Stock Analysis on Net
Stock Analysis on Net

Honeywell International Inc. (NYSE:HON)

Analysis of Short-term (Operating) Activity Ratios
Quarterly Data

Beginner level


Short-term Activity Ratios (Summary)

Honeywell International Inc., short-term (operating) activity ratios (quarterly data)

Microsoft Excel LibreOffice Calc
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 Mar 31, 2018 Dec 31, 2017 Sep 30, 2017 Jun 30, 2017 Mar 31, 2017 Dec 31, 2016 Sep 30, 2016 Jun 30, 2016 Mar 31, 2016 Dec 31, 2015 Sep 30, 2015 Jun 30, 2015 Mar 31, 2015
Turnover Ratios
Inventory turnover 4.88 5.23 5.51 5.37 5.70 6.10 6.71 5.90 6.09 5.96 5.98 5.67 5.80 5.80 6.22 5.93 5.76 5.68 6.05
Receivables turnover 5.14 4.87 4.90 4.87 5.21 5.51 5.57 5.01 4.92 4.72 4.57 4.62 4.66 4.82 4.81 4.56 4.48 4.63 4.78
Payables turnover 4.32 4.23 4.25 4.47 4.68 4.97 5.18 4.24 4.29 4.28 4.19 4.45 4.52 4.64 4.77 5.02 4.81 4.89 4.79
Working capital turnover 3.14 6.93 5.92 5.89 9.97 8.50 7.69 4.92 6.25 6.06 5.68 6.18 6.47 6.23 5.84 10.85 8.75 10.04 22.94
Average No. Days
Average inventory processing period 75 70 66 68 64 60 54 62 60 61 61 64 63 63 59 62 63 64 60
Add: Average receivable collection period 71 75 75 75 70 66 66 73 74 77 80 79 78 76 76 80 81 79 76
Operating cycle 146 145 141 143 134 126 120 135 134 138 141 143 141 139 135 142 144 143 136
Less: Average payables payment period 85 86 86 82 78 73 70 86 85 85 87 82 81 79 76 73 76 75 76
Cash conversion cycle 61 59 55 61 56 53 50 49 49 53 54 61 60 60 59 69 68 68 60

Based on: 10-Q (filing date: 2020-07-24), 10-Q (filing date: 2020-05-01), 10-K (filing date: 2020-02-14), 10-Q (filing date: 2019-10-17), 10-Q (filing date: 2019-07-18), 10-Q (filing date: 2019-04-18), 10-K (filing date: 2019-02-08), 10-Q (filing date: 2018-10-19), 10-Q (filing date: 2018-07-20), 10-Q (filing date: 2018-04-20), 10-K (filing date: 2018-02-09), 10-Q (filing date: 2017-10-20), 10-Q (filing date: 2017-07-21), 10-Q (filing date: 2017-04-21), 10-K (filing date: 2017-02-10), 10-Q (filing date: 2016-10-21), 10-Q (filing date: 2016-07-22), 10-Q (filing date: 2016-04-22), 10-K (filing date: 2016-02-12), 10-Q (filing date: 2015-10-16), 10-Q (filing date: 2015-07-17), 10-Q (filing date: 2015-04-17).

Short-term activity ratio Description The company
Inventory turnover An activity ratio calculated as cost of goods sold divided by inventory. Honeywell International Inc.’s inventory turnover ratio deteriorated from Q4 2019 to Q1 2020 and from Q1 2020 to Q2 2020.
Receivables turnover An activity ratio equal to revenue divided by receivables. Honeywell International Inc.’s receivables turnover ratio deteriorated from Q4 2019 to Q1 2020 but then improved from Q1 2020 to Q2 2020 exceeding Q4 2019 level.
Payables turnover An activity ratio calculated as cost of goods sold divided by payables. Honeywell International Inc.’s payables turnover ratio decreased from Q4 2019 to Q1 2020 but then increased from Q1 2020 to Q2 2020 exceeding Q4 2019 level.
Working capital turnover An activity ratio calculated as revenue divided by working capital. Honeywell International Inc.’s working capital turnover ratio improved from Q4 2019 to Q1 2020 but then deteriorated significantly from Q1 2020 to Q2 2020.

Short-term activity ratio Description The company
Average inventory processing period An activity ratio equal to the number of days in the period divided by inventory turnover over the period. Honeywell International Inc.’s number of days of inventory outstanding deteriorated from Q4 2019 to Q1 2020 and from Q1 2020 to Q2 2020.
Average receivable collection period An activity ratio equal to the number of days in the period divided by receivables turnover.
Operating cycle Equal to average inventory processing period plus average receivables collection period. Honeywell International Inc.’s operating cycle deteriorated from Q4 2019 to Q1 2020 and from Q1 2020 to Q2 2020.
Average payables payment period An estimate of the average number of days it takes a company to pay its suppliers; equal to the number of days in the period divided by payables turnover ratio for the period.
Cash conversion cycle A financial metric that measures the length of time required for a company to convert cash invested in its operations to cash received as a result of its operations; equal to average inventory processing period plus average receivables collection period minus average payables payment period. Honeywell International Inc.’s cash conversion cycle deteriorated from Q4 2019 to Q1 2020 and from Q1 2020 to Q2 2020.

Inventory Turnover

Honeywell International Inc., inventory turnover calculation (quarterly data)

Microsoft Excel LibreOffice Calc
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 Mar 31, 2018 Dec 31, 2017 Sep 30, 2017 Jun 30, 2017 Mar 31, 2017 Dec 31, 2016 Sep 30, 2016 Jun 30, 2016 Mar 31, 2016 Dec 31, 2015 Sep 30, 2015 Jun 30, 2015 Mar 31, 2015
Selected Financial Data (US$ in millions)
Cost of products and services sold 5,276  5,534  6,328  6,038  6,094  5,879  6,685  7,556  7,614  7,191  7,496  6,873  6,850  6,356  6,879  6,903  6,821  6,547  6,917  6,654  6,814  6,362 
Inventories 4,753  4,584  4,421  4,601  4,600  4,548  4,326  5,061  4,792  4,766  4,613  4,751  4,651  4,652  4,366  4,587  4,678  4,743  4,420  4,441  4,447  4,507 
Short-term Activity Ratio
Inventory turnover1 4.88 5.23 5.51 5.37 5.70 6.10 6.71 5.90 6.09 5.96 5.98 5.67 5.80 5.80 6.22 5.93 5.76 5.68 6.05
Benchmarks
Inventory Turnover, Competitors2
3M Co. 3.94 4.02 4.15 4.21 3.92 3.69 3.82 3.76 3.91 3.81 3.97 3.93 4.02 4.22 4.44 4.20 4.20 4.20 4.37
General Electric Co. 4.41 4.50 4.97 5.05 4.12 4.50 4.81 4.48 4.58 4.53 4.19 3.48 3.80 3.85 3.91 3.62 3.49 3.53 3.67

Based on: 10-Q (filing date: 2020-07-24), 10-Q (filing date: 2020-05-01), 10-K (filing date: 2020-02-14), 10-Q (filing date: 2019-10-17), 10-Q (filing date: 2019-07-18), 10-Q (filing date: 2019-04-18), 10-K (filing date: 2019-02-08), 10-Q (filing date: 2018-10-19), 10-Q (filing date: 2018-07-20), 10-Q (filing date: 2018-04-20), 10-K (filing date: 2018-02-09), 10-Q (filing date: 2017-10-20), 10-Q (filing date: 2017-07-21), 10-Q (filing date: 2017-04-21), 10-K (filing date: 2017-02-10), 10-Q (filing date: 2016-10-21), 10-Q (filing date: 2016-07-22), 10-Q (filing date: 2016-04-22), 10-K (filing date: 2016-02-12), 10-Q (filing date: 2015-10-16), 10-Q (filing date: 2015-07-17), 10-Q (filing date: 2015-04-17).

1 Q2 2020 Calculation
Inventory turnover = (Cost of products and services soldQ2 2020 + Cost of products and services soldQ1 2020 + Cost of products and services soldQ4 2019 + Cost of products and services soldQ3 2019) ÷ Inventories
= (5,276 + 5,534 + 6,328 + 6,038) ÷ 4,753 = 4.88

2 Click competitor name to see calculations.

Short-term activity ratio Description The company
Inventory turnover An activity ratio calculated as cost of goods sold divided by inventory. Honeywell International Inc.’s inventory turnover ratio deteriorated from Q4 2019 to Q1 2020 and from Q1 2020 to Q2 2020.

Receivables Turnover

Honeywell International Inc., receivables turnover calculation (quarterly data)

Microsoft Excel LibreOffice Calc
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 Mar 31, 2018 Dec 31, 2017 Sep 30, 2017 Jun 30, 2017 Mar 31, 2017 Dec 31, 2016 Sep 30, 2016 Jun 30, 2016 Mar 31, 2016 Dec 31, 2015 Sep 30, 2015 Jun 30, 2015 Mar 31, 2015
Selected Financial Data (US$ in millions)
Net sales 7,477  8,463  9,496  9,086  9,243  8,884  9,729  10,762  10,919  10,392  10,843  10,121  10,078  9,492  9,985  9,804  9,991  9,522  9,982  9,611  9,775  9,213 
Accounts receivable, net 6,717  7,452  7,493  7,583  7,407  7,307  7,508  8,568  8,600  8,778  8,866  8,587  8,442  8,155  8,177  8,627  8,730  8,397  8,075  7,936  8,237  8,158 
Short-term Activity Ratio
Receivables turnover1 5.14 4.87 4.90 4.87 5.21 5.51 5.57 5.01 4.92 4.72 4.57 4.62 4.66 4.82 4.81 4.56 4.48 4.63 4.78
Benchmarks
Receivables Turnover, Competitors2
3M Co. 7.03 6.71 6.71 6.37 5.98 6.25 6.53 6.16 6.10 6.14 6.45 6.01 6.21 6.43 6.86 6.34 6.45 6.71 7.29
General Electric Co. 5.03 5.08 5.22 5.88 4.97 5.48 5.71 5.57 5.56 5.09 4.63 4.48 5.11 5.09 4.59 4.40 4.35 4.15 3.92

Based on: 10-Q (filing date: 2020-07-24), 10-Q (filing date: 2020-05-01), 10-K (filing date: 2020-02-14), 10-Q (filing date: 2019-10-17), 10-Q (filing date: 2019-07-18), 10-Q (filing date: 2019-04-18), 10-K (filing date: 2019-02-08), 10-Q (filing date: 2018-10-19), 10-Q (filing date: 2018-07-20), 10-Q (filing date: 2018-04-20), 10-K (filing date: 2018-02-09), 10-Q (filing date: 2017-10-20), 10-Q (filing date: 2017-07-21), 10-Q (filing date: 2017-04-21), 10-K (filing date: 2017-02-10), 10-Q (filing date: 2016-10-21), 10-Q (filing date: 2016-07-22), 10-Q (filing date: 2016-04-22), 10-K (filing date: 2016-02-12), 10-Q (filing date: 2015-10-16), 10-Q (filing date: 2015-07-17), 10-Q (filing date: 2015-04-17).

1 Q2 2020 Calculation
Receivables turnover = (Net salesQ2 2020 + Net salesQ1 2020 + Net salesQ4 2019 + Net salesQ3 2019) ÷ Accounts receivable, net
= (7,477 + 8,463 + 9,496 + 9,086) ÷ 6,717 = 5.14

2 Click competitor name to see calculations.

Short-term activity ratio Description The company
Receivables turnover An activity ratio equal to revenue divided by receivables. Honeywell International Inc.’s receivables turnover ratio deteriorated from Q4 2019 to Q1 2020 but then improved from Q1 2020 to Q2 2020 exceeding Q4 2019 level.

Payables Turnover

Honeywell International Inc., payables turnover calculation (quarterly data)

Microsoft Excel LibreOffice Calc
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 Mar 31, 2018 Dec 31, 2017 Sep 30, 2017 Jun 30, 2017 Mar 31, 2017 Dec 31, 2016 Sep 30, 2016 Jun 30, 2016 Mar 31, 2016 Dec 31, 2015 Sep 30, 2015 Jun 30, 2015 Mar 31, 2015
Selected Financial Data (US$ in millions)
Cost of products and services sold 5,276  5,534  6,328  6,038  6,094  5,879  6,685  7,556  7,614  7,191  7,496  6,873  6,850  6,356  6,879  6,903  6,821  6,547  6,917  6,654  6,814  6,362 
Accounts payable 5,366  5,676  5,730  5,522  5,602  5,582  5,607  7,050  6,808  6,641  6,584  6,061  5,971  5,805  5,690  5,418  5,598  5,511  5,580  5,363  5,352  5,263 
Short-term Activity Ratio
Payables turnover1 4.32 4.23 4.25 4.47 4.68 4.97 5.18 4.24 4.29 4.28 4.19 4.45 4.52 4.64 4.77 5.02 4.81 4.89 4.79
Benchmarks
Payables Turnover, Competitors2
3M Co. 8.32 7.67 7.69 8.11 7.91 7.26 7.36 8.23 8.87 8.73 8.23 8.57 8.66 8.95 8.36 9.35 9.20 9.64 9.08
General Electric Co. 4.99 4.57 4.40 5.30 4.83 5.12 5.40 5.87 6.24 6.18 6.07 6.04 6.54 6.39 6.06 6.68 6.57 6.42 6.04

Based on: 10-Q (filing date: 2020-07-24), 10-Q (filing date: 2020-05-01), 10-K (filing date: 2020-02-14), 10-Q (filing date: 2019-10-17), 10-Q (filing date: 2019-07-18), 10-Q (filing date: 2019-04-18), 10-K (filing date: 2019-02-08), 10-Q (filing date: 2018-10-19), 10-Q (filing date: 2018-07-20), 10-Q (filing date: 2018-04-20), 10-K (filing date: 2018-02-09), 10-Q (filing date: 2017-10-20), 10-Q (filing date: 2017-07-21), 10-Q (filing date: 2017-04-21), 10-K (filing date: 2017-02-10), 10-Q (filing date: 2016-10-21), 10-Q (filing date: 2016-07-22), 10-Q (filing date: 2016-04-22), 10-K (filing date: 2016-02-12), 10-Q (filing date: 2015-10-16), 10-Q (filing date: 2015-07-17), 10-Q (filing date: 2015-04-17).

1 Q2 2020 Calculation
Payables turnover = (Cost of products and services soldQ2 2020 + Cost of products and services soldQ1 2020 + Cost of products and services soldQ4 2019 + Cost of products and services soldQ3 2019) ÷ Accounts payable
= (5,276 + 5,534 + 6,328 + 6,038) ÷ 5,366 = 4.32

2 Click competitor name to see calculations.

Short-term activity ratio Description The company
Payables turnover An activity ratio calculated as cost of goods sold divided by payables. Honeywell International Inc.’s payables turnover ratio decreased from Q4 2019 to Q1 2020 but then increased from Q1 2020 to Q2 2020 exceeding Q4 2019 level.

Working Capital Turnover

Honeywell International Inc., working capital turnover calculation (quarterly data)

Microsoft Excel LibreOffice Calc
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 Mar 31, 2018 Dec 31, 2017 Sep 30, 2017 Jun 30, 2017 Mar 31, 2017 Dec 31, 2016 Sep 30, 2016 Jun 30, 2016 Mar 31, 2016 Dec 31, 2015 Sep 30, 2015 Jun 30, 2015 Mar 31, 2015
Selected Financial Data (US$ in millions)
Current assets 28,321  22,613  24,303  26,188  23,768  24,334  24,362  26,628  24,779  25,587  26,002  24,644  24,064  23,580  23,058  21,834  20,380  19,532  20,053  23,479  23,180  22,272 
Less: Current liabilities 17,341  17,377  18,098  19,915  19,894  19,593  18,924  17,900  18,018  18,755  18,861  18,225  17,981  17,281  16,331  18,213  15,911  15,659  18,371  16,367  15,574  15,432 
Working capital 10,980  5,236  6,205  6,273  3,874  4,741  5,438  8,728  6,761  6,832  7,141  6,419  6,083  6,299  6,727  3,621  4,469  3,873  1,682  7,112  7,606  6,840 
 
Net sales 7,477  8,463  9,496  9,086  9,243  8,884  9,729  10,762  10,919  10,392  10,843  10,121  10,078  9,492  9,985  9,804  9,991  9,522  9,982  9,611  9,775  9,213 
Short-term Activity Ratio
Working capital turnover1 3.14 6.93 5.92 5.89 9.97 8.50 7.69 4.92 6.25 6.06 5.68 6.18 6.47 6.23 5.84 10.85 8.75 10.04 22.94
Benchmarks
Working Capital Turnover, Competitors2
3M Co. 4.59 5.43 8.57 3.13 4.73 4.46 5.07 4.63 6.58 5.50 4.80 4.39 4.40 5.14 5.47 5.20 7.19 8.15 7.83
General Electric Co. 1.14 1.38 1.74 1.81 2.01 2.00 2.15 2.61 2.19 2.11 1.73 1.66 1.64 1.64 1.47 1.36 1.47 1.55 1.69

Based on: 10-Q (filing date: 2020-07-24), 10-Q (filing date: 2020-05-01), 10-K (filing date: 2020-02-14), 10-Q (filing date: 2019-10-17), 10-Q (filing date: 2019-07-18), 10-Q (filing date: 2019-04-18), 10-K (filing date: 2019-02-08), 10-Q (filing date: 2018-10-19), 10-Q (filing date: 2018-07-20), 10-Q (filing date: 2018-04-20), 10-K (filing date: 2018-02-09), 10-Q (filing date: 2017-10-20), 10-Q (filing date: 2017-07-21), 10-Q (filing date: 2017-04-21), 10-K (filing date: 2017-02-10), 10-Q (filing date: 2016-10-21), 10-Q (filing date: 2016-07-22), 10-Q (filing date: 2016-04-22), 10-K (filing date: 2016-02-12), 10-Q (filing date: 2015-10-16), 10-Q (filing date: 2015-07-17), 10-Q (filing date: 2015-04-17).

1 Q2 2020 Calculation
Working capital turnover = (Net salesQ2 2020 + Net salesQ1 2020 + Net salesQ4 2019 + Net salesQ3 2019) ÷ Working capital
= (7,477 + 8,463 + 9,496 + 9,086) ÷ 10,980 = 3.14

2 Click competitor name to see calculations.

Short-term activity ratio Description The company
Working capital turnover An activity ratio calculated as revenue divided by working capital. Honeywell International Inc.’s working capital turnover ratio improved from Q4 2019 to Q1 2020 but then deteriorated significantly from Q1 2020 to Q2 2020.

Average Inventory Processing Period

Honeywell International Inc., average inventory processing period calculation (quarterly data)

Microsoft Excel LibreOffice Calc
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 Mar 31, 2018 Dec 31, 2017 Sep 30, 2017 Jun 30, 2017 Mar 31, 2017 Dec 31, 2016 Sep 30, 2016 Jun 30, 2016 Mar 31, 2016 Dec 31, 2015 Sep 30, 2015 Jun 30, 2015 Mar 31, 2015
Selected Financial Data
Inventory turnover 4.88 5.23 5.51 5.37 5.70 6.10 6.71 5.90 6.09 5.96 5.98 5.67 5.80 5.80 6.22 5.93 5.76 5.68 6.05
Short-term Activity Ratio (no. days)
Average inventory processing period1 75 70 66 68 64 60 54 62 60 61 61 64 63 63 59 62 63 64 60
Benchmarks (no. days)
Average Inventory Processing Period, Competitors2
3M Co. 93 91 88 87 93 99 96 97 93 96 92 93 91 87 82 87 87 87 83
General Electric Co. 83 81 74 72 89 81 76 81 80 81 87 105 96 95 93 101 105 103 99

Based on: 10-Q (filing date: 2020-07-24), 10-Q (filing date: 2020-05-01), 10-K (filing date: 2020-02-14), 10-Q (filing date: 2019-10-17), 10-Q (filing date: 2019-07-18), 10-Q (filing date: 2019-04-18), 10-K (filing date: 2019-02-08), 10-Q (filing date: 2018-10-19), 10-Q (filing date: 2018-07-20), 10-Q (filing date: 2018-04-20), 10-K (filing date: 2018-02-09), 10-Q (filing date: 2017-10-20), 10-Q (filing date: 2017-07-21), 10-Q (filing date: 2017-04-21), 10-K (filing date: 2017-02-10), 10-Q (filing date: 2016-10-21), 10-Q (filing date: 2016-07-22), 10-Q (filing date: 2016-04-22), 10-K (filing date: 2016-02-12), 10-Q (filing date: 2015-10-16), 10-Q (filing date: 2015-07-17), 10-Q (filing date: 2015-04-17).

1 Q2 2020 Calculation
Average inventory processing period = 365 ÷ Inventory turnover
= 365 ÷ 4.88 = 75

2 Click competitor name to see calculations.

Short-term activity ratio Description The company
Average inventory processing period An activity ratio equal to the number of days in the period divided by inventory turnover over the period. Honeywell International Inc.’s number of days of inventory outstanding deteriorated from Q4 2019 to Q1 2020 and from Q1 2020 to Q2 2020.

Average Receivable Collection Period

Honeywell International Inc., average receivable collection period calculation (quarterly data)

Microsoft Excel LibreOffice Calc
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 Mar 31, 2018 Dec 31, 2017 Sep 30, 2017 Jun 30, 2017 Mar 31, 2017 Dec 31, 2016 Sep 30, 2016 Jun 30, 2016 Mar 31, 2016 Dec 31, 2015 Sep 30, 2015 Jun 30, 2015 Mar 31, 2015
Selected Financial Data
Receivables turnover 5.14 4.87 4.90 4.87 5.21 5.51 5.57 5.01 4.92 4.72 4.57 4.62 4.66 4.82 4.81 4.56 4.48 4.63 4.78
Short-term Activity Ratio (no. days)
Average receivable collection period1 71 75 75 75 70 66 66 73 74 77 80 79 78 76 76 80 81 79 76
Benchmarks (no. days)
Average Receivable Collection Period, Competitors2
3M Co. 52 54 54 57 61 58 56 59 60 59 57 61 59 57 53 58 57 54 50
General Electric Co. 73 72 70 62 73 67 64 66 66 72 79 81 71 72 80 83 84 88 93

Based on: 10-Q (filing date: 2020-07-24), 10-Q (filing date: 2020-05-01), 10-K (filing date: 2020-02-14), 10-Q (filing date: 2019-10-17), 10-Q (filing date: 2019-07-18), 10-Q (filing date: 2019-04-18), 10-K (filing date: 2019-02-08), 10-Q (filing date: 2018-10-19), 10-Q (filing date: 2018-07-20), 10-Q (filing date: 2018-04-20), 10-K (filing date: 2018-02-09), 10-Q (filing date: 2017-10-20), 10-Q (filing date: 2017-07-21), 10-Q (filing date: 2017-04-21), 10-K (filing date: 2017-02-10), 10-Q (filing date: 2016-10-21), 10-Q (filing date: 2016-07-22), 10-Q (filing date: 2016-04-22), 10-K (filing date: 2016-02-12), 10-Q (filing date: 2015-10-16), 10-Q (filing date: 2015-07-17), 10-Q (filing date: 2015-04-17).

1 Q2 2020 Calculation
Average receivable collection period = 365 ÷ Receivables turnover
= 365 ÷ 5.14 = 71

2 Click competitor name to see calculations.

Short-term activity ratio Description The company
Average receivable collection period An activity ratio equal to the number of days in the period divided by receivables turnover.

Operating Cycle

Honeywell International Inc., operating cycle calculation (quarterly data)

No. days

Microsoft Excel LibreOffice Calc
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 Mar 31, 2018 Dec 31, 2017 Sep 30, 2017 Jun 30, 2017 Mar 31, 2017 Dec 31, 2016 Sep 30, 2016 Jun 30, 2016 Mar 31, 2016 Dec 31, 2015 Sep 30, 2015 Jun 30, 2015 Mar 31, 2015
Selected Financial Data
Average inventory processing period 75 70 66 68 64 60 54 62 60 61 61 64 63 63 59 62 63 64 60
Average receivable collection period 71 75 75 75 70 66 66 73 74 77 80 79 78 76 76 80 81 79 76
Short-term Activity Ratio
Operating cycle1 146 145 141 143 134 126 120 135 134 138 141 143 141 139 135 142 144 143 136
Benchmarks
Operating Cycle, Competitors2
3M Co. 145 145 142 144 154 157 152 156 153 155 149 154 150 144 135 145 144 141 133
General Electric Co. 156 153 144 134 162 148 140 147 146 153 166 186 167 167 173 184 189 191 192

Based on: 10-Q (filing date: 2020-07-24), 10-Q (filing date: 2020-05-01), 10-K (filing date: 2020-02-14), 10-Q (filing date: 2019-10-17), 10-Q (filing date: 2019-07-18), 10-Q (filing date: 2019-04-18), 10-K (filing date: 2019-02-08), 10-Q (filing date: 2018-10-19), 10-Q (filing date: 2018-07-20), 10-Q (filing date: 2018-04-20), 10-K (filing date: 2018-02-09), 10-Q (filing date: 2017-10-20), 10-Q (filing date: 2017-07-21), 10-Q (filing date: 2017-04-21), 10-K (filing date: 2017-02-10), 10-Q (filing date: 2016-10-21), 10-Q (filing date: 2016-07-22), 10-Q (filing date: 2016-04-22), 10-K (filing date: 2016-02-12), 10-Q (filing date: 2015-10-16), 10-Q (filing date: 2015-07-17), 10-Q (filing date: 2015-04-17).

1 Q2 2020 Calculation
Operating cycle = Average inventory processing period + Average receivable collection period
= 75 + 71 = 146

2 Click competitor name to see calculations.

Short-term activity ratio Description The company
Operating cycle Equal to average inventory processing period plus average receivables collection period. Honeywell International Inc.’s operating cycle deteriorated from Q4 2019 to Q1 2020 and from Q1 2020 to Q2 2020.

Average Payables Payment Period

Honeywell International Inc., average payables payment period calculation (quarterly data)

Microsoft Excel LibreOffice Calc
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 Mar 31, 2018 Dec 31, 2017 Sep 30, 2017 Jun 30, 2017 Mar 31, 2017 Dec 31, 2016 Sep 30, 2016 Jun 30, 2016 Mar 31, 2016 Dec 31, 2015 Sep 30, 2015 Jun 30, 2015 Mar 31, 2015
Selected Financial Data
Payables turnover 4.32 4.23 4.25 4.47 4.68 4.97 5.18 4.24 4.29 4.28 4.19 4.45 4.52 4.64 4.77 5.02 4.81 4.89 4.79
Short-term Activity Ratio (no. days)
Average payables payment period1 85 86 86 82 78 73 70 86 85 85 87 82 81 79 76 73 76 75 76
Benchmarks (no. days)
Average Payables Payment Period, Competitors2
3M Co. 44 48 47 45 46 50 50 44 41 42 44 43 42 41 44 39 40 38 40
General Electric Co. 73 80 83 69 76 71 68 62 59 59 60 60 56 57 60 55 56 57 60

Based on: 10-Q (filing date: 2020-07-24), 10-Q (filing date: 2020-05-01), 10-K (filing date: 2020-02-14), 10-Q (filing date: 2019-10-17), 10-Q (filing date: 2019-07-18), 10-Q (filing date: 2019-04-18), 10-K (filing date: 2019-02-08), 10-Q (filing date: 2018-10-19), 10-Q (filing date: 2018-07-20), 10-Q (filing date: 2018-04-20), 10-K (filing date: 2018-02-09), 10-Q (filing date: 2017-10-20), 10-Q (filing date: 2017-07-21), 10-Q (filing date: 2017-04-21), 10-K (filing date: 2017-02-10), 10-Q (filing date: 2016-10-21), 10-Q (filing date: 2016-07-22), 10-Q (filing date: 2016-04-22), 10-K (filing date: 2016-02-12), 10-Q (filing date: 2015-10-16), 10-Q (filing date: 2015-07-17), 10-Q (filing date: 2015-04-17).

1 Q2 2020 Calculation
Average payables payment period = 365 ÷ Payables turnover
= 365 ÷ 4.32 = 85

2 Click competitor name to see calculations.

Short-term activity ratio Description The company
Average payables payment period An estimate of the average number of days it takes a company to pay its suppliers; equal to the number of days in the period divided by payables turnover ratio for the period.

Cash Conversion Cycle

Honeywell International Inc., cash conversion cycle calculation (quarterly data)

No. days

Microsoft Excel LibreOffice Calc
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 Mar 31, 2018 Dec 31, 2017 Sep 30, 2017 Jun 30, 2017 Mar 31, 2017 Dec 31, 2016 Sep 30, 2016 Jun 30, 2016 Mar 31, 2016 Dec 31, 2015 Sep 30, 2015 Jun 30, 2015 Mar 31, 2015
Selected Financial Data
Average inventory processing period 75 70 66 68 64 60 54 62 60 61 61 64 63 63 59 62 63 64 60
Average receivable collection period 71 75 75 75 70 66 66 73 74 77 80 79 78 76 76 80 81 79 76
Average payables payment period 85 86 86 82 78 73 70 86 85 85 87 82 81 79 76 73 76 75 76
Short-term Activity Ratio
Cash conversion cycle1 61 59 55 61 56 53 50 49 49 53 54 61 60 60 59 69 68 68 60
Benchmarks
Cash Conversion Cycle, Competitors2
3M Co. 101 97 95 99 108 107 102 112 112 113 105 111 108 103 91 106 104 103 93
General Electric Co. 83 73 61 65 86 77 72 85 87 94 106 126 111 110 113 129 133 134 132

Based on: 10-Q (filing date: 2020-07-24), 10-Q (filing date: 2020-05-01), 10-K (filing date: 2020-02-14), 10-Q (filing date: 2019-10-17), 10-Q (filing date: 2019-07-18), 10-Q (filing date: 2019-04-18), 10-K (filing date: 2019-02-08), 10-Q (filing date: 2018-10-19), 10-Q (filing date: 2018-07-20), 10-Q (filing date: 2018-04-20), 10-K (filing date: 2018-02-09), 10-Q (filing date: 2017-10-20), 10-Q (filing date: 2017-07-21), 10-Q (filing date: 2017-04-21), 10-K (filing date: 2017-02-10), 10-Q (filing date: 2016-10-21), 10-Q (filing date: 2016-07-22), 10-Q (filing date: 2016-04-22), 10-K (filing date: 2016-02-12), 10-Q (filing date: 2015-10-16), 10-Q (filing date: 2015-07-17), 10-Q (filing date: 2015-04-17).

1 Q2 2020 Calculation
Cash conversion cycle = Average inventory processing period + Average receivable collection period – Average payables payment period
= 75 + 7185 = 61

2 Click competitor name to see calculations.

Short-term activity ratio Description The company
Cash conversion cycle A financial metric that measures the length of time required for a company to convert cash invested in its operations to cash received as a result of its operations; equal to average inventory processing period plus average receivables collection period minus average payables payment period. Honeywell International Inc.’s cash conversion cycle deteriorated from Q4 2019 to Q1 2020 and from Q1 2020 to Q2 2020.