Intel Corporation (INTC)

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	4.01	3.97	3.55	3.41	3.50	3.57	3.49	3.35	3.34	2.59	2.64	2.59	3.12	4.51	5.00	5.23	4.93	4.38	4.48	4.11
Receivables turnover	8.76	17.42	17.82	16.75	15.75	17.52	17.23	—	14.10	—	—	—	8.25	9.23	10.28	10.64	11.14	10.83	10.51	8.88
Payables turnover	3.90	4.32	4.15	4.58	4.54	4.72	4.77	5.39	4.60	4.66	4.05	4.29	5.84	6.51	7.45	8.16	7.44	7.88	7.96	8.18
Working capital turnover	4.57	4.95	2.97	3.62	3.58	3.28	3.19	2.54	3.30	3.23	3.09	2.33	2.51	2.44	3.13	3.55	3.42	5.27	3.57	4.26

Intel Corporation's activity ratios provide insights into how efficiently the company manages its assets and operations.

1. Inventory turnover:
The inventory turnover ratio indicates how many times Intel sells and replenishes its inventory within a specific period. From March 31, 2020, to December 31, 2024, the inventory turnover ratio ranged between 2.59 and 5.23. The trend showed fluctuations with a peak in March 31, 2021, at 5.23, and a trough in March 31, 2022, at 2.59. Overall, the company has managed to maintain a relatively stable turnover rate over the years, indicating efficient management of inventory levels.

2. Receivables turnover:
The receivables turnover ratio measures how quickly Intel collects payments from its customers. The ratio varied between 8.25 and 17.82 from December 31, 2020, to June 30, 2024. There were periods where data was missing, but the trend generally showed an increasing pattern, peaking at 17.82 in June 30, 2024. This suggests that Intel improved its efficiency in collecting receivables over the years.

3. Payables turnover:
The payables turnover ratio reflects how efficiently Intel pays its suppliers and manages its accounts payable. The ratio fluctuated between 3.90 and 8.18 from December 31, 2024, to March 31, 2020. The trend demonstrated a downward pattern, indicating a decrease in the turnover of payables in recent years. This could be due to changes in payment terms or supplier relationships.

4. Working capital turnover:
The working capital turnover ratio shows how well Intel utilizes its working capital to generate sales. The ratio ranged from 2.33 to 5.27 from March 31, 2020, to September 30, 2024. The trend displayed fluctuations but generally remained above 2.0, indicating that Intel effectively utilized its working capital to support its operations and generate revenue.

Overall, Intel Corporation's activity ratios reflect a mix of efficiency in managing inventory and receivables, along with some changes in payables management over the years. Analyzing these ratios can provide valuable insights into the company's operational performance and efficiency.

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	90.99	91.98	102.94	107.03	104.21	102.33	104.61	108.90	109.30	140.97	138.12	140.88	117.15	80.87	73.04	69.82	74.11	83.27	81.47	88.92
Days of sales outstanding (DSO)	days	41.65	20.95	20.49	21.79	23.18	20.83	21.19	—	25.88	—	—	—	44.25	39.54	35.50	34.30	32.77	33.70	34.73	41.12
Number of days of payables	days	93.66	84.45	88.05	79.70	80.34	77.37	76.44	67.75	79.30	78.37	90.14	85.11	62.48	56.06	49.02	44.70	49.08	46.32	45.83	44.60

The activity ratios of Intel Corporation indicate how efficiently the company manages its assets and liabilities.

1. Days of Inventory on Hand (DOH):
- Intel's DOH has fluctuated over the years, with a general upward trend in recent quarters. The DOH was quite high in March 2022 at 140.88 days and remained elevated through June and September 2022. However, it declined in December 2022 and further in the following quarters, reaching 90.99 days by December 2024. A lower DOH typically indicates better inventory management and liquidity.

2. Days of Sales Outstanding (DSO):
- The DSO metric shows the average number of days it takes for the company to collect revenue after making a sale. Intel's DSO decreased significantly from 44.25 days in December 2021 to 21.19 days in June 2023, showing a positive trend in collecting receivables more quickly. However, there was an increase in DSO by December 2024 to 41.65 days, suggesting a potential slowdown in collecting payments.

3. Number of Days of Payables:
- This ratio measures how long Intel takes to pay its suppliers or vendors. The number of days of payables increased from 44.60 days in March 2020 to 93.66 days by the end of December 2024. A longer period of payables may indicate that Intel is taking longer to settle its obligations, potentially to improve cash flow or manage working capital.

Overall, Intel's activity ratios reflect changing efficiency in managing inventory, collecting receivables, and paying suppliers. Continuous monitoring and adjustment of these ratios are crucial for maintaining financial health and operational efficiency.

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	0.49	0.26	0.27	0.28	0.56	0.26	0.28	0.30	0.74	0.41	0.45	0.50	1.24	1.30	1.32	1.34	1.36	1.31	1.35	1.32
Total asset turnover	0.27	0.28	0.27	0.29	0.28	0.26	0.28	0.29	0.33	0.40	0.42	0.44	0.46	0.46	0.50	0.51	0.50	0.53	0.51	0.51

Intel Corporation's fixed asset turnover ratio has been fluctuating over the past few years. The ratio ranged from 1.24 to 1.36 between December 31, 2021, and December 31, 2022, indicating some variability in how efficiently the company is utilizing its fixed assets to generate sales. However, there was a significant decline in the fixed asset turnover ratio from March 31, 2022, to September 30, 2023, reaching a low of 0.26, which may raise concerns about the company's ability to generate sales from its fixed assets during that period.

On the other hand, the total asset turnover ratio of Intel Corporation has generally been on a decreasing trend from March 31, 2020, to December 31, 2024, fluctuating between 0.26 and 0.53. This indicates a decline in the company's ability to generate sales from its total assets over the years. The total asset turnover ratio reached its lowest point of 0.26 on September 30, 2023, which suggests that the company may be facing challenges in efficiently utilizing its assets to generate revenue during that period.

Overall, the analysis of Intel Corporation's long-term activity ratios highlights some fluctuations in the efficiency of the company in generating sales from its fixed and total assets. It is essential for investors and stakeholders to closely monitor these ratios to assess the company's operational efficiency and asset utilization over time.