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)
Coca-Cola Co., short-term (operating) activity ratios (quarterly data)
Based on: 10-Q (reporting date: 2026-04-03), 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-26), 10-Q (reporting date: 2025-06-27), 10-Q (reporting date: 2025-03-28), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-27), 10-Q (reporting date: 2024-06-28), 10-Q (reporting date: 2024-03-29), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-29), 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: 2022-07-01), 10-Q (reporting date: 2022-04-01).
The analysis of short-term operating activity ratios reveals a divergent trend between inventory management and receivables collection, coupled with significant volatility in working capital utilization over the observed period.
- Inventory Management Efficiency
- A gradual decline in inventory turnover is observed, starting from a peak of 4.74 in September 2022 and reaching a low of 3.57 by June 2025. This trend is mirrored in the average inventory processing period, which expanded from 77 days in late 2022 to a peak of 102 days in the first half of 2025. A moderate recovery occurred toward the end of 2025, with the turnover ratio rising to 4.16 and the processing period contracting to 88 days, suggesting a late-period improvement in stock movement.
- Receivables Collection Performance
- The efficiency of receivables collection shows a consistent improvement over the analyzed timeframe. The receivables turnover ratio increased from 8.65 in April 2022 to a maximum of 15.78 in December 2025. Correspondingly, the average receivable collection period decreased from 42 days to 23 days. This indicates a more aggressive or efficient credit collection process, reducing the time capital remains tied up in outstanding invoices.
- Working Capital Turnover Volatility
- Working capital turnover exhibits extreme fluctuations, particularly between March 2024 and December 2025. The ratio spiked from 12.35 in March 2023 to an exceptional high of 62.92 in December 2024, before plummeting to 4.91 by December 2025. Such drastic variance suggests significant changes in the composition of current assets and liabilities or substantial shifts in the level of net working capital relative to sales volume.
- Operating Cycle Trends
- The total operating cycle, representing the time from inventory acquisition to cash collection, has remained relatively stable but subject to periodic expansion. The cycle fluctuated between a minimum of 111 days and a maximum of 134 days. While the slowing of inventory processing tended to lengthen the cycle through 2023 and early 2025, these delays were partially offset by the accelerating collection of receivables, resulting in a cycle of 119 days by April 2026.
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Turnover Ratios
Average No. Days
Inventory Turnover
Coca-Cola Co., inventory turnover calculation (quarterly data)
| Apr 3, 2026 | Dec 31, 2025 | Sep 26, 2025 | Jun 27, 2025 | Mar 28, 2025 | Dec 31, 2024 | Sep 27, 2024 | Jun 28, 2024 | Mar 29, 2024 | Dec 31, 2023 | Sep 29, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jul 1, 2022 | Apr 1, 2022 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||||
| Cost of goods sold | 4,620) | 4,723) | 4,797) | 4,714) | 4,163) | 4,613) | 4,664) | 4,812) | 4,235) | 4,634) | 4,657) | 4,912) | 4,317) | 4,513) | 4,566) | 4,830) | 4,091) | ||||||
| Inventories | 4,730) | 4,425) | 4,802) | 5,082) | 5,102) | 4,728) | 4,714) | 4,763) | 4,961) | 4,424) | 4,252) | 4,646) | 4,727) | 4,233) | 3,708) | 3,621) | 3,741) | ||||||
| Short-term Activity Ratio | |||||||||||||||||||||||
| Inventory turnover1 | 3.99 | 4.16 | 3.81 | 3.57 | 3.58 | 3.88 | 3.89 | 3.85 | 3.72 | 4.19 | 4.33 | 3.94 | 3.86 | 4.25 | 4.74 | 4.69 | 4.26 | ||||||
| Benchmarks | |||||||||||||||||||||||
| Inventory Turnover, Competitors2 | |||||||||||||||||||||||
| Mondelēz International Inc. | 6.86 | 6.25 | 5.09 | 5.06 | 5.76 | 5.80 | 5.18 | 5.35 | 5.92 | 6.16 | 5.78 | 5.66 | 5.82 | 5.97 | 5.71 | 6.12 | 6.33 | ||||||
| PepsiCo Inc. | 7.06 | 7.37 | 6.98 | 6.44 | 7.32 | 7.87 | 7.38 | 7.12 | 7.57 | 7.85 | 7.59 | 7.01 | 7.22 | 7.77 | 7.83 | 7.26 | 7.95 | ||||||
| Philip Morris International Inc. | 1.19 | 1.16 | 1.29 | 1.22 | 1.30 | 1.41 | 1.43 | 1.40 | 1.31 | 1.20 | 1.31 | 1.25 | 1.10 | 1.15 | 1.54 | 1.41 | 1.19 | ||||||
Based on: 10-Q (reporting date: 2026-04-03), 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-26), 10-Q (reporting date: 2025-06-27), 10-Q (reporting date: 2025-03-28), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-27), 10-Q (reporting date: 2024-06-28), 10-Q (reporting date: 2024-03-29), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-29), 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: 2022-07-01), 10-Q (reporting date: 2022-04-01).
1 Q1 2026 Calculation
Inventory turnover
= (Cost of goods soldQ1 2026
+ Cost of goods soldQ4 2025
+ Cost of goods soldQ3 2025
+ Cost of goods soldQ2 2025)
÷ Inventories
= (4,620 + 4,723 + 4,797 + 4,714)
÷ 4,730 = 3.99
2 Click competitor name to see calculations.
The analysis of operational efficiency from April 2022 through April 2026 reveals a general decline in inventory turnover, characterized by a sustained increase in inventory holdings relative to the cost of goods sold.
- Inventory Level Trends
- A consistent upward trajectory in inventory values is observed, rising from 3,741 million USD in April 2022 to a peak of 5,102 million USD by December 2024. This represents a significant expansion of working capital tied up in stock, with levels remaining elevated through the beginning of 2026.
- Inventory Turnover Performance
- The turnover ratio exhibited a peak of 4.74 in September 2022, followed by a gradual decline over the subsequent two years. The ratio reached its minimum value of 3.57 in June 2025. This downward trend indicates a slowing rate of inventory clearance, suggesting that stock was held for longer periods during this interval.
- Correlation between COGS and Asset Management
- While the cost of goods sold fluctuated within a relatively stable range between approximately 4,091 million USD and 4,912 million USD, the growth in inventories outpaced these fluctuations. The divergence between stable expenditure on goods and rising inventory levels acted as the primary driver behind the compression of the turnover ratio.
- Recent Recovery Patterns
- A modest recovery in efficiency is evident starting in the second half of 2025, with the turnover ratio climbing from 3.57 in June 2025 to 3.99 by April 2026. This improvement coincides with a reduction in inventory levels from their 2024 peak, indicating a return toward more optimized stock management and improved liquidity of current assets.
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Receivables Turnover
Coca-Cola Co., receivables turnover calculation (quarterly data)
| Apr 3, 2026 | Dec 31, 2025 | Sep 26, 2025 | Jun 27, 2025 | Mar 28, 2025 | Dec 31, 2024 | Sep 27, 2024 | Jun 28, 2024 | Mar 29, 2024 | Dec 31, 2023 | Sep 29, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jul 1, 2022 | Apr 1, 2022 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||||
| Net operating revenues | 12,472) | 11,822) | 12,455) | 12,535) | 11,129) | 11,544) | 11,854) | 12,363) | 11,300) | 10,849) | 11,953) | 11,972) | 10,980) | 10,125) | 11,063) | 11,325) | 10,491) | ||||||
| Trade accounts receivable, less allowances | 3,675) | 3,038) | 3,946) | 4,168) | 4,091) | 3,569) | 4,233) | 4,545) | 4,244) | 3,410) | 3,495) | 3,970) | 4,599) | 3,487) | 3,994) | 4,494) | 4,641) | ||||||
| Short-term Activity Ratio | |||||||||||||||||||||||
| Receivables turnover1 | 13.41 | 15.78 | 12.08 | 11.29 | 11.46 | 13.19 | 10.95 | 10.22 | 10.86 | 13.42 | 12.88 | 11.12 | 9.46 | 12.33 | 10.60 | 9.19 | 8.65 | ||||||
| Benchmarks | |||||||||||||||||||||||
| Receivables Turnover, Competitors2 | |||||||||||||||||||||||
| Mondelēz International Inc. | 8.94 | 9.87 | 8.99 | 10.52 | 8.44 | 9.41 | 9.51 | 11.37 | 9.04 | 9.91 | 10.12 | 11.63 | 9.39 | 10.20 | 10.80 | 12.11 | 9.94 | ||||||
| PepsiCo Inc. | 7.84 | 8.16 | 7.31 | 7.41 | 8.47 | 8.89 | 7.60 | 7.71 | 8.40 | 8.46 | 7.78 | 7.87 | 8.41 | 8.50 | 7.79 | 7.80 | 8.58 | ||||||
| Philip Morris International Inc. | 8.10 | 8.89 | 8.34 | 7.82 | 7.87 | 10.00 | 8.78 | 8.60 | 8.58 | 10.16 | 8.81 | 8.07 | 8.80 | 8.25 | 8.21 | 8.32 | 8.65 | ||||||
Based on: 10-Q (reporting date: 2026-04-03), 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-26), 10-Q (reporting date: 2025-06-27), 10-Q (reporting date: 2025-03-28), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-27), 10-Q (reporting date: 2024-06-28), 10-Q (reporting date: 2024-03-29), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-29), 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: 2022-07-01), 10-Q (reporting date: 2022-04-01).
1 Q1 2026 Calculation
Receivables turnover
= (Net operating revenuesQ1 2026
+ Net operating revenuesQ4 2025
+ Net operating revenuesQ3 2025
+ Net operating revenuesQ2 2025)
÷ Trade accounts receivable, less allowances
= (12,472 + 11,822 + 12,455 + 12,535)
÷ 3,675 = 13.41
2 Click competitor name to see calculations.
The analysis of operating activity reveals a general improvement in the efficiency of collecting trade receivables relative to net operating revenues over the observed period. While revenues exhibit seasonal fluctuations, the receivables turnover ratio shows a progressive upward trajectory, indicating a more accelerated conversion of receivables into cash.
- Net Operating Revenue Trends
- Revenues demonstrate a gradual increase from approximately $10.5 billion in early 2022 to over $12.4 billion by April 2026. A recurring seasonal pattern is evident, with revenue peaks typically occurring in the second and third quarters, while relative contractions are observed toward the end of the calendar year.
- Trade Accounts Receivable Dynamics
- Receivables balances fluctuate between a high of $4.64 billion in April 2022 and a low of $3.04 billion in December 2025. There is a discernible pattern where receivables tend to peak in the first quarter and decline toward the year-end, suggesting a cyclical nature in credit extensions or collection efforts.
- Receivables Turnover Efficiency
- The turnover ratio evolved from 8.65 in April 2022 to 13.41 by April 2026, with a significant peak of 15.78 reached in December 2025. This increase suggests a shortening of the collection cycle. The most substantial improvements in efficiency occurred during the fourth quarters of 2022, 2023, 2024, and 2025, where the ratio consistently reached its highest annual points.
- Correlation between Revenue and Collection
- Despite the growth in overall revenue, there is a trend toward reducing the average receivables balance. The divergence between increasing revenue and decreasing year-end receivables indicates enhanced credit management and more effective collection policies, resulting in improved liquidity from operating activities.
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Working Capital Turnover
Coca-Cola Co., working capital turnover calculation (quarterly data)
| Apr 3, 2026 | Dec 31, 2025 | Sep 26, 2025 | Jun 27, 2025 | Mar 28, 2025 | Dec 31, 2024 | Sep 27, 2024 | Jun 28, 2024 | Mar 29, 2024 | Dec 31, 2023 | Sep 29, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jul 1, 2022 | Apr 1, 2022 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||||
| Current assets | 30,390) | 31,044) | 27,247) | 26,609) | 26,178) | 25,997) | 30,288) | 31,599) | 29,462) | 26,732) | 27,867) | 27,591) | 26,880) | 22,591) | 24,139) | 23,141) | 22,156) | ||||||
| Less: Current liabilities | 22,378) | 21,281) | 22,499) | 21,944) | 23,808) | 25,249) | 28,569) | 29,263) | 28,356) | 23,571) | 24,409) | 24,115) | 23,357) | 19,724) | 21,439) | 20,531) | 18,787) | ||||||
| Working capital | 8,012) | 9,763) | 4,748) | 4,665) | 2,370) | 748) | 1,719) | 2,336) | 1,106) | 3,161) | 3,458) | 3,476) | 3,523) | 2,867) | 2,700) | 2,610) | 3,369) | ||||||
| Net operating revenues | 12,472) | 11,822) | 12,455) | 12,535) | 11,129) | 11,544) | 11,854) | 12,363) | 11,300) | 10,849) | 11,953) | 11,972) | 10,980) | 10,125) | 11,063) | 11,325) | 10,491) | ||||||
| Short-term Activity Ratio | |||||||||||||||||||||||
| Working capital turnover1 | 6.15 | 4.91 | 10.04 | 10.09 | 19.78 | 62.92 | 26.97 | 19.89 | 41.66 | 14.47 | 13.02 | 12.70 | 12.35 | 15.00 | 15.68 | 15.83 | 11.91 | ||||||
| Benchmarks | |||||||||||||||||||||||
| Working Capital Turnover, Competitors2 | |||||||||||||||||||||||
| Mondelēz International Inc. | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | ||||||
| PepsiCo Inc. | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | ||||||
| Philip Morris International Inc. | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | ||||||
Based on: 10-Q (reporting date: 2026-04-03), 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-26), 10-Q (reporting date: 2025-06-27), 10-Q (reporting date: 2025-03-28), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-27), 10-Q (reporting date: 2024-06-28), 10-Q (reporting date: 2024-03-29), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-29), 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: 2022-07-01), 10-Q (reporting date: 2022-04-01).
1 Q1 2026 Calculation
Working capital turnover
= (Net operating revenuesQ1 2026
+ Net operating revenuesQ4 2025
+ Net operating revenuesQ3 2025
+ Net operating revenuesQ2 2025)
÷ Working capital
= (12,472 + 11,822 + 12,455 + 12,535)
÷ 8,012 = 6.15
2 Click competitor name to see calculations.
An analysis of short-term operating activity reveals a period of significant volatility in working capital management relative to stable revenue generation. While net operating revenues remained consistently within a range of approximately 10 billion to 12.5 billion US dollars, the working capital turnover ratio experienced extreme fluctuations driven primarily by substantial changes in the underlying working capital balance.
- Net Operating Revenue Trends
- Revenue demonstrated relative stability throughout the observed period. Values fluctuated marginally between a low of 10.125 billion US dollars in December 2022 and a peak of 12.535 billion US dollars in June 2025. This consistency indicates that changes in the turnover ratio were not the result of erratic sales performance but were instead caused by shifts in short-term asset and liability management.
- Working Capital Volatility
- Working capital exhibited three distinct phases. From April 2022 through December 2023, balances remained relatively stable between 2.6 billion and 3.5 billion US dollars. A sharp contraction occurred throughout 2024, reaching a minimum of 748 million US dollars by December 31, 2024. Subsequently, a rapid expansion was observed in 2025, with working capital peaking at 9.763 billion US dollars in December 2025 before moderating to 8.012 billion US dollars by April 2026.
- Working Capital Turnover Ratio Dynamics
- The turnover ratio reflects an inverse correlation with working capital levels. During the stable period of 2022-2023, the ratio fluctuated modestly between 11.91 and 15.83. The contraction of working capital in 2024 led to an artificial spike in efficiency metrics, with the ratio peaking at 62.92 in December 2024. Conversely, the surge in working capital during 2025 resulted in a significant decline in the turnover ratio, which dropped to a period low of 4.91 by December 2025, indicating a substantial increase in the capital required to support each dollar of revenue.
The overall pattern suggests a transition from a lean working capital model in 2024 to a significantly more capital-intensive operating structure by late 2025. The drastic shift in the turnover ratio from 62.92 to 4.91 within one year highlights a fundamental change in the balance of current assets and liabilities.
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Average Inventory Processing Period
Coca-Cola Co., average inventory processing period calculation (quarterly data)
| Apr 3, 2026 | Dec 31, 2025 | Sep 26, 2025 | Jun 27, 2025 | Mar 28, 2025 | Dec 31, 2024 | Sep 27, 2024 | Jun 28, 2024 | Mar 29, 2024 | Dec 31, 2023 | Sep 29, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jul 1, 2022 | Apr 1, 2022 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data | |||||||||||||||||||||||
| Inventory turnover | 3.99 | 4.16 | 3.81 | 3.57 | 3.58 | 3.88 | 3.89 | 3.85 | 3.72 | 4.19 | 4.33 | 3.94 | 3.86 | 4.25 | 4.74 | 4.69 | 4.26 | ||||||
| Short-term Activity Ratio (no. days) | |||||||||||||||||||||||
| Average inventory processing period1 | 92 | 88 | 96 | 102 | 102 | 94 | 94 | 95 | 98 | 87 | 84 | 93 | 95 | 86 | 77 | 78 | 86 | ||||||
| Benchmarks (no. days) | |||||||||||||||||||||||
| Average Inventory Processing Period, Competitors2 | |||||||||||||||||||||||
| Mondelēz International Inc. | 53 | 58 | 72 | 72 | 63 | 63 | 70 | 68 | 62 | 59 | 63 | 65 | 63 | 61 | 64 | 60 | 58 | ||||||
| PepsiCo Inc. | 52 | 50 | 52 | 57 | 50 | 46 | 49 | 51 | 48 | 46 | 48 | 52 | 51 | 47 | 47 | 50 | 46 | ||||||
| Philip Morris International Inc. | 306 | 313 | 283 | 299 | 281 | 259 | 255 | 260 | 279 | 305 | 278 | 291 | 330 | 316 | 237 | 259 | 306 | ||||||
Based on: 10-Q (reporting date: 2026-04-03), 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-26), 10-Q (reporting date: 2025-06-27), 10-Q (reporting date: 2025-03-28), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-27), 10-Q (reporting date: 2024-06-28), 10-Q (reporting date: 2024-03-29), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-29), 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: 2022-07-01), 10-Q (reporting date: 2022-04-01).
1 Q1 2026 Calculation
Average inventory processing period = 365 ÷ Inventory turnover
= 365 ÷ 3.99 = 92
2 Click competitor name to see calculations.
The analysis of short-term operating activity indicates a cyclical variation in inventory management efficiency. A period of heightened efficiency was observed in late 2022, followed by a gradual deterioration in turnover rates and an extension of the inventory processing cycle that peaked in the first half of 2025, before showing signs of recovery and stabilization toward the end of the analyzed period.
- Inventory Turnover Trends
- Turnover rates experienced an initial increase, peaking at 4.74 in September 2022. Subsequently, a long-term downward trend occurred, with the ratio reaching a minimum of 3.57 by June 2025. This decline indicates a reduction in the frequency with which inventory was replaced during this interval. A recovery phase emerged in the final quarters, with the ratio climbing to 4.16 in December 2025 and settling at 3.99 by April 2026.
- Average Inventory Processing Period
- The processing period exhibits a direct inverse correlation with the turnover ratios. The duration reached its lowest point of 77 days in September 2022, representing the peak of operational efficiency in moving goods. This was followed by a consistent lengthening of the cycle, which peaked at 102 days between March and June 2025. The subsequent contraction of this period to 92 days by April 2026 suggests a return toward more efficient inventory throughput.
- Operational Efficiency Insights
- The shift from a 77-day processing period in 2022 to a peak of 102 days in 2025 reflects a significant expansion of the operating cycle, suggesting that inventory remained on hand for approximately 25 days longer at the trough of efficiency than at the peak. The stabilization observed in late 2025 and early 2026 indicates a correction in inventory levels or an improvement in demand fulfillment velocity.
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Average Receivable Collection Period
Coca-Cola Co., average receivable collection period calculation (quarterly data)
| Apr 3, 2026 | Dec 31, 2025 | Sep 26, 2025 | Jun 27, 2025 | Mar 28, 2025 | Dec 31, 2024 | Sep 27, 2024 | Jun 28, 2024 | Mar 29, 2024 | Dec 31, 2023 | Sep 29, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jul 1, 2022 | Apr 1, 2022 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data | |||||||||||||||||||||||
| Receivables turnover | 13.41 | 15.78 | 12.08 | 11.29 | 11.46 | 13.19 | 10.95 | 10.22 | 10.86 | 13.42 | 12.88 | 11.12 | 9.46 | 12.33 | 10.60 | 9.19 | 8.65 | ||||||
| Short-term Activity Ratio (no. days) | |||||||||||||||||||||||
| Average receivable collection period1 | 27 | 23 | 30 | 32 | 32 | 28 | 33 | 36 | 34 | 27 | 28 | 33 | 39 | 30 | 34 | 40 | 42 | ||||||
| Benchmarks (no. days) | |||||||||||||||||||||||
| Average Receivable Collection Period, Competitors2 | |||||||||||||||||||||||
| Mondelēz International Inc. | 41 | 37 | 41 | 35 | 43 | 39 | 38 | 32 | 40 | 37 | 36 | 31 | 39 | 36 | 34 | 30 | 37 | ||||||
| PepsiCo Inc. | 47 | 45 | 50 | 49 | 43 | 41 | 48 | 47 | 43 | 43 | 47 | 46 | 43 | 43 | 47 | 47 | 43 | ||||||
| Philip Morris International Inc. | 45 | 41 | 44 | 47 | 46 | 37 | 42 | 42 | 43 | 36 | 41 | 45 | 41 | 44 | 44 | 44 | 42 | ||||||
Based on: 10-Q (reporting date: 2026-04-03), 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-26), 10-Q (reporting date: 2025-06-27), 10-Q (reporting date: 2025-03-28), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-27), 10-Q (reporting date: 2024-06-28), 10-Q (reporting date: 2024-03-29), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-29), 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: 2022-07-01), 10-Q (reporting date: 2022-04-01).
1 Q1 2026 Calculation
Average receivable collection period = 365 ÷ Receivables turnover
= 365 ÷ 13.41 = 27
2 Click competitor name to see calculations.
An examination of short-term operating activity reveals a general improvement in the efficiency of receivables management from April 2022 through April 2026. There is a clear inverse correlation between the receivables turnover ratio and the average receivable collection period, reflecting a broader trend toward the accelerated conversion of credit sales into cash.
- Receivables Turnover Trends
- The turnover ratio exhibited a general upward trajectory, increasing from 8.65 in April 2022 to 13.41 by April 2026. A significant peak occurred in December 2025, reaching 15.78, which represents the highest level of turnover efficiency across the observed period. While the growth was not linear, with intermittent dips in the first quarters of 2023 and 2024, the overall trend indicates a strengthening of the company's ability to collect its receivables.
- Average Receivable Collection Period Analysis
- The average time required to collect outstanding payments decreased from 42 days in April 2022 to 27 days in April 2026. The most efficient collection cycle was recorded in December 2025, when the period dropped to 23 days. This sustained reduction in the collection window suggests a more aggressive credit policy or an increase in the promptness of customer payments.
- Seasonal Cyclicality
- A recurring seasonal pattern is evident in the data. The average receivable collection period consistently reaches its annual minimum during the December quarters (30, 27, 28, and 23 days respectively), coinciding with peaks in the turnover ratio. Conversely, the collection period typically expands during the first quarter of each year, indicating a cyclical fluctuation in the company's operational cash flow cycle.
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Operating Cycle
Coca-Cola Co., operating cycle calculation (quarterly data)
No. days
| Apr 3, 2026 | Dec 31, 2025 | Sep 26, 2025 | Jun 27, 2025 | Mar 28, 2025 | Dec 31, 2024 | Sep 27, 2024 | Jun 28, 2024 | Mar 29, 2024 | Dec 31, 2023 | Sep 29, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jul 1, 2022 | Apr 1, 2022 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data | |||||||||||||||||||||||
| Average inventory processing period | 92 | 88 | 96 | 102 | 102 | 94 | 94 | 95 | 98 | 87 | 84 | 93 | 95 | 86 | 77 | 78 | 86 | ||||||
| Average receivable collection period | 27 | 23 | 30 | 32 | 32 | 28 | 33 | 36 | 34 | 27 | 28 | 33 | 39 | 30 | 34 | 40 | 42 | ||||||
| Short-term Activity Ratio | |||||||||||||||||||||||
| Operating cycle1 | 119 | 111 | 126 | 134 | 134 | 122 | 127 | 131 | 132 | 114 | 112 | 126 | 134 | 116 | 111 | 118 | 128 | ||||||
| Benchmarks | |||||||||||||||||||||||
| Operating Cycle, Competitors2 | |||||||||||||||||||||||
| Mondelēz International Inc. | 94 | 95 | 113 | 107 | 106 | 102 | 108 | 100 | 102 | 96 | 99 | 96 | 102 | 97 | 98 | 90 | 95 | ||||||
| PepsiCo Inc. | 99 | 95 | 102 | 106 | 93 | 87 | 97 | 98 | 91 | 89 | 95 | 98 | 94 | 90 | 94 | 97 | 89 | ||||||
| Philip Morris International Inc. | 351 | 354 | 327 | 346 | 327 | 296 | 297 | 302 | 322 | 341 | 319 | 336 | 371 | 360 | 281 | 303 | 348 | ||||||
Based on: 10-Q (reporting date: 2026-04-03), 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-26), 10-Q (reporting date: 2025-06-27), 10-Q (reporting date: 2025-03-28), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-27), 10-Q (reporting date: 2024-06-28), 10-Q (reporting date: 2024-03-29), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-29), 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: 2022-07-01), 10-Q (reporting date: 2022-04-01).
1 Q1 2026 Calculation
Operating cycle = Average inventory processing period + Average receivable collection period
= 92 + 27 = 119
2 Click competitor name to see calculations.
The operating cycle demonstrates a cyclical pattern characterized by periodic expansions and contractions, with the overall duration primarily driven by inventory management rather than receivable collections. While the cycle shows volatility, a general stabilization is observed toward the end of the analyzed period.
- Average Inventory Processing Period
- Inventory processing times exhibited a gradual increase throughout 2023, reaching a peak of 102 days in the first half of 2024. This upward trend indicates a slowing of inventory turnover during this interval. However, a subsequent corrective trend is observed starting in late 2024, with the period declining to 88 days by December 31, 2025, before settling at 92 days in April 2026.
- Average Receivable Collection Period
- A consistent improvement in collection efficiency is observed over the analyzed timeframe. The collection period decreased from 42 days in April 2022 to a low of 23 days by December 31, 2025. Although short-term fluctuations occurred—specifically a modest increase to 36 days in June 2024—the overarching trajectory remains downward, signifying an accelerated conversion of receivables into cash.
- Operating Cycle
- The total operating cycle fluctuates between a minimum of 111 days and a maximum of 134 days. Recurrent peaks are evident in the first half of 2023, 2024, and 2025, suggesting a seasonal influence that consistently extends the cycle. Because the receivable collection period remained relatively short and improved over time, the fluctuations in the operating cycle are almost entirely correlated with the volatility observed in the inventory processing period.
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