Dorian LPG Ltd (LPG)

Activity ratios

Short-term

Turnover ratios

	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	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019
Inventory turnover	53.25	66.89	52.76	42.42	37.94	38.04	42.37	46.22	44.65	45.90	60.92	53.47	54.04	47.43	45.96	46.32	47.11	42.49	43.95	48.45
Receivables turnover	10.58	4.88	7.36	5.89	5.10	3.89	5.43	4.61	4.68	6.19	10.42	6.97	5.60	4.10	5.57	7.13	4.93	3.90	3.50	2.92
Payables turnover	12.51	15.05	11.38	8.95	9.27	9.97	11.45	12.77	10.61	11.69	11.50	7.45	11.03	8.96	8.25	8.53	6.94	6.86	9.98	12.77
Working capital turnover	2.10	2.33	2.87	2.93	2.75	2.33	2.19	1.82	1.29	2.40	6.31	3.30	4.43	2.21	2.76	2.67	6.11	4.72	5.71	14.70

Dorian LPG Ltd's inventory turnover ratio has shown fluctuating trends over the past several quarters, ranging from a low of 37.94 to a high of 66.89. Generally, a higher inventory turnover ratio indicates that the company is efficiently managing its inventory levels and quickly converting inventory into sales. However, the company's inventory turnover has varied significantly, suggesting potential challenges in managing inventory efficiently and effectively.

The receivables turnover ratio indicates how many times a company collects its accounts receivables during a specific period. Dorian LPG Ltd's receivables turnover ratio has also been volatile, with values fluctuating between 3.50 and 10.58. A higher receivables turnover ratio typically signifies efficient collection practices, but the inconsistency in Dorian LPG Ltd's ratio may indicate issues with timely collections or credit management.

The payables turnover ratio measures how quickly a company pays its suppliers. Dorian LPG Ltd's payables turnover ratio has shown fluctuations, ranging from 6.86 to 15.05. A higher payables turnover ratio suggests that the company is efficiently managing its payables, but the variability in Dorian LPG Ltd's ratio could indicate challenges in maintaining consistent payment terms with suppliers.

The working capital turnover ratio reflects how effectively a company is utilizing its working capital to generate sales. Dorian LPG Ltd's working capital turnover has exhibited significant variability, with values ranging from 1.29 to 14.70. A higher working capital turnover ratio generally indicates efficient use of working capital, but the substantial fluctuations in Dorian LPG Ltd's ratio may suggest inconsistencies in the company's working capital management practices.

Overall, the analysis of Dorian LPG Ltd's activity ratios indicates that there are areas of both strength and potential concern in its inventory, receivables, payables, and working capital management. Monitoring these ratios closely and implementing strategies to improve efficiency and consistency in these areas could help enhance the company's overall financial performance and operational effectiveness.

Average number of days

		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	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019
Days of inventory on hand (DOH)	days	6.85	5.46	6.92	8.60	9.62	9.59	8.62	7.90	8.17	7.95	5.99	6.83	6.75	7.70	7.94	7.88	7.75	8.59	8.30	7.53
Days of sales outstanding (DSO)	days	34.51	74.81	49.58	62.01	71.50	93.73	67.27	79.12	78.05	58.92	35.04	52.39	65.15	89.04	65.52	51.16	74.08	93.66	104.26	124.92
Number of days of payables	days	29.18	24.25	32.08	40.77	39.36	36.59	31.87	28.59	34.42	31.23	31.75	48.99	33.09	40.73	44.23	42.77	52.61	53.18	36.58	28.59

Dorian LPG Ltd's activity ratios provide insight into its efficiency in managing inventory, collecting receivables, and paying its payables.

The Days of Inventory on Hand (DOH) ratio measures how many days it takes for the company to turn its inventory into sales. Dorian LPG's DOH has been relatively consistent, ranging between 5.46 to 9.62 days over the past few quarters. A lower DOH indicates faster inventory turnover, which is generally more favorable as it minimizes holding costs and the risk of obsolescence.

The Days of Sales Outstanding (DSO) ratio shows how long it takes the company to collect its accounts receivable. Dorian LPG's DSO has varied significantly, ranging from 34.51 to 124.92 days. A lower DSO is preferred as it indicates faster cash collection and improved liquidity. The company should focus on reducing DSO to ensure timely collection of receivables.

The Number of Days of Payables ratio reflects how long it takes the company to pay its suppliers. Dorian LPG's payables turnover has shown some fluctuation, ranging from 24.25 to 53.18 days. A higher number of days of payables suggests the company is taking longer to pay its suppliers, which can improve cash flow but may strain relationships with vendors. However, excessively long payables periods could indicate financial distress or aggressive cash management tactics.

Overall, Dorian LPG should aim to optimize its activity ratios by managing inventory levels efficiently, reducing DSO by improving collection practices, and balancing payables periods to maintain good relationships with suppliers while preserving cash flow.

Long-term

	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	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019
Fixed asset turnover	0.45	0.45	0.40	0.34	0.31	0.28	0.24	0.23	0.22	0.23	0.24	0.23	0.23	0.22	0.22	0.24	0.23	0.19	0.17	0.13
Total asset turnover	0.31	0.30	0.28	0.25	0.23	0.22	0.20	0.19	0.17	0.19	0.21	0.20	0.20	0.19	0.18	0.20	0.20	0.16	0.15	0.12

Dorian LPG Ltd's long-term activity ratios have shown a fluctuating trend over the past few quarters. The fixed asset turnover has ranged between 0.13 and 0.45, indicating that the company generates between $0.13 and $0.45 in revenue for every dollar invested in fixed assets. This ratio has shown some variability but has generally stayed within a relatively stable range.

On the other hand, the total asset turnover ratio has varied between 0.12 and 0.31, illustrating the company's ability to generate sales in relation to its total assets. The trend for this ratio has also been inconsistent, with fluctuations seen over the quarters.

Overall, the long-term activity ratios for Dorian LPG Ltd suggest that the company's efficiency in utilizing its assets to generate revenue has shown some volatility. It would be important to further investigate the reasons behind these fluctuations to understand the underlying factors impacting the company's operational performance.