Collegium Pharmaceutical Inc (COLL)
Activity ratios
Short-term
Turnover ratios
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Inventory turnover | 7.15 | 7.44 | 5.47 | 7.26 | 8.34 |
| Receivables turnover | — | — | — | — | — |
| Payables turnover | — | — | — | — | — |
| Working capital turnover | — | 7.11 | 3.10 | 3.25 | 3.58 |
1. Inventory Turnover: Collegium Pharmaceutical Inc's Inventory Turnover has shown a slight decline in recent years. In 2020, the turnover was 8.34, but by 2024, it had decreased to 7.15. This indicates that the company is holding onto its inventory for a longer period before selling it, which could tie up capital and increase holding costs.
2. Receivables Turnover: The information provided does not include data for Receivables Turnover, which is the ratio of net credit sales to average accounts receivable. Without this data, it is challenging to assess how efficiently Collegium collects outstanding payments from its customers.
3. Payables Turnover: Similarly, the data set does not provide information on Payables Turnover, which would measure how quickly the company pays its suppliers. A higher turnover ratio would generally indicate that Collegium pays its bills promptly, while a lower ratio could suggest potential liquidity or cash flow issues.
4. Working Capital Turnover: Collegium Pharmaceutical Inc's Working Capital Turnover has fluctuated over the years, ranging from 3.10 in 2022 to 7.11 in 2023. A higher turnover ratio indicates that the company is generating more revenue for each dollar of working capital employed. However, the absence of data for 2024 makes it difficult to assess the trend accurately.
Overall, while Collegium Pharmaceutical Inc has shown some fluctuations in its activity ratios, a more comprehensive analysis including Receivables and Payables Turnover would provide a clearer picture of the company's operational efficiency and financial health.
Average number of days
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Days of inventory on hand (DOH) | days | 51.08 | 49.05 | 66.71 | 50.29 | 43.78 |
| Days of sales outstanding (DSO) | days | — | — | — | — | — |
| Number of days of payables | days | — | — | — | — | — |
Based on the provided data, we can analyze the activity ratios of Collegium Pharmaceutical Inc as follows:
1. Days of Inventory on Hand (DOH):
a. The Days of Inventory on Hand indicates the average number of days it takes for the company to sell its inventory.
b. Collegium Pharmaceutical Inc's DOH increased from 43.78 days in December 2020 to 66.71 days in December 2022 before decreasing to 51.08 days by December 2024.
c. The increase in DOH from 2020 to 2022 suggests that Collegium may have been holding more inventory, possibly due to production or supply chain issues.
d. The subsequent decrease in DOH by 2024 could imply improved inventory management and efficiency in selling products.
2. Days of Sales Outstanding (DSO):
a. The Days of Sales Outstanding ratio represents the average number of days it takes for the company to collect payments for sales.
b. The data provided does not include specific DSO figures for Collegium Pharmaceutical Inc for the years under consideration.
c. Without DSO information, it is challenging to assess the efficiency of Collegium in collecting receivables and managing its accounts receivable turnover.
3. Number of Days of Payables:
a. The Number of Days of Payables metric reflects the average number of days it takes for the company to pay its suppliers.
b. Similar to DSO, there is no data available for Collegium's Number of Days of Payables for the specified years.
c. Without this information, it is difficult to evaluate Collegium's payment practices and liquidity management concerning its suppliers.
In summary, Collegium Pharmaceutical Inc showed fluctuations in its Days of Inventory on Hand over the years, indicating potential changes in inventory management practices. However, the lack of data for Days of Sales Outstanding and Number of Days of Payables limits a comprehensive analysis of its overall activity ratios and working capital management.
Long-term
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Fixed asset turnover | — | — | 23.77 | 14.20 | 16.33 |
| Total asset turnover | 0.38 | 0.50 | 0.40 | 0.40 | 0.48 |
The fixed asset turnover ratio for Collegium Pharmaceutical Inc has shown a fluctuating trend over the years. In 2020, the ratio was 16.33, indicating that the company generated $16.33 in revenue for every dollar invested in fixed assets. However, this ratio decreased to 14.20 in 2021 and then significantly increased to 23.77 in 2022, reflecting a more efficient utilization of fixed assets. Unfortunately, data is not available for 2023 and 2024, which limits our ability to assess the company's performance in those years.
On the other hand, the total asset turnover ratio indicates how efficiently the company is generating revenue from its total assets. The trend for Collegium Pharmaceutical Inc shows a decline in this ratio over the years. In 2020, the total asset turnover ratio was 0.48, meaning that the company generated $0.48 in revenue for every dollar of assets. This ratio further decreased to 0.40 in both 2021 and 2022, before increasing slightly to 0.50 in 2023 and dropping to 0.38 in 2024.
Overall, the fixed asset turnover ratio suggests improvements in utilizing fixed assets efficiently, while the total asset turnover ratio highlights a mixed performance in generating revenue from the total asset base. Monitoring these ratios can help management assess operational efficiency and make informed decisions regarding asset utilization strategies.