Dropbox Inc (DBX)
Activity ratios
Short-term
Turnover ratios
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Inventory turnover | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Receivables turnover | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Payables turnover | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Working capital turnover | 4.83 | — | 106.91 | 16.92 | 8.58 | 9.12 | 11.92 | 9.60 | 7.93 | 5.41 | 4.92 | 4.37 | 3.20 | 2.38 | 2.16 | 2.05 | 13.70 | 6.12 | 7.47 | 7.71 |
Dropbox Inc's activity ratios provide insight into the efficiency of the company's operations. Let's analyze each ratio:
1. Inventory Turnover: The data for inventory turnover is not available for the entire period. This ratio measures how many times a company sells and replaces its inventory during a specific period. Without this data, it is challenging to assess the efficiency of Dropbox's inventory management.
2. Receivables Turnover: Similar to inventory turnover, the data for receivables turnover is not provided. This ratio evaluates the efficiency of a company in collecting payments from its customers. Lack of data hinders an assessment of the effectiveness of Dropbox's accounts receivable management.
3. Payables Turnover: The information on payables turnover is not available, making it difficult to evaluate how quickly Dropbox pays its suppliers. This ratio indicates the efficiency of managing the company's trade payables.
4. Working Capital Turnover: This ratio is calculated by dividing revenue by average working capital. Dropbox's working capital turnover has shown varying trends over the years. A higher ratio indicates better efficiency in using working capital to generate revenue. The ratio has shown improvement from 7.71 in March 2020 to 4.83 in December 2024. The sharp increase in June 2024 to 106.91 may indicate a positive change in the company's ability to generate sales relative to its working capital.
In conclusion, while the data availability limits a comprehensive evaluation of all activity ratios, the working capital turnover ratio suggests that Dropbox has been able to utilize its working capital more efficiently to generate revenue over the years, with notable improvements in recent periods.
Average number of days
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Days of inventory on hand (DOH) | days | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Days of sales outstanding (DSO) | days | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Number of days of payables | days | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
Based on the provided data, Dropbox Inc's activity ratios for Days of Inventory on Hand (DOH), Days of Sales Outstanding (DSO), and Number of Days of Payables are all not available for the periods specified. As such, we are unable to conduct a detailed analysis of these activity ratios for Dropbox Inc. It is essential to have actual figures for these ratios to assess the efficiency of the company's inventory management, collection of receivables, and payment of payables, which are crucial for evaluating the company's operational performance.
Long-term
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Fixed asset turnover | — | — | — | — | — | — | 8.12 | 7.73 | 4.09 | 3.47 | 3.25 | 6.99 | 2.93 | 6.06 | 2.61 | 5.96 | 5.65 | 3.80 | 1.53 | 1.47 |
| Total asset turnover | 0.77 | 0.99 | 0.93 | 0.90 | 0.82 | 0.82 | 0.82 | 0.79 | 0.75 | 0.85 | 0.82 | 0.77 | 0.70 | 0.63 | 0.61 | 0.60 | 0.80 | 0.65 | 0.66 | 0.64 |
Dropbox Inc's fixed asset turnover ratio has shown fluctuations over the years. The ratio increased steadily from March 2020 to March 2023, indicating an improvement in the company's efficiency in generating revenue from its fixed assets. Notably, the ratio peaked at 8.12 in June 2023, reflecting a significant increase in revenue generated per dollar of fixed assets invested. However, there is a lack of data for the later periods, September and December 2023, as well as for the entirety of 2024.
In contrast, the total asset turnover ratio has shown a more stable trend, albeit with some fluctuations. The ratio remained relatively consistent from March 2020 to December 2022, indicating a steady level of revenue generated from total assets during this period. The ratio saw a notable increase from December 2022 to March 2024, reaching its peak of 0.93 in June 2024, suggesting an improvement in the company's overall asset utilization efficiency.
Overall, the analysis of Dropbox Inc's long-term activity ratios reveals varying trends in the efficiency of the company in utilizing its assets to generate revenue. The fixed asset turnover ratio exhibited more significant fluctuations, while the total asset turnover ratio showed a more stable trend with occasional improvements.