Thor Industries Inc (THO)

Activity ratios

Short-term

Turnover ratios

Jul 31, 2024 Apr 30, 2024 Jan 31, 2024 Oct 31, 2023 Jul 31, 2023 Apr 30, 2023 Jan 31, 2023 Oct 31, 2022 Jul 31, 2022 Apr 30, 2022 Jan 31, 2022 Oct 31, 2021 Jul 31, 2021 Apr 30, 2021 Jan 31, 2021 Oct 31, 2020 Jul 31, 2020 Apr 30, 2020 Jan 31, 2020 Oct 31, 2019
Inventory turnover 7.04 6.22 5.58 5.85 6.37 6.12 6.89 7.58 8.42 8.42 8.12 7.58 8.33 6.93 6.69 7.80 10.88 9.00 9.28 8.63
Receivables turnover 20.01 15.82 19.25 18.99 20.28 16.56 24.20 20.51 19.12 13.71 13.69 12.45 15.34 14.22 12.66 12.91 13.70 32.36 15.22 14.69
Payables turnover 15.32 12.23 13.01 13.39 14.31 14.37 20.09 20.79 17.97 14.18 13.60 12.01 12.47 9.96 10.83 10.75 12.24 18.96 13.99 13.87
Working capital turnover 9.28 8.99 8.48 9.57 10.24 8.88 9.92 11.21 12.42 11.53 11.41 11.59 12.12 12.25 11.14 13.11 13.73 9.78 15.47 14.75

Inventory turnover for Thor Industries Inc has been relatively stable over the past few years, ranging between 5.58 and 8.42 times. This indicates that the company is efficiently managing its inventory levels, with higher turnover ratios suggesting faster sales of inventory.

Receivables turnover has also shown consistency but with some fluctuations, ranging between 12.66 and 32.36 times. This implies that Thor Industries is effectively collecting payments from customers, although the variability might suggest some seasonal or industry-specific factors impacting sales and collections.

Payables turnover has remained within a narrow range of 9.96 to 20.79 times, indicating that the company is efficiently managing its payables by paying suppliers in a timely manner. A higher turnover ratio suggests that Thor Industries is effectively utilizing trade credit from suppliers.

The working capital turnover ratio has also displayed stability over the years, ranging from 8.48 to 15.47 times. This metric reflects how well the company is generating revenue from its working capital investments. A higher ratio indicates effective management of working capital to generate sales.

Overall, Thor Industries Inc's activity ratios suggest that the company is effectively managing its inventory, accounts receivable, accounts payable, and working capital to support its operational efficiency and growth.

Average number of days

Jul 31, 2024 Apr 30, 2024 Jan 31, 2024 Oct 31, 2023 Jul 31, 2023 Apr 30, 2023 Jan 31, 2023 Oct 31, 2022 Jul 31, 2022 Apr 30, 2022 Jan 31, 2022 Oct 31, 2021 Jul 31, 2021 Apr 30, 2021 Jan 31, 2021 Oct 31, 2020 Jul 31, 2020 Apr 30, 2020 Jan 31, 2020 Oct 31, 2019
Days of inventory on hand (DOH) days 51.85 58.72 65.40 62.37 57.26 59.64 52.99 48.14 43.33 43.37 44.94 48.15 43.81 52.64 54.54 46.80 33.56 40.54 39.34 42.29
Days of sales outstanding (DSO) days 18.24 23.07 18.96 19.22 18.00 22.04 15.08 17.79 19.09 26.62 26.66 29.32 23.79 25.67 28.82 28.27 26.64 11.28 23.98 24.84
Number of days of payables days 23.83 29.84 28.06 27.25 25.50 25.39 18.17 17.56 20.31 25.75 26.84 30.39 29.27 36.64 33.70 33.95 29.82 19.25 26.08 26.32

The activity ratios of Thor Industries Inc, based on the Days of Inventory on Hand (DOH), Days of Sales Outstanding (DSO), and Number of Days of Payables, show trends over time.

1. Days of Inventory on Hand (DOH):
- The DOH has fluctuated over the periods, ranging from 33.56 days to 65.40 days.
- Generally, the company appears to be maintaining its inventory for around 40 to 60 days, with an increasing trend in recent periods.
- A longer DOH may indicate slower inventory turnover and potential liquidity issues if inventory cannot be sold quickly.

2. Days of Sales Outstanding (DSO):
- The DSO also varies, with a range of 11.28 days to 29.32 days.
- Thor Industries Inc typically collects its receivables within around 15 to 30 days, with some variability over time.
- A lower DSO indicates faster collection of receivables, which is generally favorable for cash flow and working capital management.

3. Number of Days of Payables:
- The days of payables range from 17.56 days to 36.64 days, indicating the company takes around 18 to 35 days to pay its suppliers.
- There is some variation in the payment period, but it seems to have increased in recent periods.
- A longer period of payables can suggest better liquidity management but may also indicate strained relationships with suppliers.

In summary, Thor Industries Inc's activity ratios suggest that the company is managing its inventory levels, receivables collection, and payables effectively, but there are fluctuations and trends that may require further scrutiny to ensure optimal working capital management.

Long-term

Jul 31, 2024 Apr 30, 2024 Jan 31, 2024 Oct 31, 2023 Jul 31, 2023 Apr 30, 2023 Jan 31, 2023 Oct 31, 2022 Jul 31, 2022 Apr 30, 2022 Jan 31, 2022 Oct 31, 2021 Jul 31, 2021 Apr 30, 2021 Jan 31, 2021 Oct 31, 2020 Jul 31, 2020 Apr 30, 2020 Jan 31, 2020 Oct 31, 2019
Fixed asset turnover 7.23 — — 7.57 7.95 8.91 10.45 12.12 12.90 12.96 12.16 11.20 10.31 9.45 8.09 7.73 7.27 7.45 8.13 7.40
Total asset turnover 1.43 1.41 1.42 1.45 1.52 1.60 1.89 2.11 2.19 2.07 1.93 1.76 1.84 1.63 1.44 1.44 1.40 1.43 1.57 1.46

The fixed asset turnover ratio for Thor Industries Inc has generally been trending downwards over the past few quarters, indicating that the company is generating slightly fewer sales relative to its investment in fixed assets. However, it remains relatively high, suggesting that Thor Industries is efficient in utilizing its fixed assets to generate revenue.

In contrast, the total asset turnover ratio has fluctuated over the periods but has shown an overall increasing trend. This indicates that Thor Industries has been gradually improving its ability to generate sales in relation to its total assets. A higher total asset turnover ratio implies that the company is becoming more efficient in utilizing all its assets to generate revenue.

Overall, the trend in both fixed asset turnover and total asset turnover ratios suggests that Thor Industries Inc has been focusing on improving its efficiency in asset utilization to drive revenue growth and enhance overall operational performance.