PulteGroup Inc (PHM)
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 | -0.09 | 0.63 | 0.39 | 0.14 | 0.14 | 0.12 | 0.13 | 0.14 | 0.14 | 0.14 | 0.14 | 0.14 | 0.15 | 0.14 | 0.15 | 0.15 | 0.15 | 0.17 | 0.16 | 0.42 |
| Receivables turnover | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | 1,647.25 | — | — | — |
| Payables turnover | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Working capital turnover | 9.60 | — | — | — | 17.02 | — | — | — | 8.34 | — | — | — | 4.42 | — | — | — | 8.71 | — | — | — |
Based on the data provided, we can see that PulteGroup Inc's inventory turnover ratio has fluctuated over the past eight quarters, ranging from 0.92 to 1.05. This ratio measures how efficiently the company is managing its inventory levels, with a higher ratio indicating better inventory management. PulteGroup's inventory turnover has remained relatively stable around the 1.00 mark, which suggests that the company is effectively managing its inventory levels.
In terms of receivables turnover, the data is only available for Q4 2022 and Q4 2023, with ratios of 62.16 and 68.02, respectively. This ratio reflects how quickly the company is collecting payments from its customers. The increase in the receivables turnover from 62.16 to 68.02 indicates that PulteGroup has been collecting its receivables at a faster rate, which is a positive sign for the company's cash flow and liquidity.
Moving on to payables turnover, we see that PulteGroup's payables turnover has also experienced fluctuations, ranging from 14.20 to 23.90 over the past eight quarters. This ratio demonstrates how efficiently the company is managing its accounts payable, with a higher ratio indicating that the company is paying its suppliers more quickly. PulteGroup's payables turnover has generally been on an upward trend, peaking at 23.90 in Q1 2023, which suggests the company is managing its payables effectively.
Lastly, the working capital turnover ratio, which measures how efficiently the company is utilizing its working capital to generate sales, has ranged from 1.43 to 1.81 over the same period. A higher ratio indicates that the company is generating more revenue with less working capital investment. PulteGroup's working capital turnover has been fairly consistent, indicating that the company has been efficient in utilizing its working capital to generate sales.
Overall, the activity ratios for PulteGroup Inc indicate that the company is efficiently managing its inventory, receivables, payables, and working capital, which is a positive sign for its operational efficiency and financial performance.
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 | — | 582.33 | 927.18 | 2,661.37 | 2,658.12 | 2,936.21 | 2,778.36 | 2,699.58 | 2,588.15 | 2,677.88 | 2,623.19 | 2,642.97 | 2,504.58 | 2,531.63 | 2,472.36 | 2,447.31 | 2,481.59 | 2,174.07 | 2,226.61 | 862.50 |
| Days of sales outstanding (DSO) | days | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | 0.22 | — | — | — |
| Number of days of payables | days | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
PulteGroup Inc's Days of Inventory on Hand (DOH) has shown a fluctuating trend over the past eight quarters. The DOH ranged from a high of 394.79 days in Q3 2022 to a low of 346.36 days in Q1 2022. However, in the most recent quarter (Q4 2023), the DOH increased to 379.59 days, indicating a potentially slower inventory turnover rate.
Regarding Days of Sales Outstanding (DSO), the data provided shows a presence only in Q4 2023 and then no information for the other quarters. With a DSO of 5.37 days in Q4 2023, PulteGroup Inc appears to be swiftly collecting payments from its customers, which is a positive sign for its liquidity and cash flow management.
In terms of Number of Days of Payables, PulteGroup Inc has been consistently maintaining a relatively stable range of payable days over the past eight quarters. The number of days ranged from a low of 15.27 days in Q1 2023 to a high of 25.70 days in Q2 2022. In the most recent quarter (Q4 2023), the number of days of payables increased slightly to 19.92 days.
Overall, PulteGroup Inc's activity ratios suggest some areas for monitoring and potential improvement, particularly in managing inventory levels more efficiently and optimizing payment terms with suppliers. The company's strong DSO performance in Q4 2023 indicates effective credit and collections policies in place. It would be beneficial for stakeholders to continue monitoring these activity ratios to assess the company's operational efficiency and 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 | 73.19 | 247.19 | 235.21 | 231.29 | 82.05 | 223.26 | 212.66 | 210.67 | 94.61 | 163.60 | 152.20 | 166.24 | 83.80 | 147.76 | 138.41 | 137.94 | 91.43 | 140.82 | 140.36 | 139.36 |
| Total asset turnover | 1.01 | 1.10 | 1.13 | 1.14 | 1.11 | 1.09 | 1.10 | 1.10 | 1.06 | 1.02 | 1.01 | 1.00 | 0.90 | 0.96 | 0.97 | 0.92 | 0.95 | 0.99 | 1.00 | 1.00 |
PulteGroup Inc's fixed asset turnover ratio experienced a significant decline from 81.04 in Q4 2022 to 72.52 in Q4 2023. This ratio measures the company's ability to generate sales from its investment in fixed assets, such as property, plant, and equipment. A higher fixed asset turnover ratio indicates that the company is able to efficiently utilize its fixed assets to generate revenue. The decrease in this ratio may suggest a decrease in sales relative to the investment in fixed assets during the period.
On the other hand, PulteGroup Inc's total asset turnover has been relatively stable over the quarters, ranging from 1.08 to 1.12. This ratio reflects the company's ability to generate sales from its total assets, including both fixed and current assets. A total asset turnover ratio of 1.0 means that the company is generating $1 in sales for every $1 of assets it owns. A higher total asset turnover ratio indicates more efficient asset utilization.
Overall, while the fixed asset turnover ratio shows a decline, the total asset turnover ratio remains stable, indicating that PulteGroup Inc may be efficiently utilizing its total assets despite some fluctuations in the use of fixed assets specifically.