UGI Corporation (UGI)

Activity ratios

Short-term

Turnover ratios

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 Dec 31, 2019
Inventory turnover 14.37 15.05 18.09 17.91 22.68 25.00 22.62 14.69 12.12 13.11 14.23 9.91 8.78 16.90 18.45 15.87 17.15 19.66 21.21 10.32
Receivables turnover 9.42 8.91 6.42 6.98 9.77 9.54 6.46 6.26 8.05 7.06 4.99 5.15 7.39 7.31 5.22 5.82 8.96 9.76 6.64 7.05
Payables turnover 10.85 12.34 11.72 10.66 16.02 18.95 12.94 8.96 9.05 7.71 6.19 5.58 4.92 8.64 7.89 6.95 8.70 10.34 8.21 4.28
Working capital turnover — — 19.57 — — — 20.19 134.11 7.44 6.67 5.48 9.63 7.65 10.55 13.89 78.12 — — — —

The inventory turnover ratio for UGI Corporation has generally shown a fluctuating trend over the past two years, ranging from a low of 8.78 to a high of 25.00. This indicates the number of times the company's inventory is sold and replaced during the period, with higher ratios suggesting efficient inventory management.

The receivables turnover ratio has also varied, with values between 4.99 and 9.77 over the same period. This ratio reflects how quickly the company collects payments from customers, with higher ratios indicating effective credit and collections management.

In contrast, the payables turnover ratio has been more consistent, with values fluctuating between 4.28 and 18.95. This metric measures how quickly the company pays its suppliers, with higher ratios suggesting better liquidity management and potentially favorable credit terms with vendors.

The working capital turnover ratio, which is not available for every period, has shown significant volatility, ranging from 5.48 to 134.11. This ratio reflects how efficiently the company utilizes its working capital to generate sales, with higher ratios indicating effective working capital management.

Overall, the analysis of UGI Corporation's activity ratios suggests that the company has been managing its inventory, receivables, payables, and working capital efficiently, although some fluctuations in performance are evident over the reporting periods.

Average number of days

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 Dec 31, 2019
Days of inventory on hand (DOH) days 25.40 24.26 20.18 20.38 16.09 14.60 16.14 24.84 30.11 27.84 25.66 36.85 41.59 21.60 19.78 22.99 21.28 18.57 17.21 35.36
Days of sales outstanding (DSO) days 38.73 40.95 56.87 52.31 37.37 38.24 56.54 58.34 45.33 51.69 73.14 70.83 49.41 49.94 69.95 62.77 40.73 37.39 54.96 51.78
Number of days of payables days 33.63 29.57 31.15 34.24 22.78 19.26 28.21 40.76 40.34 47.32 58.99 65.43 74.22 42.25 46.27 52.50 41.94 35.29 44.45 85.26

Based on the activity ratios provided for UGI Corporation, we can observe the following trends over the past few quarters:

1. Days of Inventory on Hand (DOH):
- UGI Corporation has shown a fluctuating trend in the days of inventory on hand over the quarters, ranging from a low of 14.60 days to a high of 41.59 days.
- The most recent data as of Sep 30, 2024, indicates a DOH of 25.40 days, which is slightly higher compared to the previous quarter.
- Overall, UGI Corporation seems to manage its inventory levels efficiently, with varying but generally reasonable DOH figures.

2. Days of Sales Outstanding (DSO):
- The days of sales outstanding for UGI Corporation have also varied over the quarters, ranging from 37.37 days to 73.14 days.
- The latest DSO figure as of Sep 30, 2024, stands at 38.73 days, showing a decrease compared to the previous quarter.
- A lower DSO suggests that the company is collecting its accounts receivable more quickly, which is a positive sign of efficient receivables management.

3. Number of Days of Payables:
- UGI Corporation's number of days of payables has shown fluctuations over the quarters, with a range of 19.26 days to 85.26 days.
- As of Sep 30, 2024, the days of payables stand at 33.63 days, indicating an increase from the previous quarter.
- A longer payable period suggests that the company is taking more time to pay its suppliers, which can possibly help in managing cash flows effectively.

In summary, UGI Corporation appears to be effectively managing its inventory, receivables, and payables. The company has shown fluctuations in these activity ratios over the quarters, but overall, the trends indicate a reasonable approach to managing working capital and operating efficiency.

Long-term

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 Dec 31, 2019
Fixed asset turnover 0.83 0.86 0.89 0.96 1.04 1.13 1.19 1.25 1.26 1.23 1.16 1.08 0.99 1.01 0.97 0.92 0.94 0.97 0.99 1.05
Total asset turnover 0.48 0.49 0.49 0.53 0.58 0.62 0.60 0.60 0.58 0.56 0.51 0.49 0.45 0.48 0.46 0.44 0.47 0.48 0.48 0.50

UGI Corporation's fixed asset turnover has been gradually declining over the past few quarters, indicating that the company is generating less revenue per dollar invested in fixed assets. This could suggest lower efficiency or productivity in utilizing its fixed assets to generate sales.

On the other hand, the total asset turnover ratio also shows a downward trend, reflecting a decrease in revenue generated for each dollar of total assets owned by the company. This may imply a declining efficiency in generating sales from the total asset base.

Overall, the declining trend in both fixed asset turnover and total asset turnover ratios for UGI Corporation suggests potential concerns regarding the company's operational efficiency and asset utilization in generating revenue. It may be important for the company to review its asset management strategies and operational processes to improve these ratios and enhance overall performance.