Perficient Inc (PRFT)

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 — 105.47 112.76 103.73 108.93 105.72 94.76 106.55 110.85 84.47 85.35 79.87 89.97 79.42 84.62 73.41 100.53 76.26 89.13 80.83
Receivables turnover 5.06 4.96 4.96 4.98 4.47 4.60 4.33 4.37 4.28 4.29 4.47 4.55 4.57 4.31 4.55 4.56 4.38 4.37 4.33 4.44
Payables turnover 38.61 47.13 44.37 48.71 28.77 35.80 32.31 28.71 22.96 29.58 20.72 31.99 19.58 29.74 29.88 30.76 20.24 31.76 27.95 33.94
Working capital turnover 3.66 4.16 4.85 5.76 7.16 7.33 5.42 6.24 8.03 5.77 4.97 5.33 6.23 6.07 9.36 5.56 4.44 5.03 5.54 5.12

Perficient Inc.'s activity ratios provide insight into the efficiency of the company's operations. The inventory turnover ratio is not available in the provided data. The receivables turnover ratio has been relatively consistent, ranging from 4.47 to 5.06 over the past eight quarters, indicating that the company collects its receivables approximately 4 to 5 times a year on average.

The payables turnover ratio shows an increasing trend from 22.54 to 38.43 over the same period, suggesting that Perficient is taking longer to pay its suppliers, potentially improving cash flow management or negotiating better credit terms.

The working capital turnover ratio has shown a decreasing trend from 7.33 to 3.66, indicating that the efficiency of utilizing working capital has declined over time. However, the ratios are still relatively healthy, with the company generating sales revenue approximately 3.66 to 7.16 times for every dollar of working capital investment.

Overall, while the receivables and payables turnover ratios indicate stable collection and payment practices, the decrease in the working capital turnover ratio suggests a potential inefficiency in managing working capital. Perficient may need to focus on optimizing its inventory management to improve operational efficiency and profitability.

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 — 3.46 3.24 3.52 3.35 3.45 3.85 3.43 3.29 4.32 4.28 4.57 4.06 4.60 4.31 4.97 3.63 4.79 4.10 4.52
Days of sales outstanding (DSO) days 72.07 73.57 73.62 73.25 81.59 79.36 84.22 83.62 85.21 85.02 81.64 80.24 79.92 84.72 80.25 80.13 83.33 83.51 84.36 82.17
Number of days of payables days 9.45 7.74 8.23 7.49 12.69 10.20 11.30 12.72 15.90 12.34 17.61 11.41 18.64 12.27 12.22 11.87 18.03 11.49 13.06 10.75

Days of inventory on hand (DOH) is not provided in the table, which makes it difficult to analyze Perficient Inc.'s inventory turnover efficiency. It's important for a company to have a balanced inventory level to meet customer demands without tying up excess capital in unsold goods.

Days of sales outstanding (DSO) measures how long it takes for the company to collect on its accounts receivable. In Q4 2023, DSO decreased to 72.07 days from 81.58 days in Q4 2022, indicating an improvement in collecting receivables efficiently. Overall, the trend of decreasing DSO is a positive sign of effective credit management.

Number of days of payables represents the average time it takes for Perficient Inc. to pay its suppliers and vendors. The trend is inconsistent, with fluctuations between quarters. In Q4 2023, days of payables increased to 11.87 days compared to Q4 2022, suggesting the company is taking more time to settle its payables and potentially improving its cash flow position.

In conclusion, Perficient Inc. has shown improvements in managing its receivables (lower DSO) and maintaining a relatively stable level of payables. However, the lack of data for days of inventory on hand hinders a comprehensive analysis of the company's overall activity ratios.

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 75.57 65.98 60.32 54.47 50.37 47.88 42.20 53.21 51.59 58.43 55.21 53.90 51.07 49.04 46.58 46.93 46.47 44.55 51.12 73.28
Total asset turnover 0.85 0.89 0.91 0.93 0.91 0.94 0.92 0.90 0.86 0.90 0.85 0.82 0.77 0.78 0.81 0.91 0.88 0.91 0.88 0.90

Long-term activity ratios provide insight into how efficiently a company is utilizing its long-term assets to generate revenue. In the case of Perficient Inc., we can analyze two key long-term activity ratios:

1. Fixed Asset Turnover:
The fixed asset turnover ratio measures how efficiently a company is generating revenue from its investment in fixed assets. Perficient Inc.'s fixed asset turnover has been showing an increasing trend over the quarters, reaching a high of 75.57 in Q4 2023. This suggests that the company is effectively utilizing its fixed assets to generate sales.

2. Total Asset Turnover:
The total asset turnover ratio indicates how well a company is using all its assets to generate sales. Perficient Inc.'s total asset turnover has been fluctuating over the quarters but has generally remained around the range of 0.85 to 0.93. This indicates that the company is moderately efficient in generating sales from its total assets.

Overall, based on the long-term activity ratios, Perficient Inc. appears to be efficiently utilizing its long-term assets to generate revenue, as evidenced by the increasing trend in fixed asset turnover and relatively stable total asset turnover ratios.