Dupont De Nemours Inc (DD)

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	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Inventory turnover	5.03	4.43	4.37	4.24	4.56	4.92	5.29	5.83	6.44	4.90	5.80	6.58	7.60	4.49	3.99	3.93	6.86	6.30	5.39	1.13
Receivables turnover	5.10	5.14	5.43	5.29	5.23	6.33	6.71	6.91	7.78	6.10	6.58	7.34	8.43	5.62	5.72	5.51	5.66	5.49	5.23	1.20
Payables turnover	6.45	6.00	5.78	5.39	5.05	5.64	5.84	6.00	6.39	5.50	6.53	7.41	8.19	6.53	6.54	6.10	10.10	9.21	7.83	1.55
Working capital turnover	2.74	2.90	1.70	1.66	1.75	1.71	1.79	1.73	1.79	4.15	2.84	2.79	1.22	3.62	5.20	11.54	13.01	5.35	5.29	1.08

The activity ratios of DuPont de Nemours Inc provide insight into how effectively the company manages its resources related to inventory, receivables, payables, and working capital.

- Inventory turnover: This ratio measures how many times a company's inventory is sold and replaced in a given period. DuPont's inventory turnover has been relatively stable, ranging between 3.39 and 4.65 over the past eight quarters. A higher ratio indicates efficient inventory management.

- Receivables turnover: This ratio shows how effectively a company collects payments from its customers. DuPont's receivables turnover has been consistent, with values ranging from 5.09 to 6.85. A higher ratio suggests that the company is efficient in collecting on credit sales.

- Payables turnover: This ratio indicates how quickly a company pays its suppliers. DuPont's payables turnover has fluctuated between 4.00 and 4.78. A higher ratio implies that the company takes less time to pay its suppliers, which can be beneficial for managing cash flow.

- Working capital turnover: This ratio measures how well a company utilizes its working capital to generate sales. DuPont's working capital turnover has varied, with values ranging from 1.64 to 2.89. A higher ratio indicates efficient utilization of working capital to generate revenue.

Overall, DuPont's activity ratios reflect a reasonably efficient management of inventory, receivables, payables, and working capital. Consistency in these ratios over time suggests a stable and effective operational performance.

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	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Days of inventory on hand (DOH)	days	72.50	82.34	83.58	86.10	80.06	74.12	68.97	62.57	56.66	74.42	62.91	55.49	48.02	81.25	91.37	92.76	53.21	57.96	67.76	323.97
Days of sales outstanding (DSO)	days	71.60	71.03	67.17	68.95	69.78	57.65	54.38	52.79	46.93	59.82	55.50	49.74	43.32	64.99	63.81	66.24	64.51	66.44	69.84	305.31
Number of days of payables	days	56.56	60.88	63.12	67.71	72.29	64.76	62.50	60.83	57.09	66.41	55.93	49.28	44.59	55.91	55.84	59.86	36.15	39.63	46.61	235.46

DuPont de Nemours Inc's activity ratios, specifically the days of inventory on hand (DOH), days of sales outstanding (DSO), and number of days of payables, provide insight into the efficiency of the company's operations.

The DOH has been increasing over the past year, indicating that the company is taking longer to sell its inventory. This could suggest potential issues with inventory management or a slowdown in sales compared to previous periods.

In contrast, the DSO has fluctuated but generally remained within a similar range over the same period. This indicates that the company is collecting its accounts receivable in a consistent manner, without significant improvements or deterioration in collection efficiency.

The number of days of payables has shown some variability, but overall, it has decreased from Q4 2022 to Q4 2023. A decrease in the number of days of payables could indicate that DuPont de Nemours Inc is paying its suppliers more quickly, which could potentially strain its liquidity position.

Overall, DuPont de Nemours Inc's activity ratios suggest that there may be areas for improvement in inventory management efficiency and a need to monitor payment terms to ensure a healthy balance between cash flow and supplier relationships.

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	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Fixed asset turnover	2.05	1.18	1.21	1.25	1.29	2.61	2.73	2.84	2.92	2.56	2.71	2.84	2.97	2.10	2.09	2.15	2.12	2.24	2.25	0.63
Total asset turnover	0.31	0.32	0.31	0.31	0.32	0.32	0.34	0.35	0.37	0.39	0.41	0.40	0.29	0.28	0.31	0.31	0.31	0.31	0.31	0.12

DuPont de Nemours Inc's long-term activity ratios, specifically the fixed asset turnover and total asset turnover, provide insights into the efficiency with which the company utilizes its assets to generate sales.

1. Fixed Asset Turnover:
The fixed asset turnover ratio indicates how effectively the company generates revenue from its long-term assets, such as property, plant, and equipment. The trend in DuPont's fixed asset turnover shows a gradual decline from Q1 2022 to Q4 2023, dropping from 2.81 to 2.05. This suggests a decrease in the company's ability to generate sales from its fixed assets over this period.

2. Total Asset Turnover:
The total asset turnover ratio reflects the company's overall ability to generate sales from all its assets, including both short-term and long-term assets. DuPont's total asset turnover remained relatively stable at around 0.31 to 0.35 from Q1 2022 to Q4 2023. This indicates that the company has maintained a consistent level of sales relative to its total assets.

Overall, while DuPont's total asset turnover remained steady, the declining trend in fixed asset turnover may raise concerns about the company's efficiency in utilizing its long-term assets to generate sales. Further analysis and comparison with industry peers may provide additional insights into DuPont's operational performance and asset utilization efficiency.