Match Group Inc (MTCH)
Activity ratios
Short-term
Turnover ratios
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Inventory turnover | — | 21.15 | — | — | 6.04 |
| Receivables turnover | — | — | — | — | — |
| Payables turnover | — | — | — | — | — |
| Working capital turnover | 4.10 | 4.55 | 9.78 | 59.73 | 4.60 |
Match Group Inc's activity ratios provide insight into how efficiently the company is managing its assets and liabilities to generate revenue.
1. Inventory Turnover:
- In 2020, the inventory turnover ratio was 6.04, indicating that the company turned over its inventory approximately 6 times during the year.
- In 2023, the inventory turnover ratio increased significantly to 21.15, suggesting that Match Group managed its inventory more efficiently by selling products more quickly.
- The absence of data for 2021, 2022, and 2024 indicates a possible change in reporting practices or business operations.
2. Receivables Turnover:
- Data is not available for receivables turnover for any year, making it difficult to assess how quickly Match Group collects payments from its customers.
3. Payables Turnover:
- Similar to receivables turnover, there is no data available for payables turnover, preventing an analysis of how quickly Match Group pays its suppliers.
4. Working Capital Turnover:
- In 2021, the working capital turnover ratio was significantly high at 59.73, indicating that Match Group efficiently utilized its working capital to generate revenue.
- The ratios for 2020, 2022, 2023, and 2024 were 4.60, 9.78, 4.55, and 4.10 respectively, showing fluctuations in the company's ability to generate revenue relative to its working capital over the years.
Overall, while some activity ratios like inventory turnover and working capital turnover show positive trends in efficiency, the lack of data for receivables and payables turnover limits a comprehensive analysis of Match Group Inc's overall activity performance.
Average number of days
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Days of inventory on hand (DOH) | days | — | 17.26 | — | — | 60.47 |
| Days of sales outstanding (DSO) | days | — | — | — | — | — |
| Number of days of payables | days | — | — | — | — | — |
Match Group Inc's activity ratios provide insights into the efficiency of managing its inventory, sales, and payables.
1. Days of Inventory on Hand (DOH):
- In December 2020, Match Group Inc had 60.47 days of inventory on hand, indicating that it held inventory for approximately two months before selling or using it.
- The data is missing for December 2021 and 2022, making it difficult to assess the trend.
- However, by December 2023, Match Group Inc significantly improved its inventory management, reducing the days of inventory on hand to 17.26 days. This suggests a more efficient inventory turnover.
2. Days of Sales Outstanding (DSO):
- The data for Days of Sales Outstanding is missing for all years (2020-2024), which makes it challenging to evaluate Match Group Inc's effectiveness in collecting accounts receivable.
- Without this information, it's unclear how quickly the company is converting its sales into cash.
3. Number of Days of Payables:
- Similar to DSO, data on the Number of Days of Payables is missing for all years (2020-2024). This metric helps in understanding the time taken by the company to pay its suppliers.
- Without this data, we cannot assess Match Group Inc's payment terms with its creditors and suppliers.
In conclusion, while the information on Days of Inventory on Hand shows an improvement in inventory management efficiency by December 2023, the absence of data on Days of Sales Outstanding and Number of Days of Payables limits a comprehensive analysis of Match Group Inc's activity ratios. It would be beneficial to have complete data for all years to gain a more holistic view of the company's operational performance.
Long-term
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Fixed asset turnover | — | — | 18.10 | 18.27 | 12.40 |
| Total asset turnover | 0.78 | 0.75 | 0.76 | 0.59 | 0.78 |
The analysis of Match Group Inc's long-term activity ratios suggests a notable improvement in the fixed asset turnover from 12.40 in December 2020 to 18.27 in December 2021. Although there was a slight decline in this ratio to 18.10 in December 2022, the company maintained a relatively high efficiency of generating sales from its fixed assets during this period. However, it is worth noting that the data for December 2023 and 2024 are missing, which limits the ability to assess the trend in fixed asset turnover for those years.
In terms of total asset turnover, Match Group Inc experienced a decline from 0.78 in December 2020 to 0.59 in December 2021. This decrease indicates a decreased efficiency in generating sales from total assets during this period. However, the company managed to improve this ratio slightly to 0.76 in December 2022 and maintained it at 0.75 in December 2023 and 0.78 in December 2024.
Overall, the company's performance in utilizing its fixed assets to generate sales improved significantly, while the efficiency of generating sales from total assets fluctuated but stabilized over the analyzed period.