TRI Pointe Homes Inc (TPH)
Activity ratios
Short-term
Turnover ratios
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Inventory turnover | 1.09 | 0.86 | 1.00 | 0.98 | 0.87 |
| Receivables turnover | — | — | — | — | — |
| Payables turnover | — | — | — | — | — |
| Working capital turnover | 1.06 | 0.95 | 1.17 | 1.21 | 1.04 |
TRI Pointe Homes Inc's inventory turnover has shown improvement over the years, increasing from 0.87 in 2020 to 1.09 in 2024. This indicates that the company is selling its inventory more efficiently.
The receivables turnover ratio is not available for analysis, as there is no data provided for receivables turnover for any of the years.
Similarly, the payables turnover information is missing for all years, so it is not possible to evaluate TRI Pointe Homes Inc's efficiency in managing its payables.
The working capital turnover ratio fluctuated during the period under review, ranging from 0.95 in 2023 to 1.21 in 2021. Although there were fluctuations, the ratios indicate that the company is effectively utilizing its working capital to generate sales.
Overall, the inventory turnover and working capital turnover ratios suggest that TRI Pointe Homes Inc is efficiently managing its inventory and working capital to drive sales and revenue generation. Analysis of receivables and payables turnover is not possible due to lack of data.
Average number of days
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Days of inventory on hand (DOH) | days | 334.56 | 424.36 | 363.40 | 372.89 | 419.45 |
| Days of sales outstanding (DSO) | days | — | — | — | — | — |
| Number of days of payables | days | — | — | — | — | — |
Based on the provided data, TRI Pointe Homes Inc's activity ratios can be analyzed as follows:
1. Days of Inventory on Hand (DOH):
- The trend in DOH shows a gradual decrease from 419.45 days in December 2020 to 334.56 days in December 2024.
- A lower DOH indicates that the company is selling its inventory at a faster rate, which can lead to lower carrying costs and potentially higher inventory turnover.
2. Days of Sales Outstanding (DSO):
- The data does not provide any specific values for DSO, suggesting that the company may not have substantial accounts receivable or the information is not available.
- DSO is a measure of how quickly a company collects its accounts receivable. Without this data, it is challenging to assess the efficiency of TRI Pointe Homes Inc in collecting payments from customers.
3. Number of Days of Payables:
- Similar to DSO, the data for the number of days of payables is not provided, indicating a lack of information on how long the company takes to pay its suppliers.
- The number of days of payables is crucial for understanding the company's payment terms and cash flow management.
In conclusion, based on the available information, TRI Pointe Homes Inc has shown improvement in managing its inventory levels efficiently over the years. However, the lack of data on DSO and payables hinders a comprehensive analysis of the company's overall activity and working capital management.
Long-term
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Fixed asset turnover | — | — | 68.03 | 31.80 | 32.19 |
| Total asset turnover | 0.90 | 0.76 | 0.92 | 0.92 | 0.81 |
The fixed asset turnover ratio for TRI Pointe Homes Inc has exhibited a generally increasing trend over the years. It was 32.19 in 2020, slightly decreasing to 31.80 in 2021, and then significantly increasing to 68.03 in 2022. However, data is unavailable for 2023 and 2024.
On the other hand, the total asset turnover ratio has shown some variability. It was 0.81 in 2020, improved to 0.92 in 2021 and 2022, then decreased to 0.76 in 2023, and rose again to 0.90 in 2024.
Overall, the fixed asset turnover ratio indicates how efficiently the company generates revenue from its fixed assets, while the total asset turnover ratio measures how efficiently the company utilizes all its assets to generate sales. The increasing trends suggest improved efficiency in asset utilization over time, potentially reflecting increased operational performance and better management of resources by TRI Pointe Homes Inc.