The Ensign Group Inc (ENSG)

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 — — — — 541.67 — — — — — — — — — — — — — — —
Receivables turnover 7.69 7.53 7.60 7.20 7.41 8.22 8.29 7.98 7.99 8.18 7.96 7.81 7.88 7.12 6.92 6.30 6.58 7.31 7.28 10.57
Payables turnover 34.54 38.84 36.35 32.77 32.62 38.04 38.52 39.59 37.39 37.11 35.28 37.61 39.28 34.27 41.17 43.08 38.67 48.21 41.62 40.17
Working capital turnover 11.95 11.02 10.98 13.05 15.20 18.21 18.63 22.69 22.53 13.87 23.53 34.74 116.87 1,469.13 — 20.13 29.92 58.36 44.85 66.64

Ensign Group Inc's activity ratios provide insight into the efficiency of its operations and management of working capital and inventory.

1. Inventory Turnover: The data for inventory turnover is not provided, which limits the ability to evaluate how quickly Ensign Group is selling its inventory stock.

2. Receivables Turnover: The receivables turnover ratio indicates that Ensign Group collected its accounts receivable approximately 7.69 to 8.28 times per year in the last eight quarters, achieving consistency with slight fluctuations.

3. Payables Turnover: The payables turnover ratio shows that Ensign Group paid its accounts payable approximately 30.54 to 36.82 times per year over the same period, reflecting consistent and efficient management of its payables.

4. Working Capital Turnover: The working capital turnover ratio suggests that Ensign Group generated revenue approximately 10.98 to 22.70 times for each dollar of working capital invested in the business during the past eight quarters. The declining trend over time may indicate a decrease in the efficiency of generating revenue from working capital.

Overall, Ensign Group Inc has been effectively managing its receivables and payables, but there may be room for improvement in optimizing its working capital turnover to generate more revenue efficiently.

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 — — — — 0.67 — — — — — — — — — — — — — — —
Days of sales outstanding (DSO) days 47.45 48.49 48.05 50.66 49.27 44.39 44.05 45.73 45.67 44.64 45.85 46.71 46.34 51.28 52.72 57.91 55.50 49.96 50.13 34.52
Number of days of payables days 10.57 9.40 10.04 11.14 11.19 9.59 9.47 9.22 9.76 9.83 10.35 9.70 9.29 10.65 8.86 8.47 9.44 7.57 8.77 9.09

Ensign Group Inc's activity ratios, specifically Days of Sales Outstanding (DSO), Number of Days of Payables, and Days of Inventory on Hand were analyzed based on the provided data.

The Days of Sales Outstanding (DSO) indicate the average number of days it takes for the company to collect revenue after a sale. The trend for Ensign Group Inc's DSO has been relatively stable over the quarters, ranging from a low of 44.07 days in Q2 2022 to a high of 50.68 days in Q1 2023. This suggests that the company has been consistent in collecting revenue from its sales, with minor fluctuations in the collection period.

The Number of Days of Payables measures how long it takes the company to pay its suppliers. Ensign Group Inc's payables period has also shown consistency, with the number of days ranging from a low of 9.91 days in Q1 2022 to a high of 11.95 days in Q1 2023. This indicates that the company has managed its payables efficiently over the quarters, ensuring timely payments to suppliers.

Unfortunately, the Days of Inventory on Hand data was not provided, making it impossible to evaluate Ensign Group Inc's inventory management efficiency. Without this information, it is challenging to assess how effectively the company is managing its inventory levels to meet demand.

In summary, Ensign Group Inc has demonstrated consistent performance in managing its accounts receivable and payables, as evidenced by stable DSO and payables periods. However, a complete analysis of its activity ratios would require information on the Days of Inventory on Hand to provide a comprehensive view of the company's overall efficiency in managing working capital.

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 3.42 3.33 3.36 3.19 3.05 3.02 3.09 2.99 2.96 3.24 3.17 3.13 3.09 2.67 2.68 2.65 2.65 3.18 3.20 4.92
Total asset turnover 0.89 0.87 0.86 0.83 0.88 0.89 0.90 0.89 0.92 0.91 0.94 0.97 0.94 0.85 0.84 0.87 0.86 0.95 0.93 1.39

Ensign Group Inc's long-term activity ratios provide insights into the company's efficiency in utilizing its fixed assets and total assets to generate revenue.

The fixed asset turnover ratio has shown a generally increasing trend over the past eight quarters, indicating that Ensign Group is becoming more efficient in generating revenue from its fixed assets. The ratio increased from 3.05 in Q4 2022 to 3.42 in Q4 2023, reaching its highest point during this period. This suggests that Ensign Group is effectively using its fixed assets to generate sales.

On the other hand, the total asset turnover ratio has been relatively stable over the same period, hovering around 0.89 to 0.88. This indicates that Ensign Group is maintaining a consistent level of revenue generation in relation to its total assets. While the ratio did show a slight dip in Q1 2023 to 0.83, it has since recovered back to the 0.89-0.88 range.

Overall, Ensign Group's long-term activity ratios suggest that the company is efficiently utilizing its fixed assets to generate revenue and maintaining a steady level of revenue generation in relation to its total assets.