Analysis of Short-term (Operating) Activity Ratios
Quarterly Data
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)
Regeneron Pharmaceuticals Inc., short-term (operating) activity ratios (quarterly data)
Based on: 10-Q (reporting date: 2026-03-31), 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31).
The operational activity ratios exhibit a period of significant expansion in the operating and cash conversion cycles between early 2022 and late 2024, followed by a moderate improvement in efficiency toward the end of the analyzed period.
- Inventory Management
- A sharp decline in inventory turnover is observed from 1.27 in March 2022 to a trough of 0.64 by late 2024. This trend is mirrored by the average inventory processing period, which increased from 287 days to a peak of 582 days in March 2025. A slight recovery occurred by March 2026, where turnover rose to 0.74 and the processing period decreased to 491 days, though levels remain substantially higher than the 2022 baseline.
- Receivables Management
- Receivables turnover showed a general downward trend, moving from 3.41 in March 2022 to a low of 2.27 in September 2024. Consequently, the average receivable collection period lengthened from 107 days to a peak of 161 days during the same timeframe. Toward the end of the period, the collection period stabilized and eventually decreased to 140 days by March 2026, coinciding with a turnover recovery to 2.60.
- Payables Management
- A consistent trend of extending payment terms to suppliers is evident. Payables turnover decreased from 5.39 in March 2022 to 2.24 in March 2026. This shift resulted in the average payables payment period expanding from 68 days to 163 days. This strategic extension of payment terms served as a critical offset to the slower collection of receivables and movement of inventory.
- Operating and Cash Conversion Cycles
- The operating cycle experienced a prolonged expansion, rising from 394 days in March 2022 to a peak of 734 days in September 2024, before contracting to 631 days by March 2026. The cash conversion cycle followed a similar trajectory, peaking at 640 days in September 2024. However, the cash conversion cycle saw a more pronounced improvement in the final quarters, dropping to 468 days by March 2026, primarily driven by the increased payables payment period and a reduction in inventory processing time.
- Working Capital Efficiency
- Working capital turnover declined from 1.46 in March 2022 to a low of 0.82 in December 2023, indicating a period of reduced efficiency in utilizing working capital to generate revenue. A gradual recovery is observed thereafter, with the ratio climbing back to 1.14 by March 2026, suggesting a return toward more optimal operational efficiency.
AI Ask an analyst for more
Turnover Ratios
Average No. Days
Inventory Turnover
Regeneron Pharmaceuticals Inc., inventory turnover calculation (quarterly data)
| Mar 31, 2026 | Dec 31, 2025 | Sep 30, 2025 | Jun 30, 2025 | Mar 31, 2025 | 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 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | |||||||||||||||||||||||
| Cost of revenues | 669,400) | 584,600) | 521,600) | 530,200) | 464,300) | 565,400) | 491,100) | 480,200) | 433,800) | 517,000) | 436,400) | 404,900) | 457,500) | 540,600) | 317,800) | 297,100) | 404,900) | ||||||
| Inventories | 3,103,600) | 3,200,800) | 3,254,400) | 3,205,600) | 3,192,400) | 3,087,300) | 3,018,000) | 2,873,600) | 2,714,900) | 2,580,500) | 2,562,000) | 2,507,700) | 2,424,700) | 2,401,900) | 2,412,200) | 2,218,500) | 1,991,500) | ||||||
| Short-term Activity Ratio | |||||||||||||||||||||||
| Inventory turnover1 | 0.74 | 0.66 | 0.64 | 0.64 | 0.63 | 0.64 | 0.64 | 0.65 | 0.66 | 0.70 | 0.72 | 0.69 | 0.67 | 0.65 | 0.83 | 0.96 | 1.27 | ||||||
| Benchmarks | |||||||||||||||||||||||
| Inventory Turnover, Competitors2 | |||||||||||||||||||||||
| AbbVie Inc. | — | 3.68 | 3.65 | 3.42 | 3.71 | 4.04 | 4.09 | 4.86 | 4.83 | 4.98 | 4.74 | 4.30 | 4.53 | 4.87 | 5.54 | 4.99 | 4.96 | ||||||
| Amgen Inc. | 1.91 | 1.93 | 1.92 | 1.88 | 1.88 | 1.84 | 1.75 | 1.42 | 1.14 | 0.89 | 1.41 | 1.38 | 1.31 | 1.30 | 1.34 | 1.40 | 1.48 | ||||||
| Bristol-Myers Squibb Co. | 5.20 | 5.18 | 5.31 | 5.18 | 5.28 | 5.46 | 3.57 | 3.72 | 3.70 | 4.02 | 4.33 | 4.39 | 3.93 | 4.33 | 4.77 | 4.59 | 4.55 | ||||||
| Danaher Corp. | 3.90 | 4.04 | 3.67 | 3.60 | 3.79 | 4.15 | 3.60 | 3.59 | 3.73 | 3.80 | 3.53 | 3.58 | 3.50 | 4.03 | 3.80 | 3.71 | 3.87 | ||||||
| Eli Lilly & Co. | 0.85 | 0.80 | 0.83 | 0.84 | 0.96 | 1.11 | 1.05 | 1.16 | 1.17 | 1.23 | 1.40 | 1.37 | 1.36 | 1.54 | 1.86 | 1.79 | 1.93 | ||||||
| Gilead Sciences Inc. | — | 3.51 | 3.47 | 3.40 | 3.55 | 3.66 | 3.62 | 3.33 | 3.59 | 3.64 | 3.49 | 3.45 | 3.57 | 3.75 | 4.71 | 4.50 | 4.50 | ||||||
| Johnson & Johnson | 2.13 | 2.13 | 2.08 | 2.17 | 2.24 | 2.21 | 2.15 | 2.20 | 2.32 | 2.37 | 2.46 | 2.23 | 2.36 | 2.49 | 2.68 | 2.69 | 2.77 | ||||||
| Merck & Co. Inc. | 2.65 | 2.46 | 2.27 | 2.25 | 2.43 | 2.49 | 2.45 | 2.39 | 2.42 | 2.54 | 2.63 | 2.66 | 2.72 | 2.95 | 3.10 | 3.06 | 2.74 | ||||||
| Pfizer Inc. | — | 1.51 | 1.46 | 1.52 | 1.60 | 1.65 | 1.66 | 2.05 | 2.15 | 2.45 | 2.65 | 2.31 | 3.07 | 3.82 | 3.62 | 3.66 | 3.67 | ||||||
| Thermo Fisher Scientific Inc. | 4.87 | 4.85 | 4.47 | 4.57 | 4.82 | 5.06 | 4.62 | 4.83 | 4.93 | 5.06 | 4.83 | 4.64 | 4.62 | 4.60 | 4.29 | 4.03 | 3.87 | ||||||
| Vertex Pharmaceuticals Inc. | — | 0.98 | 0.99 | 1.06 | 1.14 | 1.27 | 1.37 | 1.53 | 1.65 | 1.71 | 1.71 | 1.90 | 2.06 | 2.35 | 2.69 | 2.70 | 2.83 | ||||||
Based on: 10-Q (reporting date: 2026-03-31), 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31).
1 Q1 2026 Calculation
Inventory turnover
= (Cost of revenuesQ1 2026
+ Cost of revenuesQ4 2025
+ Cost of revenuesQ3 2025
+ Cost of revenuesQ2 2025)
÷ Inventories
= (669,400 + 584,600 + 521,600 + 530,200)
÷ 3,103,600 = 0.74
2 Click competitor name to see calculations.
An analysis of the operating activity reveals a period of significant inventory expansion coupled with a notable decline in turnover efficiency during the early stages of the observed period, followed by a prolonged phase of stabilization.
- Inventory Turnover Trends
- The inventory turnover ratio experienced a sharp contraction during 2022, falling from 1.27 in March to 0.65 by December. Following this initial decline, the ratio entered a period of relative stagnation, fluctuating within a narrow range between 0.63 and 0.72 from December 2022 through December 2025. A modest recovery is observed in the final quarter ending March 2026, where the ratio increased to 0.74.
- Inventory Asset Growth
- Inventories demonstrated a consistent upward trajectory throughout the majority of the period, increasing from 1.99 billion USD in March 2022 to a peak of approximately 3.21 billion USD in June 2025. This sustained growth indicates a significant increase in working capital allocated to stock, with a slight correction occurring in the final two quarters as balances dipped to 3.10 billion USD by March 2026.
- Cost of Revenues and Operational Correlation
- While the cost of revenues generally trended upward—rising from 404.9 million USD in March 2022 to 669.4 million USD in March 2026—the growth in inventory levels outpaced the increase in the cost of goods sold for several years. This divergence accounts for the overall reduction in turnover efficiency. However, the increase in the turnover ratio to 0.74 in March 2026 is driven by a simultaneous peak in the cost of revenues and a reduction in total inventory levels, suggesting improved inventory utilization at the end of the period.
AI Ask an analyst for more
Receivables Turnover
Regeneron Pharmaceuticals Inc., receivables turnover calculation (quarterly data)
| Mar 31, 2026 | Dec 31, 2025 | Sep 30, 2025 | Jun 30, 2025 | Mar 31, 2025 | 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 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | |||||||||||||||||||||||
| Revenues | 3,605,400) | 3,884,300) | 3,754,300) | 3,675,600) | 3,028,700) | 3,789,200) | 3,720,700) | 3,547,100) | 3,145,000) | 3,434,300) | 3,362,700) | 3,158,100) | 3,162,100) | 3,414,400) | 2,936,200) | 2,857,200) | 2,965,100) | ||||||
| Accounts receivable, net | 5,731,000) | 5,741,100) | 5,687,100) | 5,610,000) | 5,561,000) | 6,211,900) | 6,107,100) | 5,717,100) | 5,222,200) | 5,667,300) | 5,584,500) | 5,121,300) | 5,118,600) | 5,328,700) | 5,548,300) | 5,161,400) | 4,839,000) | ||||||
| Short-term Activity Ratio | |||||||||||||||||||||||
| Receivables turnover1 | 2.60 | 2.50 | 2.51 | 2.53 | 2.53 | 2.29 | 2.27 | 2.36 | 2.51 | 2.31 | 2.35 | 2.47 | 2.42 | 2.28 | 2.47 | 2.76 | 3.41 | ||||||
| Benchmarks | |||||||||||||||||||||||
| Receivables Turnover, Competitors2 | |||||||||||||||||||||||
| AbbVie Inc. | — | 4.86 | 4.67 | 4.62 | 4.60 | 5.16 | 4.84 | 4.69 | 4.55 | 4.87 | 4.83 | 4.88 | 4.95 | 5.16 | 5.38 | 5.10 | 5.29 | ||||||
| Amgen Inc. | 3.88 | 3.67 | 4.06 | 3.85 | 4.03 | 4.72 | 4.26 | 4.26 | 4.16 | 3.70 | 4.17 | 4.34 | 4.34 | 4.46 | 4.60 | 4.62 | 4.81 | ||||||
| Danaher Corp. | 6.49 | 6.28 | 6.46 | 6.74 | 6.79 | 6.75 | 6.77 | 7.15 | 7.02 | 6.09 | 6.15 | 6.64 | 6.89 | 6.40 | 7.09 | 6.81 | 6.87 | ||||||
| Eli Lilly & Co. | 3.92 | 3.67 | 3.69 | 3.76 | 4.07 | 4.09 | 3.97 | 3.53 | 4.56 | 3.75 | 3.93 | 3.93 | 3.68 | 4.14 | 4.35 | 4.57 | 4.64 | ||||||
| Gilead Sciences Inc. | — | 5.89 | 5.60 | 6.01 | 6.51 | 6.47 | 6.14 | 5.92 | 5.84 | 5.78 | 5.68 | 6.43 | 6.43 | 5.65 | 6.16 | 6.60 | 7.18 | ||||||
| Johnson & Johnson | 5.44 | 5.48 | 5.23 | 5.08 | 5.58 | 5.98 | 5.42 | 5.48 | 5.73 | 5.73 | 5.91 | 5.36 | 5.65 | 5.88 | 6.04 | 5.92 | 6.08 | ||||||
| Merck & Co. Inc. | 5.39 | 5.52 | 5.30 | 5.37 | 5.92 | 6.24 | 5.55 | 5.37 | 5.40 | 5.81 | 5.71 | 5.29 | 5.56 | 6.27 | 6.22 | 5.93 | 5.49 | ||||||
| Pfizer Inc. | — | 5.27 | 4.40 | 5.29 | 5.27 | 5.55 | 4.18 | 4.93 | 5.09 | 5.33 | 6.25 | 7.66 | 7.57 | 9.16 | 6.21 | 6.68 | 6.99 | ||||||
| Thermo Fisher Scientific Inc. | 4.91 | 5.01 | 4.91 | 5.03 | 5.07 | 5.23 | 5.13 | 5.33 | 5.36 | 5.21 | 5.19 | 5.43 | 5.53 | 5.53 | 5.76 | 5.53 | 5.21 | ||||||
| Vertex Pharmaceuticals Inc. | — | 5.85 | 6.02 | 6.03 | 6.15 | 6.85 | 6.07 | 6.24 | 5.68 | 6.31 | 6.27 | 6.11 | 5.95 | 6.19 | 6.28 | 6.26 | 6.15 | ||||||
Based on: 10-Q (reporting date: 2026-03-31), 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31).
1 Q1 2026 Calculation
Receivables turnover
= (RevenuesQ1 2026
+ RevenuesQ4 2025
+ RevenuesQ3 2025
+ RevenuesQ2 2025)
÷ Accounts receivable, net
= (3,605,400 + 3,884,300 + 3,754,300 + 3,675,600)
÷ 5,731,000 = 2.60
2 Click competitor name to see calculations.
The analysis of short-term operating activity indicates a period of transition in receivables management followed by a phase of relative stability. While revenues exhibited a general upward trajectory from 2022 through early 2026, the efficiency of converting receivables into cash experienced an initial decline before reaching a steady state.
- Revenue and Accounts Receivable Trends
- Revenues grew from approximately 2.97 billion US dollars in March 2022 to 3.61 billion US dollars by March 2026, despite recurring quarterly fluctuations. During the same period, net accounts receivable increased from 4.84 billion US dollars to 5.73 billion US dollars. A peak in receivables was observed in September 2024 at 6.21 billion US dollars, which coincided with a period of higher quarterly revenues.
- Receivables Turnover Dynamics
- A marked contraction in the receivables turnover ratio occurred throughout 2022, falling from a high of 3.41 in March to 2.28 by December. This downward trend suggests a reduction in the velocity of collections or a strategic extension of credit terms provided to customers during that year.
- Stabilization and Efficiency Analysis
- From March 2023 through March 2026, the receivables turnover ratio stabilized, fluctuating within a narrow range between 2.27 and 2.60. The ratio remained consistently lower than the initial 2022 levels but showed a gradual recovery toward the end of the period, reaching 2.60 in March 2026. This indicates that the company established a new baseline for its collection cycle, maintaining a consistent relationship between its credit sales and the recovery of those funds.
AI Ask an analyst for more
Payables Turnover
Regeneron Pharmaceuticals Inc., payables turnover calculation (quarterly data)
| Mar 31, 2026 | Dec 31, 2025 | Sep 30, 2025 | Jun 30, 2025 | Mar 31, 2025 | 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 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | |||||||||||||||||||||||
| Cost of revenues | 669,400) | 584,600) | 521,600) | 530,200) | 464,300) | 565,400) | 491,100) | 480,200) | 433,800) | 517,000) | 436,400) | 404,900) | 457,500) | 540,600) | 317,800) | 297,100) | 404,900) | ||||||
| Accounts payable | 1,027,100) | 939,000) | 903,800) | 723,900) | 705,500) | 789,500) | 497,300) | 561,700) | 671,300) | 606,600) | 536,600) | 547,300) | 599,500) | 589,200) | 535,600) | 534,200) | 470,300) | ||||||
| Short-term Activity Ratio | |||||||||||||||||||||||
| Payables turnover1 | 2.24 | 2.24 | 2.30 | 2.83 | 2.84 | 2.50 | 3.87 | 3.32 | 2.67 | 2.99 | 3.43 | 3.14 | 2.69 | 2.65 | 3.74 | 4.00 | 5.39 | ||||||
| Benchmarks | |||||||||||||||||||||||
| Payables Turnover, Competitors2 | |||||||||||||||||||||||
| Amgen Inc. | 4.02 | 5.09 | 4.29 | 4.12 | 5.25 | 6.74 | 5.99 | 5.01 | 6.10 | 5.32 | 5.22 | 5.67 | 4.97 | 4.08 | 5.30 | 5.09 | 4.65 | ||||||
| Bristol-Myers Squibb Co. | 3.38 | 3.90 | 3.42 | 2.61 | 3.52 | 3.88 | 3.43 | 3.05 | 3.12 | 3.28 | 3.75 | 3.38 | 3.20 | 3.33 | 3.82 | 3.41 | 3.25 | ||||||
| Danaher Corp. | 5.68 | 5.45 | 5.78 | 5.62 | 5.57 | 5.52 | 6.04 | 5.84 | 5.88 | 5.58 | 5.63 | 5.82 | 5.68 | 5.45 | 5.61 | 5.00 | 5.04 | ||||||
| Eli Lilly & Co. | 2.47 | 2.05 | 2.37 | 2.27 | 2.61 | 2.61 | 2.70 | 2.56 | 2.88 | 2.73 | 2.81 | 2.65 | 3.07 | 3.43 | 4.24 | 4.21 | 5.24 | ||||||
| Gilead Sciences Inc. | — | 8.72 | 7.66 | 10.65 | 8.47 | 7.50 | 7.49 | 12.57 | 10.69 | 11.81 | 9.90 | 9.06 | 8.99 | 6.25 | 11.22 | 11.89 | 11.43 | ||||||
| Johnson & Johnson | 2.96 | 2.52 | 3.06 | 3.07 | 2.97 | 2.66 | 3.03 | 3.03 | 3.23 | 2.76 | 3.29 | 2.75 | 3.05 | 2.66 | 3.08 | 3.15 | 3.26 | ||||||
| Merck & Co. Inc. | 4.44 | 3.72 | 3.53 | 3.82 | 3.98 | 3.72 | 4.26 | 4.39 | 4.48 | 4.11 | 4.59 | 4.58 | 4.34 | 4.08 | 5.16 | 4.86 | 4.25 | ||||||
| Pfizer Inc. | — | 3.07 | 3.32 | 3.44 | 3.30 | 3.17 | 3.67 | 4.60 | 4.19 | 3.72 | 5.07 | 3.92 | 4.78 | 5.04 | 5.49 | 6.17 | 6.66 | ||||||
| Thermo Fisher Scientific Inc. | 8.00 | 7.27 | 8.23 | 8.53 | 8.25 | 8.18 | 9.63 | 9.85 | 9.91 | 8.97 | 10.41 | 10.82 | 9.35 | 7.67 | 9.93 | 8.84 | 7.96 | ||||||
| Vertex Pharmaceuticals Inc. | — | 3.58 | 3.83 | 3.59 | 3.49 | 3.71 | 3.73 | 4.27 | 3.81 | 3.46 | 3.13 | 3.16 | 3.41 | 3.55 | 8.23 | 5.01 | 5.52 | ||||||
Based on: 10-Q (reporting date: 2026-03-31), 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31).
1 Q1 2026 Calculation
Payables turnover
= (Cost of revenuesQ1 2026
+ Cost of revenuesQ4 2025
+ Cost of revenuesQ3 2025
+ Cost of revenuesQ2 2025)
÷ Accounts payable
= (669,400 + 584,600 + 521,600 + 530,200)
÷ 1,027,100 = 2.24
2 Click competitor name to see calculations.
An analysis of the operating activity ratios reveals a significant long-term decline in the payables turnover ratio, indicating a slowing of the rate at which obligations to suppliers are settled. The ratio decreased from a peak of 5.39 in March 2022 to a consistent low of 2.24 by March 2026, suggesting a strategic extension of payment terms or a change in the credit relationship with vendors.
- Trend in Cost of Revenues
- The cost of revenues exhibited a general upward trajectory over the analyzed period. Starting at 404.9 million USD in March 2022, expenditures grew to 669.4 million USD by March 2026. While there were periodic fluctuations, the overall growth reflects an increase in the scale of operations or rising input costs.
- Trend in Accounts Payable
- Accounts payable showed a more aggressive growth pattern than the cost of revenues. Balances rose from 470.3 million USD in March 2022 to 1,027.1 million USD in March 2026. This substantial increase in liabilities, particularly the jump from 497.3 million USD in September 2024 to 789.5 million USD in December 2024, contributed heavily to the reduction in turnover velocity.
- Payables Turnover Performance
- The payables turnover ratio experienced three distinct phases. First, a sharp contraction occurred throughout 2022, where the ratio dropped from 5.39 to 2.65. Second, a period of volatility followed between March 2023 and September 2024, with the ratio fluctuating between 2.67 and 3.87. Finally, a downward trend stabilized in 2025 and 2026, with the ratio settling at 2.24. This suggests that the company is taking longer to pay its suppliers, thereby retaining cash for longer periods within the operating cycle.
The divergence between the moderate growth in cost of revenues and the accelerated growth in accounts payable confirms that the decline in the turnover ratio is driven by an increase in the average balance of payables. This pattern typically indicates an improvement in working capital management through the utilization of supplier credit, provided that such extensions are not indicative of liquidity constraints.
AI Ask an analyst for more
Working Capital Turnover
Regeneron Pharmaceuticals Inc., working capital turnover calculation (quarterly data)
| Mar 31, 2026 | Dec 31, 2025 | Sep 30, 2025 | Jun 30, 2025 | Mar 31, 2025 | 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 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | |||||||||||||||||||||||
| Current assets | 18,209,200) | 18,021,900) | 17,980,700) | 16,859,500) | 17,571,700) | 18,660,900) | 19,333,600) | 19,081,600) | 18,871,500) | 19,479,200) | 18,634,800) | 16,923,000) | 16,909,200) | 15,884,100) | 15,428,600) | 15,529,900) | 14,306,000) | ||||||
| Less: Current liabilities | 5,107,700) | 4,368,400) | 4,425,100) | 3,667,000) | 3,566,600) | 3,944,300) | 3,661,000) | 3,508,600) | 3,580,900) | 3,423,400) | 3,598,600) | 3,104,400) | 3,100,100) | 3,141,300) | 2,879,200) | 3,033,900) | 3,007,600) | ||||||
| Working capital | 13,101,500) | 13,653,500) | 13,555,600) | 13,192,500) | 14,005,100) | 14,716,600) | 15,672,600) | 15,573,000) | 15,290,600) | 16,055,800) | 15,036,200) | 13,818,600) | 13,809,100) | 12,742,800) | 12,549,400) | 12,496,000) | 11,298,400) | ||||||
| Revenues | 3,605,400) | 3,884,300) | 3,754,300) | 3,675,600) | 3,028,700) | 3,789,200) | 3,720,700) | 3,547,100) | 3,145,000) | 3,434,300) | 3,362,700) | 3,158,100) | 3,162,100) | 3,414,400) | 2,936,200) | 2,857,200) | 2,965,100) | ||||||
| Short-term Activity Ratio | |||||||||||||||||||||||
| Working capital turnover1 | 1.14 | 1.05 | 1.05 | 1.08 | 1.01 | 0.97 | 0.88 | 0.87 | 0.86 | 0.82 | 0.87 | 0.92 | 0.90 | 0.96 | 1.09 | 1.14 | 1.46 | ||||||
| Benchmarks | |||||||||||||||||||||||
| Working Capital Turnover, Competitors2 | |||||||||||||||||||||||
| AbbVie Inc. | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | ||||||
| Amgen Inc. | 5.44 | 9.85 | 5.66 | 5.35 | 8.36 | 5.40 | 4.83 | 5.19 | 3.39 | 2.25 | 0.81 | 0.84 | 0.82 | 3.82 | 2.52 | 3.67 | 4.34 | ||||||
| Bristol-Myers Squibb Co. | 5.84 | 7.83 | 6.20 | 8.09 | 6.87 | 7.79 | 8.49 | 12.50 | 15.56 | 4.60 | 10.47 | 5.53 | 5.55 | 8.30 | 5.75 | 4.92 | 6.24 | ||||||
| Danaher Corp. | 3.83 | 4.13 | 7.39 | 5.71 | 8.27 | 8.85 | 8.73 | 8.10 | 3.60 | 4.22 | 2.18 | 3.08 | 3.81 | 4.20 | 5.00 | 5.43 | 5.91 | ||||||
| Eli Lilly & Co. | 3.97 | 3.19 | 2.71 | 4.92 | 4.38 | 10.32 | 6.06 | 12.62 | 5.45 | — | 31.79 | 12.21 | 5.77 | 31.84 | 14.71 | 19.45 | 8.19 | ||||||
| Gilead Sciences Inc. | — | 4.43 | 5.12 | 8.14 | 6.27 | 3.99 | 9.22 | 17.98 | 26.58 | 5.61 | 6.74 | 84.15 | 9.14 | 8.42 | 8.56 | 6.87 | 6.68 | ||||||
| Johnson & Johnson | 66.14 | 62.88 | 24.63 | 284.99 | 6.10 | 15.94 | 58.86 | 22.29 | 10.35 | 11.81 | 9.37 | 14.06 | 23.02 | — | 4.88 | 5.02 | 5.57 | ||||||
| Merck & Co. Inc. | 8.15 | 4.28 | 3.39 | 5.77 | 6.19 | 6.19 | 5.86 | 5.14 | 9.68 | 9.29 | 6.69 | 8.86 | 5.63 | 5.16 | 5.58 | 6.39 | 6.09 | ||||||
| Pfizer Inc. | — | 10.58 | 6.08 | 10.68 | 6.64 | 8.64 | 5,036.00 | — | 29.17 | — | 1.62 | 2.03 | 6.89 | 11.00 | 3.83 | 5.05 | 6.10 | ||||||
| Thermo Fisher Scientific Inc. | 5.87 | 3.30 | 5.90 | 3.64 | 4.20 | 4.87 | 4.61 | 3.96 | 4.38 | 4.05 | 4.86 | 7.40 | 10.13 | 5.46 | 5.40 | 6.03 | 6.13 | ||||||
| Vertex Pharmaceuticals Inc. | — | 1.64 | 1.92 | 1.82 | 1.78 | 1.83 | 1.82 | 1.92 | 1.07 | 0.93 | 0.87 | 0.90 | 0.93 | 0.85 | 0.90 | 0.93 | 0.97 | ||||||
Based on: 10-Q (reporting date: 2026-03-31), 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31).
1 Q1 2026 Calculation
Working capital turnover
= (RevenuesQ1 2026
+ RevenuesQ4 2025
+ RevenuesQ3 2025
+ RevenuesQ2 2025)
÷ Working capital
= (3,605,400 + 3,884,300 + 3,754,300 + 3,675,600)
÷ 13,101,500 = 1.14
2 Click competitor name to see calculations.
The analysis of working capital turnover reveals a distinct U-shaped trajectory over the period from March 31, 2022, to March 31, 2026. The efficiency of working capital utilization initially experienced a significant decline, reaching a trough in late 2023, before entering a sustained recovery phase through the first quarter of 2026.
- Working Capital Trends
- Working capital exhibited a period of steady expansion from March 31, 2022, when it stood at 11,298,400 thousand USD, peaking at 16,055,800 thousand USD by December 31, 2023. Following this peak, a gradual reduction is observed, with the balance contracting to 13,101,500 thousand USD by March 31, 2026. This suggests a strategic reallocation or a reduction in current assets relative to current liabilities in the latter half of the analyzed period.
- Revenue Performance
- Revenues showed a general upward trend characterized by moderate quarterly volatility. Starting at 2,965,100 thousand USD in March 2022, revenues reached a high of 3,884,300 thousand USD in September 2025. While periodic dips occurred, such as in March 2024 and March 2026, the overall capacity to generate sales increased over the duration of the period.
- Working Capital Turnover Ratio Analysis
- The turnover ratio declined from 1.46 in March 2022 to a low of 0.82 by December 31, 2023. This decline was primarily driven by the rapid growth of working capital, which outpaced the growth of revenues, indicating a temporary decrease in operational efficiency or an intentional build-up of liquidity and inventory. From January 2024 onward, the ratio trended upward, recovering to 1.14 by March 31, 2026. This recovery reflects a more optimized relationship between the company's short-term assets and its ability to generate sales, as revenue growth aligned with a leaner working capital base.
AI Ask an analyst for more
Average Inventory Processing Period
Regeneron Pharmaceuticals Inc., average inventory processing period calculation (quarterly data)
| Mar 31, 2026 | Dec 31, 2025 | Sep 30, 2025 | Jun 30, 2025 | Mar 31, 2025 | 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 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data | |||||||||||||||||||||||
| Inventory turnover | 0.74 | 0.66 | 0.64 | 0.64 | 0.63 | 0.64 | 0.64 | 0.65 | 0.66 | 0.70 | 0.72 | 0.69 | 0.67 | 0.65 | 0.83 | 0.96 | 1.27 | ||||||
| Short-term Activity Ratio (no. days) | |||||||||||||||||||||||
| Average inventory processing period1 | 491 | 556 | 571 | 570 | 582 | 572 | 573 | 562 | 553 | 519 | 508 | 532 | 549 | 562 | 440 | 379 | 287 | ||||||
| Benchmarks (no. days) | |||||||||||||||||||||||
| Average Inventory Processing Period, Competitors2 | |||||||||||||||||||||||
| AbbVie Inc. | — | 99 | 100 | 107 | 98 | 90 | 89 | 75 | 75 | 73 | 77 | 85 | 81 | 75 | 66 | 73 | 74 | ||||||
| Amgen Inc. | 191 | 189 | 190 | 194 | 195 | 199 | 209 | 257 | 321 | 411 | 259 | 265 | 279 | 281 | 272 | 260 | 247 | ||||||
| Bristol-Myers Squibb Co. | 70 | 70 | 69 | 70 | 69 | 67 | 102 | 98 | 99 | 91 | 84 | 83 | 93 | 84 | 76 | 79 | 80 | ||||||
| Danaher Corp. | 94 | 90 | 99 | 101 | 96 | 88 | 101 | 102 | 98 | 96 | 104 | 102 | 104 | 91 | 96 | 98 | 94 | ||||||
| Eli Lilly & Co. | 428 | 454 | 441 | 435 | 379 | 329 | 349 | 316 | 312 | 298 | 261 | 267 | 268 | 237 | 196 | 204 | 189 | ||||||
| Gilead Sciences Inc. | — | 104 | 105 | 108 | 103 | 100 | 101 | 110 | 102 | 100 | 105 | 106 | 102 | 97 | 78 | 81 | 81 | ||||||
| Johnson & Johnson | 172 | 171 | 176 | 168 | 163 | 165 | 169 | 166 | 158 | 154 | 149 | 164 | 155 | 147 | 136 | 136 | 132 | ||||||
| Merck & Co. Inc. | 138 | 148 | 160 | 162 | 150 | 147 | 149 | 153 | 151 | 144 | 139 | 137 | 134 | 124 | 118 | 119 | 133 | ||||||
| Pfizer Inc. | — | 242 | 251 | 239 | 229 | 222 | 219 | 178 | 170 | 149 | 138 | 158 | 119 | 95 | 101 | 100 | 99 | ||||||
| Thermo Fisher Scientific Inc. | 75 | 75 | 82 | 80 | 76 | 72 | 79 | 76 | 74 | 72 | 76 | 79 | 79 | 79 | 85 | 91 | 94 | ||||||
| Vertex Pharmaceuticals Inc. | — | 373 | 369 | 345 | 320 | 287 | 267 | 238 | 222 | 214 | 213 | 192 | 177 | 156 | 136 | 135 | 129 | ||||||
Based on: 10-Q (reporting date: 2026-03-31), 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31).
1 Q1 2026 Calculation
Average inventory processing period = 365 ÷ Inventory turnover
= 365 ÷ 0.74 = 491
2 Click competitor name to see calculations.
The analyzed period reveals a significant shift in inventory management efficiency, characterized by a sharp initial deterioration in turnover rates followed by a prolonged phase of stagnation and a eventual modest recovery. The operational cycle underwent a structural expansion between early 2022 and early 2025, indicating a slower conversion of inventory into sales or cost of goods sold.
- Inventory Turnover Trends
- A substantial decline in the inventory turnover ratio is observed from March 31, 2022, where it stood at 1.27, falling to 0.65 by December 31, 2022. For the subsequent three years, the ratio remained largely depressed, oscillating within a narrow band between 0.63 and 0.72. A slight upward trend emerged toward the end of the sequence, with the ratio reaching 0.74 by March 31, 2026, though it remained significantly below the levels seen at the start of the period.
- Average Inventory Processing Period Trends
- The processing period exhibits a strong inverse correlation with turnover, increasing rapidly from 287 days in March 2022 to 562 days by December 2022. The processing time remained elevated throughout 2023 and 2024, peaking at 582 days in March 2025. A notable improvement in efficiency is evident in the final period, as the processing time dropped to 491 days by March 31, 2026, representing the lowest level since the initial 2022 surge.
- Operational Efficiency Analysis
- The data indicates a period of heightened inventory accumulation or reduced sales velocity beginning in 2022, which effectively doubled the time required to process inventory. The stability observed between 2023 and 2025 suggests a consistent operational plateau. The reduction in processing days observed in early 2026 suggests a positive shift in inventory throughput or a strategic reduction in stockpiles.
AI Ask an analyst for more
Average Receivable Collection Period
Regeneron Pharmaceuticals Inc., average receivable collection period calculation (quarterly data)
| Mar 31, 2026 | Dec 31, 2025 | Sep 30, 2025 | Jun 30, 2025 | Mar 31, 2025 | 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 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data | |||||||||||||||||||||||
| Receivables turnover | 2.60 | 2.50 | 2.51 | 2.53 | 2.53 | 2.29 | 2.27 | 2.36 | 2.51 | 2.31 | 2.35 | 2.47 | 2.42 | 2.28 | 2.47 | 2.76 | 3.41 | ||||||
| Short-term Activity Ratio (no. days) | |||||||||||||||||||||||
| Average receivable collection period1 | 140 | 146 | 146 | 144 | 144 | 160 | 161 | 155 | 146 | 158 | 156 | 148 | 151 | 160 | 148 | 132 | 107 | ||||||
| Benchmarks (no. days) | |||||||||||||||||||||||
| Average Receivable Collection Period, Competitors2 | |||||||||||||||||||||||
| AbbVie Inc. | — | 75 | 78 | 79 | 79 | 71 | 75 | 78 | 80 | 75 | 76 | 75 | 74 | 71 | 68 | 72 | 69 | ||||||
| Amgen Inc. | 94 | 99 | 90 | 95 | 91 | 77 | 86 | 86 | 88 | 99 | 88 | 84 | 84 | 82 | 79 | 79 | 76 | ||||||
| Danaher Corp. | 56 | 58 | 56 | 54 | 54 | 54 | 54 | 51 | 52 | 60 | 59 | 55 | 53 | 57 | 51 | 54 | 53 | ||||||
| Eli Lilly & Co. | 93 | 99 | 99 | 97 | 90 | 89 | 92 | 103 | 80 | 97 | 93 | 93 | 99 | 88 | 84 | 80 | 79 | ||||||
| Gilead Sciences Inc. | — | 62 | 65 | 61 | 56 | 56 | 59 | 62 | 62 | 63 | 64 | 57 | 57 | 65 | 59 | 55 | 51 | ||||||
| Johnson & Johnson | 67 | 67 | 70 | 72 | 65 | 61 | 67 | 67 | 64 | 64 | 62 | 68 | 65 | 62 | 60 | 62 | 60 | ||||||
| Merck & Co. Inc. | 68 | 66 | 69 | 68 | 62 | 58 | 66 | 68 | 68 | 63 | 64 | 69 | 66 | 58 | 59 | 62 | 66 | ||||||
| Pfizer Inc. | — | 69 | 83 | 69 | 69 | 66 | 87 | 74 | 72 | 69 | 58 | 48 | 48 | 40 | 59 | 55 | 52 | ||||||
| Thermo Fisher Scientific Inc. | 74 | 73 | 74 | 73 | 72 | 70 | 71 | 68 | 68 | 70 | 70 | 67 | 66 | 66 | 63 | 66 | 70 | ||||||
| Vertex Pharmaceuticals Inc. | — | 62 | 61 | 61 | 59 | 53 | 60 | 58 | 64 | 58 | 58 | 60 | 61 | 59 | 58 | 58 | 59 | ||||||
Based on: 10-Q (reporting date: 2026-03-31), 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31).
1 Q1 2026 Calculation
Average receivable collection period = 365 ÷ Receivables turnover
= 365 ÷ 2.60 = 140
2 Click competitor name to see calculations.
The analysis of short-term operating activity reveals a significant shift in the efficiency of receivable collections over the observed period. There is a clear transition from a relatively lean collection cycle in early 2022 to a prolonged cycle that stabilized at a higher day-count through the first quarter of 2026.
- Collection Period Trends
- A pronounced increase in the average receivable collection period is evident between March 31, 2022, and December 31, 2022, where the period expanded from 107 days to 160 days. Following this initial surge, the collection period remained elevated, fluctuating between 144 and 161 days. The peak duration of 161 days was reached in September 2024, indicating a period of maximum lag in cash conversion.
- Receivables Turnover Correlation
- The receivables turnover ratio exhibits a consistent inverse correlation with the collection period. The decline from a ratio of 3.41 in March 2022 to a minimum of 2.27 in September 2024 aligns with the extension of the collection cycle. The stabilization of the turnover ratio between 2.30 and 2.60 from 2023 through 2026 suggests a new equilibrium in the rate at which receivables are collected relative to credit sales.
- Recent Performance and Stabilization
- A gradual improvement in collection efficiency is observed starting in late 2024. The average collection period decreased from 160 days in December 2024 to 140 days by March 31, 2026. This downward trend in collection days is mirrored by a steady increase in the receivables turnover ratio, which reached 2.60 by the final reporting date, suggesting an enhancement in the management of accounts receivable.
AI Ask an analyst for more
Operating Cycle
Regeneron Pharmaceuticals Inc., operating cycle calculation (quarterly data)
No. days
| Mar 31, 2026 | Dec 31, 2025 | Sep 30, 2025 | Jun 30, 2025 | Mar 31, 2025 | 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 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data | |||||||||||||||||||||||
| Average inventory processing period | 491 | 556 | 571 | 570 | 582 | 572 | 573 | 562 | 553 | 519 | 508 | 532 | 549 | 562 | 440 | 379 | 287 | ||||||
| Average receivable collection period | 140 | 146 | 146 | 144 | 144 | 160 | 161 | 155 | 146 | 158 | 156 | 148 | 151 | 160 | 148 | 132 | 107 | ||||||
| Short-term Activity Ratio | |||||||||||||||||||||||
| Operating cycle1 | 631 | 702 | 717 | 714 | 726 | 732 | 734 | 717 | 699 | 677 | 664 | 680 | 700 | 722 | 588 | 511 | 394 | ||||||
| Benchmarks | |||||||||||||||||||||||
| Operating Cycle, Competitors2 | |||||||||||||||||||||||
| AbbVie Inc. | — | 174 | 178 | 186 | 177 | 161 | 164 | 153 | 155 | 148 | 153 | 160 | 155 | 146 | 134 | 145 | 143 | ||||||
| Amgen Inc. | 285 | 288 | 280 | 289 | 286 | 276 | 295 | 343 | 409 | 510 | 347 | 349 | 363 | 363 | 351 | 339 | 323 | ||||||
| Danaher Corp. | 150 | 148 | 155 | 155 | 150 | 142 | 155 | 153 | 150 | 156 | 163 | 157 | 157 | 148 | 147 | 152 | 147 | ||||||
| Eli Lilly & Co. | 521 | 553 | 540 | 532 | 469 | 418 | 441 | 419 | 392 | 395 | 354 | 360 | 367 | 325 | 280 | 284 | 268 | ||||||
| Gilead Sciences Inc. | — | 166 | 170 | 169 | 159 | 156 | 160 | 172 | 164 | 163 | 169 | 163 | 159 | 162 | 137 | 136 | 132 | ||||||
| Johnson & Johnson | 239 | 238 | 246 | 240 | 228 | 226 | 236 | 233 | 222 | 218 | 211 | 232 | 220 | 209 | 196 | 198 | 192 | ||||||
| Merck & Co. Inc. | 206 | 214 | 229 | 230 | 212 | 205 | 215 | 221 | 219 | 207 | 203 | 206 | 200 | 182 | 177 | 181 | 199 | ||||||
| Pfizer Inc. | — | 311 | 334 | 308 | 298 | 288 | 306 | 252 | 242 | 218 | 196 | 206 | 167 | 135 | 160 | 155 | 151 | ||||||
| Thermo Fisher Scientific Inc. | 149 | 148 | 156 | 153 | 148 | 142 | 150 | 144 | 142 | 142 | 146 | 146 | 145 | 145 | 148 | 157 | 164 | ||||||
| Vertex Pharmaceuticals Inc. | — | 435 | 430 | 406 | 379 | 340 | 327 | 296 | 286 | 272 | 271 | 252 | 238 | 215 | 194 | 193 | 188 | ||||||
Based on: 10-Q (reporting date: 2026-03-31), 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31).
1 Q1 2026 Calculation
Operating cycle = Average inventory processing period + Average receivable collection period
= 491 + 140 = 631
2 Click competitor name to see calculations.
The operating cycle exhibits a period of significant expansion from early 2022 through late 2024, followed by a stabilization phase and a subsequent contraction by the first quarter of 2026. The overall duration of the cycle increased from 394 days in March 2022 to a peak of 734 days in September 2024, before declining to 631 days by March 2026.
- Average Inventory Processing Period
- A substantial upward trend is observed in the inventory processing period, which rose from 287 days in March 2022 to a peak of 573 days in September 2024. This indicates a significant increase in the time required to convert raw materials and work-in-progress into finished goods and subsequent sales. Following this peak, the period remained relatively stable between 556 and 582 days until March 2026, when a notable reduction to 491 days was recorded.
- Average Receivable Collection Period
- The time required to collect receivables experienced a steady increase from 107 days in March 2022 to a high of 161 days in September 2024. While there was some volatility during 2023, the collection period generally trended upward, suggesting a slower conversion of accounts receivable into cash. From December 2023 through March 2026, the collection period showed greater stability, fluctuating narrowly between 140 and 160 days.
- Operating Cycle Dynamics
- The operating cycle's expansion was primarily driven by the sharp increase in the inventory processing period, which contributed more significantly to the total duration than the receivable collection period. The peak operating cycle of 734 days reflects a period of maximum inefficiency in working capital turnover. The contraction to 631 days observed in March 2026 is attributed to simultaneous improvements in both inventory turnover and receivable collections, indicating an acceleration in the company's short-term operating efficiency.
AI Ask an analyst for more
Average Payables Payment Period
Regeneron Pharmaceuticals Inc., average payables payment period calculation (quarterly data)
| Mar 31, 2026 | Dec 31, 2025 | Sep 30, 2025 | Jun 30, 2025 | Mar 31, 2025 | 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 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data | |||||||||||||||||||||||
| Payables turnover | 2.24 | 2.24 | 2.30 | 2.83 | 2.84 | 2.50 | 3.87 | 3.32 | 2.67 | 2.99 | 3.43 | 3.14 | 2.69 | 2.65 | 3.74 | 4.00 | 5.39 | ||||||
| Short-term Activity Ratio (no. days) | |||||||||||||||||||||||
| Average payables payment period1 | 163 | 163 | 158 | 129 | 129 | 146 | 94 | 110 | 137 | 122 | 106 | 116 | 136 | 138 | 98 | 91 | 68 | ||||||
| Benchmarks (no. days) | |||||||||||||||||||||||
| Average Payables Payment Period, Competitors2 | |||||||||||||||||||||||
| Amgen Inc. | 91 | 72 | 85 | 89 | 70 | 54 | 61 | 73 | 60 | 69 | 70 | 64 | 73 | 90 | 69 | 72 | 78 | ||||||
| Bristol-Myers Squibb Co. | 108 | 94 | 107 | 140 | 104 | 94 | 106 | 120 | 117 | 111 | 97 | 108 | 114 | 109 | 96 | 107 | 112 | ||||||
| Danaher Corp. | 64 | 67 | 63 | 65 | 66 | 66 | 60 | 63 | 62 | 65 | 65 | 63 | 64 | 67 | 65 | 73 | 72 | ||||||
| Eli Lilly & Co. | 148 | 178 | 154 | 161 | 140 | 140 | 135 | 142 | 127 | 134 | 130 | 138 | 119 | 106 | 86 | 87 | 70 | ||||||
| Gilead Sciences Inc. | — | 42 | 48 | 34 | 43 | 49 | 49 | 29 | 34 | 31 | 37 | 40 | 41 | 58 | 33 | 31 | 32 | ||||||
| Johnson & Johnson | 123 | 145 | 119 | 119 | 123 | 137 | 120 | 121 | 113 | 132 | 111 | 133 | 120 | 137 | 118 | 116 | 112 | ||||||
| Merck & Co. Inc. | 82 | 98 | 103 | 95 | 92 | 98 | 86 | 83 | 81 | 89 | 80 | 80 | 84 | 89 | 71 | 75 | 86 | ||||||
| Pfizer Inc. | — | 119 | 110 | 106 | 110 | 115 | 99 | 79 | 87 | 98 | 72 | 93 | 76 | 72 | 66 | 59 | 55 | ||||||
| Thermo Fisher Scientific Inc. | 46 | 50 | 44 | 43 | 44 | 45 | 38 | 37 | 37 | 41 | 35 | 34 | 39 | 48 | 37 | 41 | 46 | ||||||
| Vertex Pharmaceuticals Inc. | — | 102 | 95 | 102 | 105 | 98 | 98 | 85 | 96 | 106 | 117 | 115 | 107 | 103 | 44 | 73 | 66 | ||||||
Based on: 10-Q (reporting date: 2026-03-31), 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31).
1 Q1 2026 Calculation
Average payables payment period = 365 ÷ Payables turnover
= 365 ÷ 2.24 = 163
2 Click competitor name to see calculations.
An analysis of the short-term operating activity reveals a significant long-term extension in the time required to settle obligations to suppliers. The average payables payment period has evolved from a baseline of 68 days in March 2022 to a peak of 163 days by March 2026, representing a substantial increase in the duration of accounts payable.
- Average Payables Payment Period Trends
- The payment period exhibited a sharp upward trajectory throughout 2022, rising from 68 days to 138 days by year-end. Between 2023 and 2024, the metric demonstrated cyclical volatility, frequently dipping toward the 90-110 day range during mid-year periods before spiking again in December. Specifically, peaks were observed in December 2022 (138 days), December 2023 (122 days), and December 2024 (146 days). Following the 2024 peak, the period entered a sustained growth phase, climbing to 158 days in September 2025 and stabilizing at 163 days through the first quarter of 2026.
- Payables Turnover Ratio Correlation
- The payables turnover ratio maintains a perfect inverse correlation with the payment period. A steady downward trend is observed, starting at a high of 5.39 in March 2022 and declining to 2.24 by March 2026. This decline indicates a reduction in the frequency with which the company clears its accounts payable during the reporting cycle, mirroring the extension of the payment window.
- Operational and Cash Flow Implications
- The systemic increase in the payment period suggests a strategic shift toward optimizing working capital by delaying cash outflows. The transition from a sub-100-day average in early 2022 to a sustained level above 160 days by 2026 implies either an increase in bargaining power with suppliers or a deliberate internal policy to maximize liquidity. The consistency of the 163-day period in the final two quarters of the analysis indicates that this extended payment cycle has become the new operational norm.
AI Ask an analyst for more
Cash Conversion Cycle
Regeneron Pharmaceuticals Inc., cash conversion cycle calculation (quarterly data)
No. days
| Mar 31, 2026 | Dec 31, 2025 | Sep 30, 2025 | Jun 30, 2025 | Mar 31, 2025 | 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 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data | |||||||||||||||||||||||
| Average inventory processing period | 491 | 556 | 571 | 570 | 582 | 572 | 573 | 562 | 553 | 519 | 508 | 532 | 549 | 562 | 440 | 379 | 287 | ||||||
| Average receivable collection period | 140 | 146 | 146 | 144 | 144 | 160 | 161 | 155 | 146 | 158 | 156 | 148 | 151 | 160 | 148 | 132 | 107 | ||||||
| Average payables payment period | 163 | 163 | 158 | 129 | 129 | 146 | 94 | 110 | 137 | 122 | 106 | 116 | 136 | 138 | 98 | 91 | 68 | ||||||
| Short-term Activity Ratio | |||||||||||||||||||||||
| Cash conversion cycle1 | 468 | 539 | 559 | 585 | 597 | 586 | 640 | 607 | 562 | 555 | 558 | 564 | 564 | 584 | 490 | 420 | 326 | ||||||
| Benchmarks | |||||||||||||||||||||||
| Cash Conversion Cycle, Competitors2 | |||||||||||||||||||||||
| Amgen Inc. | 194 | 216 | 195 | 200 | 216 | 222 | 234 | 270 | 349 | 441 | 277 | 285 | 290 | 273 | 282 | 267 | 245 | ||||||
| Danaher Corp. | 86 | 81 | 92 | 90 | 84 | 76 | 95 | 90 | 88 | 91 | 98 | 94 | 93 | 81 | 82 | 79 | 75 | ||||||
| Eli Lilly & Co. | 373 | 375 | 386 | 371 | 329 | 278 | 306 | 277 | 265 | 261 | 224 | 222 | 248 | 219 | 194 | 197 | 198 | ||||||
| Gilead Sciences Inc. | — | 124 | 122 | 135 | 116 | 107 | 111 | 143 | 130 | 132 | 132 | 123 | 118 | 104 | 104 | 105 | 100 | ||||||
| Johnson & Johnson | 116 | 93 | 127 | 121 | 105 | 89 | 116 | 112 | 109 | 86 | 100 | 99 | 100 | 72 | 78 | 82 | 80 | ||||||
| Merck & Co. Inc. | 124 | 116 | 126 | 135 | 120 | 107 | 129 | 138 | 138 | 118 | 123 | 126 | 116 | 93 | 106 | 106 | 113 | ||||||
| Pfizer Inc. | — | 192 | 224 | 202 | 188 | 173 | 207 | 173 | 155 | 120 | 124 | 113 | 91 | 63 | 94 | 96 | 96 | ||||||
| Thermo Fisher Scientific Inc. | 103 | 98 | 112 | 110 | 104 | 97 | 112 | 107 | 105 | 101 | 111 | 112 | 106 | 97 | 111 | 116 | 118 | ||||||
| Vertex Pharmaceuticals Inc. | — | 333 | 335 | 304 | 274 | 242 | 229 | 211 | 190 | 166 | 154 | 137 | 131 | 112 | 150 | 120 | 122 | ||||||
Based on: 10-Q (reporting date: 2026-03-31), 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31).
1 Q1 2026 Calculation
Cash conversion cycle = Average inventory processing period + Average receivable collection period – Average payables payment period
= 491 + 140 – 163 = 468
2 Click competitor name to see calculations.
The cash conversion cycle exhibits a significant expansion phase starting in early 2022, reaching a peak in September 2024 before entering a contraction phase toward the end of the observed period. The overall duration of the cycle increased from 326 days in March 2022 to a maximum of 640 days in September 2024, eventually descending to 468 days by March 2026.
- Average Inventory Processing Period
- A substantial increase is observed during 2022, where the period rose from 287 days in March to 562 days by December. Following this surge, the metric remained elevated, fluctuating primarily between 508 and 582 days through 2023, 2024, and most of 2025. A downward shift occurred in the final period, with the duration decreasing to 491 days by March 2026, suggesting a relative improvement in inventory turnover.
- Average Receivable Collection Period
- Receivable collection times trended upward from 107 days in March 2022 to a peak of 160 days in December 2022. For the remainder of the period, the collection cycle remained relatively stable, generally oscillating between 140 and 161 days. This stability indicates a consistent, albeit longer, timeframe for converting credit sales into cash compared to the baseline in early 2022.
- Average Payables Payment Period
- The payment period for payables shows a general upward trajectory accompanied by significant volatility. Starting at 68 days in March 2022, the period reached several local peaks, eventually climbing to 163 days by December 2025 and maintaining that level into March 2026. Notably, a sharp decline to 94 days occurred in September 2024, followed by a rapid recovery. The overall trend indicates an increased reliance on supplier financing to offset working capital needs.
- Cash Conversion Cycle Dynamics
- The expansion of the cash conversion cycle was primarily driven by the doubling of the inventory processing period in 2022 and the concurrent increase in receivable collection times. While the lengthening of the payables payment period served to mitigate some of the cash outflow pressure, it was insufficient to offset the inventory and receivable growth until the final quarters. The reduction in the cycle to 468 days by March 2026 is attributed to a combination of decreased inventory holding times and a peak in the payables payment period, which collectively accelerated the recovery of cash.
AI Ask an analyst for more