Seagate Technology PLC (STX)
Activity ratios
Short-term
Turnover ratios
| 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 | Dec 31, 2019 | Sep 30, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Inventory turnover | 4.37 | 4.57 | 5.49 | 6.04 | 5.82 | 6.05 | 6.46 | 5.09 | 5.61 | 6.11 | 7.00 | 7.37 | 6.90 | 6.26 | 6.06 | 6.05 | 7.19 | 7.27 | 6.77 | 7.47 |
| Receivables turnover | 11.48 | 13.15 | 10.49 | 10.73 | 9.37 | 8.62 | 11.34 | 9.63 | 7.61 | — | 8.55 | — | 9.22 | — | — | — | — | — | — | — |
| Payables turnover | 3.03 | 3.25 | 3.57 | 4.21 | 4.14 | 4.28 | 7.11 | 4.77 | 4.26 | 4.64 | 4.98 | 4.96 | 4.81 | 4.31 | 4.62 | 4.46 | 4.54 | 4.38 | 4.16 | 4.45 |
| Working capital turnover | 26.57 | — | 62.81 | 41.48 | 23.59 | — | 26.77 | 17.56 | 24.40 | 8.72 | 8.20 | 14.73 | 12.45 | 14.56 | 6.97 | 7.59 | 7.55 | 7.83 | 6.87 | 6.73 |
Seagate Technology PLC's inventory turnover ratio has exhibited some fluctuation over the past few quarters, ranging from a low of 4.37 to a high of 7.47. The trend shows a general decrease in inventory turnover efficiency, indicating potential issues with managing inventory levels efficiently.
The receivables turnover ratio has also varied significantly, with a range from 7.61 to 13.15. The company seems to have experienced some challenges in collecting receivables promptly, as the ratio has fluctuated inconsistently.
On the other hand, the payables turnover ratio has shown more stability, ranging from 3.03 to 7.11. This suggests that Seagate Technology PLC has been consistently managing its payables effectively.
In terms of working capital turnover, the company has experienced fluctuations from a low of 6.73 to a high of 62.81, indicating varying levels of efficiency in utilizing working capital to generate revenue. The significant variations in this ratio may suggest the need for improved working capital management practices.
Overall, Seagate Technology PLC should focus on optimizing inventory levels, enhancing receivables collection efficiency, and maintaining the stability of payables turnover to improve its overall activity ratios and operational performance.
Average number of days
| 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 | Dec 31, 2019 | Sep 30, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Days of inventory on hand (DOH) | days | 83.58 | 79.90 | 66.51 | 60.41 | 62.71 | 60.32 | 56.50 | 71.74 | 65.11 | 59.75 | 52.11 | 49.50 | 52.93 | 58.32 | 60.20 | 60.36 | 50.77 | 50.22 | 53.91 | 48.84 |
| Days of sales outstanding (DSO) | days | 31.78 | 27.76 | 34.81 | 34.01 | 38.95 | 42.33 | 32.18 | 37.92 | 47.95 | — | 42.71 | — | 39.57 | — | — | — | — | — | — | — |
| Number of days of payables | days | 120.47 | 112.16 | 102.26 | 86.77 | 88.18 | 85.31 | 51.34 | 76.48 | 85.62 | 78.70 | 73.36 | 73.58 | 75.83 | 84.73 | 79.02 | 81.90 | 80.38 | 83.39 | 87.82 | 82.10 |
The Days of Inventory on Hand (DOH) for Seagate Technology PLC have shown a fluctuating trend over the past few quarters. The company had an increasing trend from March 2021 to December 2021, with a slight decrease in the following quarters. Generally, Seagate has been maintaining inventory for approximately 50 to 80 days.
The Days of Sales Outstanding (DSO) have also shown variability, indicating the number of days it takes for the company to collect revenue after a sale. Seagate experienced a decrease in DSO from June 2020 to December 2020, followed by fluctuations in subsequent quarters. This metric ranged from around 30 to 50 days.
The Number of Days of Payables reflects the time it takes for Seagate to pay its suppliers. This ratio exhibited a consistent increase from September 2020 to March 2022, followed by fluctuations in recent quarters. Seagate's payable days ranged from approximately 50 to 120 days.
Overall, the activity ratios suggest that Seagate Technology PLC has managed its inventory, receivables, and payables efficiently, with certain fluctuations indicating changes in the company's operational efficiency and cash flow management over the analyzed period.
Long-term
| 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 | Dec 31, 2019 | Sep 30, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Fixed asset turnover | 3.84 | 3.67 | 3.79 | 4.09 | 4.33 | 4.89 | 4.49 | 4.81 | 5.21 | 5.47 | 5.40 | 5.18 | 4.90 | 4.59 | 4.59 | 4.73 | 4.94 | 4.96 | 4.86 | 5.01 |
| Total asset turnover | 0.80 | 0.85 | 0.87 | 0.94 | 0.98 | 1.08 | 1.21 | 1.23 | 1.30 | 1.31 | 1.28 | 1.33 | 1.23 | 1.18 | 1.13 | 1.16 | 1.18 | 1.18 | 1.12 | 1.14 |
Seagate Technology PLC's fixed asset turnover ratio has shown a consistent downward trend over the past several quarters, indicating that the company is generating less revenue for every dollar invested in fixed assets. Despite this decline, the ratio remains relatively healthy, ranging between 3.67 and 5.47. This suggests that Seagate is efficiently utilizing its fixed assets to generate sales, but there may be room for improvement in optimizing asset productivity.
On the other hand, the total asset turnover ratio has also exhibited a declining pattern, albeit with more fluctuation compared to the fixed asset turnover. This ratio reflects how efficiently Seagate is using all its assets to generate revenue. The ratio has ranged from 0.80 to 1.33 over the past few quarters, indicating that the company's ability to generate sales from its total asset base has fluctuated. Seagate's total asset turnover appears relatively stable but has experienced some variability, possibly indicating changes in the company's asset management efficiency or sales generation.
In conclusion, while Seagate Technology PLC is efficiently utilizing its assets to generate revenue, there are some fluctuations in both fixed and total asset turnover ratios. Further analysis of the company's asset management practices and strategies may reveal insights into improving efficiency and effectiveness in utilizing assets to drive sales growth.