Vector Group Ltd (VGR)

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 11.80 11.85 10.65 10.40 10.80 11.08 9.36 8.33 8.13 11.62 13.84 14.11 16.63 15.67 14.13 13.42 13.53 14.27 15.65 15.38
Receivables turnover 53.86 51.13 31.73 47.97 29.33 46.49 38.56 42.22 45.19 32.09 33.79 40.24 49.88 43.68 57.35 49.97 52.44 44.78 42.11 48.44
Payables turnover 160.82 166.16 146.28 188.85 157.24 174.38 115.26 109.48 81.49 65.53 120.27 93.88 249.15 123.82 113.89 105.86 130.69 99.70 154.00 133.99
Working capital turnover 3.91 4.01 4.33 4.86 4.55 4.94 4.42 4.33 3.98 3.17 3.68 4.71 5.34 5.33 6.25 8.26 8.79 69.39 23.22 5.44

Activity ratios provide insight into a company's operational efficiency and management of assets and liabilities.

1. Inventory turnover: Vector Group Ltd has shown a consistent and strong inventory turnover ratio, ranging from 10.09 to 10.92 over the past eight quarters. This indicates that the company efficiently manages its inventory levels and quickly sells its products, which is a positive sign of effective inventory management.

2. Receivables turnover: The receivables turnover ratio has varied over the quarters, with a low of 29.33 in Q4 2022 and a high of 53.86 in Q4 2023. A higher ratio suggests that the company efficiently collects payments from customers, which is essential for maintaining healthy cash flow.

3. Payables turnover: Vector Group Ltd has demonstrated a fluctuating payables turnover ratio, ranging from 138.57 to 183.71 in the last eight quarters. A higher ratio indicates that the company is paying its suppliers quickly, which can help in building good relationships with vendors.

4. Working capital turnover: The working capital turnover ratio has shown an increasing trend over the quarters, with values ranging from 1.32 to 4.86. A higher ratio signifies that the company is effectively utilizing its working capital to generate sales revenue.

Overall, Vector Group Ltd's activity ratios reflect efficient management of inventory, receivables, payables, and working capital, which are crucial for sustaining and improving the company's financial performance and competitiveness.

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 30.92 30.81 34.27 35.11 33.79 32.93 38.98 43.83 44.88 31.41 26.38 25.87 21.95 23.30 25.84 27.19 26.98 25.59 23.32 23.74
Days of sales outstanding (DSO) days 6.78 7.14 11.50 7.61 12.44 7.85 9.47 8.65 8.08 11.37 10.80 9.07 7.32 8.36 6.36 7.30 6.96 8.15 8.67 7.54
Number of days of payables days 2.27 2.20 2.50 1.93 2.32 2.09 3.17 3.33 4.48 5.57 3.03 3.89 1.46 2.95 3.20 3.45 2.79 3.66 2.37 2.72

Days of inventory on hand (DOH) measures how many days, on average, a company holds its inventory before selling it. Vector Group Ltd's DOH has been fluctuating over the past quarters, ranging from 33.43 days to 36.18 days in Q3 and Q2 2023, respectively. Compared to previous periods, the company has significantly reduced its inventory holding period, which is a positive sign of efficient inventory management.

Days of sales outstanding (DSO) indicates the average number of days it takes for a company to collect revenue after making a sale. Vector Group Ltd's DSO has also shown variability, ranging from 6.78 days to 11.50 days in Q4 and Q2 2023, respectively. The company has been successful in decreasing its DSO from the previous quarters, indicating improved efficiency in collecting receivables.

Number of days of payables illustrates the average number of days a company takes to pay its suppliers. Vector Group Ltd's payables days have been relatively stable, fluctuating between 1.99 days and 2.63 days in Q1 and Q2 2023, respectively. The company appears to be managing its payables effectively, maintaining a consistent payment period.

Overall, based on the analysis of the activity ratios, Vector Group Ltd has shown improvements in managing its inventory, collecting receivables, and paying suppliers efficiently. These trends suggest that the company is making strides in optimizing its working capital management 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 32.84 32.75 32.73 33.31 36.41 34.65 36.40 34.97 33.15 19.16 23.91 24.43 26.04 25.30 24.24 24.54 23.59 22.76 22.16 20.61
Total asset turnover 1.52 1.30 1.40 1.53 1.59 1.33 1.32 1.38 1.40 0.97 1.16 1.32 1.51 1.33 1.40 1.32 1.29 1.28 1.28 1.24

The fixed asset turnover ratio for Vector Group Ltd has remained quite high and consistent over the last few quarters, ranging from 32.73 to 33.31. This indicates that the company is efficiently utilizing its fixed assets to generate sales. A higher fixed asset turnover ratio is generally favorable as it implies that the company is generating more revenue per dollar invested in fixed assets.

On the other hand, the total asset turnover ratio has also shown stability, albeit at a lower level compared to the fixed asset turnover. It has ranged from 1.30 to 1.59 over the quarters analyzed. The total asset turnover ratio measures the company's ability to generate sales from all its assets, including both fixed and current assets. A higher total asset turnover indicates that the company is effectively using all its assets to generate sales.

In summary, Vector Group Ltd's long-term activity ratios suggest that the company is efficiently utilizing both its fixed assets and total assets to generate sales, as indicated by the relatively high fixed asset turnover ratio and stable total asset turnover ratio over the analyzed quarters.