NCR Voyix Corporation (VYX)

Short-term

Turnover ratios

NCR Voyix Corporation's activity ratios provide insights into how effectively the company is managing its assets and liabilities to generate revenue.

1. Inventory turnover: The inventory turnover ratio measures how efficiently the company is managing its inventory. A higher ratio indicates that inventory is being sold quickly. NCR Voyix's inventory turnover has fluctuated over the periods, ranging from 1.69 to 7.79. The decreasing trend in recent periods may suggest a potential issue with inventory management or lower demand for its products.

2. Receivables turnover: The receivables turnover ratio reflects how quickly the company collects cash from its credit sales. A higher ratio indicates more efficient collection. NCR Voyix's receivables turnover has also varied, ranging from 4.64 to 13.70. The increasing trend in recent periods suggests an improvement in the company's ability to collect receivables promptly.

3. Payables turnover: The payables turnover ratio measures how quickly the company pays its suppliers. A higher ratio indicates a shorter payment period. NCR Voyix's payables turnover has fluctuated between 1.40 and 7.41. The decreasing trend in recent periods may indicate an extension in payment terms, which could affect relationships with suppliers.

4. Working capital turnover: The working capital turnover ratio evaluates how efficiently the company is utilizing its working capital to generate revenue. A higher ratio indicates better utilization of working capital. NCR Voyix's working capital turnover has varied significantly, ranging from 3.61 to 148.55. The high turnover in certain periods could signal efficient use of working capital to drive revenue growth.

Overall, NCR Voyix Corporation should analyze the trends in these activity ratios to identify areas for improvement in managing its assets and liabilities effectively to optimize operational efficiency and financial performance.

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Average number of days

The activity ratios of NCR Voyix Corporation provide insights into the efficiency of the company's operations.

1. Days of Inventory on Hand (DOH): This ratio measures how many days, on average, it takes for the company to sell its inventory. A decreasing trend in DOH indicates that the company is selling its inventory faster. For NCR Voyix Corporation, the DOH has shown fluctuations over the past few quarters, ranging from as low as 46.84 days to as high as 216.22 days. This volatility suggests inconsistencies in inventory management, possibly leading to excess or insufficient inventory levels at times.

2. Days of Sales Outstanding (DSO): DSO indicates how long it takes for the company to collect payment after making a sale. A lower DSO is favorable as it signifies quicker cash conversion. NCR Voyix Corporation's DSO has varied between 45.81 days to 79.47 days over the analyzed periods. Generally, the company has maintained DSO within a moderate range, although improvements in collection efficiency could lead to faster cash inflows.

3. Number of Days of Payables: This ratio shows the average number of days the company takes to pay its suppliers. A higher number of days of payables implies that the company is taking longer to settle its debts, potentially indicating liquidity constraints or strained supplier relationships. NCR Voyix Corporation has shown fluctuations in this ratio, ranging from 49.26 days to 259.90 days. Consistently high days of payables may raise concerns about the company's financial health and relationships with suppliers.

In summary, NCR Voyix Corporation's activity ratios reflect mixed performance in inventory management, receivables collection, and payment to suppliers. The company should aim to optimize these ratios to enhance operational efficiency and strengthen its cash flow management.

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Long-term

NCR Voyix Corporation's long-term activity ratios provide insights into how efficiently the company is utilizing its assets to generate sales revenue.

1. Fixed Asset Turnover: This ratio measures how effectively the company is using its fixed assets to generate sales. NCR Voyix Corporation's fixed asset turnover has shown fluctuations over time. The company's fixed asset turnover ranged from around 10 to 33 times during the period analyzed. A higher fixed asset turnover generally indicates more efficient utilization of fixed assets to generate sales.

2. Total Asset Turnover: This ratio reflects the company's ability to generate sales in relation to its total assets. NCR Voyix Corporation's total asset turnover also displayed variability during the period. The total asset turnover ranged from around 0.52 to 0.81 times. A higher total asset turnover suggests that the company is efficiently utilizing its total assets to generate revenue.

In summary, NCR Voyix Corporation's fixed asset turnover and total asset turnover ratios fluctuated over the periods studied. While a higher turnover ratio is generally preferred as it indicates efficient asset utilization, fluctuations could be due to changes in business operations or asset investments. Further analysis and comparison with industry benchmarks can provide a more comprehensive understanding of the company's long-term asset management efficiency.