O-I Glass Inc (OI)

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	5.74	5.62	6.00	6.06	7.29	7.73	7.82	7.14	7.14	7.12	7.25	6.91	6.85	7.48	5.91	5.82	5.88	6.52	6.40	6.10
Receivables turnover	10.07	8.84	6.85	6.72	8.70	7.36	6.78	7.08	8.87	7.63	7.40	8.46	9.79	8.56	8.54	8.23	10.27	6.63	5.15	7.08
Payables turnover	4.28	4.94	4.72	4.73	4.57	5.23	5.09	5.11	4.82	5.42	5.56	5.72	5.12	6.43	6.48	5.95	4.81	6.22	6.05	5.95
Working capital turnover	12.56	8.17	7.45	13.47	26.89	19.65	7.80	8.61	9.12	8.59	8.88	7.70	15.28	9.02	5.28	5.55	12.93	18.92	6.47	9.25

O-I Glass Inc's inventory turnover ratio has been fluctuating over the past five quarters, with a general decreasing trend from 7.29 in December 2022 to 5.74 in December 2023. This indicates that the company is taking longer to sell its inventory, which may lead to excess inventory levels or slower sales.

The receivables turnover ratio also shows variability, with a peak of 10.27 in March 2019 and a low of 5.15 in September 2019. The ratio improved in the latest quarter, reaching 10.07 in December 2023. This suggests that the company is collecting its receivables more efficiently compared to previous quarters.

In terms of payables turnover, the ratio has been relatively stable, ranging from 4.57 to 6.43 over the past few years. A decreasing trend in payables turnover could indicate that the company is taking longer to pay its trade suppliers, which may impact supplier relationships.

The working capital turnover ratio has shown significant volatility, with a substantial increase in December 2022 to 26.89 compared to 5.55 in March 2020. The high turnover ratio in working capital implies that the company is efficiently managing its working capital to generate sales.

Overall, O-I Glass Inc's activity ratios reflect various dynamics in its inventory, receivables, payables, and working capital management. Monitoring these ratios over time can provide insights into the company's operational efficiency and potential areas for improvement.

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	63.58	64.93	60.79	60.25	50.04	47.24	46.66	51.10	51.09	51.24	50.34	52.86	53.26	48.78	61.75	62.68	62.09	55.95	57.02	59.82
Days of sales outstanding (DSO)	days	36.24	41.27	53.31	54.34	41.94	49.62	53.80	51.56	41.16	47.84	49.33	43.17	37.29	42.66	42.74	44.35	35.56	55.08	70.89	51.55
Number of days of payables	days	85.31	73.92	77.39	77.10	79.95	69.84	71.65	71.38	75.75	67.34	65.65	63.78	71.32	56.77	56.33	61.36	75.82	58.65	60.34	61.38

O-I Glass Inc's activity ratios provide insights into the efficiency of the company's operations.

1. Days of inventory on hand (DOH):
- The trend in DOH indicates the number of days it takes for O-I Glass Inc to sell its inventory.
- Over the past few quarters, the DOH has been increasing, suggesting that inventory turnover has been slowing down.
- This could signify potential issues such as overstocking or difficulties in selling products efficiently.

2. Days of sales outstanding (DSO):
- DSO reflects the average number of days it takes for O-I Glass Inc to collect its accounts receivable.
- The trend in DSO shows a fluctuating pattern, with some quarters showing longer collection periods compared to others.
- A higher DSO could indicate potential liquidity challenges if extended credit terms are offered to customers.

3. Number of days of payables:
- This ratio represents the average number of days O-I Glass Inc takes to pay its trade payables.
- The trend in the number of days of payables shows variations, but generally has remained within a certain range over the periods analyzed.
- A higher number of days of payables might indicate that the company is effectively managing its cash flow by leveraging trade credit terms.

Overall, O-I Glass Inc's activity ratios reveal the company's effectiveness in managing its inventory, accounts receivable, and trade payables. Analyzing these ratios over time can help assess operational efficiency and identify areas for improvement in working capital management.

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	1.90	2.08	2.08	2.19	2.23	2.43	2.35	2.25	2.18	2.17	2.23	2.16	2.10	2.32	2.00	2.11	1.95	2.07	2.04	2.16
Total asset turnover	0.70	0.70	0.68	0.71	0.73	0.76	0.73	0.72	0.69	0.69	0.71	0.68	0.69	0.72	0.62	0.66	0.66	0.67	0.61	0.65

O-I Glass Inc's fixed asset turnover ratio has been relatively stable over the past few quarters, ranging between 1.90 and 2.43. This indicates that the company is generating between $1.90 to $2.43 in sales for every dollar invested in fixed assets. The consistency in this ratio suggests that O-I Glass is effectively utilizing its fixed assets to generate revenue.

On the other hand, the total asset turnover ratio has also remained consistent, but at a lower level compared to the fixed asset turnover. The total asset turnover ratio has ranged from 0.62 to 0.76, reflecting the company's ability to generate sales in relation to its total assets. The lower total asset turnover ratio compared to the fixed asset turnover ratio indicates that O-I Glass may have significant investments in assets other than fixed assets, such as current assets or intangible assets.

Overall, the steady performance of both fixed asset turnover and total asset turnover ratios suggests that O-I Glass is efficiently managing its assets to generate revenue. It is important for the company to continue monitoring these ratios to ensure optimal asset utilization and overall operational efficiency.