Itron Inc (ITRI)

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 7.25 7.03 6.54 6.50 6.47 6.41 6.31 6.25 7.08 8.44 10.20 10.39 10.85 9.90 10.15 10.90 10.58 9.91 9.05 9.66
Receivables turnover 6.97 7.07 7.40 6.70 7.14 6.47 6.02 5.93 6.38 6.65 7.08 6.21 6.43 6.18 6.03 5.60 5.76 5.80 5.65 5.28
Payables turnover 13.54 12.75 10.33 8.35 9.20 7.89 7.17 6.77 6.83 7.29 10.51 8.74 9.31 9.20 10.37 10.17 8.95 8.75 8.53 6.56
Working capital turnover 1.90 1.94 2.03 4.39 4.23 4.54 4.68 4.95 5.41 5.78 6.23 6.47 7.72 6.47 6.17 5.85 5.60 2.93 3.09 3.40

Itron Inc's Inventory Turnover has shown a declining trend from 9.66 in March 2020 to 7.25 in December 2024, indicating that the company is taking longer to sell its inventory over time. This may suggest issues with inventory management or slowing sales.

The Receivables Turnover ratio has fluctuated over the years but generally increased from 5.28 in March 2020 to 6.97 in December 2024. A rising receivables turnover implies that the company is collecting outstanding receivables more efficiently.

In terms of Payables Turnover, there is a notable increase from 6.56 in March 2020 to 13.54 in December 2024, indicating that Itron Inc has been extending its payables period significantly. This strategy can help improve cash flow and liquidity.

The Working Capital Turnover ratio shows a mixed trend, starting at 3.40 in March 2020, peaking at 7.72 in December 2021, and then decreasing to 1.90 in December 2024. The decline suggests a potential inefficiency in utilizing working capital to generate sales.

Overall, Itron Inc should focus on optimizing its inventory management, maintaining efficient accounts receivable collection, and carefully managing its payables to ensure healthy liquidity and operational 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 50.37 51.94 55.80 56.12 56.42 56.95 57.83 58.36 51.55 43.25 35.78 35.13 33.65 36.88 35.95 33.47 34.49 36.84 40.34 37.79
Days of sales outstanding (DSO) days 52.38 51.59 49.30 54.48 51.14 56.41 60.64 61.55 57.21 54.92 51.58 58.80 56.78 59.09 60.50 65.13 63.39 62.97 64.55 69.11
Number of days of payables days 26.96 28.63 35.34 43.69 39.68 46.27 50.88 53.89 53.46 50.09 34.72 41.74 39.20 39.66 35.19 35.88 40.78 41.69 42.77 55.60

Itron Inc's activity ratios provide insights into how efficiently the company manages its inventory, collects receivables, and pays its payables.

1. Days of Inventory on Hand (DOH): Itron's DOH has shown fluctuating trends over the years, ranging from 33.47 days to 58.36 days. A lower DOH indicates that the company is selling its inventory quickly and efficiently, while a higher DOH may suggest excess inventory levels or slow-moving products. It is important for Itron to monitor and optimize its inventory management to control costs and improve cash flow.

2. Days of Sales Outstanding (DSO): Itron's DSO has varied between 49.30 days to 65.13 days. A lower DSO indicates that the company is efficient in collecting receivables from customers, leading to better cash flow. Increasing DSO could indicate potential issues with credit policies or customer payment delays. Itron should focus on timely collection efforts to improve cash inflows and reduce credit risk.

3. Number of Days of Payables: Itron's payables days have ranged from 26.96 days to 55.60 days. A longer payable period suggests that the company takes longer to pay its suppliers, which can help improve cash flow. However, excessively long payables may strain supplier relationships or lead to penalties. Itron should balance its payable days to maintain good supplier relations while optimizing cash flow management.

Overall, Itron Inc should closely monitor and manage its activity ratios to improve operational efficiency, cash flow, and overall financial performance.

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 21.16 19.90 19.22 18.22 16.83 15.87 14.47 13.27 12.77 12.77 12.20 11.97 11.76 10.45 10.33 10.27 10.25 10.89 10.75 10.84
Total asset turnover 0.72 0.71 0.71 0.85 0.83 0.82 0.77 0.74 0.75 0.76 0.80 0.78 0.80 0.82 0.81 0.70 0.82 0.74 0.77 0.80

Itron Inc's long-term activity ratios have shown an upward trend over the years:

1. Fixed Asset Turnover: Itron Inc's fixed asset turnover ratio has consistently increased from 10.84 in March 2020 to 21.16 in December 2024. This indicates that the company has been able to generate more revenue from its fixed assets over time, reflecting increased efficiency in utilizing its property, plant, and equipment.

2. Total Asset Turnover: The total asset turnover ratio fluctuated over the years, with a peak of 0.85 in March 2024. This ratio measures how efficiently the company is using its total assets to generate revenue. Despite the fluctuations, the overall trend suggests moderate efficiency in utilizing the company's total assets to generate sales.

Overall, the increasing trend in fixed asset turnover indicates improved efficiency in utilizing fixed assets to generate sales revenue, while the total asset turnover ratio demonstrates varying efficiency in utilizing all assets to generate revenue.