Titan International Inc (TWI)
Activity ratios
Short-term
Turnover ratios
| Dec 31, 2024 | Sep 30, 2024 | 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Inventory turnover | 3.63 | 3.48 | 3.28 | 2.91 | 4.15 | 4.49 | 4.56 | 4.61 | 4.55 | 4.36 | 4.13 | 3.92 | 3.93 | 3.80 | 3.77 | 3.77 | 3.90 | 3.97 | 3.98 | 4.15 |
| Receivables turnover | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Payables turnover | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Working capital turnover | 3.52 | 3.12 | 2.83 | 2.66 | 3.61 | 3.83 | 3.90 | 4.30 | 4.68 | 5.00 | 4.78 | 4.61 | 4.91 | 4.51 | 4.11 | 3.96 | 3.83 | 3.82 | 3.72 | 4.65 |
From the provided data, we can analyze the activity ratios of Titan International Inc over a period of time.
1. Inventory Turnover:
- Titan International Inc's inventory turnover has fluctuated over the years, ranging from a low of 2.91 to a high of 4.61. Generally, a higher inventory turnover ratio indicates efficient management of inventory levels. The company's inventory turnover has shown an increasing trend since the low in March 31, 2024.
2. Receivables Turnover:
- The receivables turnover ratio data is not available for the company for the entire period, thus making it difficult to provide a detailed analysis of the efficiency of the company in collecting cash from its credit sales.
3. Payables Turnover:
- Similar to receivables turnover, payables turnover data is also unavailable. Payables turnover ratio indicates how well a company manages its accounts payable, which can provide insights into its liquidity and financial health.
4. Working Capital Turnover:
- The working capital turnover ratio measures how efficiently a company utilizes its working capital to generate sales. Titan International Inc's working capital turnover has varied over the years, with values ranging from 2.66 to 5.00. An increasing trend in this ratio indicates improved efficiency in using working capital to support its operations and sales.
In conclusion, based on the data provided, Titan International Inc has shown fluctuations in its activity ratios, with inventory turnover and working capital turnover demonstrating changes that can be indicative of the company's operational efficiency and financial management. However, the lack of data for receivables and payables turnover hinders a complete analysis of the company's performance in managing its receivables and payables.
Average number of days
| Dec 31, 2024 | Sep 30, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Days of inventory on hand (DOH) | days | 100.48 | 104.95 | 111.27 | 125.57 | 87.92 | 81.29 | 80.06 | 79.21 | 80.16 | 83.71 | 88.29 | 93.18 | 92.89 | 95.98 | 96.82 | 96.88 | 93.62 | 92.02 | 91.67 | 88.05 |
| Days of sales outstanding (DSO) | days | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Number of days of payables | days | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
The Days of Inventory on Hand (DOH) for Titan International Inc has shown a declining trend from 88.05 days as of March 31, 2020, to 80.16 days as of December 31, 2022, before slightly increasing to 100.48 days as of December 31, 2024. This could indicate an improvement in inventory management efficiency over the years, followed by a potential increase in inventory levels towards the end of the period.
Unfortunately, there is no data available for the Days of Sales Outstanding (DSO) and the Number of Days of Payables for Titan International Inc, limiting the analysis of the company's accounts receivable and accounts payable turnover efficiency.
Overall, the downward trend in DOH suggests that Titan International Inc has been successful in managing its inventory effectively, but the lack of data for DSO and Days of Payables restricts a comprehensive analysis of the company's overall working capital management.
Long-term
| Dec 31, 2024 | Sep 30, 2024 | 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Fixed asset turnover | — | — | — | — | — | 6.20 | 6.73 | 7.20 | 7.10 | 7.47 | 6.70 | 6.48 | 5.53 | 5.01 | 4.47 | 4.30 | 3.94 | 3.80 | 3.78 | 4.01 |
| Total asset turnover | 1.16 | 1.10 | 1.04 | 0.97 | 1.41 | 1.54 | 1.59 | 1.61 | 1.69 | 1.72 | 1.60 | 1.52 | 1.51 | 1.42 | 1.31 | 1.23 | 1.22 | 1.21 | 1.24 | 1.30 |
The fixed asset turnover ratio measures the efficiency of a company in generating sales from its investment in fixed assets. In the case of Titan International Inc, the fixed asset turnover ratio has shown a generally increasing trend over the reporting periods from March 31, 2020, to September 30, 2023, peaking at 7.47. This indicates that Titan International has been able to generate more revenue from its fixed assets over time.
On the other hand, the total asset turnover ratio reflects the company's ability to generate sales from its total assets. Titan International's total asset turnover ratio fluctuated during the same period, reaching a peak of 1.72 on September 30, 2022. However, the ratio decreased thereafter, possibly indicating a decrease in sales generated from its total assets.
Overall, while the fixed asset turnover ratio showcases increasing efficiency in utilizing fixed assets to generate revenue, the total asset turnover ratio presents a mixed performance in effectively leveraging the company's total assets to generate sales. Further analysis would be required to understand the reasons behind these trends and their implications for Titan International's long-term financial performance.