Analysis of Long-term (Investment) 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.
Long-term Activity Ratios (Summary)
Deckers Outdoor Corp., long-term (investment) activity ratios (quarterly data)
Based on: 10-Q (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-K (reporting date: 2023-03-31), 10-Q (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-K (reporting date: 2022-03-31), 10-Q (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-K (reporting date: 2021-03-31), 10-Q (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-K (reporting date: 2020-03-31), 10-Q (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-K (reporting date: 2019-03-31), 10-Q (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30).
The financial ratios observed for the company over multiple quarters reveal several notable trends in asset utilization and equity efficiency.
- Net Fixed Asset Turnover
- This ratio shows a generally increasing trend from mid-2018 through the end of 2021, rising from approximately 8.93 to a peak of around 14.84. This suggests an improving ability to generate revenue from fixed assets over this period. Subsequently, there is a moderate decline starting in early 2022 through late 2023, where the ratio decreases to roughly 13.69, indicating a slight reduction in efficiency in utilizing fixed assets in recent quarters.
- Net Fixed Asset Turnover (Including Operating Lease, Right-of-Use Asset)
- This measure began closely aligned with the base net fixed asset turnover up to early 2019 but then shifts significantly lower, dropping to around 4.62 in mid-2019 and thereafter following an upward trend until late 2022, reaching approximately 8.84. The ratio slightly declines toward late 2023, ending near 7.73. This pattern suggests the impact of including operating leases and right-of-use assets lowers the turnover ratio, but the company has been progressively improving revenue generation from all fixed assets considered under this broader definition.
- Total Asset Turnover
- The total asset turnover ratio fluctuates modestly but remains relatively stable overall. Starting near 1.4 in mid-2018, it declines to a low of about 0.99 toward the end of 2020, indicating a period of lower efficiency at that time. Thereafter, it recovers and oscillates around values between 1.17 and 1.42 up to mid-2023, suggesting that the company generally maintains a consistent ability to generate revenue from total assets despite some variability.
- Equity Turnover
- The equity turnover ratio demonstrates some variability with an initial level around 2.16 in mid-2018, experiencing a decline to approximately 1.55 by late 2020. Following this, the ratio increases again to fluctuate mostly between 1.9 and 2.25 from 2021 through mid-2023. This pattern reflects changes in the efficiency of using shareholders’ equity to generate revenue and may indicate shifts in capital structure or profitability over time.
Overall, the analysis highlights strong improvements in the efficiency of fixed asset usage through 2021, moderated by the inclusion of operating leases which initially reduced the related turnover ratio but improved steadily thereafter. Total asset and equity turnover ratios have shown more variability, with some recovery in recent periods after lows around 2020, suggesting the company has adapted its asset and equity management practices over the examined timeframe.
Net Fixed Asset Turnover
Deckers Outdoor Corp., net fixed asset turnover calculation (quarterly data)
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | Dec 31, 2018 | Sep 30, 2018 | Jun 30, 2018 | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||||||||||||||||||||||||||
| Net sales | 1,560,307) | 1,091,907) | 675,791) | 791,571) | 1,345,640) | 875,614) | 614,461) | 736,007) | 1,187,752) | 721,902) | 504,678) | 561,188) | 1,077,759) | 623,525) | 283,169) | 374,910) | 938,735) | 542,205) | 276,839) | 394,130) | 873,800) | 501,913) | 250,594) | |||||||
| Property and equipment, net of accumulated depreciation | 300,815) | 295,212) | 288,760) | 266,679) | 242,594) | 221,308) | 219,657) | 222,449) | 221,013) | 223,687) | 222,348) | 206,210) | 205,695) | 207,912) | 209,074) | 209,037) | 209,690) | 212,323) | 211,254) | 213,796) | 215,560) | 215,720) | 217,653) | |||||||
| Long-term Activity Ratio | ||||||||||||||||||||||||||||||
| Net fixed asset turnover1 | 13.69 | 13.23 | 12.77 | 13.60 | 14.72 | 15.43 | 14.84 | 14.16 | 13.46 | 12.81 | 12.45 | 12.34 | 11.47 | 10.68 | 10.23 | 10.20 | 10.26 | 9.83 | 9.69 | 9.45 | 9.40 | 9.10 | 8.93 | |||||||
| Benchmarks | ||||||||||||||||||||||||||||||
| Net Fixed Asset Turnover, Competitors2 | ||||||||||||||||||||||||||||||
| lululemon athletica inc. | 6.50 | 6.46 | 6.47 | 6.39 | 6.65 | 6.66 | 6.82 | 6.74 | 6.68 | 6.85 | 6.42 | 5.90 | 5.65 | 5.54 | 5.84 | — | — | — | — | — | — | — | — | |||||||
| Nike Inc. | 10.15 | 10.00 | 10.07 | 10.08 | 10.25 | 10.12 | 9.87 | 9.75 | 9.74 | 9.62 | 9.49 | 9.08 | 7.77 | 7.71 | 7.51 | — | — | — | — | — | — | — | — | |||||||
Based on: 10-Q (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-K (reporting date: 2023-03-31), 10-Q (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-K (reporting date: 2022-03-31), 10-Q (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-K (reporting date: 2021-03-31), 10-Q (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-K (reporting date: 2020-03-31), 10-Q (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-K (reporting date: 2019-03-31), 10-Q (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30).
1 Q3 2024 Calculation
Net fixed asset turnover
= (Net salesQ3 2024
+ Net salesQ2 2024
+ Net salesQ1 2024
+ Net salesQ4 2023)
÷ Property and equipment, net of accumulated depreciation
= (1,560,307 + 1,091,907 + 675,791 + 791,571)
÷ 300,815 = 13.69
2 Click competitor name to see calculations.
- Net Sales Trends
- Net sales exhibit a cyclical quarterly pattern with significant increases and decreases, showing strong seasonality. Peaks consistently occur in December quarters, reflecting heightened sales activity during these periods. Between June 2018 and December 2023, there is an overall upward trend with net sales growing from approximately 251 million USD to over 1.56 billion USD in the peak December quarter of 2023. This indicates robust revenue growth across the observed timeframe despite fluctuations within individual fiscal years.
- Property and Equipment, Net of Accumulated Depreciation
- The value of property and equipment, net of depreciation, remains relatively stable in the earlier years, fluctuating modestly between roughly 207 million USD and 223 million USD from June 2018 through March 2022. From June 2022 onward, there is a noticeable upward trend in net property and equipment values, reaching over 300 million USD by December 2023. This growth suggests investments or capital expenditures in fixed assets, possibly to support expanding operations or modernization efforts.
- Net Fixed Asset Turnover Ratio Analysis
- The net fixed asset turnover ratio generally improves over the period from June 2018 to March 2023, increasing from approximately 8.93 to a peak of 15.43 in September 2022. This ratio then experiences a slight decline toward the end of 2023 but remains elevated relative to earlier years. The trend indicates increasing efficiency in generating sales from fixed assets over time, though the marginal decline at the end of the period could indicate reaching a saturation point or short-term operational constraints.
- Overall Insights
- The data reflects a company experiencing consistent annual growth in sales and asset base expansion. Sales growth outpaces increases in property and equipment, as demonstrated by the rising fixed asset turnover ratio, highlighting improving asset utilization efficiency. Seasonality significantly impacts sales figures, with December quarters driving the highest revenues. Recent years show heightened capital expenditure, possibly to sustain or accelerate growth, warranting monitoring of fixed asset utilization to ensure maintained or enhanced operational efficiency.
Net Fixed Asset Turnover (including Operating Lease, Right-of-Use Asset)
Deckers Outdoor Corp., net fixed asset turnover (including operating lease, right-of-use asset) calculation (quarterly data)
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | Dec 31, 2018 | Sep 30, 2018 | Jun 30, 2018 | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||||||||||||||||||||||||||
| Net sales | 1,560,307) | 1,091,907) | 675,791) | 791,571) | 1,345,640) | 875,614) | 614,461) | 736,007) | 1,187,752) | 721,902) | 504,678) | 561,188) | 1,077,759) | 623,525) | 283,169) | 374,910) | 938,735) | 542,205) | 276,839) | 394,130) | 873,800) | 501,913) | 250,594) | |||||||
| Property and equipment, net of accumulated depreciation | 300,815) | 295,212) | 288,760) | 266,679) | 242,594) | 221,308) | 219,657) | 222,449) | 221,013) | 223,687) | 222,348) | 206,210) | 205,695) | 207,912) | 209,074) | 209,037) | 209,690) | 212,323) | 211,254) | 213,796) | 215,560) | 215,720) | 217,653) | |||||||
| Operating lease assets | 232,179) | 209,338) | 219,200) | 213,302) | 166,525) | 164,794) | 172,449) | 182,459) | 180,073) | 190,611) | 189,869) | 186,991) | 206,299) | 224,151) | 230,578) | 243,522) | 216,420) | 227,988) | 232,071) | —) | —) | —) | —) | |||||||
| Property and equipment, net of accumulated depreciation (including operating lease, right-of-use asset) | 532,994) | 504,550) | 507,960) | 479,981) | 409,119) | 386,102) | 392,106) | 404,908) | 401,086) | 414,298) | 412,217) | 393,201) | 411,994) | 432,063) | 439,652) | 452,559) | 426,110) | 440,311) | 443,325) | 213,796) | 215,560) | 215,720) | 217,653) | |||||||
| Long-term Activity Ratio | ||||||||||||||||||||||||||||||
| Net fixed asset turnover (including operating lease, right-of-use asset)1 | 7.73 | 7.74 | 7.26 | 7.56 | 8.73 | 8.84 | 8.31 | 7.78 | 7.42 | 6.92 | 6.71 | 6.47 | 5.73 | 5.14 | 4.87 | 4.71 | 5.05 | 4.74 | 4.62 | 9.45 | 9.40 | 9.10 | 8.93 | |||||||
| Benchmarks | ||||||||||||||||||||||||||||||
| Net Fixed Asset Turnover (including Operating Lease, Right-of-Use Asset), Competitors2 | ||||||||||||||||||||||||||||||
| lululemon athletica inc. | 3.73 | 3.61 | 3.68 | 3.62 | 3.61 | 3.66 | 3.70 | 3.61 | 3.52 | 3.60 | 3.33 | 2.97 | 2.84 | 2.72 | 2.77 | — | — | — | — | — | — | — | — | |||||||
| Nike Inc. | 6.50 | 6.37 | 6.40 | 6.40 | 6.51 | 6.41 | 6.16 | 6.05 | 5.34 | 5.91 | 5.81 | 5.56 | 4.75 | 4.76 | 4.59 | — | — | — | — | — | — | — | — | |||||||
Based on: 10-Q (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-K (reporting date: 2023-03-31), 10-Q (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-K (reporting date: 2022-03-31), 10-Q (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-K (reporting date: 2021-03-31), 10-Q (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-K (reporting date: 2020-03-31), 10-Q (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-K (reporting date: 2019-03-31), 10-Q (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30).
1 Q3 2024 Calculation
Net fixed asset turnover (including operating lease, right-of-use asset)
= (Net salesQ3 2024
+ Net salesQ2 2024
+ Net salesQ1 2024
+ Net salesQ4 2023)
÷ Property and equipment, net of accumulated depreciation (including operating lease, right-of-use asset)
= (1,560,307 + 1,091,907 + 675,791 + 791,571)
÷ 532,994 = 7.73
2 Click competitor name to see calculations.
- Net Sales
- The net sales figures exhibit a seasonal pattern with notable fluctuations within each fiscal year, reflecting variability across quarters. The data shows pronounced peaks typically in the fourth quarter, suggesting a strong seasonal effect likely related to year-end sales. For instance, the December quarters consistently register the highest sales in each calendar year. Over the presented period, net sales demonstrate an overall upward trajectory. From 2018 through 2023, the December quarter sales increased from approximately 874 million to over 1.56 billion US dollars, indicating significant growth. Despite this growth trend, quarterly sales around the mid-year periods are generally lower compared to year-end peaks but show gradual improvement over time, highlighting a strengthening business performance on a year-over-year basis.
- Property and Equipment, Net (Including Operating Lease, Right-of-Use Asset)
- The net value of property and equipment displays some fluctuations but remains within a relatively stable range across the examined timeline. There is a noticeable jump between the first quarter of 2019 and the second quarter of 2019, with values nearly doubling from approximately 214 million to over 443 million US dollars, which could correspond to capital investment or reclassification effects. Subsequent values indicate gradual declines and recoveries, with a dip visible around the end of 2022 but followed by a rebound towards the end of 2023, reaching a peak of above 532 million US dollars. This pattern suggests ongoing investments balanced by depreciation and disposals but no extreme volatility.
- Net Fixed Asset Turnover (Including Operating Lease, Right-of-Use Asset)
- The net fixed asset turnover ratio shows two distinct phases. Initially, during 2018 and early 2019, the ratio was relatively high, ranging from approximately 8.9 to 9.45, indicating efficient use of fixed assets in generating sales. In mid-2019, there is a marked decrease in the ratio to values around 4.6 to 5.0, coinciding with the period of increased property and equipment values, likely reflecting asset base expansion outpacing sales growth initially. After this decline, the ratio begins a sustained recovery through 2020 to 2023, improving steadily up to values around 7.7 to 8.8, signaling enhanced asset utilization efficiency over time. Despite this improvement, the ratio does not reach the higher levels seen in early 2018, indicating capacity expansion but with relatively balanced sales growth catching up.
Total Asset Turnover
Deckers Outdoor Corp., total asset turnover calculation (quarterly data)
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | Dec 31, 2018 | Sep 30, 2018 | Jun 30, 2018 | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||||||||||||||||||||||||||
| Net sales | 1,560,307) | 1,091,907) | 675,791) | 791,571) | 1,345,640) | 875,614) | 614,461) | 736,007) | 1,187,752) | 721,902) | 504,678) | 561,188) | 1,077,759) | 623,525) | 283,169) | 374,910) | 938,735) | 542,205) | 276,839) | 394,130) | 873,800) | 501,913) | 250,594) | |||||||
| Total assets | 3,347,459) | 2,848,533) | 2,847,902) | 2,556,203) | 2,809,289) | 2,466,349) | 2,513,252) | 2,332,250) | 2,547,568) | 2,410,432) | 2,291,255) | 2,167,705) | 2,387,850) | 2,050,348) | 1,848,566) | 1,765,118) | 1,888,351) | 1,691,659) | 1,751,056) | 1,427,206) | 1,542,451) | 1,423,968) | 1,386,720) | |||||||
| Long-term Activity Ratio | ||||||||||||||||||||||||||||||
| Total asset turnover1 | 1.23 | 1.37 | 1.30 | 1.42 | 1.27 | 1.38 | 1.30 | 1.35 | 1.17 | 1.19 | 1.21 | 1.17 | 0.99 | 1.08 | 1.16 | 1.21 | 1.14 | 1.23 | 1.17 | 1.42 | 1.31 | 1.38 | 1.40 | |||||||
| Benchmarks | ||||||||||||||||||||||||||||||
| Total Asset Turnover, Competitors2 | ||||||||||||||||||||||||||||||
| lululemon athletica inc. | 1.53 | 1.47 | 1.53 | 1.45 | 1.41 | 1.44 | 1.41 | 1.27 | 1.28 | 1.25 | 1.15 | 1.05 | 1.12 | 1.11 | 1.20 | — | — | — | — | — | — | — | — | |||||||
| Nike Inc. | 1.38 | 1.39 | 1.40 | 1.36 | 1.32 | 1.24 | 1.15 | 1.16 | 1.18 | 1.19 | 1.22 | 1.18 | 1.06 | 1.10 | 1.12 | — | — | — | — | — | — | — | — | |||||||
Based on: 10-Q (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-K (reporting date: 2023-03-31), 10-Q (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-K (reporting date: 2022-03-31), 10-Q (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-K (reporting date: 2021-03-31), 10-Q (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-K (reporting date: 2020-03-31), 10-Q (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-K (reporting date: 2019-03-31), 10-Q (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30).
1 Q3 2024 Calculation
Total asset turnover
= (Net salesQ3 2024
+ Net salesQ2 2024
+ Net salesQ1 2024
+ Net salesQ4 2023)
÷ Total assets
= (1,560,307 + 1,091,907 + 675,791 + 791,571)
÷ 3,347,459 = 1.23
2 Click competitor name to see calculations.
- Net Sales
- Net sales exhibit a strong overall growth trend across the analyzed periods, with notable seasonal fluctuations. The data shows significant sales peaks in December of each year, characteristic of higher consumer spending during the holiday season. Early fiscal quarters present relatively lower sales figures compared to the fourth quarter. Post-2020, net sales show a robust recovery and subsequent expansion, surpassing pre-2020 levels and reaching the highest values in the latest quarters. This suggests effective market penetration and demand recovery following any downturns experienced in early 2020.
- Total Assets
- Total assets demonstrate a continuous upward trend with steady increases quarter over quarter. There are no pronounced declines, indicating consistent asset growth and possibly ongoing investments or accumulation of resources. Asset base more than doubles from the initial to the final period, reflecting expansion of asset holdings or capitalization. The growth pace remains relatively steady, with some acceleration visible after 2020, aligning with the recovery and growth phase noted in net sales.
- Total Asset Turnover
- Total asset turnover ratios fluctuate moderately but maintain a range typically between 1.0 and 1.4. Earlier periods tend to show higher turnover ratios, with some decline occurring around late 2019 and early 2020, coinciding with asset increases and potential sales disruptions. Post-2020, turnover ratios generally recover, suggesting improved efficiency in generating sales from assets. However, while the ratio does not return to highest early levels, it remains robust, indicating effective use of expanded asset base in revenue generation despite growth in assets.
- Summary
- The analyzed data reveal that the company has experienced consistent growth in net sales and total assets over the reviewed timeframe. Seasonality affects sales results, with peak quarterly results consistently occurring in the final quarter each year. Asset growth appears to support expanding business operations. The asset turnover ratio trends suggest fluctuations in operational efficiency, particularly dampened around early 2020, likely reflecting broader economic or market impacts. Subsequent recovery in asset turnover alongside continuous asset growth and improving sales signals an overall strengthening in operational performance and asset utilization.
Equity Turnover
Deckers Outdoor Corp., equity turnover calculation (quarterly data)
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | Dec 31, 2018 | Sep 30, 2018 | Jun 30, 2018 | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||||||||||||||||||||||||||
| Net sales | 1,560,307) | 1,091,907) | 675,791) | 791,571) | 1,345,640) | 875,614) | 614,461) | 736,007) | 1,187,752) | 721,902) | 504,678) | 561,188) | 1,077,759) | 623,525) | 283,169) | 374,910) | 938,735) | 542,205) | 276,839) | 394,130) | 873,800) | 501,913) | 250,594) | |||||||
| Stockholders’ equity | 2,104,190) | 1,795,130) | 1,802,121) | 1,765,733) | 1,769,172) | 1,515,839) | 1,472,407) | 1,538,825) | 1,564,742) | 1,463,746) | 1,418,987) | 1,444,225) | 1,520,121) | 1,242,964) | 1,136,928) | 1,140,120) | 1,123,747) | 916,304) | 995,279) | 1,045,130) | 1,017,881) | 846,787) | 902,151) | |||||||
| Long-term Activity Ratio | ||||||||||||||||||||||||||||||
| Equity turnover1 | 1.96 | 2.18 | 2.05 | 2.05 | 2.02 | 2.25 | 2.21 | 2.05 | 1.90 | 1.96 | 1.95 | 1.76 | 1.55 | 1.79 | 1.88 | 1.87 | 1.91 | 2.28 | 2.06 | 1.93 | 1.99 | 2.32 | 2.16 | |||||||
| Benchmarks | ||||||||||||||||||||||||||||||
| Equity Turnover, Competitors2 | ||||||||||||||||||||||||||||||
| lululemon athletica inc. | 2.61 | 2.50 | 2.56 | 2.58 | 2.46 | 2.47 | 2.49 | 2.28 | 2.20 | 2.07 | 1.89 | 1.72 | 1.88 | 1.93 | 2.10 | — | — | — | — | — | — | — | — | |||||||
| Nike Inc. | 3.63 | 3.64 | 3.68 | 3.66 | 3.48 | 3.22 | 2.98 | 3.06 | 3.16 | 3.10 | 3.22 | 3.49 | 3.23 | 3.60 | 4.05 | — | — | — | — | — | — | — | — | |||||||
Based on: 10-Q (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-K (reporting date: 2023-03-31), 10-Q (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-K (reporting date: 2022-03-31), 10-Q (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-K (reporting date: 2021-03-31), 10-Q (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-K (reporting date: 2020-03-31), 10-Q (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-K (reporting date: 2019-03-31), 10-Q (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30).
1 Q3 2024 Calculation
Equity turnover
= (Net salesQ3 2024
+ Net salesQ2 2024
+ Net salesQ1 2024
+ Net salesQ4 2023)
÷ Stockholders’ equity
= (1,560,307 + 1,091,907 + 675,791 + 791,571)
÷ 2,104,190 = 1.96
2 Click competitor name to see calculations.
The analysis of the quarterly financial data reveals several noteworthy trends and developments over the observed periods.
- Net Sales
- Net sales exhibit a cyclical pattern with pronounced seasonality. Significant peaks consistently emerge in December quarters, reaching the highest values in those periods, indicating strong seasonal demand likely related to holiday shopping. Between 2018 and 2023, there is a general upward trend in peak sales, with December 2023 showing the highest recorded sales figure. Mid-year quarters often register the lowest sales, followed by a strong rebound in subsequent quarters. Notably, after a dip in early 2020, sales quickly recovered and continued growth through 2023.
- Stockholders’ Equity
- Stockholders’ equity shows a steady increase over the years. There are occasional periods of marginal declines or plateaus, but the overall trajectory is upward, reflecting accumulation of retained earnings or additional capital contributions. The most significant increase appears between late 2022 and 2023, where equity rises substantially, reaching an all-time high at the end of the dataset. This steady equity growth improves the company's financial stability and capacity for growth.
- Equity Turnover Ratio
- The equity turnover ratio exhibits moderate fluctuation around an average level between approximately 1.5 and 2.3 throughout the entire period. This ratio tends to dip during periods of peak stockholders’ equity growth, suggesting that increases in equity are not always immediately matched by proportional increases in sales. Periods of stronger sales performance correspond with temporary rises in equity turnover, indicating more efficient use of equity to generate sales in these intervals. Toward the end of the dataset, the ratio stabilizes slightly below historical highs, indicating a consistent but moderate efficiency in equity utilization.
Overall, the company demonstrates strong sales seasonality supported by growing equity. The consistent increase in stockholders’ equity provides a solid foundation for the observed growth in sales. The equity turnover ratio reflects a balance between accumulation of equity and its utilization in generating sales, with efficiency remaining relatively stable in recent periods.