Newell Brands Inc (NWL)

Short-term

Turnover ratios

Based on the provided data for Newell Brands Inc, let's analyze the activity ratios:

1. Inventory Turnover:
- The inventory turnover ratio measures how efficiently a company is managing its inventory. From March 31, 2020, to December 31, 2024, Newell Brands Inc experienced fluctuations in its inventory turnover ratio, ranging from 2.74 to 3.85. The trend shows some variability with a general stabilization over time.

2. Receivables Turnover:
- The receivables turnover ratio indicates how effectively a company is collecting its receivables. Unfortunately, the data for Newell Brands Inc is not provided for this ratio, indicating a lack of visibility into the company's accounts receivable turnover performance over the specified periods.

3. Payables Turnover:
- Similar to receivables turnover, payables turnover data is not available in the provided dataset, preventing an assessment of how efficiently Newell Brands Inc is managing its payables.

4. Working Capital Turnover:
- The working capital turnover ratio measures how effectively a company is using its working capital to generate revenue. From March 31, 2020, to December 31, 2024, Newell Brands Inc displayed significant variations in its working capital turnover ratio, ranging from 5.84 to 82.79. The data shows fluctuations, with some extreme values that may warrant further investigation.

In conclusion, the analysis of Newell Brands Inc's activity ratios points towards mixed performance in managing its inventory and working capital. However, limited data availability for receivables and payables turnovers hinders a comprehensive assessment of the company's overall efficiency in managing its operating activities.

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Average number of days

Newell Brands Inc's Days of Inventory on Hand (DOH) ratio has shown fluctuations over the periods provided. The DOH increased from 102.56 days as of March 31, 2020, to a peak of 133.17 days as of September 30, 2022, before decreasing to 101.87 days by December 31, 2024. This indicates that the company held inventory for an average of around 102 to 133 days during this period, with some periods of inventory buildup and reduction.

The Days of Sales Outstanding (DSO) and Number of Days of Payables ratios were not available for analysis. This lack of data makes it difficult to assess the efficiency of Newell Brands Inc's accounts receivable collection and accounts payable management.

In summary, Newell Brands Inc's activity ratios, specifically the Days of Inventory on Hand, have shown variability, suggesting fluctuations in inventory management efficiency over the data periods provided. However, without information on DSO and payables, a comprehensive analysis of the company's overall working capital management and operational efficiency is limited.

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Long-term

The Fixed Asset Turnover ratio for Newell Brands Inc fluctuated over the period analyzed, showing a general decreasing trend from March 2020 to June 2022, before experiencing a sharp decline in the subsequent periods. This ratio measures the company's efficiency in generating sales from its investments in fixed assets such as property, plant, and equipment. The company achieved its highest Fixed Asset Turnover of 9.34 in March 2022, indicating that it generated $9.34 in sales for every dollar invested in fixed assets at that time.

On the other hand, the Total Asset Turnover ratio, which evaluates how efficiently the company uses all its assets to generate revenue, exhibited a varied pattern over the same timeline. The ratio increased from March 2020 to December 2021, implying an improvement in the company's ability to generate sales relative to its total assets. It reached its peak of 0.75 in December 2021.

Both ratios provide insights into Newell Brands Inc's asset utilization and efficiency in generating sales relative to its investment in assets. Further analysis and comparison with industry benchmarks would be necessary to fully assess the company's performance in this aspect.