Coca-Cola Consolidated Inc. (COKE)

Short-term

Turnover ratios

Coca-Cola Consolidated Inc.'s inventory turnover ratio indicates the number of times the company sells and replaces its inventory during a specific period. The trend for this ratio shows some variability over the observed time frame, ranging from 11.24 to 15.34. Generally, a higher inventory turnover ratio is preferable as it suggests efficient management of inventory levels.

The receivables turnover ratio, representing how efficiently the company collects its accounts receivable, appears to be unavailable or unreported for the periods provided. This lack of data makes it challenging to assess the company's effectiveness in collecting receivables.

Similarly, the payables turnover ratio, reflecting how quickly the company pays its suppliers, is also not provided in the data. This ratio is crucial for understanding the company's payment practices and liquidity management.

The working capital turnover ratio, which evaluates how effectively the company utilizes its working capital to generate sales, exhibits significant fluctuations throughout the data range. This ratio ranges from 4.43 to 36.25, indicating varying levels of efficiency in utilizing working capital to support revenue generation. A higher ratio suggests better utilization of resources to drive sales.

In conclusion, while the inventory turnover and working capital turnover ratios provide insights into operational efficiency and resource utilization, the absence of data for receivables turnover and payables turnover limits a comprehensive analysis of Coca-Cola Consolidated Inc.'s activity ratios.

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Average number of days

Based on the provided data for Coca-Cola Consolidated Inc., the analysis of activity ratios reveals the following:

1. Days of Inventory on Hand (DOH):
- The DOH measures the average number of days it takes for a company to sell its inventory.
- Over the period from March 31, 2020, to December 31, 2024, the DOH has fluctuated between 23.79 days to 32.48 days.
- The highest DOH was recorded on December 31, 2024, at 32.48 days, indicating a longer period of holding inventory before it is sold.
- The lowest DOH was observed on September 30, 2020, at 23.79 days, suggesting a more efficient management of inventory during that period.
- Generally, an increasing trend in DOH could imply potential issues with inventory management efficiency or possibly slowing sales.

2. Days of Sales Outstanding (DSO):
- Unfortunately, specific data for DSO is not provided in the dataset, making it challenging to assess the company's efficiency in collecting receivables.
- DSO measures the average number of days it takes for a company to collect payment after making a sale.
- Without this data, it is difficult to evaluate the company's receivables management performance over the specified periods.

3. Number of Days of Payables:
- Similar to DSO, data for the number of days of payables is missing in the dataset, preventing an assessment of the company's payables management effectiveness.
- This ratio indicates the average number of days a company takes to pay its suppliers or vendors.
- The absence of this information hinders a comprehensive analysis of the company's payables turnover.

In conclusion, the analysis of activity ratios for Coca-Cola Consolidated Inc. based on the available data provides insights into the management of inventory but lacks information regarding receivables and payables management, limiting a holistic evaluation of the company's operational efficiency.

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Long-term

The fixed asset turnover ratio measures how efficiently a company uses its fixed assets to generate revenue. For Coca-Cola Consolidated Inc., the fixed asset turnover ratio has fluctuated over the years, ranging from 4.14 to 5.54. This indicates that the company has been able to effectively utilize its fixed assets to generate sales.

On the other hand, the total asset turnover ratio reflects how well a company utilizes all of its assets to generate revenue. Coca-Cola Consolidated Inc. has seen fluctuations in this ratio as well, with values ranging from 1.19 to 1.68. Generally, a higher total asset turnover ratio indicates better efficiency in generating sales relative to the total assets employed.

Overall, based on the trends in both the fixed asset turnover and total asset turnover ratios, we can infer that Coca-Cola Consolidated Inc. has demonstrated solid efficiency in utilizing both its fixed assets and total assets to generate sales over the analyzed period.