Hims Hers Health Inc (HIMS)
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 | 4.71 | 4.77 | 4.68 | 5.66 | 6.99 | 6.79 | 6.55 | 6.23 | 5.48 | 4.74 | 4.82 | 6.74 | 4.97 | 5.01 | 6.84 | 9.27 | 11.09 | 6.05 | 3.28 | 1.63 |
| Receivables turnover | 242.05 | — | — | — | 130.15 | — | — | — | 135.11 | — | — | — | 66.31 | — | — | — | 135.23 | — | — | — |
| Payables turnover | 3.33 | 3.11 | 3.33 | 3.84 | 3.65 | 3.56 | 3.67 | 3.43 | 3.65 | 3.21 | 3.50 | 3.42 | 3.43 | 3.38 | 2.90 | 3.17 | 4.87 | 1,199.08 | 926.36 | 135.40 |
| Working capital turnover | 8.46 | 7.15 | 5.86 | 5.70 | 4.94 | 4.73 | 4.23 | 3.64 | 3.12 | 2.67 | 2.14 | 1.75 | 1.43 | 1.03 | 0.63 | 0.53 | 1.52 | — | 294.60 | 126.93 |
The analysis of Hims Hers Health Inc activity ratios reveals interesting insights:
1. Inventory Turnover: The company's inventory turnover has shown fluctuations over time, ranging from a low of 1.63 in March 2020 to a high of 11.09 in December 2020. Overall, there is a decreasing trend in recent periods, indicating that the company is holding inventory for longer durations.
2. Receivables Turnover: The data shows that receivables turnover was not available in most periods, but there are sporadic values reported such as 135.23 in December 2020 and 242.05 in December 2024. This suggests that the company may have irregular or infrequent credit sales.
3. Payables Turnover: The payables turnover ratio reflects how quickly the company pays its suppliers. Hims Hers Health Inc has shown relatively stable payables turnover ratios over the periods, ranging from 1.99 to 4.87. A consistent payables turnover ratio may indicate healthy vendor relationships.
4. Working Capital Turnover: The working capital turnover indicates how efficiently the company is using its working capital to generate sales. The data shows a consistent increasing trend in working capital turnover ratios over time, implying that the company is utilizing its working capital more effectively to support sales growth.
In conclusion, Hims Hers Health Inc's activity ratios suggest varying operational efficiency and financial management practices across different areas of its business operations. Further analysis and comparison with industry benchmarks would provide a more comprehensive evaluation of the company's performance.
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 | 77.51 | 76.49 | 77.95 | 64.50 | 52.21 | 53.74 | 55.70 | 58.57 | 66.59 | 77.00 | 75.71 | 54.13 | 73.44 | 72.91 | 53.33 | 39.37 | 32.90 | 60.30 | 111.42 | 223.60 |
| Days of sales outstanding (DSO) | days | 1.51 | — | — | — | 2.80 | — | — | — | 2.70 | — | — | — | 5.50 | — | — | — | 2.70 | — | — | — |
| Number of days of payables | days | 109.70 | 117.51 | 109.65 | 94.98 | 100.10 | 102.64 | 99.52 | 106.43 | 99.94 | 113.61 | 104.26 | 106.57 | 106.38 | 108.07 | 125.95 | 115.19 | 74.90 | 0.30 | 0.39 | 2.70 |
Hims Hers Health Inc's Days of Inventory on Hand (DOH) has shown a decrease from 223.60 days as of March 31, 2020, to 52.21 days as of December 31, 2023, with minor fluctuations in between. This trend suggests the company has managed its inventory more efficiently over the years, reducing the number of days it takes to sell its inventory.
The Days of Sales Outstanding (DSO) indicates the average number of days it takes for Hims Hers Health Inc to collect revenue after a sale. While the DSO data is missing for some periods, there seems to be a pattern of improvement, with the DSO decreasing from as high as 5.50 days as of December 31, 2021, to as low as 1.51 days as of December 31, 2024. This suggests the company has been collecting its receivables more quickly over time.
In terms of the Number of Days of Payables, Hims Hers Health Inc has gradually increased its payment period from 0.30 days as of September 30, 2020, to 109.70 days as of December 31, 2024. This indicates that the company has been taking longer to pay its suppliers. Overall, the company's activity ratios show improvements in inventory management and receivables collection efficiency, along with an extension in the payment period to suppliers.
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 | — | — | — | — | — | — | 150.10 | 135.53 | 175.64 | 83.57 | 83.82 | 67.03 | 123.58 | — | — | — | 87.50 | — | — | — |
| Total asset turnover | 2.09 | 2.06 | 2.22 | 2.14 | 1.98 | 1.92 | 1.82 | 1.64 | 1.44 | 1.16 | 0.98 | 0.84 | 0.65 | 0.54 | 0.56 | 0.49 | 1.25 | 0.64 | 0.44 | 0.27 |
The long-term activity ratios of Hims Hers Health Inc provide insights into how efficiently the company is utilizing its assets to generate sales and revenue.
1. Fixed Asset Turnover: This ratio indicates how efficiently the company is generating revenue per dollar of fixed assets. Hims Hers Health Inc experienced fluctuations in its fixed asset turnover over the years, with ratios ranging from 67.03 to 175.64. The significant increase in the ratio in December 2022 and March 2023 indicates that the company was able to generate higher sales relative to its investment in fixed assets during those periods. However, there is a lack of data for some periods, indicating potential issues in asset utilization during those times.
2. Total Asset Turnover: This ratio measures the company's ability to generate sales revenue in relation to its total assets. Hims Hers Health Inc showed a gradual improvement in total asset turnover from 0.27 in March 2020 to 2.09 in December 2024. The increasing trend indicates that the company became more efficient in utilizing its total assets to drive sales and revenue growth over the years.
Overall, the company's performance in terms of asset turnover ratios suggests improving efficiency in generating sales with its asset base. However, the lack of data for some periods highlights the need for consistent monitoring of asset utilization to ensure sustainable growth and profitability in the long term.