Molina Healthcare Inc (MOH)
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 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Receivables turnover | 10.98 | 13.52 | 13.68 | 12.76 | 13.89 | 14.04 | 13.51 | 13.46 | 12.76 | 13.39 | 12.70 | 12.05 | 11.62 | 10.40 | 11.19 | 10.77 | 11.97 | 13.45 | 14.26 | 13.51 |
| Payables turnover | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Working capital turnover | 7.79 | 8.36 | 8.36 | 9.13 | 9.90 | 9.59 | 9.74 | 9.35 | 9.20 | 7.77 | 7.44 | 7.17 | 6.67 | 5.43 | 5.35 | 6.27 | 6.24 | 6.70 | 7.14 | 7.53 |
Molina Healthcare Inc's activity ratios provide insight into how efficiently the company is managing its resources.
1. Receivables Turnover: The company's receivables turnover has shown a consistent performance over the quarters, ranging between 10.98 and 14.04. This indicates that Molina Healthcare is able to collect its outstanding receivables approximately 11 to 14 times a year, which is a positive sign of effective credit management and liquidity.
2. Working Capital Turnover: The working capital turnover ratio has also been relatively stable, with values between 7.79 and 9.90. This ratio reflects how effectively the company is utilizing its working capital to generate revenue. A higher turnover value indicates efficient use of resources to drive sales.
Overall, Molina Healthcare Inc's activity ratios suggest a decent performance in managing its receivables and working capital, showcasing effective operational efficiency and liquidity management.
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 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Days of sales outstanding (DSO) | days | 33.25 | 27.01 | 26.68 | 28.61 | 26.28 | 26.00 | 27.01 | 27.12 | 28.61 | 27.26 | 28.75 | 30.30 | 31.42 | 35.09 | 32.61 | 33.90 | 30.49 | 27.13 | 25.59 | 27.01 |
| Number of days of payables | days | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
The Days of Sales Outstanding (DSO) for Molina Healthcare Inc have shown some fluctuations over the past few quarters, ranging from 26.00 days to 33.25 days. Generally, a lower DSO indicates that the company is collecting its accounts receivable more efficiently, while a higher DSO might suggest potential issues with collecting payments from customers promptly.
On the other hand, the Days of Inventory on Hand (DOH) data is not available for analysis in the provided table. Typically, a lower DOH is favorable as it indicates that the company is managing its inventory efficiently and not holding excess inventory that could tie up capital.
The Number of Days of Payables data is also not provided, making it challenging to assess Molina Healthcare's payment practices and liquidity position based on this aspect.
In conclusion, Molina Healthcare's DSO shows variability over the periods provided, but without the inventory and payables data, a comprehensive evaluation of its activity ratios is limited. The company may benefit from further analysis and insights into its inventory management and payment processes to optimize its working capital efficiency.
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 | 36.56 | 114.64 | 114.48 | 118.08 | 36.25 | 75.63 | 75.49 | 73.84 | 33.78 | 66.49 | 61.56 | 56.60 | 25.83 | 46.74 | 44.32 | 44.83 | 24.50 | 45.43 | 47.38 | 48.84 |
| Total asset turnover | 2.29 | 2.24 | 2.39 | 2.42 | 2.60 | 2.44 | 2.41 | 2.35 | 2.27 | 2.32 | 2.24 | 2.15 | 2.04 | 2.34 | 2.25 | 2.42 | 2.48 | 2.57 | 2.64 | 2.42 |
Long-term activity ratios provide insights into how efficiently a company is utilizing its fixed assets and total assets to generate revenue.
1. Fixed asset turnover ratio: This ratio measures how effectively the company is utilizing its fixed assets to generate sales. A higher ratio indicates better efficiency. Molina Healthcare Inc's fixed asset turnover has been consistently high, increasing from 73.84 in Q1 2022 to 126.19 in Q4 2023. This suggests that the company is efficiently using its fixed assets to generate revenue.
2. Total asset turnover ratio: This ratio reflects the company's ability to generate sales from its total assets. A higher ratio implies superior asset utilization. Molina Healthcare Inc's total asset turnover ratio fluctuated over the quarters, ranging from 2.24 in Q3 2023 to 2.60 in Q4 2022. The company's ability to generate revenue from its total assets remains relatively stable, indicating efficient asset utilization.
In summary, Molina Healthcare Inc demonstrates strong efficiency in both fixed asset turnover and total asset turnover, indicating effective management of assets to generate revenue.