Regeneron Pharmaceuticals Inc (REGN)

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	1.04	1.03	1.06	1.08	1.10	0.75	0.75	0.71	0.65	0.98	1.02	1.17	1.17	0.88	0.83	0.66	0.73	0.95	1.10	1.27
Receivables turnover	2.28	2.26	2.35	2.49	2.30	2.33	2.46	2.40	2.27	2.46	2.75	3.40	2.65	2.48	1.76	2.19	2.72	2.31	3.35	3.14
Payables turnover	4.08	6.25	5.40	4.36	4.68	3.60	3.42	2.86	2.65	—	—	—	4.05	—	—	—	2.94	—	—	—
Working capital turnover	0.96	0.88	0.86	0.85	0.81	0.87	0.91	0.89	0.95	1.09	1.13	1.46	1.59	1.34	1.28	1.34	1.19	1.21	1.92	1.21

Regeneron Pharmaceuticals Inc's inventory turnover has fluctuated over the years, ranging from a low of 0.65 in December 2022 to a high of 1.27 in March 2020. The downward trend in inventory turnover from 2023 to 2024 may indicate potential inefficiencies in managing inventory levels.

The receivables turnover ratio has also varied, with a peak of 3.40 in March 2022 and a low of 1.76 in June 2021. The company seems to have improved its efficiency in collecting receivables in 2022 compared to 2021, but there was a slight decline in 2023 and 2024.

Payables turnover, while not available for some periods, shows an increasing trend from 2020 to 2024, indicating that the company is taking longer to pay its suppliers. The significant increase in payables turnover from 2023 to 2024 may suggest potential liquidity or cash flow issues that need further scrutiny.

The working capital turnover ratio has generally declined from 2020 to 2024, indicating a decreasing efficiency in generating revenue relative to the working capital invested. The decline in this ratio over time may signal a need for the company to reassess its working capital management strategies to improve overall performance.

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	349.51	354.33	345.59	338.41	331.61	484.22	489.44	516.47	561.08	371.81	356.36	311.79	311.42	416.23	440.41	549.49	499.83	385.30	332.13	288.13
Days of sales outstanding (DSO)	days	159.83	161.38	155.30	146.30	158.58	156.49	148.34	151.82	160.56	148.32	132.93	107.36	137.58	147.41	207.20	166.52	134.32	158.13	108.94	116.11
Number of days of payables	days	89.38	58.39	67.55	83.68	77.95	101.42	106.82	127.69	137.64	—	—	—	90.01	—	—	—	124.01	—	—	—

Based on the data provided, let's analyze the activity ratios of Regeneron Pharmaceuticals Inc:

1. Days of Inventory on Hand (DOH):
The Days of Inventory on Hand measure how many days, on average, a company holds its inventory before selling it. Regeneron's DOH ranged from as low as 288.13 days in March 2020 to a peak of 561.08 days in December 2022. A decreasing trend is seen from December 2022 to December 2024, indicating better inventory management efficiency. However, the levels remain relatively high, suggesting that Regeneron may need to focus on optimizing its inventory turnover.

2. Days of Sales Outstanding (DSO):
The Days of Sales Outstanding ratio reflects how long it takes for a company to collect on its accounts receivable. Regeneron's DSO fluctuated over the years, with the highest point at 207.20 days in June 2021 and the lowest at 107.36 days in March 2022. The trend seems to improve towards the end of the period, indicating better collection efficiency. However, the company should continue monitoring DSO to ensure timely receivables turnover.

3. Number of Days of Payables:
The Number of Days of Payables indicates how long a company takes to pay its suppliers. Regeneron's payables days ranged from 58.39 days in September 2024 to a high of 137.64 days in December 2022. A decreasing trend is observed from December 2022 to December 2024, reflecting potential improvement in the company's payment management practices. Regeneron should aim to strike a balance between payable days and maintaining good relationships with suppliers.

Overall, Regeneron Pharmaceuticals Inc should focus on optimizing its inventory turnover, enhancing accounts receivable collection efficiency, and managing payables effectively to enhance operational performance and profitability.

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	3.54	3.11	3.12	3.08	3.68	3.25	3.21	3.17	3.85	3.69	3.90	4.63	4.60	3.98	3.67	2.80	2.62	2.61	2.63	2.70
Total asset turnover	0.38	0.37	0.37	0.38	0.39	0.40	0.41	0.41	0.41	0.49	0.52	0.62	0.63	0.57	0.57	0.51	0.49	0.51	0.55	0.51

Regeneron Pharmaceuticals Inc's fixed asset turnover ratio has shown a fluctuating trend over the past few years, peaking at 4.63 on March 31, 2022, before gradually declining to 3.54 on December 31, 2024. This ratio indicates that the company generated $3.54 in revenue for every dollar invested in fixed assets by the end of 2024.

In contrast, the total asset turnover ratio for Regeneron Pharmaceuticals Inc has experienced a decline from 0.51 on March 31, 2020, to 0.38 on December 31, 2024. This trend suggests that the company's efficiency in generating sales from its total assets has been decreasing over time.

Overall, the fixed asset turnover ratio demonstrates the company's ability to generate revenue from its fixed assets, while the total asset turnover ratio reflects how effectively the company is utilizing all its assets to generate sales. Both ratios are essential in evaluating Regeneron Pharmaceuticals Inc's operational efficiency and asset utilization.