Omnicell Inc (OMCL)
Activity ratios
Short-term
Turnover ratios
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Inventory turnover | 7.23 | 5.91 | 4.79 | 4.81 | 4.97 |
| Receivables turnover | — | — | — | — | — |
| Payables turnover | — | — | — | — | — |
| Working capital turnover | 5.06 | 2.05 | 2.86 | — | 1.61 |
Omnicell Inc's activity ratios provide insights into its operational efficiency.
1. Inventory Turnover:
- The inventory turnover ratio shows how many times the company's inventory is sold and replaced over a specific period.
- From 2020 to 2024, Omnicell Inc's inventory turnover has fluctuated but generally increased, indicating that the company is managing its inventory more effectively.
- In 2024, the inventory turnover ratio reached its peak at 7.23, suggesting that Omnicell Inc is selling its inventory at a faster rate.
2. Receivables Turnover:
- The absence of data for receivables turnover indicates that the company's efficiency in collecting receivables was not provided or the company might have a different method of managing its receivables.
3. Payables Turnover:
- Similarly, the lack of data for payables turnover indicates that information on how quickly the company pays its suppliers was not available or not reported.
4. Working Capital Turnover:
- This ratio shows how efficiently the company is using its working capital to generate sales.
- In 2020 and 2022, Omnicell Inc's working capital turnover ratios were 1.61 and 2.86 respectively, indicating a moderate efficiency in utilizing its working capital.
- The significant increase in the working capital turnover ratio to 5.06 in 2024 suggests a substantial improvement in operational efficiency and indicates that Omnicell Inc is generating more revenue per unit of its working capital.
Overall, the trend in the activity ratios demonstrates Omnicell Inc's efforts to improve efficiency in managing its inventory and working capital, which is essential for sustaining growth and profitability in the long term.
Average number of days
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Days of inventory on hand (DOH) | days | 50.47 | 61.80 | 76.18 | 75.81 | 73.39 |
| Days of sales outstanding (DSO) | days | — | — | — | — | — |
| Number of days of payables | days | — | — | — | — | — |
Omnicell Inc's Days of Inventory on Hand (DOH) has shown a fluctuating trend over the years, starting at 73.39 days as of December 31, 2020, reaching its peak at 76.18 days as of December 31, 2022, and then declining to 50.47 days by December 31, 2024. This indicates that the company managed its inventory more efficiently by reducing the number of days inventory is held on hand.
In contrast, the Days of Sales Outstanding (DSO) and Number of Days of Payables data are not available for analysis, likely due to the data not being captured or reported in the provided information. Therefore, it is challenging to assess the company's efficiency in collecting receivables and managing payables based on this information alone.
Overall, the decreasing trend in the Days of Inventory on Hand suggests that Omnicell Inc has been improving its inventory management efficiency, which can positively impact its working capital management and overall financial performance. Nonetheless, a more comprehensive analysis of all activity ratios would provide a clearer picture of the company's operational efficiency.
Long-term
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Fixed asset turnover | — | — | 13.79 | 9.46 | 15.10 |
| Total asset turnover | 0.52 | 0.52 | 0.59 | 0.53 | 0.49 |
Omnicell Inc's fixed asset turnover ratio has shown variability over the years. In 2020, the company had a high fixed asset turnover ratio of 15.10, indicating that it generated $15.10 in sales for every dollar invested in fixed assets. However, this ratio decreased to 9.46 in 2021, implying a less efficient utilization of fixed assets. The ratio improved in 2022 to 13.79, showing better efficiency in generating sales from fixed assets. Unfortunately, data for 2023 and 2024 is unavailable.
Total asset turnover for Omnicell Inc has been relatively stable over the years. In 2020, the company had a total asset turnover of 0.49, meaning it generated $0.49 in sales for every dollar invested in total assets. This ratio increased to 0.53 in 2021 and further to 0.59 in 2022, indicating a positive trend in utilizing its total assets to generate revenue. However, in 2023 and 2024, the total asset turnover ratio remained constant at 0.52, suggesting consistent efficiency in utilizing total assets to generate sales.