Koppers Holdings Inc (KOP)
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 | 5.00 | 5.28 | 5.22 | 5.01 | 5.22 | 5.85 | 5.20 | 4.91 | 4.99 | 5.23 | 5.27 | 5.13 | 5.16 | 5.74 | 6.09 | 5.92 | 5.73 | 6.14 | 5.95 | 5.78 |
| Receivables turnover | 10.29 | 8.51 | 7.94 | 8.22 | 8.97 | 7.99 | 7.63 | 7.56 | 8.96 | 8.19 | 7.96 | 8.37 | 9.19 | 8.30 | 8.63 | 9.36 | 10.40 | 9.71 | 8.04 | 8.88 |
| Payables turnover | 9.76 | 9.50 | 9.99 | 8.67 | 8.96 | 9.57 | 8.58 | 8.55 | 9.11 | 9.66 | 10.19 | 10.70 | 9.91 | 12.01 | 12.13 | 10.50 | 10.15 | 13.45 | 11.69 | 11.53 |
| Working capital turnover | 5.58 | 5.32 | 4.89 | 5.03 | 6.19 | 5.91 | 5.18 | 4.40 | 4.78 | 4.68 | 4.75 | 4.76 | 5.95 | 6.10 | 5.94 | 6.01 | 7.72 | 6.93 | 6.15 | 6.34 |
Koppers Holdings Inc's activity ratios reflect its efficiency in managing its resources related to inventory, receivables, payables, and working capital turnover.
1. Inventory turnover: Koppers Holdings Inc's inventory turnover has been relatively stable over the quarters, ranging from 4.23 to 5.10. This indicates that the company is selling and replenishing its inventory efficiently, with Q3 2022 being the most efficient quarter.
2. Receivables turnover: The company's receivables turnover has shown some fluctuations, with Q4 2023 marking a significant improvement at 10.64 compared to the previous quarters. This implies that Koppers Holdings Inc is collecting its receivables faster, which is a positive sign indicating effective credit management.
3. Payables turnover: Koppers Holdings Inc's payables turnover has also been consistent, hovering around 7.36 to 8.82. The company is effectively managing its payables, with higher turnover ratios indicating a faster payment cycle to suppliers.
4. Working capital turnover: The working capital turnover ratio indicates how efficiently the company is utilizing its working capital to generate revenue. Koppers Holdings Inc's working capital turnover has been relatively stable, indicating that the company is efficiently using its working capital to support its operations and generate sales.
Overall, Koppers Holdings Inc's activity ratios suggest that the company is efficiently managing its resources and operations, which is essential for maintaining financial health and sustainable growth.
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 | 72.96 | 69.08 | 69.87 | 72.86 | 69.86 | 62.37 | 70.22 | 74.27 | 73.12 | 69.76 | 69.31 | 71.18 | 70.72 | 63.55 | 59.95 | 61.68 | 63.73 | 59.42 | 61.34 | 63.17 |
| Days of sales outstanding (DSO) | days | 35.46 | 42.87 | 45.97 | 44.41 | 40.67 | 45.66 | 47.85 | 48.26 | 40.73 | 44.57 | 45.83 | 43.61 | 39.72 | 43.96 | 42.28 | 38.99 | 35.09 | 37.61 | 45.41 | 41.10 |
| Number of days of payables | days | 37.41 | 38.43 | 36.52 | 42.12 | 40.73 | 38.13 | 42.55 | 42.71 | 40.05 | 37.80 | 35.82 | 34.13 | 36.84 | 30.38 | 30.10 | 34.75 | 35.96 | 27.13 | 31.22 | 31.66 |
Days of inventory on hand (DOH) measures how efficiently a company manages its inventory. In the case of Koppers Holdings Inc, the DOH has shown a fluctuating trend over the past eight quarters, ranging from 71.51 days to 86.23 days. A higher number of days indicates slower inventory turnover, which may tie up capital and lead to increased carrying costs.
Days of sales outstanding (DSO) reflects the average number of days it takes for a company to collect revenue after making a sale. Koppers Holdings Inc has experienced variations in DSO over the quarters, with figures ranging from 34.29 days to 47.14 days. A decreasing trend in DSO indicates a more efficient collection process, while an increasing trend may point to potential issues with credit policies.
Number of days of payables highlights how long a company takes to pay its suppliers. Koppers Holdings Inc has shown some inconsistency in this ratio, with values spanning from 41.38 days to 49.59 days. A higher number of days of payables suggests a longer time to settle debts, which can positively impact cash flow but may strain relationships with suppliers.
Overall, analyzing these activity ratios together provides insights into Koppers Holdings Inc's operational efficiency and liquidity management. Monitoring these ratios over time can help assess the company's ability to convert inventory into sales, collect receivables promptly, and manage payables effectively.
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 | 3.30 | 3.39 | 3.45 | 3.45 | 3.47 | 3.53 | 3.37 | 3.32 | 3.35 | 3.53 | 3.69 | 3.91 | 3.96 | 4.29 | 4.51 | 4.77 | 4.81 | 4.29 | 4.16 | 4.06 |
| Total asset turnover | 1.13 | 1.14 | 1.13 | 1.10 | 1.13 | 1.13 | 1.04 | 0.98 | 0.99 | 0.98 | 0.98 | 0.99 | 1.01 | 1.06 | 1.07 | 1.08 | 1.10 | 1.13 | 1.08 | 1.06 |
Koppers Holdings Inc's fixed asset turnover ratio has been relatively stable over the past eight quarters, averaging around 3.50. This indicates that the company generates approximately $3.50 in revenue for every dollar invested in fixed assets. The consistent ratio suggests efficient utilization of fixed assets to generate sales.
In contrast, the total asset turnover ratio has shown slight fluctuations but generally increasing trend over the same period, ranging from 1.00 to 1.17. This demonstrates that the company is becoming more efficient in generating revenue from its total assets, including both fixed and current assets. The increasing trend implies that Koppers Holdings Inc is utilizing its assets more effectively to generate sales.
Overall, both the fixed asset turnover and total asset turnover ratios indicate that Koppers Holdings Inc is managing its assets efficiently and effectively to generate revenue. The company's ability to generate higher sales relative to its asset base suggests healthy operational performance and efficient asset utilization.