Analysis of Short-term (Operating) Activity Ratios
Activity ratios measure how efficiently a company performs day-to-day tasks, such us the collection of receivables and management of inventory.
Short-term Activity Ratios (Summary)
Etsy Inc., short-term (operating) activity ratios
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).
| Short-term activity ratio | Description | The company |
|---|---|---|
| Receivables turnover | An activity ratio equal to revenue divided by receivables. | Etsy Inc. receivables turnover ratio improved from 2019 to 2020 and from 2020 to 2021. |
| Payables turnover | An activity ratio calculated as cost of goods sold divided by payables. | Etsy Inc. payables turnover ratio increased from 2019 to 2020 and from 2020 to 2021. |
| Working capital turnover | An activity ratio calculated as revenue divided by working capital. | Etsy Inc. working capital turnover ratio improved from 2019 to 2020 and from 2020 to 2021. |
| Short-term activity ratio | Description | The company |
|---|---|---|
| Average receivable collection period | An activity ratio equal to the number of days in the period divided by receivables turnover. | Etsy Inc. number of days of receivables outstanding improved from 2019 to 2020 and from 2020 to 2021. |
| 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. | Etsy Inc. number of days of payables outstanding decreased from 2019 to 2020 and from 2020 to 2021. |
Receivables Turnover
Etsy Inc., receivables turnover calculation, comparison to benchmarks
| Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||
| Revenue | 2,329,114) | 1,725,625) | 818,379) | 603,693) | 441,231) | |
| Accounts receivable, net | 27,266) | 22,605) | 15,386) | 12,244) | 33,677) | |
| Short-term Activity Ratio | ||||||
| Receivables turnover1 | 85.42 | 76.34 | 53.19 | 49.31 | 13.10 | |
| Benchmarks | ||||||
| Receivables Turnover, Competitors2 | ||||||
| Amazon.com Inc. | 23.26 | 26.09 | 22.26 | — | — | |
| Home Depot Inc. | 44.15 | 52.34 | 55.89 | — | — | |
| Lowe’s Cos. Inc. | — | — | — | — | — | |
| TJX Cos. Inc. | 69.69 | 108.00 | 112.54 | — | — | |
| Receivables Turnover, Sector | ||||||
| Consumer Discretionary Distribution & Retail | 30.59 | 35.28 | 33.53 | — | — | |
| Receivables Turnover, Industry | ||||||
| Consumer Discretionary | 21.14 | 21.80 | 21.73 | — | — | |
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).
1 2021 Calculation
Receivables turnover = Revenue ÷ Accounts receivable, net
= 2,329,114 ÷ 27,266 = 85.42
2 Click competitor name to see calculations.
| Short-term activity ratio | Description | The company |
|---|---|---|
| Receivables turnover | An activity ratio equal to revenue divided by receivables. | Etsy Inc. receivables turnover ratio improved from 2019 to 2020 and from 2020 to 2021. |
Payables Turnover
Etsy Inc., payables turnover calculation, comparison to benchmarks
| Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||
| Cost of revenue | 654,512) | 464,745) | 271,036) | 190,762) | 150,986) | |
| Accounts payable | 28,007) | 40,883) | 26,324) | 26,545) | 13,622) | |
| Short-term Activity Ratio | ||||||
| Payables turnover1 | 23.37 | 11.37 | 10.30 | 7.19 | 11.08 | |
| Benchmarks | ||||||
| Payables Turnover, Competitors2 | ||||||
| Amazon.com Inc. | 3.46 | 3.22 | 3.51 | — | — | |
| Home Depot Inc. | 7.52 | 9.33 | 9.16 | — | — | |
| Lowe’s Cos. Inc. | 5.51 | 6.42 | 5.85 | — | — | |
| TJX Cos. Inc. | 5.09 | 11.17 | 10.53 | — | — | |
| Payables Turnover, Sector | ||||||
| Consumer Discretionary Distribution & Retail | 4.19 | 4.25 | 4.75 | — | — | |
| Payables Turnover, Industry | ||||||
| Consumer Discretionary | 4.67 | 4.77 | 5.59 | — | — | |
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).
1 2021 Calculation
Payables turnover = Cost of revenue ÷ Accounts payable
= 654,512 ÷ 28,007 = 23.37
2 Click competitor name to see calculations.
| Short-term activity ratio | Description | The company |
|---|---|---|
| Payables turnover | An activity ratio calculated as cost of goods sold divided by payables. | Etsy Inc. payables turnover ratio increased from 2019 to 2020 and from 2020 to 2021. |
Working Capital Turnover
Etsy Inc., working capital turnover calculation, comparison to benchmarks
| Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||
| Current assets | 1,341,501) | 1,894,781) | 921,038) | 680,289) | 439,264) | |
| Less: Current liabilities | 615,588) | 454,664) | 188,528) | 112,062) | 102,477) | |
| Working capital | 725,913) | 1,440,117) | 732,510) | 568,227) | 336,787) | |
| Revenue | 2,329,114) | 1,725,625) | 818,379) | 603,693) | 441,231) | |
| Short-term Activity Ratio | ||||||
| Working capital turnover1 | 3.21 | 1.20 | 1.12 | 1.06 | 1.31 | |
| Benchmarks | ||||||
| Working Capital Turnover, Competitors2 | ||||||
| Amazon.com Inc. | 24.33 | 60.82 | 32.92 | — | — | |
| Home Depot Inc. | 24.87 | 76.81 | 59.68 | — | — | |
| Lowe’s Cos. Inc. | 24.92 | 530.50 | — | — | — | |
| TJX Cos. Inc. | 6.51 | 23.97 | 13.27 | — | — | |
| Working Capital Turnover, Sector | ||||||
| Consumer Discretionary Distribution & Retail | 21.83 | 63.17 | 38.37 | — | — | |
| Working Capital Turnover, Industry | ||||||
| Consumer Discretionary | 11.06 | 13.40 | 33.38 | — | — | |
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).
1 2021 Calculation
Working capital turnover = Revenue ÷ Working capital
= 2,329,114 ÷ 725,913 = 3.21
2 Click competitor name to see calculations.
| Short-term activity ratio | Description | The company |
|---|---|---|
| Working capital turnover | An activity ratio calculated as revenue divided by working capital. | Etsy Inc. working capital turnover ratio improved from 2019 to 2020 and from 2020 to 2021. |
Average Receivable Collection Period
Etsy Inc., average receivable collection period calculation, comparison to benchmarks
| Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data | ||||||
| Receivables turnover | 85.42 | 76.34 | 53.19 | 49.31 | 13.10 | |
| Short-term Activity Ratio (no. days) | ||||||
| Average receivable collection period1 | 4 | 5 | 7 | 7 | 28 | |
| Benchmarks (no. days) | ||||||
| Average Receivable Collection Period, Competitors2 | ||||||
| Amazon.com Inc. | 16 | 14 | 16 | — | — | |
| Home Depot Inc. | 8 | 7 | 7 | — | — | |
| Lowe’s Cos. Inc. | — | — | — | — | — | |
| TJX Cos. Inc. | 5 | 3 | 3 | — | — | |
| Average Receivable Collection Period, Sector | ||||||
| Consumer Discretionary Distribution & Retail | 12 | 10 | 11 | — | — | |
| Average Receivable Collection Period, Industry | ||||||
| Consumer Discretionary | 17 | 17 | 17 | — | — | |
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).
1 2021 Calculation
Average receivable collection period = 365 ÷ Receivables turnover
= 365 ÷ 85.42 = 4
2 Click competitor name to see calculations.
| Short-term activity ratio | Description | The company |
|---|---|---|
| Average receivable collection period | An activity ratio equal to the number of days in the period divided by receivables turnover. | Etsy Inc. number of days of receivables outstanding improved from 2019 to 2020 and from 2020 to 2021. |
Average Payables Payment Period
Etsy Inc., average payables payment period calculation, comparison to benchmarks
| Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data | ||||||
| Payables turnover | 23.37 | 11.37 | 10.30 | 7.19 | 11.08 | |
| Short-term Activity Ratio (no. days) | ||||||
| Average payables payment period1 | 16 | 32 | 35 | 51 | 33 | |
| Benchmarks (no. days) | ||||||
| Average Payables Payment Period, Competitors2 | ||||||
| Amazon.com Inc. | 105 | 113 | 104 | — | — | |
| Home Depot Inc. | 49 | 39 | 40 | — | — | |
| Lowe’s Cos. Inc. | 66 | 57 | 62 | — | — | |
| TJX Cos. Inc. | 72 | 33 | 35 | — | — | |
| Average Payables Payment Period, Sector | ||||||
| Consumer Discretionary Distribution & Retail | 87 | 86 | 77 | — | — | |
| Average Payables Payment Period, Industry | ||||||
| Consumer Discretionary | 78 | 76 | 65 | — | — | |
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).
1 2021 Calculation
Average payables payment period = 365 ÷ Payables turnover
= 365 ÷ 23.37 = 16
2 Click competitor name to see calculations.
| Short-term activity 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. | Etsy Inc. number of days of payables outstanding decreased from 2019 to 2020 and from 2020 to 2021. |