Corsair Gaming Inc (CRSR)
Activity ratios
Short-term
Turnover ratios
| 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Inventory turnover | 4.58 | 4.61 | 4.95 | 5.61 | 5.60 | 4.67 | 4.16 | 4.36 | 4.66 | 4.23 | 5.28 |
| Receivables turnover | 5.76 | 5.74 | 6.31 | 6.10 | 5.84 | 9.51 | 9.20 | 7.42 | 6.54 | 7.72 | 7.79 |
| Payables turnover | 4.58 | 5.04 | 5.36 | 5.62 | 6.27 | 7.19 | 6.28 | 6.44 | 5.89 | 5.67 | 5.52 |
| Working capital turnover | 4.98 | 5.06 | 4.70 | 4.75 | 4.91 | 7.81 | 7.90 | 7.26 | 7.35 | 8.38 | 8.47 |
The activity ratios provide insights into Corsair Gaming Inc's efficiency in managing its operations and resources.
1. Inventory Turnover: The inventory turnover ratio measures how efficiently the company manages its inventory by showing how many times, on average, inventory is sold and replaced during the period. Corsair's inventory turnover has been relatively stable, ranging from 4.16 to 5.61 over the past eight quarters. A higher inventory turnover indicates a faster sales cycle and efficient management of inventory levels.
2. Receivables Turnover: The receivables turnover ratio reflects how well the company collects its accounts receivable. Corsair's receivables turnover has shown some variability, ranging from 5.74 to 9.51 over the same period. A higher turnover implies that the company is collecting its receivables quickly, which is positive for cash flow and liquidity.
3. Payables Turnover: The payables turnover ratio measures how quickly the company pays its suppliers. Corsair's payables turnover has also shown some fluctuations, with values ranging from 4.58 to 7.19. A higher payables turnover may indicate that the company is efficiently managing its payments to suppliers.
4. Working Capital Turnover: The working capital turnover ratio assesses how efficiently the company utilizes its working capital to generate sales. Corsair's working capital turnover has varied between 4.70 and 7.90 over the past eight quarters. A higher turnover ratio indicates that the company is effectively using its working capital to support its operations and generate revenue.
Overall, the activity ratios suggest that Corsair Gaming Inc has demonstrated relatively stable efficiency in managing inventory, receivables, payables, and working capital over the analyzed period.
Average number of days
| 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Days of inventory on hand (DOH) | days | 79.72 | 79.18 | 73.72 | 65.08 | 65.22 | 78.21 | 87.83 | 83.64 | 78.32 | 86.30 | 69.14 |
| Days of sales outstanding (DSO) | days | 63.32 | 63.58 | 57.83 | 59.82 | 62.55 | 38.37 | 39.69 | 49.17 | 55.84 | 47.25 | 46.86 |
| Number of days of payables | days | 79.65 | 72.42 | 68.08 | 64.93 | 58.22 | 50.76 | 58.09 | 56.64 | 61.99 | 64.35 | 66.17 |
Days of inventory on hand (DOH) measures how long, on average, it takes for Corsair Gaming Inc to sell its inventory. The trend in DOH shows an increase in inventory holding period from Q1 2023 to Q4 2023, indicating a slower turnover of inventory. This could suggest either overstocking or lower demand for the company's products in the most recent quarter.
Days of sales outstanding (DSO) represents the average number of days Corsair takes to collect payment after making a sale. The trend in DSO shows fluctuations but generally remained within a range. However, there was a significant increase in DSO in Q3 2022 and Q4 2022, potentially indicating issues with collecting payments or extending credit terms during those periods.
Number of days of payables shows how long Corsair takes to pay its suppliers. The trend in payables days demonstrates variations but generally remained stable, with some fluctuations seen in Q4 2022 and Q1 2023. This stability could indicate consistent payment practices with suppliers over the analyzed period.
Overall, analyzing these activity ratios together highlights the importance of managing inventory levels efficiently, improving collection processes, and maintaining stable payment terms with suppliers for Corsair Gaming Inc to optimize its working capital management and operational efficiency.
Long-term
| 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Fixed asset turnover | 45.32 | 43.58 | 41.38 | 39.51 | 39.37 | 55.67 | 69.31 | 89.53 | 113.21 | 119.13 | 125.72 |
| Total asset turnover | 1.08 | 1.08 | 1.05 | 1.04 | 1.06 | 1.26 | 1.27 | 1.33 | 1.42 | 1.45 | 1.46 |
The fixed asset turnover ratio for Corsair Gaming Inc has been showing a decreasing trend over the past eight quarters, indicating that the company is becoming less efficient in generating sales from its fixed assets. The ratio decreased from 89.53 in Q1 2022 to 39.51 in Q1 2023. This may suggest potential inefficiencies in asset utilization or a slowdown in sales growth relative to the investment in fixed assets.
On the other hand, the total asset turnover ratio has also been on a declining trend, albeit less pronounced compared to the fixed asset turnover ratio. The ratio decreased from 1.33 in Q1 2022 to 1.04 in Q1 2023. This trend indicates a decrease in the overall efficiency of the company in generating sales from its total assets over the period.
Overall, both ratios suggest a potential inefficiency in utilizing assets to generate sales for Corsair Gaming Inc over the past quarters. Further analysis and comparison with industry standards and peers may provide more insights into the company's performance and competitiveness.