Smart Global Holdings Inc (SGH)
Activity ratios
Short-term
Turnover ratios
| Mar 1, 2024 | Dec 1, 2023 | Aug 25, 2023 | May 26, 2023 | Feb 24, 2023 | Nov 25, 2022 | Aug 26, 2022 | May 27, 2022 | Feb 25, 2022 | Nov 26, 2021 | Aug 27, 2021 | May 28, 2021 | Feb 26, 2021 | Nov 27, 2020 | May 29, 2020 | Feb 28, 2020 | Nov 29, 2019 | Aug 30, 2019 | May 31, 2019 | Mar 1, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Inventory turnover | 5.29 | 5.01 | 6.97 | 7.13 | 5.63 | 3.94 | 6.10 | 3.33 | 3.63 | 3.47 | 2.68 | 4.27 | 5.70 | 7.12 | 5.68 | 6.10 | 6.27 | 9.12 | 8.64 | 7.03 |
| Receivables turnover | 7.27 | 7.98 | 7.08 | 6.56 | 7.41 | 5.74 | 4.30 | 5.08 | 4.66 | 4.99 | 4.76 | 4.93 | 5.78 | 5.39 | 4.99 | 4.96 | 4.67 | 5.49 | 5.69 | — |
| Payables turnover | 6.17 | 5.75 | 9.03 | 9.44 | 9.88 | 5.04 | 5.49 | 3.17 | 3.19 | 2.95 | 2.27 | 3.48 | 4.13 | 4.45 | 4.18 | 4.53 | 4.47 | 6.57 | 6.46 | 4.69 |
| Working capital turnover | 2.00 | 2.20 | 3.23 | 2.88 | 3.05 | 3.08 | 2.77 | 2.94 | 3.12 | 4.20 | 4.25 | 4.37 | 4.67 | 4.20 | 4.35 | 4.01 | 4.83 | 5.37 | 4.71 | 4.92 |
Smart Global Holdings Inc's activity ratios indicate how efficiently the company manages its resources. The inventory turnover ratio has been relatively stable, indicating that the company is able to sell through its inventory consistently over the period analyzed. The increasing trend in receivables turnover suggests that the company is collecting its accounts receivable more efficiently, which is a positive sign for cash flow management.
On the other hand, the payables turnover ratio has shown fluctuations, possibly indicating changes in the company's payment terms with suppliers. Despite the fluctuations, the ratio generally remains at a satisfactory level. The working capital turnover ratio has also been consistent and relatively high, suggesting that the company efficiently utilizes its working capital to generate sales.
Overall, Smart Global Holdings Inc seems to be managing its assets and liabilities effectively, turning them into sales and cash flow efficiently.
Average number of days
| Mar 1, 2024 | Dec 1, 2023 | Aug 25, 2023 | May 26, 2023 | Feb 24, 2023 | Nov 25, 2022 | Aug 26, 2022 | May 27, 2022 | Feb 25, 2022 | Nov 26, 2021 | Aug 27, 2021 | May 28, 2021 | Feb 26, 2021 | Nov 27, 2020 | May 29, 2020 | Feb 28, 2020 | Nov 29, 2019 | Aug 30, 2019 | May 31, 2019 | Mar 1, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Days of inventory on hand (DOH) | days | 69.02 | 72.83 | 52.40 | 51.17 | 64.81 | 92.66 | 59.80 | 109.56 | 100.62 | 105.26 | 135.96 | 85.45 | 64.05 | 51.27 | 64.22 | 59.88 | 58.24 | 40.01 | 42.25 | 51.94 |
| Days of sales outstanding (DSO) | days | 50.21 | 45.76 | 51.54 | 55.62 | 49.25 | 63.60 | 84.89 | 71.82 | 78.37 | 73.09 | 76.65 | 74.05 | 63.17 | 67.75 | 73.21 | 73.65 | 78.21 | 66.44 | 64.14 | — |
| Number of days of payables | days | 59.13 | 63.52 | 40.43 | 38.68 | 36.93 | 72.47 | 66.47 | 115.26 | 114.46 | 123.67 | 160.65 | 104.75 | 88.45 | 82.04 | 87.42 | 80.60 | 81.61 | 55.55 | 56.48 | 77.77 |
Days of inventory on hand (DOH):
The days of inventory on hand for Smart Global Holdings Inc have shown some fluctuations over the past several quarters, ranging from a low of 40.01 days to a high of 135.96 days. Overall, there seems to be some variability in managing inventory levels efficiently, which can impact the company's liquidity and profitability.
Days of sales outstanding (DSO):
The days of sales outstanding have also varied over the quarters, indicating the average number of days it takes for Smart Global Holdings Inc to collect its accounts receivable. The DSO has ranged from 45.76 days to 84.89 days, with lower values typically being more favorable as they indicate quicker collection of receivables.
Number of days of payables:
The number of days of payables for Smart Global Holdings Inc has fluctuated significantly, ranging from 36.93 days to 160.65 days. This metric represents how long the company takes to pay its suppliers, with longer periods potentially indicating strong bargaining power or cash flow issues.
Overall, by analyzing these activity ratios, it appears that Smart Global Holdings Inc has been experiencing fluctuations in its inventory management, accounts receivable collection, and accounts payable processes, which can impact the company's overall working capital efficiency and cash flow management. Monitoring and improving these metrics can help optimize the company's operational performance and financial health.
Long-term
| Mar 1, 2024 | Dec 1, 2023 | Aug 25, 2023 | May 26, 2023 | Feb 24, 2023 | Nov 25, 2022 | Aug 26, 2022 | May 27, 2022 | Feb 25, 2022 | Nov 26, 2021 | Aug 27, 2021 | May 28, 2021 | Feb 26, 2021 | Nov 27, 2020 | May 29, 2020 | Feb 28, 2020 | Nov 29, 2019 | Aug 30, 2019 | May 31, 2019 | Mar 1, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Fixed asset turnover | 11.26 | 12.11 | 13.08 | 8.99 | 9.90 | 10.65 | 18.24 | 11.87 | 12.50 | 11.54 | 9.98 | 8.95 | 15.28 | 19.33 | 21.11 | 18.51 | 17.57 | 18.43 | 20.18 | 21.87 |
| Total asset turnover | 0.81 | 0.83 | 1.03 | 1.00 | 1.04 | 0.97 | 1.12 | 1.21 | 1.23 | 1.30 | 1.16 | 1.15 | 1.45 | 1.48 | 1.43 | 1.35 | 1.43 | 1.79 | 2.02 | 1.88 |
Smart Global Holdings Inc's long-term activity ratios show the efficiency of the company in managing its fixed and total assets to generate sales revenue over time.
The fixed asset turnover ratio has fluctuated over the periods analyzed, ranging from a low of 8.99 to a high of 21.87. This indicates that the company is effectively utilizing its fixed assets to generate sales, with higher ratios generally being favorable as they demonstrate higher productivity and efficiency in utilizing these assets. The significant variation in the ratios suggests that the company's efficiency in generating sales from its fixed assets has varied over time.
In contrast, the total asset turnover ratio has also shown fluctuations, with values ranging from 0.81 to 2.02. A low total asset turnover ratio indicates that the company is less efficient in generating sales from its total assets, including fixed and current assets. On the other hand, a higher ratio signifies better efficiency in generating sales relative to the total assets employed. The company's total asset turnover has shown more variability compared to the fixed asset turnover, indicating fluctuations in its overall asset utilization efficiency.
Overall, the company's fixed asset turnover and total asset turnover ratios reflect varying degrees of efficiency in utilizing its assets to generate sales revenue. Further analysis and comparison with industry benchmarks may help provide additional insights into Smart Global Holdings Inc's long-term asset management efficiency.