Installed Building Products Inc (IBP)

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 14.87 15.01 14.80 14.13 13.32 12.27 10.73 11.97 12.53 14.54 16.45 18.05 19.58 20.92 21.01 19.62 18.80 21.43 20.73 21.24
Receivables turnover 3.36 3.45 3.52 3.40 3.34 3.20 3.17 3.10 3.10 2.90 2.90 3.03 3.08 3.38 3.62 3.61 3.58 3.38 3.64 3.67
Payables turnover 15.26 16.70 17.52 17.83 15.77 14.32 13.30 12.71 13.51 14.36 15.13 14.92 14.89 16.90 17.85 15.92 14.19 13.59 13.77 14.50
Working capital turnover 3.80 4.00 4.51 4.95 4.72 4.60 5.00 4.05 3.51 4.76 4.72 4.56 4.19 3.85 3.86 4.20 4.06 3.98 5.96 6.02

Installed Building Products Inc's activity ratios provide insight into how efficiently the company is managing its assets and liabilities. The inventory turnover ratio has been relatively stable, averaging around 11 times per year, indicating that the company is efficiently selling its inventory.

The receivables turnover ratio has also been consistent, averaging around 6.5 times per year, showing that the company is collecting its accounts receivable effectively.

The payables turnover ratio has been fluctuating but generally showing an increasing trend, indicating that the company is taking longer to pay its suppliers. This could be beneficial for cash flow management but may also signal potential strains on supplier relationships.

The working capital turnover ratio has shown variability but has generally been declining, suggesting that the company may be more efficient in utilizing its working capital to generate revenue. However, a declining trend in this ratio could also indicate potential liquidity challenges if not managed properly.

Overall, the company's activity ratios reflect a balanced approach to managing its assets and liabilities, with room for improvements in working capital management and payables turnover.

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 24.55 24.31 24.66 25.83 27.40 29.75 34.00 30.50 29.12 25.10 22.19 20.22 18.65 17.45 17.37 18.60 19.41 17.03 17.61 17.18
Days of sales outstanding (DSO) days 108.52 105.77 103.55 107.49 109.16 113.93 115.27 117.75 117.91 125.80 126.04 120.29 118.47 108.05 100.87 101.24 101.91 108.05 100.36 99.47
Number of days of payables days 23.92 21.86 20.84 20.47 23.15 25.49 27.45 28.72 27.02 25.42 24.13 24.46 24.51 21.59 20.44 22.93 25.73 26.85 26.50 25.18

Installed Building Products Inc's activity ratios suggest some fluctuations in its efficiency in managing inventory, collecting receivables, and paying suppliers.

- Days of Inventory on Hand (DOH) has generally decreased over the past two years, indicating that the company is more efficiently managing its inventory levels. This could be attributed to better inventory control practices or improved demand forecasting.

- Days of Sales Outstanding (DSO) have varied slightly over the same period, but overall, the trend shows relatively stable collection times. The lower the DSO, the faster the company can convert its sales into cash, which is an indicator of effective credit and collection policies.

- The Number of Days of Payables has also fluctuated over the years, showing a slight decrease in the time taken to pay suppliers. This could result from negotiation of better payment terms or improved cash flow management.

Overall, the company's activity ratios reflect a mixed performance in managing its working capital components, with some improvements in inventory management and payables turnover, but relatively stable performance in accounts receivable collection. Further analysis and comparison with industry benchmarks would provide additional insights into the company's efficiency in utilizing its resources.

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 21.44 21.71 22.43 23.07 23.92 23.04 20.98 20.29 19.22 18.47 16.62 15.81 15.60 15.16 15.14 14.54 14.02 14.13 15.10 14.88
Total asset turnover 1.39 1.41 1.48 1.52 1.48 1.41 1.33 1.26 1.17 1.39 1.38 1.35 1.37 1.36 1.38 1.42 1.36 1.36 1.53 1.55

Installed Building Products Inc's fixed asset turnover has remained relatively stable over the past several quarters, ranging from 19.65 to 22.48. This indicates that the company is generating between 19.65 and 22.48 in revenue for every dollar invested in fixed assets. The consistently high fixed asset turnover suggests efficient utilization of fixed assets to generate sales.

In terms of total asset turnover, Installed Building Products Inc has shown a slightly increasing trend over the same period, ranging from 1.28 to 1.54. This indicates that the company is generating between 1.28 and 1.54 in revenue for every dollar invested in total assets. The increasing total asset turnover suggests that the company is becoming more efficient in generating sales relative to its total asset base.

Overall, both the fixed asset turnover and total asset turnover ratios reflect positively on Installed Building Products Inc's ability to generate sales relative to its asset base. The company's efficient utilization of both fixed and total assets is a positive indicator of operational efficiency and effective asset management.