Pacira BioSciences, Inc. (PCRX)

Short-term

Turnover ratios

The activity ratios for Pacira BioSciences, Inc. provide insights into the efficiency of the company's operations.

1. Inventory Turnover:
- The inventory turnover ratio shows how many times a company's inventory is sold and replaced over a specific period.
- Pacira BioSciences' inventory turnover has been relatively stable, ranging from 1.40 to 2.28.
- A higher inventory turnover indicates that the company is efficiently managing its inventory levels.

2. Receivables Turnover:
- The receivables turnover ratio measures how effectively a company is collecting its receivables from customers.
- As the data shows, there is no information available for Pacira BioSciences' receivables turnover ratio. This might indicate that the company does not provide credit sales to a significant extent.

3. Payables Turnover:
- The payables turnover ratio indicates how effectively a company is managing its payable obligations.
- Similar to receivables turnover, there is no data provided for Pacira BioSciences' payables turnover. This lack of information makes it challenging to assess the company's efficiency in paying its suppliers.

4. Working Capital Turnover:
- The working capital turnover ratio measures how efficiently a company is using its working capital to generate sales.
- Pacira BioSciences' working capital turnover has been fluctuating, ranging from 0.74 to 2.41.
- A higher working capital turnover ratio suggests that the company is effectively utilizing its working capital to support its business operations and generate revenue.

Overall, while the inventory turnover and working capital turnover ratios provide some insight into Pacira BioSciences' operational efficiency, the lack of data for receivables and payables turnover ratios limits a comprehensive assessment of the company's overall activity performance.

---

Average number of days

The days of inventory on hand (DOH) for Pacira BioSciences, Inc. have shown some fluctuations over the years. The company's inventory turnover has ranged from a low of 159.90 days as of March 31, 2023, to a high of 260.98 days as of March 31, 2022.

A decrease in the DOH ratio indicates a more efficient management of inventory, as the company is selling its products faster or holding less inventory. Conversely, an increase in the DOH ratio suggests inefficiency in managing inventory or slower sales.

Pacira BioSciences, Inc. has seen some improvements in its inventory management as the DOH ratio decreased from 260.98 days as of March 31, 2022, to 170.00 days as of June 30, 2024. This reduction indicates that the company may have streamlined its operations, leading to a quicker turnover of inventory.

Overall, monitoring the DOH ratio helps assess the efficiency of Pacira BioSciences, Inc. in managing its inventory levels and production processes.

---

Long-term

The fixed asset turnover ratio measures how efficiently a company generates sales from its fixed assets. Pacira BioSciences, Inc. has shown fluctuations in its fixed asset turnover ratio over the years, ranging from a high of 4.03 in March 2020 to a low of 2.04 in December 2021. The ratio improved to 3.71 in June 2023 before stabilizing around 3.38 in September 2022 and 3.06 in March 2023, indicating the company's ability to generate $3.06 in sales for every $1 invested in fixed assets.

Total asset turnover ratio indicates the company's efficiency in using all its assets to generate sales. Pacira BioSciences, Inc.'s total asset turnover ratio has fluctuated as well, starting from 0.53 in March 2020 and dropping to 0.26 in December 2021. The ratio then gradually increased to 0.43 in March 2023 and remained relatively stable around that level in the subsequent periods, indicating that the company is generating $0.43 in sales for every $1 of total assets.

Overall, the trend in both fixed asset turnover and total asset turnover ratios for Pacira BioSciences, Inc. indicates variations in asset utilization efficiency over time. Further analysis and comparison with industry benchmarks would provide a deeper insight into the company's performance in utilizing its assets to drive revenue growth.