HealthEquity Inc (HQY)
Activity ratios
Short-term
Turnover ratios
| Jan 31, 2024 | Oct 31, 2023 | Jul 31, 2023 | Apr 30, 2023 | Jan 31, 2023 | Oct 31, 2022 | Jul 31, 2022 | Apr 30, 2022 | Jan 31, 2022 | Oct 31, 2021 | Jul 31, 2021 | Apr 30, 2021 | Jan 31, 2021 | Oct 31, 2020 | Jul 31, 2020 | Apr 30, 2020 | Jan 31, 2020 | Oct 31, 2019 | Jul 31, 2019 | Apr 30, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Inventory turnover | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Receivables turnover | 9.14 | 9.53 | 9.55 | 8.62 | 8.42 | 8.99 | 8.28 | 8.55 | 8.21 | 8.40 | 9.63 | 9.40 | 9.63 | 11.20 | 9.88 | 8.81 | 7.41 | 6.00 | 11.81 | 11.31 |
| Payables turnover | 52.58 | 53.38 | 57.13 | 53.49 | 51.35 | 47.04 | 45.41 | 51.75 | 24.88 | 121.49 | 134.25 | 63.23 | 371.50 | 77.29 | 45.90 | 61.99 | 89.97 | 37.90 | 68.49 | 87.35 |
| Working capital turnover | 2.18 | 2.42 | 2.77 | 3.16 | 3.24 | 3.55 | 4.09 | 4.56 | 3.62 | 1.08 | 1.06 | 1.04 | 2.74 | 2.94 | 3.03 | 4.12 | 3.61 | 3.11 | 0.40 | 0.90 |
HealthEquity Inc's activity ratios show how efficiently the company is managing its assets and liabilities to generate sales.
- Receivables turnover has been relatively stable over the periods, indicating that the company is efficient in collecting payments from customers. A higher turnover ratio suggests faster collection of receivables, which is a positive sign.
- Payables turnover has fluctuated significantly, with a sharp increase in the most recent period compared to the previous one. This may indicate the company is taking longer to pay its suppliers, which can sometimes be a red flag if not managed properly.
- Working capital turnover has also varied over the periods, showing fluctuations in how well the company is converting its working capital into sales. A higher turnover ratio suggests that the company is effectively using its working capital to generate revenue.
Overall, HealthEquity Inc's activity ratios indicate efficient management of receivables and working capital, but there are fluctuations in payables turnover that may need attention to ensure optimal cash flow management.
Average number of days
| Jan 31, 2024 | Oct 31, 2023 | Jul 31, 2023 | Apr 30, 2023 | Jan 31, 2023 | Oct 31, 2022 | Jul 31, 2022 | Apr 30, 2022 | Jan 31, 2022 | Oct 31, 2021 | Jul 31, 2021 | Apr 30, 2021 | Jan 31, 2021 | Oct 31, 2020 | Jul 31, 2020 | Apr 30, 2020 | Jan 31, 2020 | Oct 31, 2019 | Jul 31, 2019 | Apr 30, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Days of inventory on hand (DOH) | days | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Days of sales outstanding (DSO) | days | 39.95 | 38.32 | 38.22 | 42.34 | 43.34 | 40.61 | 44.10 | 42.68 | 44.46 | 43.43 | 37.89 | 38.82 | 37.92 | 32.60 | 36.93 | 41.42 | 49.26 | 60.86 | 30.91 | 32.27 |
| Number of days of payables | days | 6.94 | 6.84 | 6.39 | 6.82 | 7.11 | 7.76 | 8.04 | 7.05 | 14.67 | 3.00 | 2.72 | 5.77 | 0.98 | 4.72 | 7.95 | 5.89 | 4.06 | 9.63 | 5.33 | 4.18 |
Days of inventory on hand (DOH) data is missing from the table, which means we cannot analyze this specific activity ratio for HealthEquity Inc over the given period.
Days of sales outstanding (DSO), a measure of how long it takes for a company to collect on its accounts receivable, fluctuated over the different reporting periods. The trend shows some volatility, with DSO ranging from a low of 32.27 days in October 2019 to a high of 60.86 days in October 2019.
Number of days of payables, an indicator of how long it takes for a company to pay its suppliers, also varied during the observed period. The days of payables were relatively stable for a while, but there was an anomaly in January 2022 where the number of days surged to 14.67 days before dropping to 3.00 days in October 2021. This may indicate changes in the company's payment practices or external factors impacting its financial operations.
Overall, it is essential for HealthEquity Inc to monitor and manage its activity ratios effectively to ensure efficient use of its resources, timely collections on receivables, and prudent management of payables to support its financial health and sustainability.
Long-term
| Jan 31, 2024 | Oct 31, 2023 | Jul 31, 2023 | Apr 30, 2023 | Jan 31, 2023 | Oct 31, 2022 | Jul 31, 2022 | Apr 30, 2022 | Jan 31, 2022 | Oct 31, 2021 | Jul 31, 2021 | Apr 30, 2021 | Jan 31, 2021 | Oct 31, 2020 | Jul 31, 2020 | Apr 30, 2020 | Jan 31, 2020 | Oct 31, 2019 | Jul 31, 2019 | Apr 30, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Fixed asset turnover | 159.39 | 119.60 | 96.68 | 80.56 | 63.40 | 50.48 | 41.52 | 35.02 | 30.71 | 28.34 | 26.11 | 25.48 | 24.07 | 22.66 | 20.10 | 17.17 | 15.68 | 11.36 | 32.72 | 36.04 |
| Total asset turnover | 0.30 | 0.30 | 0.29 | 0.28 | 0.26 | 0.26 | 0.24 | 0.24 | 0.23 | 0.23 | 0.23 | 0.22 | 0.26 | 0.27 | 0.26 | 0.24 | 0.20 | 0.16 | 0.29 | 0.51 |
HealthEquity Inc's fixed asset turnover ratio has been consistently increasing over the past few quarters, indicating that the company is becoming more efficient in generating revenue from its fixed assets. This trend suggests that HealthEquity is utilizing its fixed assets more effectively to drive sales.
On the other hand, the total asset turnover ratio has remained relatively stable over the same period, indicating that the company is generating consistent revenue relative to its total assets. This may suggest that HealthEquity's overall asset utilization is steady, even as its fixed asset turnover improves.
Overall, the increasing fixed asset turnover and stable total asset turnover ratios suggest that HealthEquity is managing its assets efficiently and effectively to drive sales and generate revenue. This efficient asset management can contribute to the company's overall financial performance and profitability.