Halozyme Therapeutics Inc (HALO)

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	3.31	3.13	3.11	3.88	3.55	2.87	2.15	2.80	2.47	3.81	4.15	4.48	4.20	3.24	3.41	3.50	5.98	5.08	3.73	5.12
Receivables turnover	—	3.56	3.39	3.52	2.78	2.43	2.53	4.08	4.79	4.08	2.67	3.73	2.74	3.19	4.83	5.53	3.30	4.97	5.65	6.32
Payables turnover	35.73	20.89	40.65	47.92	20.07	16.32	17.18	105.70	86.53	64.15	53.20	489.08	132.25	432.13	40.48	17.46	27.28	42.42	13.12	39.09
Working capital turnover	1.28	1.00	1.16	1.31	1.06	1.04	1.40	0.53	0.54	0.51	0.46	0.39	2.01	0.42	0.38	0.39	0.43	0.87	0.71	0.66

Halozyme Therapeutics Inc.'s activity ratios indicate the efficiency of the company in managing its assets and liabilities.

The inventory turnover ratio has been relatively stable over the quarters, hovering around 1.4 times per year. This suggests that the company is able to sell and replace its inventory at a moderate pace.

The receivables turnover ratio has shown an increasing trend, indicating that the company is collecting its accounts receivable more efficiently. The consistent improvement suggests effective credit policies and prompt collection efforts.

On the other hand, the payables turnover ratio has varied significantly, reflecting the company's ability to manage its trade payables. A higher turnover ratio indicates that the company is paying its suppliers more frequently, which could signal strong bargaining power or efficient cash management.

The working capital turnover ratio has also shown variability but generally remained above 1, indicating that the company effectively leverages its working capital to generate sales. A ratio above 1 implies that the company is efficiently using its current assets to support revenue generation.

Overall, these ratios suggest that Halozyme Therapeutics Inc. has been effectively managing its working capital and operational processes to drive business efficiency and financial performance.

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	110.31	116.63	117.47	94.18	102.92	127.17	169.51	130.28	147.57	95.88	88.03	81.39	86.96	112.55	107.02	104.15	61.06	71.90	97.97	71.34
Days of sales outstanding (DSO)	days	—	102.43	107.54	103.81	131.16	150.41	144.37	89.46	76.19	89.42	136.78	97.97	133.30	114.41	75.64	66.05	110.70	73.42	64.66	57.77
Number of days of payables	days	10.21	17.48	8.98	7.62	18.19	22.37	21.24	3.45	4.22	5.69	6.86	0.75	2.76	0.84	9.02	20.90	13.38	8.60	27.82	9.34

To analyze the activity ratios of Halozyme Therapeutics Inc., we look at the trends in Days of Inventory on Hand (DOH), Days of Sales Outstanding (DSO), and Number of Days of Payables over the past eight quarters.

1. Days of Inventory on Hand (DOH):
- The DOH has shown significant fluctuations over the quarters, ranging from a low of 220.34 days in Q1 2022 to a high of 395.70 days in Q2 2022.
- Generally, the company has been able to reduce its inventory holding period in the recent quarters, as seen by the decline from 317.38 days in Q3 2022 to 242.12 days in Q4 2023.

2. Days of Sales Outstanding (DSO):
- The DSO has also exhibited variability, with values fluctuating between 88.05 days in Q1 2022 and 146.66 days in Q3 2022.
- In the latest quarter, Q4 2023, the DSO decreased to 103.09 days from 127.77 days in Q4 2022, indicating an improvement in the company's efficiency in collecting receivables.

3. Number of Days of Payables:
- The number of days of payables has been relatively stable, with minor fluctuations between quarters.
- Notably, the company extended its payables period in Q3 2022 to 55.83 days but reduced it to 22.42 days in Q4 2023.

In summary, Halozyme Therapeutics Inc. has shown improvements in managing its inventory turnover and accounts receivable collections. However, the stability of payables days suggests a consistent approach to managing its liabilities. Continued monitoring of these activity ratios will be crucial for assessing the effectiveness of the company's working capital management strategies.

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	21.27	20.35	20.87	17.78	18.32	18.22	15.26	66.86	64.17	63.88	40.35	31.77	36.69	19.47	16.16	13.99	18.06	13.15	12.06	12.24
Total asset turnover	0.47	0.40	0.42	0.40	0.35	0.30	0.27	0.40	0.39	0.39	0.40	0.34	0.46	0.38	0.34	0.33	0.35	0.55	0.44	0.41

The fixed asset turnover ratio for Halozyme Therapeutics Inc. has displayed significant fluctuations over the past eight quarters, ranging from 11.06 to 67.92. This ratio measures the company's ability to generate revenue from its fixed assets, such as property, plant, and equipment. An increasing trend in fixed asset turnover indicates that the company is utilizing its fixed assets more efficiently to generate sales.

On the other hand, the total asset turnover ratio has also shown variability, with values ranging from 0.27 to 0.48. This ratio reflects how effectively the company is using all its assets to generate sales. A higher total asset turnover ratio implies that the company is generating more revenue for each dollar of assets it owns.

Overall, while the fixed asset turnover ratio shows inconsistency in its performance, the total asset turnover ratio indicates a more stable trend, with occasional fluctuations. It is essential for investors and analysts to closely monitor these ratios to assess Halozyme Therapeutics Inc.'s operational efficiency and asset utilization strategies over time.