slight decline in the ratio in June 30, 2022, and a more significant drop in subsequent periods, indicating a potential decrease in the company's ability to generate sales from fixed assets efficiently.

On the other hand, the total asset turnover ratio reflects Cohu Inc's overall efficiency in generating sales from all its assets. The ratio fluctuated throughout the years, reaching its peak at 0.71 on September 30, 2021. However, there was a declining trend in the ratio from March 31, 2022, to December 31, 2024, indicating a potential decrease in the company's overall asset utilization efficiency.

In summary, while the fixed asset turnover ratio for Cohu Inc showed initial improvements followed by some fluctuations, the total asset turnover ratio exhibited a declining trend over the years, pointing towards a potential decrease in the company's overall asset utilization efficiency.