Vericel Corp Ord (VCEL)
Activity ratios
Short-term
Turnover ratios
| 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 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Inventory turnover | 4.73 | 4.75 | 4.20 | 3.67 | 3.41 | 3.21 | 3.31 | 3.56 | 3.75 | 3.69 | 3.52 | 4.03 | 4.27 | 3.86 | 4.57 | 5.34 | 5.51 | 5.22 | 7.19 | 8.16 |
| Receivables turnover | 3.74 | 5.32 | 5.40 | 5.42 | 4.06 | 5.69 | 5.76 | 6.27 | 5.13 | 7.09 | 6.15 | 5.74 | 4.25 | 5.49 | 6.05 | 5.94 | 4.17 | 6.97 | 4.83 | 5.04 |
| Payables turnover | 2.77 | 3.98 | 4.04 | 5.07 | 3.22 | 6.62 | 5.45 | 6.61 | 5.56 | 8.64 | 5.60 | 4.71 | 5.91 | 6.02 | 8.49 | 6.07 | 5.92 | 6.74 | 6.56 | 5.34 |
| Working capital turnover | 1.24 | 1.23 | 1.21 | 1.14 | 1.10 | 1.14 | 1.19 | 1.21 | 1.18 | 1.22 | 1.32 | 1.27 | 1.23 | 1.14 | 1.19 | 1.25 | 1.28 | 1.23 | 1.25 | 0.98 |
Vericel Corp's activity ratios indicate the efficiency of its operations in managing inventory, receivables, payables, and working capital.
1. Inventory turnover: Vericel Corp's inventory turnover has been relatively stable over the quarters, ranging from 3.41 to 4.75. This suggests that the company is efficiently managing its inventory by turning it over multiple times during the year, with a higher turnover indicating better liquidity and lower risk of inventory obsolescence.
2. Receivables turnover: The company's receivables turnover has shown fluctuations but generally remains above 3.5, indicating that Vericel Corp is collecting its accounts receivable at a relatively efficient pace. A higher turnover ratio signifies that the company is efficient in collecting payments from its customers, resulting in better cash flow.
3. Payables turnover: Vericel Corp's payables turnover has also varied, with a range from 2.77 to 6.62. A lower turnover ratio may indicate that the company is taking longer to pay its suppliers, potentially benefiting from extended payment terms. Conversely, a higher turnover ratio suggests that the company is paying its bills more quickly, which may impact cash flow management.
4. Working capital turnover: The working capital turnover, ranging from 1.10 to 1.24, indicates how efficiently Vericel Corp is using its working capital to generate sales. A higher turnover ratio implies that the company is effectively utilizing its working capital to support its operations and generate revenue.
Overall, Vericel Corp's activity ratios provide insights into its operational efficiency in managing key aspects of its business, including inventory, receivables, payables, and working capital. Monitoring these ratios over time can help assess the company's performance and identify areas for improvement.
Average number of days
| 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 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Days of inventory on hand (DOH) | days | 77.12 | 76.91 | 87.01 | 99.38 | 106.91 | 113.73 | 110.15 | 102.55 | 97.37 | 98.93 | 103.82 | 90.54 | 85.48 | 94.45 | 79.82 | 68.41 | 66.22 | 69.93 | 50.76 | 44.76 |
| Days of sales outstanding (DSO) | days | 97.49 | 68.64 | 67.64 | 67.39 | 89.80 | 64.16 | 63.41 | 58.23 | 71.13 | 51.52 | 59.32 | 63.63 | 85.84 | 66.54 | 60.28 | 61.48 | 87.55 | 52.39 | 75.61 | 72.41 |
| Number of days of payables | days | 131.69 | 91.72 | 90.25 | 71.93 | 113.22 | 55.15 | 66.97 | 55.25 | 65.61 | 42.23 | 65.16 | 77.42 | 61.71 | 60.67 | 43.00 | 60.12 | 61.64 | 54.12 | 55.66 | 68.31 |
Vericel Corp's activity ratios show its efficiency in managing inventory, collecting receivables, and paying its bills.
The days of inventory on hand (DOH) have been decreasing steadily over the past few quarters, indicating that the company is selling its inventory at a faster pace. This trend suggests effective inventory management and control over production levels.
In terms of days of sales outstanding (DSO), Vericel Corp has shown some fluctuation in collecting receivables. While the DSO increased in Q4 2023 compared to the previous quarter, it remained relatively stable. A lower DSO indicates that the company is collecting its outstanding receivables faster, which is a positive sign for cash flow management.
Regarding the number of days of payables, Vericel Corp has been stretching its payment periods in recent quarters. This suggests that the company is taking longer to pay its suppliers, which could indicate favorable working capital management strategies. However, it is important to monitor this trend to ensure good relationships with suppliers are maintained.
Overall, Vericel Corp's activity ratios suggest effective management of inventory, receivables, and payables, demonstrating a balanced approach to optimizing cash flow and operational efficiency.
Long-term
| 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 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Fixed asset turnover | 4.74 | 6.13 | 7.62 | 9.32 | 10.40 | 10.03 | 9.78 | 10.96 | 11.80 | 13.11 | 14.44 | 14.72 | 16.51 | 16.92 | 16.87 | 3.84 | 16.85 | 15.27 | 14.62 | 14.68 |
| Total asset turnover | 0.56 | 0.58 | 0.57 | 0.64 | 0.60 | 0.64 | 0.63 | 0.66 | 0.64 | 0.69 | 0.68 | 0.62 | 0.60 | 0.75 | 0.79 | 0.82 | 0.77 | 0.80 | 0.81 | 0.67 |
Vericel Corp's long-term activity ratios provide insights into how efficiently the company is utilizing its assets to generate revenue.
Fixed asset turnover indicates how effectively the company is using its fixed assets to generate sales. Vericel Corp's fixed asset turnover has ranged from 4.74 to 10.91 over the past eight quarters. The trend shows a general decline in the ratio, which may indicate that the company is not utilizing its fixed assets as efficiently as in the previous quarters.
Total asset turnover measures how well the company is using all of its assets to generate revenue. Vericel Corp's total asset turnover has fluctuated between 0.56 and 0.66 in the same period. The ratio has shown some volatility but has remained relatively stable overall.
Overall, Vericel Corp's long-term activity ratios suggest that the company may need to focus on optimizing the utilization of its fixed assets to improve efficiency and profitability. Additionally, maintaining a stable total asset turnover indicates that the company is effectively leveraging its overall asset base to generate revenue.