Envista Holdings Corp (NVST)

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
Inventory turnover 14.88 14.52 14.51 9.75 10.03 8.35 7.85 7.59 7.69 8.01 8.06 8.12 8.52 9.47 8.22 8.78 11.72 7.03
Receivables turnover 6.87 6.46 6.70 6.20 6.28 6.10 6.14 6.33 6.52 6.59 — — 7.68 — — — 6.11 —
Payables turnover 20.54 22.40 22.20 14.93 14.46 13.81 13.19 12.48 10.13 12.28 — — 12.10 — — — 10.77 —
Working capital turnover 2.74 2.72 2.55 2.59 2.66 2.85 7.54 9.61 13.65 23.99 19.47 3.93 4.06 5.06 18.40 84.17 — 3.08

The analysis of Envista Holdings Corp's activity ratios reveals the following trends:

1. Inventory Turnover:
The inventory turnover ratio of Envista Holdings Corp has fluctuated over the years. It experienced a gradual increase from September 2020 to December 2021, peaking at 14.88 in December 2024. This indicates that the company is managing its inventory efficiently, with a higher turnover rate implying effective inventory management.

2. Receivables Turnover:
The receivables turnover ratio shows how many times a company collects its accounts receivable during a period. Envista Holdings Corp had inconsistent data for receivables turnover, with values ranging from 6.11 to 6.87. The company appears to have a stable collection process, as it consistently turns over its receivables within a reasonable period.

3. Payables Turnover:
The payables turnover ratio reflects how quickly a company pays its suppliers. Envista Holdings Corp's payables turnover ratio has been increasing steadily, reaching 20.54 in December 2024. This indicates that the company is taking longer to pay its suppliers, which could imply improved cash flow management or negotiating better credit terms.

4. Working Capital Turnover:
The working capital turnover ratio measures how effectively a company utilizes its working capital to generate revenue. Envista Holdings Corp's working capital turnover ratio fluctuated significantly but generally decreased over time. A decreasing trend in this ratio may suggest that the company is becoming less efficient in utilizing its working capital to generate sales.

In conclusion, Envista Holdings Corp's activity ratios reflect varying degrees of efficiency in managing its inventory, receivables, payables, and working capital. These ratios provide insights into the company's operational performance and financial management practices over the analyzed period.

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
Days of inventory on hand (DOH) days 24.53 25.14 25.16 37.43 36.40 43.71 46.47 48.09 47.49 45.57 45.30 44.95 42.82 38.55 44.39 41.57 31.13 51.92
Days of sales outstanding (DSO) days 53.11 56.47 54.50 58.86 58.08 59.79 59.44 57.65 55.99 55.41 — — 47.50 — — — 59.70 —
Number of days of payables days 17.77 16.29 16.44 24.45 25.25 26.44 27.66 29.24 36.05 29.72 — — 30.16 — — — 33.89 —

Envista Holdings Corp's Days of Inventory on Hand (DOH) has been fluctuating over the past few years, ranging from a high of 51.92 days in September 2020 to a low of 24.53 days in December 2024. The company seems to have managed its inventory levels well, with a general trend of reducing the number of days inventory is held on hand.

In terms of Days of Sales Outstanding (DSO), there are missing data points for some periods, indicating that information may not have been reported or calculated. However, data available shows that DSO ranged from 47.50 days in December 2021 to 54.50 days in June 2024. The company appears to have maintained a steady DSO in recent periods.

With regards to the Number of Days of Payables, there are also missing data points for some periods. The number of days of payables ranged from 16.29 days in September 2024 to 36.05 days in December 2022. This suggests that the company takes an average of these days to pay its suppliers.

Overall, Envista Holdings Corp's activity ratios indicate effective management of inventory levels and efficient handling of accounts receivable and accounts payable. However, more consistent reporting and analysis of these ratios over time would provide greater insight into the company's operations and financial performance.

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
Fixed asset turnover 9.01 8.69 8.77 8.36 8.27 8.38 8.50 8.55 8.74 9.32 9.74 9.72 9.66 9.45 8.38 7.69 8.04 7.65
Total asset turnover 0.47 0.46 0.47 0.39 0.39 0.38 0.39 0.39 0.39 0.40 0.40 0.39 0.39 0.38 0.39 0.36 0.32 0.34

Based on the provided data for Envista Holdings Corp, the fixed asset turnover ratio, which measures how efficiently the company generates sales from its fixed assets, has shown a generally increasing trend over the years. The ratio has increased from 7.65 in September 2020 to 9.01 in December 2024, with minor fluctuations in between.

On the other hand, the total asset turnover ratio, indicating the company's ability to generate revenue from its total assets, has displayed a fluctuating pattern. It started at 0.34 in September 2020, decreased to 0.32 in December 2020, and then fluctuated between 0.36 to 0.47 until December 2024.

Overall, the increasing trend in the fixed asset turnover ratio suggests that Envista Holdings Corp is becoming more efficient in utilizing its fixed assets to generate sales. However, the fluctuating total asset turnover ratio may indicate varying levels of effectiveness in generating revenue from the company's total assets over the years.