National Presto Industries Inc (NPK)

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 1.44 1.62 1.68 1.79 1.75 1.41 1.74 1.85 2.03 1.91 1.99 1.99 1.98 1.93 1.84 1.80 1.84 1.70 2.09 2.42
Receivables turnover 6.77 221.73 150.74 — 4.39 — — — 6.39 — — — — — — — — — — —
Payables turnover 7.15 6.68 7.36 7.74 9.21 8.04 9.80 9.43 8.89 6.88 10.80 10.15 8.00 9.07 7.51 8.94 10.93 8.22 8.46 9.14
Working capital turnover 1.18 1.32 1.31 1.33 1.18 1.08 1.18 1.25 1.21 1.27 1.32 1.37 1.17 1.19 1.19 1.17 1.03 1.06 1.09 1.16

National Presto Industries Inc's activity ratios provide insights into the efficiency of the company's operations.

- Inventory turnover has been fluctuating over the periods, ranging from 1.41 to 2.42. A lower value indicates slower inventory turnover, which could signify excess inventory or potential inefficiencies in managing inventory levels.

- Receivables turnover saw significant variance, ranging from 4.39 to 221.73. A high receivables turnover suggests that the company efficiently collects payments from customers, while a low turnover may indicate issues with credit policies or collection procedures.

- Payables turnover has been relatively stable, with values between 6.68 and 10.93. A higher payables turnover ratio implies that the company is paying its suppliers more quickly, which could impact cash flow management and relationships with suppliers.

- Working capital turnover remained fairly consistent, ranging from 1.03 to 1.37. This ratio reflects how efficiently the company utilizes its working capital to generate sales revenue. A higher turnover ratio indicates that the company is efficient in using its working capital to support its operations.

Overall, continuous monitoring and analysis of these activity ratios can help assess the effectiveness of National Presto Industries Inc's management of its inventory, receivables, payables, and working capital.

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 254.16 225.25 216.66 203.61 208.37 258.99 209.28 197.63 180.21 191.06 183.36 183.39 184.73 189.52 198.73 202.50 198.30 214.31 174.44 150.93
Days of sales outstanding (DSO) days 53.91 1.65 2.42 — 83.13 — — — 57.15 — — — — — — — — — — —
Number of days of payables days 51.03 54.62 49.62 47.14 39.64 45.40 37.26 38.69 41.04 53.05 33.79 35.98 45.64 40.23 48.59 40.83 33.40 44.40 43.14 39.94

The days of inventory on hand (DOH) for National Presto Industries Inc have shown some fluctuation over the periods analyzed, ranging from 150.93 days to 258.99 days. A decreasing trend can be observed from the most recent period to the earlier periods, indicating an improvement in inventory management efficiency. However, the company still holds inventory for an extended period, which may tie up working capital.

In contrast, the days of sales outstanding (DSO) fluctuate significantly, with values ranging from as low as 1.65 days to as high as 83.13 days. This inconsistency may indicate challenges in collecting receivables efficiently, which could impact the company's cash flow and liquidity.

The number of days of payables has also varied, with a range of 33.40 days to 54.62 days. A lower number of days of payables suggest a quicker payment cycle with suppliers, potentially straining the company's cash flow, while a higher number may indicate a more favorable position in terms of managing payables.

Overall, National Presto Industries Inc should focus on optimizing its inventory levels, improving receivables collection processes, and carefully managing the payment cycles to enhance operational efficiency and maintain healthy liquidity levels.

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 8.69 8.78 8.45 8.33 7.70 8.52 9.12 9.26 9.69 9.63 9.76 9.80 9.50 9.31 8.89 8.40 8.28 7.53 7.48 7.62
Total asset turnover 0.77 0.86 0.85 0.86 0.78 0.76 0.83 0.86 0.85 0.85 0.91 0.93 0.81 0.83 0.80 0.81 0.75 0.74 0.79 0.82

The fixed asset turnover ratio for National Presto Industries Inc has been relatively stable over the past few years, ranging between 7.48 and 9.80. This indicates that the company generates sales efficiently relative to its investment in fixed assets.

On the other hand, the total asset turnover ratio has shown more variability, fluctuating between 0.74 and 0.93. A higher total asset turnover ratio typically signifies that the company is generating more sales relative to its total assets.

Overall, while the fixed asset turnover indicates the efficiency of sales generated from fixed assets, the total asset turnover reflects the efficiency of sales generated from all assets. National Presto Industries Inc's ratios suggest that the company has been managing its assets efficiently in terms of generating sales.