HealthStream Inc (HSTM)
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 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Receivables turnover | 7.26 | 7.96 | 6.70 | 5.72 | 6.25 | 8.04 | 7.43 | 6.34 | 7.35 | 8.27 | 7.73 | 6.64 | 5.31 | 8.11 | 7.30 | 7.21 | 8.37 | 8.89 | 8.34 | 5.96 |
| Payables turnover | 25.73 | 58.65 | — | — | 27.55 | — | — | — | 38.96 | — | — | — | 20.15 | — | — | — | 31.38 | — | — | — |
| Working capital turnover | 23.55 | 22.53 | 30.91 | 65.89 | — | — | — | — | 39.52 | 24.66 | 59.07 | — | — | 2.36 | 2.33 | 2.55 | 2.13 | 2.04 | 2.14 | 2.15 |
Inventory turnover data is not available for Healthstream Inc for all periods.
The receivables turnover ratio shows a declining trend over the past eight quarters, indicating that it took the company longer to collect its accounts receivable in Q4 2023 compared to Q3 2022. This may be a concern as a lower receivables turnover ratio could signify potential issues with collections or credit policies.
The payables turnover ratio fluctuates significantly, but the latest figure in Q3 2023 shows a sharp decrease compared to the previous quarter. This suggests that the company is taking longer to pay its suppliers, which could potentially strain vendor relationships if prolonged.
The working capital turnover ratio has been inconsistent, with significant fluctuations observed. The latest data in Q4 2023 indicates a decline in working capital turnover compared to the previous quarter, suggesting that the company is generating less revenue relative to its working capital. This could indicate inefficiencies in the utilization of working capital or a decline in revenue generation efficiency.
Overall, the activity ratios show mixed results for Healthstream Inc, with some ratios indicating potential areas of improvement in managing inventory, receivables, payables, and working capital effectively.
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 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Days of sales outstanding (DSO) | days | 50.29 | 45.86 | 54.46 | 63.83 | 58.42 | 45.41 | 49.11 | 57.57 | 49.65 | 44.15 | 47.20 | 55.01 | 68.73 | 45.02 | 49.99 | 50.64 | 43.63 | 41.05 | 43.79 | 61.23 |
| Number of days of payables | days | 14.18 | 6.22 | — | — | 13.25 | — | — | — | 9.37 | — | — | — | 18.12 | — | — | — | 11.63 | — | — | — |
The Days of Inventory on Hand (DOH) for Healthstream Inc is not provided in the table for all quarters, so a trend analysis cannot be performed.
The Days of Sales Outstanding (DSO) for Healthstream Inc fluctuated throughout the quarters, ranging from a low of 45.40 days in Q3 2022 to a high of 63.83 days in Q1 2023. Generally, a lower DSO is favorable as it indicates that the company is collecting cash from its customers more quickly.
The Number of Days of Payables for Healthstream Inc varied significantly, with Q3 2023 showing a high of 28.67 days and Q3 2023 showing a low of 13.59 days. A lower number of days of payables indicates that the company is paying its suppliers more quickly.
Overall, a lower DSO and higher number of days of payables are beneficial for the company as they suggest efficient management of accounts receivable and payables, respectively. Tracking these activity ratios over time can provide insights into the company's liquidity management and operational efficiency.
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 | 21.46 | 20.47 | 18.95 | 18.41 | 17.23 | 16.77 | 15.74 | 15.15 | 14.30 | 13.87 | 12.86 | 11.95 | 11.02 | 11.27 | 10.78 | 10.26 | 9.75 | 9.33 | 8.71 | 10.21 |
| Total asset turnover | 0.56 | 0.56 | 0.56 | 0.54 | 0.54 | 0.55 | 0.54 | 0.53 | 0.53 | 0.51 | 0.51 | 0.49 | 0.49 | 0.52 | 0.52 | 0.52 | 0.52 | 0.52 | 0.52 | 0.50 |
Healthstream Inc's long-term activity ratios indicate how efficiently the company utilizes its assets to generate sales. The fixed asset turnover ratio has been consistently increasing over the past eight quarters, reaching 21.46 in Q4 2023 from 15.15 in Q1 2022. This indicates that the company is generating more sales relative to its investment in fixed assets, reflecting improved efficiency in utilizing these assets.
On the other hand, the total asset turnover ratio has remained relatively stable around 0.54-0.56 over the same period. This suggests that the company's overall efficiency in generating sales from all assets has been consistent. However, compared to the fixed asset turnover ratio, the total asset turnover ratio is lower, indicating that the company's fixed assets are contributing significantly more to the sales generated compared to its total assets.
Overall, Healthstream Inc's long-term activity ratios reflect a positive trend in asset utilization, particularly in terms of fixed assets, which may indicate improved operational efficiency and effectiveness in utilizing resources to drive revenue growth.