ELF Beauty Inc (ELF)

Activity ratios

Short-term

Turnover ratios

	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	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019
Inventory turnover	4.67	3.73	4.37	5.87	6.38	5.44	5.02	5.48	4.38	3.13	3.39	4.52	3.91	3.24	3.21	3.69	4.01	5.60	5.29	5.26
Receivables turnover	8.28	7.36	8.84	7.42	8.49	7.47	8.28	7.95	8.56	8.00	8.28	8.06	7.84	6.66	8.52	9.49	9.35	7.63	9.63	14.44
Payables turnover	11.03	10.47	10.10	10.81	16.51	13.80	21.16	24.06	19.26	11.73	13.48	14.39	14.13	11.04	10.07	9.06	14.96	13.84	18.16	15.79
Working capital turnover	5.76	5.86	2.71	2.58	2.95	2.82	2.54	2.68	3.05	3.08	3.34	3.49	3.25	3.17	3.18	3.20	3.42	2.55	2.71	3.43

ELF Beauty Inc's inventory turnover ratio has exhibited some fluctuations over the past few quarters, ranging from a low of 3.13 to a high of 6.38. Overall, the company's inventory turnover has been relatively stable, indicating that it efficiently manages its inventory levels and is able to sell through its inventory at a moderate pace.

The receivables turnover ratio for ELF Beauty Inc has also shown consistency, with values ranging from 6.66 to 14.44. This suggests that the company is effective in collecting payments from customers and converting credit sales into cash in a timely manner.

In terms of payables turnover, ELF Beauty Inc's ratio has been somewhat volatile, varying between 9.06 and 24.06. This indicates fluctuations in the company's ability to pay off its suppliers in a timely manner. However, the higher ratios may suggest that the company is extending its payables period, which may provide some financial flexibility.

The working capital turnover ratio for ELF Beauty Inc also shows some variability, with values fluctuating between 2.54 and 5.86. This ratio reflects how efficiently the company is utilizing its working capital to generate sales. Overall, the company's working capital turnover appears to be relatively stable, indicating effective management of its current assets and liabilities to support its operations.

In conclusion, ELF Beauty Inc generally demonstrates efficient management of its inventory, receivables, payables, and working capital, which reflects positively on its operational effectiveness and financial performance.

Average number of days

		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	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019
Days of inventory on hand (DOH)	days	78.13	97.77	83.49	62.21	57.19	67.08	72.72	66.60	83.28	116.59	107.77	80.82	93.45	112.78	113.72	98.97	91.01	65.12	69.01	69.46
Days of sales outstanding (DSO)	days	44.09	49.59	41.30	49.21	42.99	48.89	44.10	45.88	42.65	45.62	44.06	45.26	46.58	54.77	42.83	38.47	39.03	47.87	37.90	25.27
Number of days of payables	days	33.08	34.86	36.15	33.78	22.10	26.46	17.25	15.17	18.95	31.12	27.08	25.36	25.82	33.07	36.23	40.31	24.40	26.37	20.10	23.12

The days of inventory on hand (DOH) for ELF Beauty Inc has been fluctuating over the past few quarters, ranging from 57.19 days to 116.59 days. This indicates varying levels of efficiency in managing inventory. A decreasing trend in DOH suggests improved inventory turnover efficiency, while an increasing trend may signify overstocking or slowdown in sales.

The days of sales outstanding (DSO) have also varied, ranging from 38.47 days to 54.77 days. Lower DSO values indicate faster collection of accounts receivable, which is favorable for cash flow management. Conversely, higher DSO values may suggest issues with credit and collection policies or delays in customer payments.

The number of days of payables for ELF Beauty Inc has shown fluctuations as well, with values ranging from 15.17 days to 40.31 days. A lower number of days of payables indicates a faster payment cycle to suppliers, potentially impacting cash flow positively. On the other hand, a higher number of days of payables may reflect delays in settling obligations to suppliers or potentially strained supplier relationships.

Overall, monitoring these activity ratios is essential for assessing the effectiveness of ELF Beauty Inc's working capital management and operational efficiency in handling inventory, receivables, and payables. It is important for the company to strike a balance between these ratios to ensure optimal utilization of resources and sustainable growth.

Long-term

	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	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019
Fixed asset turnover	73.34	69.59	100.48	88.58	73.25	56.67	49.94	44.53	36.87	30.86	26.36	22.35	22.87	17.68	17.73	17.52	16.19	16.23	16.62	19.81
Total asset turnover	0.91	0.80	1.03	1.02	0.97	0.89	0.82	0.81	0.79	0.77	0.75	0.70	0.65	0.62	0.61	0.61	0.61	0.59	0.61	0.75

ELF Beauty Inc's long-term activity ratios indicate the efficiency with which the company is utilizing its assets to generate sales. The fixed asset turnover ratio has shown an increasing trend over the periods, reaching a high of 100.48 in September 2023, which means the company generated $100.48 in sales for every dollar invested in fixed assets during that period. This indicates that ELF Beauty's fixed assets are being effectively utilized to generate revenue.

On the other hand, the total asset turnover ratio has fluctuated over the periods but has generally remained relatively stable. The ratio peaked at 1.03 in September 2023, showing that the company generated $1.03 in sales for every dollar invested in total assets during that period. This indicates that ELF Beauty is efficiently utilizing both its fixed and current assets to generate revenue.

Overall, the trend in these long-term activity ratios suggests that ELF Beauty Inc has been effectively managing its assets to drive sales growth and maximize efficiency in its operations.