Columbia Sportswear Company (COLM)

Short-term

Turnover ratios

Activity ratios provide insights into how effectively a company is managing its resources to generate sales and cash flow.

1. Inventory Turnover: Columbia Sportswear Company's inventory turnover has fluctuated over the past few years, ranging from a low of 1.55 to a high of 2.83. A higher turnover indicates that the company is efficiently selling its inventory, which can lead to higher profitability and reduced holding costs.

2. Receivables Turnover: Unfortunately, there is no data available for receivables turnover, which makes it challenging to assess how effectively the company is collecting its accounts receivables.

3. Payables Turnover: Similar to receivables turnover, there is no data available for payables turnover, which makes it difficult to evaluate the company's payment practices and relationship with suppliers.

4. Working Capital Turnover: Columbia Sportswear Company's working capital turnover has shown a relatively stable trend, indicating that the company is efficiently using its working capital to generate sales. The ratio has ranged from 1.92 to 2.78, suggesting that the company is effectively leveraging its resources to support its operations.

Overall, while the inventory turnover and working capital turnover ratios provide some insights into the efficiency of Columbia Sportswear Company's operations, the lack of data for receivables turnover and payables turnover limits a comprehensive analysis of the company's overall activity ratios.

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Average number of days

The Days of Inventory on Hand (DOH) for Columbia Sportswear Company have shown fluctuations over the reported periods. The company's inventory holding period ranged from a low of 128.92 days on March 31, 2024, to a high of 235.20 days on June 30, 2023. Generally, a lower DOH indicates better inventory management as it implies faster inventory turnover, while a higher DOH may suggest inefficient inventory management or inventory obsolescence.

The Days of Sales Outstanding (DSO) for Columbia was not provided in the data, indicating that information on the company's accounts receivable turnover is unavailable. DSO typically measures the average number of days it takes for a company to collect revenue after a sale has been made. A lower DSO indicates quicker collections and efficient accounts receivable management.

The number of days of payables for Columbia was also not provided in the data, which would have helped in analyzing the company's payment practices and liquidity. A longer period of payables indicates that the company is taking more time to pay its suppliers, which can be beneficial for cash flow management.

Overall, based on the provided data, it is clear that Columbia Sportswear Company's inventory management has experienced fluctuations, while information on its accounts receivable turnover and payment practices is not available for analysis.

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Long-term

The fixed asset turnover ratio for Columbia Sportswear Company has shown a fluctuating trend over the years, starting at 8.88 in March 2020 and peaking at 12.71 in June 2023. This ratio indicates how efficiently the company is utilizing its fixed assets to generate revenue. The increase in the ratio from 2020 to 2023 suggests an improvement in asset utilization. However, the ratio has not been provided for the latter part of 2023 and the year 2024.

On the other hand, the total asset turnover ratio has shown a somewhat consistent increasing trend, starting at 1.07 in March 2020 and reaching 1.24 by March 2024. This ratio measures the efficiency of the company in generating sales from its total assets. The gradual increase in this ratio indicates that Columbia Sportswear Company has been utilizing its total assets more effectively to generate sales over the years, with minor fluctuations.

In summary, while the fixed asset turnover ratio has shown more volatility, the total asset turnover ratio for Columbia Sportswear Company has generally been on an increasing trend, indicating improved efficiency in utilizing both fixed and total assets for generating sales.