Dorian LPG Ltd (LPG)
Activity ratios
Short-term
Turnover ratios
| Mar 31, 2025 | Mar 31, 2024 | Mar 31, 2023 | Mar 31, 2022 | Mar 31, 2021 | |
|---|---|---|---|---|---|
| Inventory turnover | — | 81.69 | 71.36 | 80.33 | 84.28 |
| Receivables turnover | 260.38 | 10.58 | 6.65 | 4.86 | 5.60 |
| Payables turnover | — | 19.19 | 16.95 | 16.40 | 17.11 |
| Working capital turnover | — | 2.10 | 1.83 | 3.85 | 5.79 |
Dorian LPG Ltd's activity ratios provide insights into the efficiency of the company's operations.
1. Inventory Turnover: The inventory turnover ratio measures how efficiently the company manages its inventory. Dorian LPG's inventory turnover has been relatively high and stable over the period, ranging from 71.36 to 84.28. A high inventory turnover indicates that Dorian LPG is selling its inventory quickly, which is generally positive.
2. Receivables Turnover: The receivables turnover ratio reflects how efficiently the company collects on its credit sales. Dorian LPG's receivables turnover has shown significant fluctuations, with a substantial increase from 4.86 in 2022 to 260.38 in 2025. This indicates that the company has improved its collection efficiency dramatically in recent years.
3. Payables Turnover: The payables turnover ratio measures how quickly the company pays its suppliers. Dorian LPG's payables turnover has been stable between 16.40 and 19.19, suggesting a consistent payment policy towards its suppliers.
4. Working Capital Turnover: The working capital turnover ratio indicates how effectively the company utilizes its working capital to generate sales. Dorian LPG's working capital turnover has declined from 5.79 in 2021 to 2.10 in 2024. This decrease may suggest a decrease in the efficiency of working capital utilization over the period.
Overall, Dorian LPG Ltd's activity ratios show a mixed performance in different areas of its operations, with strengths in inventory and payable turnover, and improvements in receivables turnover offset by a decline in working capital turnover.
Average number of days
| Mar 31, 2025 | Mar 31, 2024 | Mar 31, 2023 | Mar 31, 2022 | Mar 31, 2021 | ||
|---|---|---|---|---|---|---|
| Days of inventory on hand (DOH) | days | — | 4.47 | 5.11 | 4.54 | 4.33 |
| Days of sales outstanding (DSO) | days | 1.40 | 34.51 | 54.91 | 75.06 | 65.15 |
| Number of days of payables | days | — | 19.02 | 21.54 | 22.26 | 21.33 |
From the provided data on Dorian LPG Ltd's activity ratios, we can analyze the following:
1. Days of Inventory on Hand (DOH): This ratio measures how quickly the company is turning its inventory into sales. Dorian LPG Ltd's DOH has seen some fluctuations over the years, ranging from 4.33 days to 5.11 days. Generally, a lower DOH indicates efficient inventory management, while a higher DOH may suggest slow-moving inventory or overstocking.
2. Days of Sales Outstanding (DSO): DSO reflects how long it takes for the company to collect its accounts receivable. Dorian LPG Ltd's DSO has shown significant variations, with a range from 1.40 days to 75.06 days. A lower DSO indicates prompt collection of receivables, while a higher DSO may reveal potential issues with credit policies or customer payment delays.
3. Number of Days of Payables: This ratio signifies the average time it takes for the company to pay its suppliers. Dorian LPG Ltd's number of days of payables has been relatively stable, with figures ranging from 19.02 days to 22.26 days. A longer payment period could indicate favorable credit terms with suppliers, whereas a shorter period may suggest efficient cash management or strong bargaining power.
In conclusion, Dorian LPG Ltd's activity ratios reflect varying efficiency levels in managing inventory, collecting receivables, and paying suppliers over the years. Monitoring these ratios can provide insights into the company's operational performance and financial health.
Long-term
| Mar 31, 2025 | Mar 31, 2024 | Mar 31, 2023 | Mar 31, 2022 | Mar 31, 2021 | |
|---|---|---|---|---|---|
| Fixed asset turnover | — | — | 0.31 | 0.22 | 0.23 |
| Total asset turnover | — | 0.31 | 0.24 | 0.17 | 0.19 |
The fixed asset turnover ratio for Dorian LPG Ltd has shown a slight decline from 0.23 in 2021 to 0.22 in 2022, followed by a notable increase to 0.31 in 2023. However, data for 2024 and 2025 is not available for this ratio.
The fixed asset turnover ratio reflects how efficiently the company is generating revenue from its investment in fixed assets. A higher ratio indicates that the company is able to generate more sales from its fixed assets, which is a positive sign of efficiency.
In comparison, the total asset turnover ratio for Dorian LPG Ltd decreased from 0.19 in 2021 to 0.17 in 2022, but then increased to 0.24 in 2023 and further to 0.31 in 2024. Data for 2025 is not available for this ratio.
The total asset turnover ratio measures how well the company is utilizing its total assets to generate revenue. An increasing ratio indicates that the company is becoming more efficient in generating sales with its total assets.
Overall, the fluctuations in both fixed asset turnover and total asset turnover ratios for Dorian LPG Ltd suggest varying levels of efficiency in utilizing fixed and total assets to generate revenue over the years analyzed. Additional data for 2024 and 2025 would provide a more comprehensive understanding of the trend in the long-term activity ratios for the company.