Geo Group Inc (GEO)

Short-term

Turnover ratios

Inventory Turnover:
Unfortunately, there is no data provided for the Inventory Turnover ratio for Geo Group, Inc. for any of the years in question. This ratio is essential in evaluating how efficiently the company manages its inventory.

Receivables Turnover:
The Receivables Turnover ratio for Geo Group, Inc. has shown a consistent trend of fluctuation over the past five years. The ratio increased from 5.60 in 2019 to 6.19 in 2023, indicating that the company is collecting its accounts receivable at a faster pace.

Payables Turnover:
The Payables Turnover ratio is not available for any of the years provided. This ratio is crucial in understanding how quickly the company pays its suppliers.

Working Capital Turnover:
The Working Capital Turnover ratio for Geo Group, Inc. has varied significantly over the past five years. The ratio peaked at 26.51 in 2023, indicating that the company generated $26.51 in revenue for every dollar of working capital. This implies a high level of efficiency in utilizing its working capital to generate revenue.

In conclusion, while the Receivables Turnover and Working Capital Turnover ratios provide some insights into Geo Group, Inc.'s efficiency in managing receivables and working capital, the lack of data for Inventory Turnover and Payables Turnover ratios limits a comprehensive assessment of the company's overall activity efficiency.

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Average number of days

The Days of Sales Outstanding (DSO) for Geo Group, Inc. have shown a fluctuating trend over the past five years. In 2023, the DSO decreased to 58.99 days compared to 63.95 days in 2022. This suggests that the company took fewer days to collect its accounts receivable in 2023, which could indicate an improvement in the efficiency of its credit and collection processes.

However, the DSO in 2023 was slightly higher than in 2020 and 2021, implying that there may still be room for further optimization in managing the collection of receivables. The company's ability to efficiently collect outstanding payments from customers is crucial for maintaining healthy cash flow and liquidity.

The Days of Inventory on Hand (DOH) figures for Geo Group, Inc. are not available in the provided data, making it challenging to assess the company's inventory management efficiency. Typically, a lower DOH indicates a faster turnover of inventory, which can reduce holding costs and the risk of obsolescence.

The number of days of payables data is also not available, which would have provided insights into how long the company takes to pay its suppliers. Managing payables effectively can help a company optimize its working capital and maintain good relationships with its suppliers.

In conclusion, while the improvement in DSO in 2023 is a positive sign for Geo Group, Inc., analyzing its inventory turnover and payables turnover ratios could provide a more comprehensive understanding of its overall efficiency in managing working capital.

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Long-term

The long-term activity ratios of Geo Group, Inc. provide insights into how efficiently the company is utilizing its assets to generate sales. The fixed asset turnover ratio, which measures how effectively the company is using its fixed assets to generate revenue, has shown a fluctuating trend over the past five years, ranging from 1.11 to 1.24. A higher fixed asset turnover ratio indicates that Geo Group, Inc. is more efficient in generating sales using its fixed assets.

On the other hand, the total asset turnover ratio, which measures how efficiently the company is using all its assets to generate revenue, has also shown variability over the same period, ranging from 0.50 to 0.65. A higher total asset turnover ratio suggests that the company is effectively utilizing all its assets to generate sales.

Overall, the company's fixed asset turnover ratios have been relatively stable, indicating a consistent efficiency in generating sales using its fixed assets. However, the total asset turnover ratios have shown more fluctuations, potentially indicating changes in the company's overall asset utilization efficiency. Further analysis and comparison with industry averages may provide more insights into Geo Group, Inc.'s long-term activity efficiency.