VeriSign Inc (VRSN)

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 — 3.89 — 3.39 3.40 3.90 — 4.05 3.83 4.64
Receivables turnover 278.11 257.07 424.47 232.77 237.00 322.15 211.96 — 229.82 108.22 129.57 201.63 251.25 142.86 131.96 202.09 272.53 197.50 233.39 245.25
Payables turnover 18.06 22.80 21.48 20.90 15.78 21.20 26.41 30.29 20.48 25.25 22.17 26.43 21.33 30.26 15.83 16.14 14.60 17.26 12.03 17.30
Working capital turnover — — — — — — — — — — — 7.54 6.82 6.05 6.77 5.66 5.52 5.50 5.39 5.39

VeriSign Inc's activity ratios provide insight into how efficiently the company is managing its resources.

1. Inventory turnover: VeriSign's inventory turnover has shown some fluctuation over the years, ranging from a low of 3.40 to a high of 4.64. A higher inventory turnover generally indicates more efficient management of inventory levels, ensuring minimal excess inventory and potential obsolescence.

2. Receivables turnover: VeriSign's receivables turnover has also varied, with figures ranging from 108.22 to 424.47. A higher receivables turnover indicates that the company is collecting its accounts receivable more quickly, which is a positive sign of effective credit management and cash flow.

3. Payables turnover: VeriSign's payables turnover has fluctuated as well, with values ranging from 12.03 to 30.29. A higher payables turnover ratio indicates that the company is managing its payables efficiently, possibly taking advantage of credit terms and improving its working capital management.

4. Working capital turnover: VeriSign's working capital turnover has generally shown an increasing trend, ranging from 5.39 to 7.54. A higher working capital turnover ratio suggests that the company is effectively utilizing its working capital to generate sales, which reflects efficient operations and potentially higher profitability.

Overall, by analyzing these activity ratios, it appears that VeriSign Inc has been focused on managing its resources effectively to drive operational efficiency and enhance financial performance.

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 — — — — — — — — — 100.44 — 93.86 — 107.80 107.38 93.50 — 90.13 95.33 78.64
Days of sales outstanding (DSO) days 1.31 1.42 0.86 1.57 1.54 1.13 1.72 — 1.59 3.37 2.82 1.81 1.45 2.55 2.77 1.81 1.34 1.85 1.56 1.49
Number of days of payables days 20.21 16.01 16.99 17.46 23.12 17.22 13.82 12.05 17.82 14.45 16.46 13.81 17.11 12.06 23.06 22.61 25.00 21.15 30.33 21.10

The Days of Inventory on Hand (DOH) for VeriSign Inc fluctuated over the period given, ranging from a low of 78.64 days on March 31, 2020, to a high of 107.80 days on September 30, 2021. This indicates that the company held inventory for an average of around 80 to 100 days during this timeframe.

The Days of Sales Outstanding (DSO) also varied, with the lowest being 0.86 days on June 30, 2024, and the highest at 3.37 days on September 30, 2022. The DSO metric represents the average number of days it takes for a company to collect payment after a sale, showing the company's efficiency in collecting its accounts receivable.

In terms of the Number of Days of Payables, the range was narrower compared to the other ratios, with the lowest at 12.05 days on March 31, 2023, and the highest at 30.33 days on June 30, 2020. This ratio reflects how long a company takes to pay its suppliers or vendors, with VeriSign Inc generally taking around 15 to 25 days to settle its payables.

Overall, these activity ratios provide insights into VeriSign Inc's inventory management, accounts receivable collection efficiency, and payment practices to suppliers. The company may want to analyze these ratios further to optimize working capital management and improve overall operational efficiency.

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 6.94 6.86 6.71 6.66 6.40 6.22 6.56 6.41 6.14 5.94 5.72 5.52 5.29 5.25 5.21 5.29 5.15 5.05 4.98 5.00
Total asset turnover 1.11 1.05 1.02 0.88 0.85 0.87 0.87 0.82 0.82 0.80 0.78 0.68 0.67 0.72 0.74 0.72 0.72 0.71 0.68 0.71

VeriSign Inc's fixed asset turnover ratio has been showing a consistent upward trend over the past few years. It increased from 5.00 in March 2020 to 6.94 in December 2024. This indicates that VeriSign is generating more revenue relative to its investment in fixed assets.

On the other hand, the total asset turnover ratio has been more volatile but generally increasing. It started at 0.71 in March 2020, dipped in December 2021 to 0.67, and then surged to 1.11 by December 2024. This suggests that VeriSign has been improving its efficiency in generating sales relative to its total assets.

Overall, the increasing trend in both the fixed asset turnover and total asset turnover ratios indicates that VeriSign has been effectively utilizing its assets to generate revenue over the years, which is a positive sign for the company's long-term operational efficiency.