Hanesbrands Inc (HBI)
Activity ratios
Short-term
Turnover ratios
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Inventory turnover | 2.63 | 2.84 | 3.33 | 2.45 | 2.48 | 2.35 | 1.98 | 1.84 | 2.03 | 1.93 | 1.96 | 2.33 | 2.62 | 2.91 | 3.16 | 3.28 | 3.23 | 1.93 | 2.12 | 2.10 |
| Receivables turnover | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Payables turnover | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Working capital turnover | 8.32 | 5.74 | 6.89 | 6.25 | 5.79 | 5.64 | 4.70 | 4.38 | 4.65 | 4.42 | 4.59 | 5.58 | 5.66 | 4.60 | 5.03 | 5.35 | 5.11 | 3.19 | 3.29 | 3.10 |
Based on the provided data for Hanesbrands Inc, let's analyze the activity ratios:
1. Inventory Turnover: The inventory turnover ratio measures how many times a company sells and replaces its inventory during a specific period. Hanesbrands Inc's inventory turnover has varied over the quarters but generally ranges between 1.84 to 3.33. A higher turnover indicates that the company is selling goods quickly, which is positive for a consumer goods company like Hanesbrands.
2. Receivables Turnover: Unfortunately, there is no data available for the receivables turnover ratio in the provided information. This ratio would have provided insight into how efficiently the company collects its accounts receivable from customers.
3. Payables Turnover: Similar to receivables turnover, there is no data present for payables turnover. This ratio helps in assessing how quickly the company pays its suppliers or trade payables.
4. Working Capital Turnover: The working capital turnover ratio shows how efficiently a company is using its working capital to generate sales. Hanesbrands Inc's working capital turnover has shown a rising trend over the quarters, ranging from 3.10 to 8.32. This indicates that the company is effectively utilizing its working capital to generate sales revenue.
In conclusion, Hanesbrands Inc has shown fluctuating inventory turnover ratios, increasing working capital turnover ratios, while unfortunately no data is available for receivables and payables turnover ratios. Monitoring these ratios can provide valuable insights into the company's operational efficiency and management of its resources.
Average number of days
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Days of inventory on hand (DOH) | days | 139.02 | 128.65 | 109.50 | 148.71 | 147.44 | 155.13 | 184.33 | 198.51 | 180.08 | 188.99 | 185.77 | 156.81 | 139.33 | 125.45 | 115.37 | 111.44 | 113.01 | 189.34 | 172.36 | 173.64 |
| Days of sales outstanding (DSO) | days | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Number of days of payables | days | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
Based on the provided data, let's analyze the activity ratios for Hanesbrands Inc:
1. Days of Inventory on Hand (DOH):
- The DOH measures the number of days it takes for the company to sell its average inventory. A higher DOH indicates slower inventory turnover and possibly excess inventory levels.
- Hanesbrands Inc's trend for DOH fluctuates over the years:
- It increased sharply from 173.64 days on March 31, 2020, to a peak of 198.51 days on March 31, 2023, before decreasing to 147.44 days on December 31, 2023.
- The DOH decreased further to 109.50 days on June 30, 2024, indicating a quicker inventory turnover.
2. Days of Sales Outstanding (DSO):
- DSO reflects how many days it takes for the company to collect its accounts receivable. A lower DSO suggests efficient credit management and faster cash conversion.
- The data provided doesn't include any information on DSO for Hanesbrands Inc, indicating a lack of data for analyzing the company's receivables turnover.
3. Number of Days of Payables:
- This ratio measures how long the company takes to pay its suppliers. A longer period could indicate favorable credit terms or potential liquidity concerns.
- The data does not provide any information on Hanesbrands Inc's number of days of payables, making it impossible to assess the company's payment practices.
Overall, Hanesbrands Inc's inventory management shows fluctuations in inventory turnover rates over the years, with recent improvements in inventory efficiency evidenced by a lower DOH in June 2024. However, without data on DSO and payables, a complete assessment of the company's working capital management and overall efficiency is limited.
Long-term
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Fixed asset turnover | — | — | — | — | — | 6.30 | 12.66 | 12.53 | 7.27 | 14.70 | 14.99 | 15.48 | 8.45 | 8.43 | 8.13 | 14.96 | 12.21 | 11.94 | 11.79 | 11.73 |
| Total asset turnover | 1.01 | 0.80 | 0.92 | 0.97 | 0.91 | 0.90 | 0.87 | 0.86 | 0.96 | 0.92 | 0.94 | 1.00 | 0.96 | 0.92 | 0.94 | 0.98 | 0.87 | 0.81 | 0.82 | 0.84 |
The Fixed Asset Turnover ratio for Hanesbrands Inc has shown fluctuation over the years. It increased steadily from March 2020 to March 2022, peaking at 15.48 in March 2022. However, in the following quarters, the ratio declined significantly, reaching 6.30 in September 2023. The ratio remained low in the subsequent periods with no data available for the years 2024.
The Total Asset Turnover ratio indicates a mixed performance by the company. It experienced some variability but generally maintained a range between 0.81 to 1.00 from March 2020 to March 2024. Notably, the ratio reached its peak at 1.01 in December 2024.
Overall, the Fixed Asset Turnover and Total Asset Turnover ratios suggest that Hanesbrands Inc has faced some challenges in efficiently utilizing its fixed and total assets to generate revenue, possibly indicating the need for improved asset management strategies in the future.