Short-term (Operating) Activity Analysis
Quarterly Data

Difficulty: Beginner


Ratios (Summary)

Adobe Systems Inc., short-term (operating) activity ratios (quarterly data)

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Jun 1, 2018 Mar 2, 2018 Dec 1, 2017 Sep 1, 2017 Jun 2, 2017 Mar 3, 2017 Dec 2, 2016 Sep 2, 2016 Jun 3, 2016 Mar 4, 2016 Nov 27, 2015 Aug 28, 2015 May 29, 2015 Feb 27, 2015 Nov 28, 2014 Aug 29, 2014 May 30, 2014 Feb 28, 2014 Nov 29, 2013 Aug 30, 2013 May 31, 2013 Mar 1, 2013 Nov 30, 2012 Aug 31, 2012 Jun 1, 2012 Mar 2, 2012
Turnover Ratios
Receivables turnover 7.56 7.24 5.99 6.86 7.24 7.23 7.03 7.59 7.96 8.46 7.14 7.69 8.65 7.99 7.01 7.79 7.72 7.93 6.76 7.98 9.05 8.99 7.13
Payables turnover 9.16 7.87 8.90 10.59 11.50 4.48 9.31 9.64 10.49 10.82 7.98 10.08 11.86 8.93 9.10 11.32 10.90 8.97 9.45 7.94 9.99 7.32 9.72
Working capital turnover 2.02 1.95 1.96 2.05 2.17 2.20 1.93 1.91 1.86 1.88 1.84 1.85 1.94 1.95 1.97 2.02 2.16 2.21 1.61 1.63 1.29 1.40 1.44
Average No. of Days
Add: Average receivable collection period 48 50 61 53 50 50 52 48 46 43 51 47 42 46 52 47 47 46 54 46 40 41 51
Less: Average payables payment period 40 46 41 34 32 81 39 38 35 34 46 36 31 41 40 32 33 41 39 46 37 50 38
Source: Based on data from Adobe Systems Inc. Quarterly and Annual Reports
Ratio Description The company
Receivables turnover An activity ratio equal to revenue divided by receivables. Adobe Systems Inc.'s receivables turnover improved from Q4 2017 to Q1 2018 and from Q1 2018 to Q2 2018.
Payables turnover An activity ratio calculated as cost of goods sold divided by payables. Adobe Systems Inc.'s payables turnover declined from Q4 2017 to Q1 2018 but then increased from Q1 2018 to Q2 2018 exceeding Q4 2017 level.
Working capital turnover An activity ratio calculated as revenue divided by working capital. Adobe Systems Inc.'s working capital turnover deteriorated from Q4 2017 to Q1 2018 but then improved from Q1 2018 to Q2 2018 exceeding Q4 2017 level.
Average receivable collection period An activity ratio equal to the number of days in the period divided by receivables turnover. Adobe Systems Inc.'s average receivable collection period improved from Q4 2017 to Q1 2018 and from Q1 2018 to Q2 2018.
Average payables payment period An estimate of the average number of days it takes a company to pay its suppliers; equal to the number of days in the period divided by payables turnover ratio for the period. Adobe Systems Inc.'s average payables payment period increased from Q4 2017 to Q1 2018 but then declined significantly from Q1 2018 to Q2 2018.

Receivables Turnover

Adobe Systems Inc., receivables turnover calculation (quarterly data)

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Jun 1, 2018 Mar 2, 2018 Dec 1, 2017 Sep 1, 2017 Jun 2, 2017 Mar 3, 2017 Dec 2, 2016 Sep 2, 2016 Jun 3, 2016 Mar 4, 2016 Nov 27, 2015 Aug 28, 2015 May 29, 2015 Feb 27, 2015 Nov 28, 2014 Aug 29, 2014 May 30, 2014 Feb 28, 2014 Nov 29, 2013 Aug 30, 2013 May 31, 2013 Mar 1, 2013 Nov 30, 2012 Aug 31, 2012 Jun 1, 2012 Mar 2, 2012
Selected Financial Data (USD $ in thousands)
Revenue 2,195,360  2,078,947  2,006,595  1,841,074  1,772,190  1,681,646  1,608,419  1,463,967  1,398,709  1,383,335  1,306,404  1,217,768  1,162,158  1,109,181  1,073,328  1,005,409  1,068,208  1,000,120  1,041,699  995,119  1,010,549  1,007,873  1,153,428  1,080,580  1,124,449  1,045,220 
Trade receivables, net of allowances for doubtful accounts 1,074,877  1,062,690  1,217,968  1,006,187  901,452  850,840  833,033  731,166  666,736  599,207  672,006  593,554  502,617  532,427  591,800  528,331  531,557  510,507  599,820  522,409  470,052  485,801  617,233  566,671  529,391  512,211 
Ratio
Receivables turnover1 7.56 7.24 5.99 6.86 7.24 7.23 7.03 7.59 7.96 8.46 7.14 7.69 8.65 7.99 7.01 7.79 7.72 7.93 6.76 7.98 9.05 8.99 7.13
Source: Based on data from Adobe Systems Inc. Quarterly and Annual Reports

Q2 2018 Calculations

1 Receivables turnover = (RevenueQ2 2018 + RevenueQ1 2018 + RevenueQ4 2017 + RevenueQ3 2017) ÷ Trade receivables, net of allowances for doubtful accounts
= (2,195,360 + 2,078,947 + 2,006,595 + 1,841,074) ÷ 1,074,877 = 7.56

Ratio Description The company
Receivables turnover An activity ratio equal to revenue divided by receivables. Adobe Systems Inc.'s receivables turnover improved from Q4 2017 to Q1 2018 and from Q1 2018 to Q2 2018.

Payables Turnover

Adobe Systems Inc., payables turnover calculation (quarterly data)

Microsoft Excel LibreOffice Calc
Jun 1, 2018 Mar 2, 2018 Dec 1, 2017 Sep 1, 2017 Jun 2, 2017 Mar 3, 2017 Dec 2, 2016 Sep 2, 2016 Jun 3, 2016 Mar 4, 2016 Nov 27, 2015 Aug 28, 2015 May 29, 2015 Feb 27, 2015 Nov 28, 2014 Aug 29, 2014 May 30, 2014 Feb 28, 2014 Nov 29, 2013 Aug 30, 2013 May 31, 2013 Mar 1, 2013 Nov 30, 2012 Aug 31, 2012 Jun 1, 2012 Mar 2, 2012
Selected Financial Data (USD $ in thousands)
Cost of revenue 281,344  258,902  270,872  262,922  239,360  237,337  216,556  202,701  202,079  198,572  201,361  190,985  185,173  166,798  160,943  157,724  154,904  148,509  147,516  147,076  135,281  156,684  124,978  119,621  130,918  108,265 
Trade payables 117,194  131,090  113,538  90,327  77,905  191,484  88,024  83,444  75,582  71,706  93,307  69,823  56,539  71,670  68,377  53,791  54,858  64,508  62,096  71,070  53,685  72,725  49,759  58,446  69,416  70,100 
Ratio
Payables turnover1 9.16 7.87 8.90 10.59 11.50 4.48 9.31 9.64 10.49 10.82 7.98 10.08 11.86 8.93 9.10 11.32 10.90 8.97 9.45 7.94 9.99 7.32 9.72
Source: Based on data from Adobe Systems Inc. Quarterly and Annual Reports

Q2 2018 Calculations

1 Payables turnover = (Cost of revenueQ2 2018 + Cost of revenueQ1 2018 + Cost of revenueQ4 2017 + Cost of revenueQ3 2017) ÷ Trade payables
= (281,344 + 258,902 + 270,872 + 262,922) ÷ 117,194 = 9.16

Ratio Description The company
Payables turnover An activity ratio calculated as cost of goods sold divided by payables. Adobe Systems Inc.'s payables turnover declined from Q4 2017 to Q1 2018 but then increased from Q1 2018 to Q2 2018 exceeding Q4 2017 level.

Working Capital Turnover

Adobe Systems Inc., working capital turnover calculation (quarterly data)

Microsoft Excel LibreOffice Calc
Jun 1, 2018 Mar 2, 2018 Dec 1, 2017 Sep 1, 2017 Jun 2, 2017 Mar 3, 2017 Dec 2, 2016 Sep 2, 2016 Jun 3, 2016 Mar 4, 2016 Nov 27, 2015 Aug 28, 2015 May 29, 2015 Feb 27, 2015 Nov 28, 2014 Aug 29, 2014 May 30, 2014 Feb 28, 2014 Nov 29, 2013 Aug 30, 2013 May 31, 2013 Mar 1, 2013 Nov 30, 2012 Aug 31, 2012 Jun 1, 2012 Mar 2, 2012
Selected Financial Data (USD $ in thousands)
Current assets 7,741,444  7,480,814  7,247,813  6,581,057  6,052,197  5,755,562  5,839,774  5,418,710  5,238,564  4,935,390  4,821,892  4,525,888  4,178,397  3,972,159  4,602,328  4,279,468  4,114,343  3,942,391  4,045,929  3,886,124  4,557,657  4,373,083  4,331,360  4,010,173  3,770,807  3,505,655 
Less: Current liabilities 3,728,956  3,536,469  3,527,457  3,216,144  3,047,896  2,954,069  2,811,635  2,505,666  2,385,590  2,231,806  2,213,556  2,060,814  1,937,033  1,788,160  2,494,435  2,245,248  2,217,972  2,112,347  1,525,648  1,329,117  1,264,855  1,264,323  1,271,752  1,169,710  1,245,644  1,115,022 
Working capital 4,012,488  3,944,345  3,720,356  3,364,913  3,004,301  2,801,493  3,028,139  2,913,044  2,852,974  2,703,584  2,608,336  2,465,074  2,241,364  2,183,999  2,107,893  2,034,220  1,896,371  1,830,044  2,520,281  2,557,007  3,292,802  3,108,760  3,059,608  2,840,463  2,525,163  2,390,633 
Revenue 2,195,360  2,078,947  2,006,595  1,841,074  1,772,190  1,681,646  1,608,419  1,463,967  1,398,709  1,383,335  1,306,404  1,217,768  1,162,158  1,109,181  1,073,328  1,005,409  1,068,208  1,000,120  1,041,699  995,119  1,010,549  1,007,873  1,153,428  1,080,580  1,124,449  1,045,220 
Ratio
Working capital turnover1 2.02 1.95 1.96 2.05 2.17 2.20 1.93 1.91 1.86 1.88 1.84 1.85 1.94 1.95 1.97 2.02 2.16 2.21 1.61 1.63 1.29 1.40 1.44
Source: Based on data from Adobe Systems Inc. Quarterly and Annual Reports

Q2 2018 Calculations

1 Working capital turnover = (RevenueQ2 2018 + RevenueQ1 2018 + RevenueQ4 2017 + RevenueQ3 2017) ÷ Working capital
= (2,195,360 + 2,078,947 + 2,006,595 + 1,841,074) ÷ 4,012,488 = 2.02

Ratio Description The company
Working capital turnover An activity ratio calculated as revenue divided by working capital. Adobe Systems Inc.'s working capital turnover deteriorated from Q4 2017 to Q1 2018 but then improved from Q1 2018 to Q2 2018 exceeding Q4 2017 level.

Average Receivable Collection Period

Adobe Systems Inc., average receivable collection period calculation (quarterly data)

Microsoft Excel LibreOffice Calc
Jun 1, 2018 Mar 2, 2018 Dec 1, 2017 Sep 1, 2017 Jun 2, 2017 Mar 3, 2017 Dec 2, 2016 Sep 2, 2016 Jun 3, 2016 Mar 4, 2016 Nov 27, 2015 Aug 28, 2015 May 29, 2015 Feb 27, 2015 Nov 28, 2014 Aug 29, 2014 May 30, 2014 Feb 28, 2014 Nov 29, 2013 Aug 30, 2013 May 31, 2013 Mar 1, 2013 Nov 30, 2012 Aug 31, 2012 Jun 1, 2012 Mar 2, 2012
Selected Financial Data
Receivables turnover 7.56 7.24 5.99 6.86 7.24 7.23 7.03 7.59 7.96 8.46 7.14 7.69 8.65 7.99 7.01 7.79 7.72 7.93 6.76 7.98 9.05 8.99 7.13
Ratio (no. of days)
Average receivable collection period1 48 50 61 53 50 50 52 48 46 43 51 47 42 46 52 47 47 46 54 46 40 41 51
Source: Based on data from Adobe Systems Inc. Quarterly and Annual Reports

Q2 2018 Calculations

1 Average receivable collection period = 365 ÷ Receivables turnover
= 365 ÷ 7.56 = 48

Ratio Description The company
Average receivable collection period An activity ratio equal to the number of days in the period divided by receivables turnover. Adobe Systems Inc.'s average receivable collection period improved from Q4 2017 to Q1 2018 and from Q1 2018 to Q2 2018.

Average Payables Payment Period

Adobe Systems Inc., average payables payment period calculation (quarterly data)

Microsoft Excel LibreOffice Calc
Jun 1, 2018 Mar 2, 2018 Dec 1, 2017 Sep 1, 2017 Jun 2, 2017 Mar 3, 2017 Dec 2, 2016 Sep 2, 2016 Jun 3, 2016 Mar 4, 2016 Nov 27, 2015 Aug 28, 2015 May 29, 2015 Feb 27, 2015 Nov 28, 2014 Aug 29, 2014 May 30, 2014 Feb 28, 2014 Nov 29, 2013 Aug 30, 2013 May 31, 2013 Mar 1, 2013 Nov 30, 2012 Aug 31, 2012 Jun 1, 2012 Mar 2, 2012
Selected Financial Data
Payables turnover 9.16 7.87 8.90 10.59 11.50 4.48 9.31 9.64 10.49 10.82 7.98 10.08 11.86 8.93 9.10 11.32 10.90 8.97 9.45 7.94 9.99 7.32 9.72
Ratio (no. of days)
Average payables payment period1 40 46 41 34 32 81 39 38 35 34 46 36 31 41 40 32 33 41 39 46 37 50 38
Source: Based on data from Adobe Systems Inc. Quarterly and Annual Reports

Q2 2018 Calculations

1 Average payables payment period = 365 ÷ Payables turnover
= 365 ÷ 9.16 = 40

Ratio Description The company
Average payables payment period An estimate of the average number of days it takes a company to pay its suppliers; equal to the number of days in the period divided by payables turnover ratio for the period. Adobe Systems Inc.'s average payables payment period increased from Q4 2017 to Q1 2018 but then declined significantly from Q1 2018 to Q2 2018.