Neurocrine Biosciences Inc (NBIX)
Activity ratios
Short-term
Turnover ratios
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Inventory turnover | 18.17 | 21.55 | 22.60 | 24.96 | 24.26 | 30.97 | 27.41 | 24.65 | 22.12 | 19.77 | 23.82 | 22.64 | 19.12 | 21.03 | 17.41 | 14.79 | 15.40 | 20.76 | 18.05 | 17.95 |
| Receivables turnover | 4.77 | 4.66 | 4.52 | 4.27 | 4.29 | 4.18 | 4.24 | 3.85 | 4.03 | 4.28 | 4.29 | 4.45 | 5.90 | 6.30 | 6.27 | 6.77 | 6.35 | 6.34 | 6.45 | 5.63 |
| Payables turnover | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Working capital turnover | 1.94 | 1.55 | 1.67 | 1.82 | 1.98 | 1.86 | 1.83 | 1.44 | 1.54 | 1.81 | 1.65 | 1.55 | 1.52 | 1.35 | 1.13 | 1.14 | 1.23 | 1.86 | 1.71 | 1.04 |
Neurocrine Biosciences Inc's activity ratios show interesting trends over the periods analyzed.
The Inventory Turnover ratio indicates the number of times inventory is sold and replaced during a specific period. Neurocrine Biosciences' Inventory Turnover has been generally stable, with a peak at 30.97 times by September 30, 2023, before slightly dropping to 18.17 by December 31, 2024.
The Receivables Turnover ratio reflects how efficiently the company is collecting payments from customers. Neurocrine Biosciences' Receivables Turnover fluctuated, with a noticeable decline from 6.77 on March 31, 2021, to 3.85 by March 31, 2023, before rising again to 4.77 by December 31, 2024.
The Payables Turnover ratio was not provided in the data, indicating a lack of visibility into the company's ability to pay its suppliers relative to its purchase activity.
The Working Capital Turnover ratio assesses how effectively working capital is being utilized to generate revenue. Neurocrine Biosciences' Working Capital Turnover has shown some variability, with a peak of 1.98 on December 31, 2023, and fluctuations between 1.13 to 1.86 in the periods leading up to that date.
Overall, Neurocrine Biosciences Inc's activity ratios demonstrate fluctuations and trends that suggest varying levels of efficiency in managing inventory, receivables, and working capital during the periods analyzed.
Average number of days
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Days of inventory on hand (DOH) | days | 20.09 | 16.93 | 16.15 | 14.63 | 15.05 | 11.79 | 13.32 | 14.81 | 16.50 | 18.46 | 15.32 | 16.12 | 19.09 | 17.36 | 20.97 | 24.67 | 23.70 | 17.58 | 20.22 | 20.33 |
| Days of sales outstanding (DSO) | days | 76.48 | 78.34 | 80.72 | 85.48 | 85.16 | 87.37 | 86.03 | 94.91 | 90.50 | 85.26 | 85.06 | 82.05 | 61.85 | 57.90 | 58.21 | 53.92 | 57.49 | 57.57 | 56.59 | 64.87 |
| Number of days of payables | days | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
Neurocrine Biosciences Inc's activity ratios indicate the efficiency of the company's accounts receivable and inventory management.
1. Days of Inventory on Hand (DOH): The trend in DOH shows the number of days it takes for Neurocrine to sell its inventory. A decreasing trend in DOH over time, as observed from March 31, 2020 (20.33 days) to December 31, 2024 (20.09 days), suggests better inventory management efficiency. However, there was a slight increase in DOH from March 31, 2024 (14.63 days) to December 31, 2024 (20.09 days), which could signal potential issues in managing inventory levels.
2. Days of Sales Outstanding (DSO): DSO measures how long it takes for Neurocrine to collect its accounts receivable. The trend in DSO from March 31, 2020 (64.87 days) to December 31, 2024 (76.48 days) shows some fluctuation, indicating variability in the collection of receivables. The increase in DSO from March 31, 2020, to December 31, 2024, suggests that the company may be taking longer to collect payments from customers, which could impact cash flow.
3. Number of Days of Payables: The data does not provide information on the number of days of payables for Neurocrine Biosciences Inc, which is a key component of the cash conversion cycle. This missing data limits our ability to assess the company's efficiency in managing its payment obligations to suppliers.
In conclusion, while Neurocrine Biosciences Inc shows improvements in inventory management efficiency based on DOH trends, the fluctuation in DSO indicates potential challenges in collecting receivables promptly. However, the lack of information on payables hinders a comprehensive analysis of the company's overall cash conversion cycle efficiency.
Long-term
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Fixed asset turnover | 28.51 | 28.02 | 26.43 | 26.27 | 26.59 | 25.86 | 25.43 | 24.25 | 24.09 | 21.45 | 18.10 | 18.55 | 18.90 | 20.55 | 20.22 | 22.57 | 22.89 | 23.65 | 22.00 | 20.59 |
| Total asset turnover | 0.63 | 0.63 | 0.64 | 0.57 | 0.58 | 0.62 | 0.64 | 0.65 | 0.60 | 0.61 | 0.60 | 0.55 | 0.53 | 0.52 | 0.52 | 0.55 | 0.59 | 0.68 | 0.65 | 0.63 |
Neurocrine Biosciences Inc's Fixed asset turnover has shown a generally increasing trend over the period from March 31, 2020, to December 31, 2024, with values ranging from 18.10 to 28.51. This indicates that the company is generating more revenue relative to its investment in fixed assets, which is a positive sign of efficiency in utilizing these assets to generate sales.
In contrast, Neurocrine Biosciences Inc's Total asset turnover has been more variable, fluctuating between 0.52 and 0.68 during the same period. The ratio indicates how efficiently the company is using its total assets to generate revenue. The trend in this ratio suggests some inconsistency in the company's ability to generate sales relative to its total asset base.
Overall, the increasing trend in Fixed asset turnover reflects efficiency improvements in utilizing fixed assets to generate revenue for Neurocrine Biosciences Inc. However, the varying values of Total asset turnover point to potential challenges in effectively leveraging the company's total asset base to generate sales consistently.