Shutterstock (SSTK)
Activity ratios
Short-term
Turnover ratios
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Inventory turnover | — | — | — | — | — |
| Receivables turnover | 9.61 | 12.29 | 16.14 | 15.28 | 13.85 |
| Payables turnover | 84.38 | 98.90 | 63.04 | 223.87 | 96.55 |
| Working capital turnover | — | — | 14.15 | 2.89 | 4.97 |
The receivables turnover ratio for Shutterstock Inc has shown a decreasing trend over the past five years, from 13.84 in 2019 to 9.60 in 2023. This indicates that the company is taking longer to collect its accounts receivable, which may raise concerns about its efficiency in managing its credit sales.
On the other hand, the payables turnover ratio has been fluctuating, with a significant decrease in 2021 followed by a sharp increase in 2022. However, there seems to be a trend of maintaining a relatively high payables turnover ratio, indicating that the company is efficient in managing its accounts payable by paying off its suppliers quickly.
The working capital turnover ratio, which measures how effectively the company is using its working capital to generate sales, was relatively stable in 2020 and 2021 before decreasing in 2022. Unfortunately, no data is available for 2019 and 2018 to provide further context.
Overall, based on the provided data, Shutterstock Inc seems to be facing challenges in managing its receivables efficiently, while its management of payables appears to be more consistent. Further analysis and additional data may be required to gain a more comprehensive understanding of the company's activity ratios.
Average number of days
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Days of inventory on hand (DOH) | days | — | — | — | — | — |
| Days of sales outstanding (DSO) | days | 38.00 | 29.70 | 22.61 | 23.90 | 26.36 |
| Number of days of payables | days | 4.33 | 3.69 | 5.79 | 1.63 | 3.78 |
Days of Inventory on Hand (DOH) is not provided in the data. It is a measure of how many days a company holds inventory before selling it. A lower DOH indicates efficient inventory management.
Days of Sales Outstanding (DSO) has shown a decreasing trend from 2019 to 2023, indicating that the company is collecting sales revenues more quickly. A lower DSO generally signifies effective credit and collection policies.
Number of Days of Payables has fluctuated over the years with a noticeable increase in 2021. This indicates that the company took longer to pay its suppliers that year. However, the number decreased in 2022 and 2023, suggesting potentially improved cash management practices.
Overall, a decrease in DSO and an improvement in DOH and Days of Payables indicate enhanced efficiency in Shutterstock Inc's activities in managing inventory, collecting sales, and paying suppliers over the years. It is essential for the company to continue monitoring and managing these activity ratios to optimize its working capital and operational efficiency.
Long-term
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Fixed asset turnover | 13.62 | 15.15 | 16.02 | 13.16 | 11.07 |
| Total asset turnover | 0.85 | 0.94 | 0.90 | 0.92 | 1.03 |
The fixed asset turnover ratio for Shutterstock Inc has shown a generally increasing trend over the last five years, indicating an improvement in the company's efficiency in generating sales from its fixed assets. This suggests that the company has been able to utilize its long-term assets more effectively to generate revenue.
On the other hand, the total asset turnover ratio has fluctuated slightly over the same period, but has generally remained below 1.0. This implies that the company is generating less revenue relative to its total assets, which may indicate inefficiencies in utilizing its total asset base to drive sales.
Overall, while the fixed asset turnover ratio indicates an improving trend in asset utilization efficiency, the total asset turnover ratio suggests that there may be room for further improvement in maximizing sales from the company's total asset base.