Henry Schein Inc (HSIC)

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 6.03 4.41 4.33 4.11 4.45 6.53 6.57 6.38 6.28 4.72 4.80 4.33 4.37 4.51 4.66 5.38 4.96 7.16 7.06 7.28
Receivables turnover 6.58 8.03 8.55 — 8.74 8.34 9.01 8.75 8.53 7.88 8.75 8.04 7.08 6.95 8.58 8.52 8.13 8.33 9.50 10.33
Payables turnover 10.73 8.48 9.76 9.22 8.69 12.40 13.30 13.05 11.09 7.97 8.97 7.75 6.57 6.55 8.92 9.16 8.05 11.36 12.95 14.35
Working capital turnover 6.80 6.25 7.68 7.02 7.14 6.94 7.41 7.50 8.06 7.59 7.20 7.31 6.69 7.73 8.57 7.22 8.53 8.82 8.91 10.02

Henry Schein Inc's inventory turnover has been fluctuating over the periods provided, ranging from a low of 4.33 to a high of 6.57. This indicates that the company is able to sell through its inventory at varying rates, with an average turnover of around 5-6 times per year.

The receivables turnover for Henry Schein Inc has generally been healthy, showing consistency and efficiency in collecting payments from customers. There was a slight decline in the most recent period compared to the previous one, but overall, the company has been able to convert its receivables into cash relatively quickly, with an average turnover of around 8 times per year.

On the other hand, the payables turnover has shown significant variability, indicating fluctuations in the speed at which the company pays its suppliers. The figures range from a low of 6.55 to a high of 14.35, suggesting differing payment practices over time.

The working capital turnover for Henry Schein Inc has also shown variability but generally indicates that the company is efficient in utilizing its working capital to generate sales. The turnover rates range from 6.25 to 10.02, with an average turnover of around 7-8 times per year.

Overall, the activity ratios of Henry Schein Inc suggest varying levels of efficiency in managing inventory, receivables, payables, and working capital across different periods. Further analysis and comparison with industry peers may provide additional insights into the company's operational 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 60.54 82.77 84.34 88.76 82.09 55.90 55.53 57.24 58.10 77.29 75.98 84.25 83.58 80.94 78.29 67.80 73.62 51.01 51.70 50.13
Days of sales outstanding (DSO) days 55.44 45.45 42.69 — 41.76 43.75 40.50 41.71 42.79 46.33 41.70 45.42 51.53 52.54 42.55 42.86 44.90 43.83 38.43 35.33
Number of days of payables days 34.02 43.03 37.39 39.57 41.99 29.43 27.44 27.96 32.91 45.80 40.68 47.12 55.58 55.69 40.91 39.85 45.36 32.13 28.19 25.43

Henry Schein Inc's activity ratios reflect the efficiency of the company in managing its operations and utilizing its resources.

Days of inventory on hand (DOH) have fluctuated over the periods analyzed, ranging from a low of 50.13 days to a high of 88.76 days. The increase in DOH from 2021 to 2023 indicates the company is holding inventory for a longer period, which may signify potential issues with inventory management or slowing sales.

Days of sales outstanding (DSO) have also varied, with a low of 35.33 days and a high of 55.44 days. A lower DSO suggests that the company is collecting its accounts receivable faster, which is generally favorable for cash flow management. Henry Schein's DSO showed improvement in some periods but exhibited some fluctuations.

The number of days of payables demonstrates the company's ability to manage its payables effectively. The range of this metric was from 25.43 days to 55.69 days. A longer period of payables may indicate that Henry Schein is taking longer to pay its suppliers, potentially signaling leverage with suppliers or cash flow constraints.

Overall, the analysis of these activity ratios suggests that Henry Schein Inc may benefit from closer monitoring and potential improvement in its inventory management practices and payables turnover to enhance operational efficiency and cash flow management.

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 10.57 26.65 28.59 31.54 13.32 35.52 35.67 35.30 33.79 34.94 33.74 30.47 29.51 29.20 28.12 31.12 30.73 34.23 36.25 39.08
Total asset turnover 1.16 1.29 1.37 1.46 1.46 1.47 1.53 1.50 1.46 1.45 1.46 1.36 1.30 1.25 1.29 1.36 1.42 1.50 1.61 1.73

Henry Schein Inc's fixed asset turnover ratio has shown fluctuations over the past few quarters, ranging from a low of 10.57 to a high of 39.08. This indicates that the company is efficient in generating sales revenue from its investment in fixed assets, with higher ratios reflecting better asset utilization.

On the other hand, the total asset turnover ratio has also varied, but not as significantly, ranging between 1.16 and 1.73. This metric reveals how efficiently the company is using all its assets to generate revenue, including both fixed and current assets. A stable or increasing total asset turnover ratio generally indicates effective management of assets to drive sales.

Overall, these ratios suggest that Henry Schein Inc has been effectively utilizing both its fixed and total assets to generate revenue, though there have been some fluctuations over the periods analyzed. Monitoring these ratios can provide insights into the company's operational efficiency and asset management strategies.