KB Home (KBH)
Activity ratios
Short-term
Turnover ratios
| Feb 29, 2024 | Nov 30, 2023 | Aug 31, 2023 | May 31, 2023 | Feb 28, 2023 | Nov 30, 2022 | Aug 31, 2022 | May 31, 2022 | Feb 28, 2022 | Nov 30, 2021 | Aug 31, 2021 | May 31, 2021 | Feb 28, 2021 | Nov 30, 2020 | Aug 31, 2020 | May 31, 2020 | Feb 29, 2020 | Nov 30, 2019 | Aug 31, 2019 | May 31, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Inventory turnover | 0.02 | 0.02 | 0.03 | 0.02 | 0.02 | 0.02 | 0.02 | 0.02 | 0.02 | 0.02 | 0.21 | 0.41 | 0.61 | 0.87 | 1.00 | 1.06 | 1.05 | 1.00 | 0.91 | 0.96 |
| Receivables turnover | — | — | — | — | — | — | — | — | — | — | — | — | — | — | 105.03 | 108.76 | 108.73 | — | — | — |
| Payables turnover | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Working capital turnover | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
Inventory turnover is a key activity ratio that measures how efficiently a company manages its inventory. A higher inventory turnover ratio indicates that inventory is selling quickly and being replenished frequently.
Looking at the historical data for KB Home, the inventory turnover ratio has been consistently low, ranging from 0.02 to 1.06 over the past few years. This suggests that KB Home may have been facing challenges in efficiently managing its inventory levels and turning over its inventory quickly. The significant improvement in inventory turnover in the most recent quarters (from 0.21 to 1.06) is a positive sign, indicating that the company has been able to better manage its inventory, possibly due to improved sales or inventory management practices.
Receivables turnover and payables turnover ratios are not provided in the data, indicating a lack of information on the company's efficiency in collecting receivables and managing payables. These ratios are important in assessing how effectively a company is managing its accounts receivable and accounts payable, respectively.
The working capital turnover ratio is also not available in the data provided. This ratio measures how effectively a company utilizes its working capital to generate sales. Without this information, it is challenging to evaluate how efficiently KB Home is utilizing its working capital to generate revenue.
In conclusion, while improvements in inventory turnover are a positive indication for KB Home, the lack of data on other activity ratios limits a comprehensive analysis of the company's overall efficiency in managing its assets and liabilities.
Average number of days
| Feb 29, 2024 | Nov 30, 2023 | Aug 31, 2023 | May 31, 2023 | Feb 28, 2023 | Nov 30, 2022 | Aug 31, 2022 | May 31, 2022 | Feb 28, 2022 | Nov 30, 2021 | Aug 31, 2021 | May 31, 2021 | Feb 28, 2021 | Nov 30, 2020 | Aug 31, 2020 | May 31, 2020 | Feb 29, 2020 | Nov 30, 2019 | Aug 31, 2019 | May 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Days of inventory on hand (DOH) | days | 16,464.00 | 16,205.68 | 14,114.34 | 14,684.63 | 15,731.08 | 16,153.00 | 22,303.48 | 20,788.08 | 19,540.51 | 17,505.12 | 1,739.35 | 880.93 | 600.13 | 420.32 | 363.75 | 343.89 | 346.44 | 364.15 | 401.35 | 381.03 |
| Days of sales outstanding (DSO) | days | — | — | — | — | — | — | — | — | — | — | — | — | — | — | 3.48 | 3.36 | 3.36 | — | — | — |
| Number of days of payables | days | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
Days of Inventory on Hand (DOH) is a measure that shows how efficiently a company manages its inventory. KB Home's DOH has fluctuated over the past quarters, ranging from a low of 343.89 days to a high of 22,303.48 days. The decreasing trend from the high levels indicates the company is managing its inventory more effectively in recent periods. This improvement suggests better inventory control and turnover.
Days of Sales Outstanding (DSO) is a metric that indicates how long it takes KB Home to collect payments after making a sale. Unfortunately, the data provided is missing, so no specific analysis can be made regarding this aspect.
Lastly, the number of days of payables, which shows how long KB Home takes to pay its suppliers, is also not provided in the data. This information is crucial for determining the company's payment policies and liquidity management.
In summary, based on the available data on Days of Inventory on Hand (DOH), KB Home has shown improved inventory management efficiency in recent quarters. However, additional information on Days of Sales Outstanding (DSO) and Number of Days of Payables is needed to provide a more comprehensive analysis of the company's activity ratios.
Long-term
| Feb 29, 2024 | Nov 30, 2023 | Aug 31, 2023 | May 31, 2023 | Feb 28, 2023 | Nov 30, 2022 | Aug 31, 2022 | May 31, 2022 | Feb 28, 2022 | Nov 30, 2021 | Aug 31, 2021 | May 31, 2021 | Feb 28, 2021 | Nov 30, 2020 | Aug 31, 2020 | May 31, 2020 | Feb 29, 2020 | Nov 30, 2019 | Aug 31, 2019 | May 31, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Fixed asset turnover | — | 72.59 | 59.74 | 77.22 | 77.10 | 77.37 | 77.00 | 75.52 | 75.49 | 75.02 | 72.36 | 68.88 | 62.89 | 63.82 | 70.38 | 71.61 | 74.74 | 70.00 | 67.73 | 71.99 |
| Total asset turnover | 0.97 | 0.96 | 1.02 | 1.07 | 1.06 | 1.04 | 0.99 | 0.95 | 0.97 | 0.98 | 0.91 | 0.85 | 0.78 | 0.78 | 0.88 | 0.93 | 0.95 | 0.91 | 0.86 | 0.90 |
The fixed asset turnover ratio for KB Home has exhibited fluctuations over the periods analyzed. This ratio indicates how efficiently the company is utilizing its fixed assets to generate revenue. A higher fixed asset turnover ratio is generally preferred as it signifies better asset utilization.
The company's fixed asset turnover ratio ranged between 59.74 and 77.59 in the recent periods, indicating some variability in the efficiency of utilizing fixed assets to generate revenue. It peaked at 77.59 in the Nov 30, 2023, period, reflecting a high level of efficiency in generating revenue from fixed assets. However, it then declined to 72.36 in the Aug 31, 2021, period, before showing a slight uptrend in more recent periods.
In comparison, the total asset turnover ratio, which measures how efficiently the company is using all its assets to generate revenue, has also shown some fluctuations but generally remained relatively stable. The total asset turnover ratio ranged between 0.85 and 1.07 during the periods under review. A higher total asset turnover ratio indicates better efficiency in generating revenue from all assets.
Overall, the company's total asset turnover ratio has been relatively steady compared to the fixed asset turnover, which has seen more variability. Investors and analysts may want to monitor the trend in both ratios over time to assess the company's efficiency in utilizing its assets to generate revenue.