FTI Consulting Inc (FCN)
Activity ratios
Short-term
Turnover ratios
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Inventory turnover | — | 46.03 | — | 31.92 | 28.58 |
| Receivables turnover | — | — | — | — | — |
| Payables turnover | — | — | — | — | — |
| Working capital turnover | 4.17 | 5.27 | 4.09 | 4.26 | 5.36 |
FTI Consulting Inc's inventory turnover has shown an increasing trend over the years, indicating that the company is efficiently managing its inventory levels. The inventory turnover ratio improved from 28.58 in December 31, 2020, to 31.92 in December 31, 2021, and further increased to 46.03 in December 31, 2023. However, no data is available for the inventory turnover for the years 2022 and 2024.
The receivables turnover ratio is not provided for any years in the data set, indicating that information about the company's efficiency in collecting its accounts receivables is not available for analysis.
Similarly, the payables turnover ratio is not provided for any years, suggesting that details about how effectively the company manages its accounts payable are not available for assessment.
In terms of working capital turnover, the company's ratio fluctuates slightly over the period. The ratio decreased from 5.36 in 2020 to 4.26 in 2021, then decreased further to 4.09 in 2022, before increasing to 5.27 in 2023, and slightly declining to 4.17 in 2024. This indicates variations in how efficiently FTI Consulting Inc is utilizing its working capital to generate revenue during the period under review.
Average number of days
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Days of inventory on hand (DOH) | days | — | 7.93 | — | 11.43 | 12.77 |
| Days of sales outstanding (DSO) | days | — | — | — | — | — |
| Number of days of payables | days | — | — | — | — | — |
Based on the provided data, the activity ratios of FTI Consulting Inc can be analyzed as follows:
1. Days of Inventory on Hand (DOH):
- December 31, 2020: 12.77 days
- December 31, 2021: 11.43 days
- December 31, 2022: Not provided
- December 31, 2023: 7.93 days
- December 31, 2024: Not provided
The trend in the days of inventory on hand shows a decreasing pattern from 2020 to 2023, indicating that the company has been able to manage its inventory more efficiently over this period. However, the absence of data for 2022 and 2024 makes it challenging to assess the trend accurately for those years.
2. Days of Sales Outstanding (DSO):
- December 31, 2020 to December 31, 2024: Not provided
Unfortunately, there is no data available for days of sales outstanding for any of the years provided, making it impossible to assess the efficiency of FTI Consulting Inc in collecting its accounts receivable over the given period.
3. Number of Days of Payables:
- December 31, 2020 to December 31, 2024: Not provided
Similar to DSO, the data for the number of days of payables is not available for any of the years, thus making it challenging to evaluate the company's efficiency in managing its payables.
In conclusion, while the trend in the days of inventory on hand suggests improved inventory management by FTI Consulting Inc from 2020 to 2023, the lack of data for Days of Sales Outstanding and Number of Days of Payables limits a comprehensive analysis of the company's overall activity ratios during the specified period.
Long-term
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Fixed asset turnover | — | — | 8.48 | 19.53 | 24.22 |
| Total asset turnover | 1.03 | 1.05 | 0.93 | 0.90 | 0.89 |
FTI Consulting Inc's fixed asset turnover ratio has shown a decreasing trend over the past few years, dropping from 24.22 in 2020 to 8.48 in 2022. This indicates that the company generated less revenue per dollar of fixed assets invested. It is noteworthy that there is no data available for 2023 and 2024, suggesting possible challenges in asset utilization during those periods.
On the other hand, the total asset turnover ratio for FTI Consulting Inc has exhibited a more positive trend, increasing from 0.89 in 2020 to 1.03 in 2024. This indicates that the company has been more efficient in generating sales relative to its total assets during this time frame. The improvement in total asset turnover may suggest better overall operational efficiency and effective utilization of assets to generate revenue.
In conclusion, while the fixed asset turnover ratio has been on a decline for FTI Consulting Inc, the total asset turnover ratio has shown improvement over the years, indicating a mixed performance in terms of asset utilization and efficiency. Further analysis and comparison with industry benchmarks may provide additional insights into the company's long-term activity ratios and performance.