DoubleVerify Holdings Inc (DV)
Activity ratios
Short-term
Turnover ratios
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | |
|---|---|---|---|
| Inventory turnover | — | — | — |
| Receivables turnover | 2.19 | 2.05 | 1.86 |
| Payables turnover | 27.95 | 45.14 | 63.16 |
| Working capital turnover | 1.27 | 1.20 | 1.07 |
Inventory turnover was not provided in the table, indicating that DoubleVerify Holdings Inc does not have inventory or the data was not available for the analysis.
Receivables turnover has been relatively stable over the three-year period, with values of 2.77 in 2023, 2.71 in 2022, and 2.71 in 2021. This indicates that the company is efficient in collecting payments from its customers.
Payables turnover has decreased over the three-year period, with values of 8.25 in 2023, 11.67 in 2022, and 14.11 in 2021. A decreasing payables turnover may suggest that the company is taking longer to pay its suppliers, which could impact its relationships with vendors.
Working capital turnover has also increased over the three-year period, with values of 1.27 in 2023, 1.20 in 2022, and 1.07 in 2021. This indicates that the company's efficiency in generating revenue from its working capital has improved over time.
Overall, the analysis of activity ratios for DoubleVerify Holdings Inc suggests that the company is performing well in managing its receivables and working capital turnover, but it may need to monitor its payables turnover and inventory management to ensure efficient operations in the future.
Average number of days
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | ||
|---|---|---|---|---|
| Days of inventory on hand (DOH) | days | — | — | — |
| Days of sales outstanding (DSO) | days | 166.97 | 178.13 | 195.96 |
| Number of days of payables | days | 13.06 | 8.09 | 5.78 |
Days of Inventory on Hand (DOH) has not been provided in the data, so we are unable to analyze DoubleVerify's inventory management efficiency.
Days of Sales Outstanding (DSO) measures how long it takes for a company to collect revenue after a sale. In DoubleVerify's case, DSO has improved from 134.86 days in 2021 to 131.93 days in 2023. This decrease indicates that the company has become more efficient in collecting revenue from its customers over the years.
Number of Days of Payables indicates how long it takes the company to pay its suppliers. DoubleVerify's Days of Payables has increased from 25.86 days in 2021 to 44.27 days in 2023. This increase suggests that the company is taking longer to pay its suppliers, which could indicate potential financial strain or a strategic shift in payment terms.
Overall, the improvement in Days of Sales Outstanding is positive as it shows better efficiency in collecting receivables. However, the increase in Number of Days of Payables may need further investigation to understand the reasons behind the delay in payment to suppliers.
Long-term
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | |
|---|---|---|---|
| Fixed asset turnover | 9.87 | 9.58 | 18.93 |
| Total asset turnover | 0.46 | 0.43 | 0.37 |
The fixed asset turnover ratio for DoubleVerify Holdings Inc has shown relatively stable performance over the last three years, with values of 9.87 in 2023, 9.62 in 2022, and a significant increase to 18.93 in 2021. This ratio indicates the company's efficiency in generating revenue from its investment in fixed assets such as property, plant, and equipment. The higher the fixed asset turnover, the better, as it reflects that the company is effectively utilizing its assets to generate sales.
On the other hand, the total asset turnover ratio has also improved over the same period, with values of 0.46 in 2023, 0.44 in 2022, and 0.37 in 2021. This ratio measures the company's ability to generate sales from its total assets. The increasing trend in total asset turnover indicates that DoubleVerify is becoming more efficient in generating revenue from its overall asset base, which includes both fixed and current assets.
Overall, both the fixed asset turnover and total asset turnover ratios suggest that DoubleVerify Holdings Inc has been effectively utilizing its assets to generate sales and improve overall operational efficiency in the long term.