Ufp Industries Inc (UFPI)
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 | 7.53 | 8.42 | 8.09 | 7.58 | 7.97 | 8.20 | 7.96 | 7.59 | 8.05 | 7.87 | 7.07 | 6.26 | 7.50 | 7.54 | 6.11 | 6.11 | 7.67 | 7.54 | 8.09 | 7.31 |
| Receivables turnover | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Payables turnover | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Working capital turnover | 3.34 | 3.34 | 3.51 | 3.54 | 3.73 | 3.96 | 4.36 | 5.16 | 5.83 | 5.96 | 6.12 | 5.93 | 6.66 | 6.38 | 5.32 | 5.29 | 4.80 | 4.67 | 5.53 | 6.06 |
Ufp Industries Inc's inventory turnover varies over time but generally stays within a range of 6 to 8, indicating that the company is effectively managing its inventory levels. The receivables turnover and payables turnover ratios are not available, making it challenging to assess the efficiency of the company in collecting receivables and managing payables.
The working capital turnover ratio shows a declining trend from 6.06 in March 31, 2020, to 3.34 in December 31, 2024. This trend suggests that the company may be less efficient in generating sales revenue relative to its working capital over the period analyzed. It is important for the company to monitor and improve this ratio to ensure optimal utilization of its working capital resources.
Overall, Ufp Industries Inc's activity ratios indicate a need for further analysis and potential improvements in managing working capital to enhance operational efficiency and profitability.
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 | 48.49 | 43.37 | 45.09 | 48.16 | 45.80 | 44.53 | 45.85 | 48.08 | 45.33 | 46.37 | 51.64 | 58.31 | 48.64 | 48.41 | 59.76 | 59.78 | 47.59 | 48.43 | 45.13 | 49.95 |
| Days of sales outstanding (DSO) | days | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Number of days of payables | days | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
Based on the provided data for Ufp Industries Inc, we can analyze the activity ratios as follows:
1. Days of Inventory on Hand (DOH):
- The Days of Inventory on Hand measures how many days, on average, a company holds its inventory before selling it.
- Ufp Industries Inc's DOH fluctuated over the period provided, ranging from a low of 43.37 days to a high of 59.78 days.
- Lower DOH values indicate efficient inventory management, while higher values may suggest overstocking or slow sales.
2. Days of Sales Outstanding (DSO):
- The Days of Sales Outstanding ratio is not available in the provided data. DSO typically reflects the average number of days it takes for a company to collect payment after making a sale.
- Generally, a lower DSO value is preferable as it indicates faster cash collection and efficient accounts receivable management.
3. Number of Days of Payables:
- The Number of Days of Payables ratio is not provided in the data. This ratio typically indicates the average number of days it takes a company to pay its suppliers.
- A longer period of payables turnover may suggest that the company is effectively using trade credit to manage its cash flow.
In sum, while the Days of Inventory on Hand (DOH) ratio for Ufp Industries Inc fluctuated over the period, additional information on Days of Sales Outstanding (DSO) and Number of Days of Payables would provide a more comprehensive analysis of the company's overall efficiency in managing its working capital and cash flows.
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 | — | — | — | — | — | — | 11.29 | 12.80 | 13.97 | 15.11 | 15.20 | 15.48 | 14.66 | 14.49 | 13.89 | 12.18 | 12.35 | 11.72 | 11.04 | 11.15 |
| Total asset turnover | 1.60 | 1.59 | 1.67 | 1.72 | 1.80 | 1.89 | 2.11 | 2.42 | 2.62 | 2.60 | 2.63 | 2.53 | 2.66 | 2.66 | 2.30 | 2.13 | 2.14 | 2.02 | 2.15 | 2.35 |
Ufp Industries Inc's Fixed Asset Turnover ratio has shown a generally increasing trend over the past few years, starting at 11.15 in March 2020 and reaching a peak of 15.48 in March 2022. This indicates that the company has been able to generate more sales revenue relative to its investment in fixed assets during this period.
On the other hand, the Total Asset Turnover ratio has been more fluctuating, with a peak of 2.66 in both September and December 2021. However, it has shown a declining trend since then, dropping to 1.60 by December 2024. This suggests that the company's ability to generate sales from its total assets has decreased over the years.
Overall, the trends in these long-term activity ratios suggest that Ufp Industries Inc has been effectively utilizing its fixed assets to generate sales, but there may be some inefficiencies in utilizing its total assets to generate revenue in recent years.