STAAR Surgical Company (STAA)

Short-term

Turnover ratios

STAAR Surgical Company's Inventory turnover ratio has been fluctuating over the years, but generally shows an increasing trend from 2.29 in March 31, 2020, to a peak of 3.22 in June 30, 2022. However, there was a significant drop to 1.76 in June 30, 2024, followed by a slight increase to 1.80 in September 30, 2024. This ratio indicates how effectively the company is managing its inventory levels and converting them into sales.

On the other hand, data for Receivables turnover and Payables turnover ratios are not available for analysis, suggesting that specific information regarding the company's accounts receivables and payables turnover efficiency is not provided or applicable.

The Working Capital turnover ratio has remained relatively stable, ranging from 0.93 to 1.12, indicating the company's ability to generate sales revenue relative to its working capital investment. The ratio improved slightly in the recent periods, peaking at 1.12 in June 30, 2023, before decreasing to 1.03 in September 30, 2024.

Overall, while the inventory turnover shows some positive trends in managing inventory efficiently, the lack of data for receivables and payables turnover ratios limits a comprehensive analysis of the company's efficiency in managing its receivables and payables. The working capital turnover ratio suggests satisfactory performance in generating sales relative to the company's working capital investments over the reported periods.

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Average number of days

STAAR Surgical Company's Days of Inventory on Hand (DOH) has shown fluctuations over the periods analyzed. The DOH decreased from 159.27 days as of March 31, 2020, to 113.39 days as of June 30, 2022, before increasing to 183.80 days as of December 31, 2023. Notably, there was a substantial spike to 200.83 days as of March 31, 2024, before dropping significantly to only 0.21 days by December 31, 2024.

In contrast, data for Days of Sales Outstanding (DSO) and Number of Days of Payables were not available for analysis across the periods provided, suggesting that information regarding the company's account receivables and payables turnover was not disclosed for the observed time frames.

Overall, the trend in DOH for STAAR Surgical Company indicates varying levels of inventory management efficiency, with significant changes observed in different reporting periods. However, the lack of data on DSO and payables days restricts a comprehensive analysis of the company's overall liquidity and working capital management during the specified periods.

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Long-term

The fixed asset turnover ratio measures how efficiently a company is generating revenues from its fixed assets, such as property, plant, and equipment. In the case of STAAR Surgical Company, the fixed asset turnover ratio has shown a declining trend over the years, indicating a decrease in the company's ability to generate sales from its fixed assets.

From March 31, 2020, to June 30, 2022, the fixed asset turnover ratio decreased steadily from 7.57 to 3.56, reflecting a substantial decline in the efficiency of utilizing its fixed assets to generate revenue. This could be due to various factors such as slower sales growth or underutilization of fixed assets.

On the other hand, the total asset turnover ratio reveals how efficiently a company generates sales from all its assets. For STAAR Surgical Company, the total asset turnover ratio fluctuated within a relatively narrow range during the same period, suggesting a stable performance in utilizing all assets, including fixed assets, to generate revenue.

Overall, the declining trend in the fixed asset turnover ratio for STAAR Surgical Company indicates a potential inefficiency in utilizing its fixed assets to generate sales, which could require further analysis to identify underlying reasons and potential areas for improvement.