Omnicom Group Inc (OMC)

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 8.30 6.98 7.21 7.43 9.59 7.85 7.67 8.26 9.73 8.96 9.88 9.26 10.07 9.61 10.57 10.39 10.77 10.39 10.92 9.73
Receivables turnover 1.70 1.80 1.79 1.88 1.70 1.99 1.93 2.03 1.76 2.19 2.03 2.02 1.69 1.97 1.93 1.99 1.69 2.15 2.64 2.23
Payables turnover 1.08 1.21 1.22 1.23 1.11 1.32 1.26 1.30 1.11 1.35 1.28 1.23 1.02 1.21 1.18 1.25 1.03 1.42 1.60 1.36
Working capital turnover — — — — — — — — — — — — — — — 50.70 202.63 — — —

Omnicom Group Inc's Inventory Turnover has fluctuated over the years, ranging from a high of 10.92 in June 2020 to a low of 6.98 in September 2024. The company's ability to manage its inventory efficiently seems to have declined towards the end of the period.

In terms of Receivables Turnover, Omnicom's performance has been somewhat inconsistent, with turnover ratios varying between 1.69 and 2.64. A lower turnover ratio could indicate potential issues with collecting receivables promptly.

The Payables Turnover ratio for Omnicom has shown some stability, with ratios hovering around 1.00 to 1.35. This indicates that the company has been able to manage its payables effectively, maintaining a balance between payment periods and cash flow.

Regarding Working Capital Turnover, the data shows that there is missing information for most periods, and only one data point of 202.63 in December 2020. This suggests that Omnicom may not heavily rely on working capital for generating sales.

In conclusion, while Omnicom has demonstrated some efficiency in managing its payables, there are notable fluctuations in its inventory and receivables turnover ratios. Monitoring and potentially improving these ratios could lead to better working capital management and overall operational efficiency for the company.

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 43.95 52.30 50.60 49.14 38.05 46.52 47.56 44.18 37.52 40.72 36.95 39.44 36.25 38.00 34.52 35.14 33.90 35.12 33.42 37.50
Days of sales outstanding (DSO) days 215.01 202.75 203.52 193.93 215.14 183.41 189.56 179.98 206.83 167.01 180.19 180.84 216.42 184.84 189.44 183.54 216.53 169.59 138.21 163.99
Number of days of payables days 338.24 301.31 299.32 296.77 329.71 276.14 288.87 280.68 328.95 269.79 285.59 296.49 359.14 302.65 308.55 292.08 354.38 256.34 228.47 268.06

Omnicom Group Inc's Days of Inventory on Hand (DOH) has shown fluctuations over the years, ranging from a low of 33.42 days in June 2020 to a high of 52.30 days in September 2024. The average DOH over the period indicates that the company holds inventory for approximately 40 days before turning it into sales.

In terms of Days of Sales Outstanding (DSO), Omnicom Group Inc's performance has varied with a low of 138.21 days in June 2020 and a high of 215.01 days in December 2024. The average DSO shows that the company takes around 190 days to collect its accounts receivable.

Looking at the Number of Days of Payables, the company has seen fluctuations ranging from 228.47 days in June 2020 to 338.24 days in December 2024. On average, Omnicom Group Inc takes approximately 300 days to pay its suppliers.

Analyzing these activity ratios collectively provides insights into Omnicom Group Inc's management of inventory, receivables, and payables, which are crucial for assessing the efficiency of the company's working capital management.

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 19.02 17.77 17.59 17.30 16.79 16.82 16.26 16.20 15.88 16.54 15.69 14.71 14.40 26.14 25.40 23.38 22.51 23.05 23.32 23.54
Total asset turnover 0.53 0.54 0.55 0.55 0.52 0.58 0.57 0.57 0.53 0.59 0.57 0.55 0.50 0.55 0.54 0.51 0.48 0.57 0.62 0.63

Omnicom Group Inc's fixed asset turnover ratio has been relatively stable over the past few years, ranging from a high of 26.14 in September 2021 to a low of 14.40 in December 2021. The company's fixed asset turnover indicates that it generates $16.79 to $26.14 in revenue for every dollar invested in fixed assets during this period.

In contrast, the total asset turnover ratio has shown more variability, with fluctuations between 0.48 in December 2020 and 0.59 in September 2022. This metric reveals that Omnicom Group Inc generates revenue ranging from $0.48 to $0.59 for every dollar of total assets it owns during the given period.

Overall, the fixed asset turnover ratio suggests efficiency in the company's utilization of fixed assets to generate revenue, while the total asset turnover ratio demonstrates variability in how effectively the company generates revenue relative to its total asset base.