KBR Inc (KBR)
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 | — | — | — | — | — | — | — | — | — | — | 63.75 | — | — | — | — | — | — | — | — | — |
| Receivables turnover | 6.98 | 6.66 | 7.14 | 6.90 | 6.74 | 6.42 | 6.26 | 6.02 | 6.72 | 8.13 | 7.37 | 7.25 | 5.06 | 5.01 | 6.20 | 6.46 | 6.26 | 5.89 | 6.04 | 5.38 |
| Payables turnover | 9.35 | 9.34 | 9.97 | 9.94 | 11.03 | 9.37 | 8.66 | 8.20 | 9.78 | 12.73 | 11.33 | 11.50 | 6.83 | 6.12 | 8.47 | 8.62 | 8.89 | 8.70 | 8.65 | 7.43 |
| Working capital turnover | 84.88 | 54.39 | 41.17 | 44.84 | 86.51 | — | 53.98 | — | — | 22.39 | 19.51 | 23.98 | 26.17 | 17.93 | 20.48 | 27.12 | 32.22 | 7.43 | 14.43 | 16.44 |
The activity ratios of KBR Inc provide insights into the company's efficiency in managing its operations.
1. Inventory Turnover: KBR Inc's inventory turnover was 63.75 times for the quarter ended June 30, 2022. This indicates that the company efficiently sells and replenishes its inventory, leading to a high turnover rate.
2. Receivables Turnover: The receivables turnover ratio reflects how quickly KBR Inc collects outstanding receivables. The trend shows a relatively stable performance over the quarters, ranging between 5.01 and 8.13 times.
3. Payables Turnover: KBR Inc's payables turnover ratio signifies how quickly the company pays its suppliers. The ratios ranged between 6.12 and 12.73 times, indicating changes in the company's payment behavior over the quarters.
4. Working Capital Turnover: KBR Inc's working capital turnover ratio varied significantly over the quarters, ranging from 7.43 to 86.51. This measure demonstrates how effectively the company utilizes its working capital to generate revenue.
Overall, these activity ratios provide valuable insights into KBR Inc's operational efficiency and effectiveness in managing its resources and relationships with customers and suppliers.
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 | — | — | — | — | — | — | — | — | — | — | 5.73 | — | — | — | — | — | — | — | — | — |
| Days of sales outstanding (DSO) | days | 52.31 | 54.84 | 51.13 | 52.89 | 54.16 | 56.84 | 58.30 | 60.62 | 54.28 | 44.90 | 49.55 | 50.34 | 72.10 | 72.84 | 58.83 | 56.48 | 58.29 | 61.92 | 60.42 | 67.86 |
| Number of days of payables | days | 39.05 | 39.08 | 36.60 | 36.73 | 33.10 | 38.96 | 42.14 | 44.53 | 37.33 | 28.67 | 32.21 | 31.73 | 53.44 | 59.64 | 43.08 | 42.35 | 41.07 | 41.94 | 42.18 | 49.12 |
The activity ratios of KBR Inc provide insights into the efficiency of the company in managing its inventory, accounts receivable, and accounts payable.
1. Days of Inventory on Hand (DOH):
- KBR Inc had 5.73 days of inventory on hand as of June 30, 2022, indicating that the company turns over its inventory approximately every 5.73 days. However, data for other periods is not available for analysis.
2. Days of Sales Outstanding (DSO):
- The days of sales outstanding for KBR Inc fluctuated over the periods provided, ranging from 49.55 days to 72.84 days. A lower DSO indicates that the company is collecting its accounts receivable more quickly. KBR Inc showed improvement in managing its accounts receivable by lowering its DSO over time.
3. Number of Days of Payables:
- The number of days of payables for KBR Inc ranged from 28.67 days to 59.64 days. A lower number of days of payables suggests that the company is paying its suppliers more quickly. KBR Inc reduced its payables days over time, indicating efficient management of its payables.
Overall, KBR Inc demonstrated improvements in managing its accounts receivable and payables over the periods provided, which may positively impact its working capital management and overall liquidity position.
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 | 26.73 | 26.31 | 28.10 | 28.14 | 28.59 | 30.01 | 30.21 | 31.45 | 35.69 | 50.62 | 56.37 | 56.86 | 53.30 | 47.63 | 42.61 | 10.19 | 44.36 | 51.83 | 51.78 | 48.63 |
| Total asset turnover | 1.16 | 1.07 | 1.23 | 1.24 | 1.23 | 1.13 | 1.05 | 1.13 | 1.17 | 1.38 | 1.38 | 1.33 | 1.17 | 1.07 | 1.05 | 1.00 | 1.01 | 1.08 | 1.16 | 1.14 |
Based on the provided data for KBR Inc's long-term activity ratios, let's analyze the fixed asset turnover and total asset turnover over the past few quarters.
1. Fixed Asset Turnover:
- The fixed asset turnover ratio measures how efficiently a company is generating revenue from its fixed assets.
- KBR Inc's fixed asset turnover ratio has fluctuated over the quarters, with a peak of 56.86 in March 2022 and a low of 26.31 in September 2024.
- A higher fixed asset turnover ratio indicates that the company is using its fixed assets more efficiently to generate revenue. Therefore, the higher ratios seen in 2022 suggest improved asset utilization during that period.
- However, the decreasing trend from 2022 to 2024 may indicate challenges in effectively utilizing fixed assets to drive revenue.
2. Total Asset Turnover:
- The total asset turnover ratio measures how efficiently a company is utilizing all its assets to generate sales.
- KBR Inc's total asset turnover ratio has also varied, with a peak of 1.38 in June 2022 and a low of 1.00 in March 2021.
- The increasing trend in total asset turnover from 2021 to 2022 indicates improved efficiency in generating sales from total assets, reaching its peak in mid-2022.
- However, the ratio declined towards the end of 2024, which may signal a potential decrease in the company's ability to generate revenue from its total assets.
In conclusion, KBR Inc's fixed asset turnover and total asset turnover ratios have shown fluctuations over the quarters, with mixed trends indicating both improvement and challenges in asset utilization for revenue generation. Monitoring these ratios can provide insights into the company's efficiency in utilizing its assets effectively.