Pentair PLC (PNR)
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 | 4.37 | 4.18 | 4.22 | 4.08 | 4.10 | 4.10 | 3.97 | 3.85 | 3.84 | 3.71 | 4.06 | 4.14 | 4.62 | 4.85 | 5.04 | 5.13 | 5.03 | 4.80 | 4.71 | 4.87 |
| Receivables turnover | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Payables turnover | 9.79 | 9.42 | 9.27 | 8.93 | 9.95 | 10.22 | 9.08 | 9.10 | 8.55 | 7.77 | 7.57 | 6.84 | 6.74 | 7.15 | 7.41 | 7.41 | 8.61 | 6.97 | 7.29 | 7.12 |
| Working capital turnover | 7.38 | 7.10 | 6.51 | 4.79 | 6.44 | 8.17 | 8.07 | 5.35 | 8.20 | 8.87 | 9.87 | 7.37 | 14.88 | 15.30 | 19.30 | 8.25 | 14.90 | 20.59 | 11.52 | 4.53 |
Pentair PLC's inventory turnover ratio has been fluctuating over the years. It decreased from 4.87 in March 2020 to 3.71 in September 2022, and then slightly increased to 4.37 by December 2024. This indicates that the company is selling its inventory at a slower rate in recent years.
The receivables turnover ratio for Pentair PLC is not available in the provided data, which may suggest that the company does not report receivables turnover or that receivables turnover is not applicable or significant enough to be reported.
In terms of payables turnover, Pentair PLC has experienced fluctuations in the ratio, ranging from 6.74 in December 2021 to 10.22 in September 2023. The higher payables turnover ratios indicate that the company is taking longer to pay its suppliers. However, the ratio decreased to 9.79 by December 2024, possibly indicating a more prompt payment to suppliers.
The working capital turnover ratio for Pentair PLC also varies, with a peak of 20.59 in September 2020 and a low of 4.79 in March 2024. This ratio measures the efficiency of utilizing working capital to generate sales. The declining trend in this ratio over the years may imply that the company is becoming less efficient in utilizing its working capital to generate sales.
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 | 83.46 | 87.39 | 86.43 | 89.41 | 89.11 | 88.95 | 91.90 | 94.74 | 94.96 | 98.29 | 89.98 | 88.23 | 79.09 | 75.23 | 72.44 | 71.10 | 72.63 | 76.02 | 77.55 | 74.96 |
| Days of sales outstanding (DSO) | days | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Number of days of payables | days | 37.27 | 38.75 | 39.38 | 40.90 | 36.67 | 35.71 | 40.19 | 40.10 | 42.67 | 46.96 | 48.23 | 53.35 | 54.19 | 51.07 | 49.29 | 49.23 | 42.39 | 52.35 | 50.07 | 51.23 |
The activity ratios of Pentair PLC provide insights into the efficiency of the company's operations.
1. Days of Inventory on Hand (DOH): Pentair PLC's average days of inventory on hand have shown a slight increasing trend over the past few years, indicating that the company is holding onto its inventory for a longer period. The increase in DOH could point to potential issues such as overstocking or slower inventory turnover.
2. Days of Sales Outstanding (DSO): Unfortunately, there is no available data for Pentair PLC's Days of Sales Outstanding (DSO) for the periods analyzed. DSO is a key metric that reflects how long it takes for the company to collect payments from its customers. Without this data, it is challenging to assess the efficiency of Pentair's accounts receivable management.
3. Number of Days of Payables: Pentair PLC's number of days of payables has displayed fluctuations over the years, with some periods showing longer payment terms while others appear to have shorter payment cycles. The decrease in days of payables could suggest a more aggressive approach to managing trade credit with suppliers. Conversely, an increase in days of payables might indicate financial stress or a shift in the company's working capital management strategy.
Overall, monitoring these activity ratios is crucial for understanding how effectively Pentair PLC manages its inventory, accounts receivable, and accounts payable, which are key components of its 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 | 11.13 | 11.09 | 11.05 | 10.95 | 11.01 | 11.59 | 11.74 | 11.73 | 11.79 | 12.08 | 12.60 | 12.34 | 12.11 | 12.04 | 11.45 | 10.82 | 10.02 | 10.23 | 10.16 | 10.61 |
| Total asset turnover | 0.62 | 0.61 | 0.61 | 0.59 | 0.61 | 0.63 | 0.63 | 0.61 | 0.63 | 0.63 | 0.82 | 0.78 | 0.79 | 0.80 | 0.78 | 0.72 | 0.72 | 0.73 | 0.70 | 0.67 |
Pentair PLC's fixed asset turnover ratio has shown a generally increasing trend over the past five years, starting at 10.61 in March 2020 and reaching 11.13 in December 2024. This indicates that the company has been able to generate more revenue relative to its investment in fixed assets.
On the other hand, the total asset turnover ratio for Pentair PLC has displayed a more fluctuating pattern over the same period. It started at 0.67 in March 2020, peaked at 0.82 in June 2022, and then declined to 0.62 by December 2024. This ratio reflects the company's efficiency in generating sales revenue relative to its total assets.
Overall, while the fixed asset turnover ratio has shown a positive trend, indicating improved efficiency in utilizing fixed assets to generate revenue, the fluctuating nature of the total asset turnover ratio suggests variability in the company's overall asset utilization efficiency over the analyzed period.