Stock Analysis on Net

International Business Machines Corp. (NYSE:IBM)

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

Microsoft Excel LibreOffice Calc

Short-term Activity Ratios (Summary)

International Business Machines Corp., short-term (operating) activity ratios (quarterly data)

Microsoft Excel LibreOffice Calc
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 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
Turnover Ratios
Inventory turnover 20.39 21.16 20.75 20.69 19.95 21.10 22.49 25.11 23.98 23.68 23.70 25.36 22.85 25.06 24.73 27.11 24.61 26.17 26.11 26.80
Receivables turnover 11.27 10.90 11.42 10.32 12.30 11.54 11.05 9.80 11.42 10.50 11.26 10.71 11.37 10.85 10.29 8.86 9.62 9.34 9.48 8.70
Payables turnover 9.08 9.07 9.16 7.75 9.76 8.36 9.63 8.30 10.16 8.75 7.35 6.50 8.04 7.91 7.56 6.65 7.74 8.19 7.89 6.70
Working capital turnover 40.51 49.97 107.30 25.25 2.21 5.69 7.29 7.03 7.11 5.98 6.40 6.01 8.67 12.39 10.50
Average No. Days
Average inventory processing period 18 17 18 18 18 17 16 15 15 15 15 14 16 15 15 13 15 14 14 14
Add: Average receivable collection period 32 33 32 35 30 32 33 37 32 35 32 34 32 34 35 41 38 39 39 42
Operating cycle 50 50 50 53 48 49 49 52 47 50 47 48 48 49 50 54 53 53 53 56
Less: Average payables payment period 40 40 40 47 37 44 38 44 36 42 50 56 45 46 48 55 47 45 46 54
Cash conversion cycle 10 10 10 6 11 5 11 8 11 8 -3 -8 3 3 2 -1 6 8 7 2

Based on: 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31), 10-K (reporting date: 2017-12-31), 10-Q (reporting date: 2017-09-30), 10-Q (reporting date: 2017-06-30), 10-Q (reporting date: 2017-03-31), 10-K (reporting date: 2016-12-31), 10-Q (reporting date: 2016-09-30), 10-Q (reporting date: 2016-06-30), 10-Q (reporting date: 2016-03-31).

Short-term activity ratio Description The company
Inventory turnover An activity ratio calculated as cost of goods sold divided by inventory. International Business Machines Corp. inventory turnover ratio improved from Q1 2021 to Q2 2021 but then deteriorated significantly from Q2 2021 to Q3 2021.
Receivables turnover An activity ratio equal to revenue divided by receivables. International Business Machines Corp. receivables turnover ratio deteriorated from Q1 2021 to Q2 2021 but then improved from Q2 2021 to Q3 2021 not reaching Q1 2021 level.
Payables turnover An activity ratio calculated as cost of goods sold divided by payables. International Business Machines Corp. payables turnover ratio decreased from Q1 2021 to Q2 2021 but then slightly increased from Q2 2021 to Q3 2021.

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.
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.
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.

Inventory Turnover

International Business Machines Corp., inventory turnover calculation (quarterly data)

Microsoft Excel LibreOffice Calc
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 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
Selected Financial Data (US$ in millions)
Cost 9,447  9,741  9,526  9,843  9,130  9,423  9,649  10,677  9,692  10,151  10,139  11,073  9,953  10,804  10,825  11,681  10,353  10,495  10,383  10,878  10,213  10,536  9,998 
Inventory, at lower of average cost or net realizable value 1,891  1,807  1,828  1,839  1,949  1,869  1,786  1,619  1,712  1,745  1,771  1,682  1,893  1,742  1,753  1,583  1,711  1,604  1,609  1,553  1,729  1,685  1,690 
Short-term Activity Ratio
Inventory turnover1 20.39 21.16 20.75 20.69 19.95 21.10 22.49 25.11 23.98 23.68 23.70 25.36 22.85 25.06 24.73 27.11 24.61 26.17 26.11 26.80
Benchmarks
Inventory Turnover, Competitors2
Microsoft Corp. 22.53 25.21 17.25 24.32 26.86 23.78 16.56 20.80 21.65 21.08 11.06 14.41 17.79 17.90 10.81 15.71 17.07 17.06 10.70 14.56

Based on: 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31), 10-K (reporting date: 2017-12-31), 10-Q (reporting date: 2017-09-30), 10-Q (reporting date: 2017-06-30), 10-Q (reporting date: 2017-03-31), 10-K (reporting date: 2016-12-31), 10-Q (reporting date: 2016-09-30), 10-Q (reporting date: 2016-06-30), 10-Q (reporting date: 2016-03-31).

1 Q3 2021 Calculation
Inventory turnover = (CostQ3 2021 + CostQ2 2021 + CostQ1 2021 + CostQ4 2020) ÷ Inventory, at lower of average cost or net realizable value
= (9,447 + 9,741 + 9,526 + 9,843) ÷ 1,891 = 20.39

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. International Business Machines Corp. inventory turnover ratio improved from Q1 2021 to Q2 2021 but then deteriorated significantly from Q2 2021 to Q3 2021.

Receivables Turnover

International Business Machines Corp., receivables turnover calculation (quarterly data)

Microsoft Excel LibreOffice Calc
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 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
Selected Financial Data (US$ in millions)
Revenue 17,618  18,745  17,730  20,366  17,560  18,123  17,571  21,776  18,028  19,161  18,182  21,760  18,756  20,003  19,072  22,542  19,153  19,289  18,155  21,771  19,226  20,238  18,684 
Notes and accounts receivable, trade, net of allowances 6,609  6,827  6,458  7,132  6,099  6,543  6,927  7,870  6,753  7,414  6,987  7,432  7,071  7,445  7,778  8,928  8,150  8,401  8,377  9,182  8,291  8,782  8,527 
Short-term Activity Ratio
Receivables turnover1 11.27 10.90 11.42 10.32 12.30 11.54 11.05 9.80 11.42 10.50 11.26 10.71 11.37 10.85 10.29 8.86 9.62 9.34 9.48 8.70
Benchmarks
Receivables Turnover, Competitors2
Adobe Inc. 9.77 9.74 9.00 9.20 9.44 8.82 8.40 7.28 7.76 7.94 7.12 6.86 8.21 7.56 7.24 5.99 6.86 7.24 7.23 7.03
Autodesk Inc. 6.76 7.22 9.61 5.02 5.98 8.44 10.24 5.42 7.72 9.56 10.31 4.69 6.44 7.36 8.66 4.49 8.47 7.53 9.24 3.83
Automatic Data Processing Inc. 5.30 5.81 5.85 5.98 5.61 5.61 5.76 5.81 5.63 5.25 6.12 6.72 6.40 6.25 7.01 7.27 6.74 6.55 7.32 6.69
Fidelity National Information Services Inc. 17.77 18.12 18.06 18.96 16.25 14.63 14.75 15.97 12.13 29.13 24.32 29.98 22.24 31.18 25.82 31.35 46.43 46.99 34.89 52.81
Fiserv Inc. 5.66 5.79 5.67 5.98 6.49 5.74 4.82 3.66 2.90 6.04 5.64 5.55 6.10 6.20 6.54 5.71 6.25 6.62 6.47 6.10
Intuit Inc. 16.04 16.60 79.16 51.54 31.31 11.82 66.66 77.98 25.87 11.61 79.14 60.86 18.83 10.21 45.56 50.26 20.77 9.31 39.33 43.46
Mastercard Inc. 20.66 17.76 9.21 8.97 11.34 9.10 14.61 5.64 5.98 10.14 10.70 6.10 10.83 9.11 8.72 9.09 9.96 8.99 10.20 9.86
Microsoft Corp. 6.08 5.61 6.44 4.47 6.11 5.71 6.80 4.26 6.34 6.02 6.61 4.17 6.02 5.36 6.46 4.54 6.77 5.97 7.67 4.67
Oracle Corp. 8.56 8.91 8.57 7.04 9.55 9.77 10.35 7.69 9.92 10.01 10.68 7.55 10.12 10.24 10.67 7.12 10.06 10.09 10.92 6.88
PayPal Holdings Inc. 33.38 34.41 33.93 37.18 42.11 43.09 44.33 40.86 40.86 43.12 38.86 49.36 36.33 51.33 53.50 46.27 40.97 66.81 63.33 50.66
salesforce.com inc. 6.12 5.63 5.93 2.77 6.16 6.32 6.51 2.70 6.15 5.97 6.30 2.68 6.53 5.98 6.16 2.63 6.17 5.65 5.93 2.67
ServiceNow Inc. 7.13 6.62 7.49 4.48 6.69 6.26 6.04 4.14 5.98 5.98 6.65 4.54 5.74 6.16 5.67 4.44 6.07 5.85 5.40 4.31
Visa Inc. 13.62 14.89 13.46 17.28 10.84 16.68 7.19 7.54 13.19 13.77 6.81 13.03 12.40 7.74 11.59 12.91 12.52 5.02 11.99 10.28

Based on: 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31), 10-K (reporting date: 2017-12-31), 10-Q (reporting date: 2017-09-30), 10-Q (reporting date: 2017-06-30), 10-Q (reporting date: 2017-03-31), 10-K (reporting date: 2016-12-31), 10-Q (reporting date: 2016-09-30), 10-Q (reporting date: 2016-06-30), 10-Q (reporting date: 2016-03-31).

1 Q3 2021 Calculation
Receivables turnover = (RevenueQ3 2021 + RevenueQ2 2021 + RevenueQ1 2021 + RevenueQ4 2020) ÷ Notes and accounts receivable, trade, net of allowances
= (17,618 + 18,745 + 17,730 + 20,366) ÷ 6,609 = 11.27

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. International Business Machines Corp. receivables turnover ratio deteriorated from Q1 2021 to Q2 2021 but then improved from Q2 2021 to Q3 2021 not reaching Q1 2021 level.

Payables Turnover

International Business Machines Corp., payables turnover calculation (quarterly data)

Microsoft Excel LibreOffice Calc
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 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
Selected Financial Data (US$ in millions)
Cost 9,447  9,741  9,526  9,843  9,130  9,423  9,649  10,677  9,692  10,151  10,139  11,073  9,953  10,804  10,825  11,681  10,353  10,495  10,383  10,878  10,213  10,536  9,998 
Accounts payable 4,248  4,214  4,140  4,908  3,985  4,719  4,172  4,896  4,042  4,724  5,711  6,558  5,384  5,518  5,736  6,451  5,442  5,126  5,324  6,209  5,271  5,484  5,302 
Short-term Activity Ratio
Payables turnover1 9.08 9.07 9.16 7.75 9.76 8.36 9.63 8.30 10.16 8.75 7.35 6.50 8.04 7.91 7.56 6.65 7.74 8.19 7.89 6.70
Benchmarks
Payables Turnover, Competitors2
Accenture PLC 16.92 17.94 20.16 22.48 21.75 20.11 19.17 18.16 19.00 20.14 21.74 21.62 20.52 20.05 20.09 16.87 19.59 20.71 21.40 19.14
Adobe Inc. 5.40 5.60 6.76 5.63 7.62 6.00 6.52 7.98 8.45 8.63 9.18 6.42 7.60 9.16 7.87 8.90 10.59 11.50 4.48 9.31
Autodesk Inc. 2.72 3.28 3.80 3.88 3.00 3.35 3.08 2.81 3.18 3.49 2.82 3.20 3.36 3.41 3.51 3.66 3.44 3.29 3.46 3.09
Automatic Data Processing Inc. 75.77 74.30 75.85 82.80 72.72 62.24 75.28 64.44 51.30 52.77 60.07 57.92 73.21 55.35 65.65 48.56 56.29 51.11 58.89 44.91
Fidelity National Information Services Inc. 1.60 1.75 1.77 1.69 1.85 1.89 2.13 1.56 1.25 6.98 5.85 5.73 6.16 7.31 6.54 6.51 9.28 9.93 8.26 8.73
Intuit Inc. 2.56 2.82 5.25 4.52 3.48 2.78 4.45 4.26 2.92 2.67 4.92 5.49 2.86 2.51 3.74 5.15 2.96 3.01 4.66 4.09
Mastercard Inc. 35.86 29.24 11.91 10.37 13.81 10.63 14.80 6.22 7.54 11.81 12.83 6.83 12.52 11.33 10.42 9.31 11.92 10.33 13.46 11.39
Microsoft Corp. 3.77 3.80 3.73 3.68 4.78 4.92 5.06 4.57 5.60 5.47 4.70 4.45 4.86 4.57 5.05 4.64 5.43 5.08 5.31 4.75
Oracle Corp. 9.49 10.71 14.72 12.46 15.07 15.07 16.46 13.78 13.45 13.86 15.37 15.28 13.11 14.07 12.86 12.47 15.39 11.95 13.44 14.84
PayPal Holdings Inc. 68.92 47.30 61.73 45.45 69.07 42.06 47.17 42.18 48.44 44.86 38.13 29.40 30.93 37.01 38.03 26.44 6.89 36.99 36.60 29.69
ServiceNow Inc. 19.64 11.82 9.75 28.83 17.87 10.13 11.28 15.04 12.17 10.81 17.21 20.26 13.62 18.21 13.97 15.56 22.67 18.22 12.50 10.47
Visa Inc. 9.53 10.68 10.49 12.58 8.40 12.78 5.50 5.76 9.20 10.42 5.46 9.51 8.67 6.34 8.15 9.17 8.56 5.85 7.76 7.24

Based on: 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31), 10-K (reporting date: 2017-12-31), 10-Q (reporting date: 2017-09-30), 10-Q (reporting date: 2017-06-30), 10-Q (reporting date: 2017-03-31), 10-K (reporting date: 2016-12-31), 10-Q (reporting date: 2016-09-30), 10-Q (reporting date: 2016-06-30), 10-Q (reporting date: 2016-03-31).

1 Q3 2021 Calculation
Payables turnover = (CostQ3 2021 + CostQ2 2021 + CostQ1 2021 + CostQ4 2020) ÷ Accounts payable
= (9,447 + 9,741 + 9,526 + 9,843) ÷ 4,248 = 9.08

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. International Business Machines Corp. payables turnover ratio decreased from Q1 2021 to Q2 2021 but then slightly increased from Q2 2021 to Q3 2021.

Working Capital Turnover

International Business Machines Corp., working capital turnover calculation (quarterly data)

Microsoft Excel LibreOffice Calc
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 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
Selected Financial Data (US$ in millions)
Current assets 29,967  30,774  34,038  39,165  39,845  39,953  38,931  38,420  38,121  77,517  52,705  49,146  48,257  46,795  49,122  49,735  44,742  45,013  42,889  43,888  41,433  43,524  47,623 
Less: Current liabilities 35,832  36,616  36,542  39,869  37,993  38,442  40,673  37,701  35,066  42,351  38,871  38,227  36,822  35,442  35,733  37,363  31,697  35,966  36,481  36,275  34,447  33,585  34,664 
Working capital (5,865) (5,842) (2,504) (704) 1,852  1,511  (1,742) 719  3,055  35,166  13,834  10,919  11,435  11,353  13,389  12,372  13,045  9,047  6,408  7,613  6,986  9,939  12,959 
 
Revenue 17,618  18,745  17,730  20,366  17,560  18,123  17,571  21,776  18,028  19,161  18,182  21,760  18,756  20,003  19,072  22,542  19,153  19,289  18,155  21,771  19,226  20,238  18,684 
Short-term Activity Ratio
Working capital turnover1 40.51 49.97 107.30 25.25 2.21 5.69 7.29 7.03 7.11 5.98 6.40 6.01 8.67 12.39 10.50
Benchmarks
Working Capital Turnover, Competitors2
Accenture PLC 7.71 8.35 7.70 8.71 10.32 10.56 9.98 9.85 11.92 11.77 12.53 12.12 14.59 13.41 15.49 16.17 17.59 14.81 16.07 11.23
Adobe Inc. 6.22 7.44 8.67 4.89 5.51 8.11 9.50 16.24 3.42 2.02 1.95 1.96 2.05 2.17 2.20 1.93
Autodesk Inc. 16.26 5.13 22.25 7.38 3.00 2.49 2.05 1.79
Automatic Data Processing Inc. 6.85 5.87 5.86 10.15 14.20 17.22 46.64 8.27 7.96 9.99 14.77 8.14 6.63 6.09 4.62 4.35 3.94 4.23 3.49 3.19
Fidelity National Information Services Inc. 27.03 1.01 93.49 13.85 9.49 9.06 13.87 7.02 34.37 8.17
Fiserv Inc. 18.31 32.40 27.73 25.52 19.77 19.95 15.30 7.72 5.78 0.73 37.97 27.21 321.56 38.77 67.55 153.95 280.55
Intuit Inc. 3.40 5.45 1.74 1.73 3.19 4.80 4.93 4.17 3.46 10.00 9.43 20.71 40.97
Mastercard Inc. 4.66 4.40 3.13 2.11 1.83 1.72 2.02 3.38 3.94 3.36 3.68 3.27 2.70 2.88 2.32 2.50 2.28 2.30 1.91 1.79
Microsoft Corp. 1.71 1.44 1.37 1.30 1.24 1.25 1.20 1.19 1.15 1.11 1.06 0.99 0.94 0.90 0.86 0.94 0.93 1.16 0.86 1.06
Oracle Corp. 1.69 1.58 1.26 1.12 2.25 1.98 1.68 1.42 1.34 1.09 0.84 0.70 0.66 0.62 0.72 0.75 0.75 0.77 0.63 0.79
PayPal Holdings Inc. 1.98 1.99 1.89 1.71 1.51 1.50 1.70 1.54 1.49 2.48 2.54 2.19 2.04 1.55 1.53 1.34 1.41 1.40 1.39 1.22
salesforce.com inc. 7.48 10.29 9.75 15.29 28.71 4.92
ServiceNow Inc. 11.15 16.31 5.62 5.76 3.73 8.10 43.84 46.69 30.81 13.86 10.15 7.86 5.16 4.40 5.37 6.24 2.09 1.83 5.85 5.13
Visa Inc. 1.62 1.50 1.55 1.66 2.57 6.02 4.96 3.04 2.98 3.05 3.16 2.98 2.65 2.15 2.10 2.03 2.86 3.18 3.67 2.41

Based on: 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31), 10-K (reporting date: 2017-12-31), 10-Q (reporting date: 2017-09-30), 10-Q (reporting date: 2017-06-30), 10-Q (reporting date: 2017-03-31), 10-K (reporting date: 2016-12-31), 10-Q (reporting date: 2016-09-30), 10-Q (reporting date: 2016-06-30), 10-Q (reporting date: 2016-03-31).

1 Q3 2021 Calculation
Working capital turnover = (RevenueQ3 2021 + RevenueQ2 2021 + RevenueQ1 2021 + RevenueQ4 2020) ÷ Working capital
= (17,618 + 18,745 + 17,730 + 20,366) ÷ -5,865 =

2 Click competitor name to see calculations.


Average Inventory Processing Period

International Business Machines Corp., average inventory processing period calculation (quarterly data)

Microsoft Excel LibreOffice Calc
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 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
Selected Financial Data
Inventory turnover 20.39 21.16 20.75 20.69 19.95 21.10 22.49 25.11 23.98 23.68 23.70 25.36 22.85 25.06 24.73 27.11 24.61 26.17 26.11 26.80
Short-term Activity Ratio (no. days)
Average inventory processing period1 18 17 18 18 18 17 16 15 15 15 15 14 16 15 15 13 15 14 14 14
Benchmarks (no. days)
Average Inventory Processing Period, Competitors2
Microsoft Corp. 16 14 21 15 14 15 22 18 17 17 33 25 21 20 34 23 21 21 34 25

Based on: 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31), 10-K (reporting date: 2017-12-31), 10-Q (reporting date: 2017-09-30), 10-Q (reporting date: 2017-06-30), 10-Q (reporting date: 2017-03-31), 10-K (reporting date: 2016-12-31), 10-Q (reporting date: 2016-09-30), 10-Q (reporting date: 2016-06-30), 10-Q (reporting date: 2016-03-31).

1 Q3 2021 Calculation
Average inventory processing period = 365 ÷ Inventory turnover
= 365 ÷ 20.39 = 18

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.

Average Receivable Collection Period

International Business Machines Corp., average receivable collection period calculation (quarterly data)

Microsoft Excel LibreOffice Calc
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 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
Selected Financial Data
Receivables turnover 11.27 10.90 11.42 10.32 12.30 11.54 11.05 9.80 11.42 10.50 11.26 10.71 11.37 10.85 10.29 8.86 9.62 9.34 9.48 8.70
Short-term Activity Ratio (no. days)
Average receivable collection period1 32 33 32 35 30 32 33 37 32 35 32 34 32 34 35 41 38 39 39 42
Benchmarks (no. days)
Average Receivable Collection Period, Competitors2
Adobe Inc. 37 37 41 40 39 41 43 50 47 46 51 53 44 48 50 61 53 50 50 52
Autodesk Inc. 54 51 38 73 61 43 36 67 47 38 35 78 57 50 42 81 43 48 39 95
Automatic Data Processing Inc. 69 63 62 61 65 65 63 63 65 70 60 54 57 58 52 50 54 56 50 55
Fidelity National Information Services Inc. 21 20 20 19 22 25 25 23 30 13 15 12 16 12 14 12 8 8 10 7
Fiserv Inc. 65 63 64 61 56 64 76 100 126 60 65 66 60 59 56 64 58 55 56 60
Intuit Inc. 23 22 5 7 12 31 5 5 14 31 5 6 19 36 8 7 18 39 9 8
Mastercard Inc. 18 21 40 41 32 40 25 65 61 36 34 60 34 40 42 40 37 41 36 37
Microsoft Corp. 60 65 57 82 60 64 54 86 58 61 55 88 61 68 57 80 54 61 48 78
Oracle Corp. 43 41 43 52 38 37 35 47 37 36 34 48 36 36 34 51 36 36 33 53
PayPal Holdings Inc. 11 11 11 10 9 8 8 9 9 8 9 7 10 7 7 8 9 5 6 7
salesforce.com inc. 60 65 62 132 59 58 56 135 59 61 58 136 56 61 59 139 59 65 62 137
ServiceNow Inc. 51 55 49 82 55 58 60 88 61 61 55 80 64 59 64 82 60 62 68 85
Visa Inc. 27 25 27 21 34 22 51 48 28 27 54 28 29 47 31 28 29 73 30 36

Based on: 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31), 10-K (reporting date: 2017-12-31), 10-Q (reporting date: 2017-09-30), 10-Q (reporting date: 2017-06-30), 10-Q (reporting date: 2017-03-31), 10-K (reporting date: 2016-12-31), 10-Q (reporting date: 2016-09-30), 10-Q (reporting date: 2016-06-30), 10-Q (reporting date: 2016-03-31).

1 Q3 2021 Calculation
Average receivable collection period = 365 ÷ Receivables turnover
= 365 ÷ 11.27 = 32

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

International Business Machines Corp., operating cycle calculation (quarterly data)

No. days

Microsoft Excel LibreOffice Calc
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 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
Selected Financial Data
Average inventory processing period 18 17 18 18 18 17 16 15 15 15 15 14 16 15 15 13 15 14 14 14
Average receivable collection period 32 33 32 35 30 32 33 37 32 35 32 34 32 34 35 41 38 39 39 42
Short-term Activity Ratio
Operating cycle1 50 50 50 53 48 49 49 52 47 50 47 48 48 49 50 54 53 53 53 56
Benchmarks
Operating Cycle, Competitors2
Microsoft Corp. 76 79 78 97 74 79 76 104 75 78 88 113 82 88 91 103 75 82 82 103

Based on: 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31), 10-K (reporting date: 2017-12-31), 10-Q (reporting date: 2017-09-30), 10-Q (reporting date: 2017-06-30), 10-Q (reporting date: 2017-03-31), 10-K (reporting date: 2016-12-31), 10-Q (reporting date: 2016-09-30), 10-Q (reporting date: 2016-06-30), 10-Q (reporting date: 2016-03-31).

1 Q3 2021 Calculation
Operating cycle = Average inventory processing period + Average receivable collection period
= 18 + 32 = 50

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.

Average Payables Payment Period

International Business Machines Corp., average payables payment period calculation (quarterly data)

Microsoft Excel LibreOffice Calc
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 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
Selected Financial Data
Payables turnover 9.08 9.07 9.16 7.75 9.76 8.36 9.63 8.30 10.16 8.75 7.35 6.50 8.04 7.91 7.56 6.65 7.74 8.19 7.89 6.70
Short-term Activity Ratio (no. days)
Average payables payment period1 40 40 40 47 37 44 38 44 36 42 50 56 45 46 48 55 47 45 46 54
Benchmarks (no. days)
Average Payables Payment Period, Competitors2
Accenture PLC 22 20 18 16 17 18 19 20 19 18 17 17 18 18 18 22 19 18 17 19
Adobe Inc. 68 65 54 65 48 61 56 46 43 42 40 57 48 40 46 41 34 32 81 39
Autodesk Inc. 134 111 96 94 122 109 119 130 115 104 129 114 109 107 104 100 106 111 105 118
Automatic Data Processing Inc. 5 5 5 4 5 6 5 6 7 7 6 6 5 7 6 8 6 7 6 8
Fidelity National Information Services Inc. 228 209 206 216 197 193 171 233 291 52 62 64 59 50 56 56 39 37 44 42
Intuit Inc. 142 129 70 81 105 131 82 86 125 137 74 66 128 145 98 71 123 121 78 89
Mastercard Inc. 10 12 31 35 26 34 25 59 48 31 28 53 29 32 35 39 31 35 27 32
Microsoft Corp. 97 96 98 99 76 74 72 80 65 67 78 82 75 80 72 79 67 72 69 77
Oracle Corp. 38 34 25 29 24 24 22 26 27 26 24 24 28 26 28 29 24 31 27 25
PayPal Holdings Inc. 5 8 6 8 5 9 8 9 8 8 10 12 12 10 10 14 53 10 10 12
ServiceNow Inc. 19 31 37 13 20 36 32 24 30 34 21 18 27 20 26 23 16 20 29 35
Visa Inc. 38 34 35 29 43 29 66 63 40 35 67 38 42 58 45 40 43 62 47 50

Based on: 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31), 10-K (reporting date: 2017-12-31), 10-Q (reporting date: 2017-09-30), 10-Q (reporting date: 2017-06-30), 10-Q (reporting date: 2017-03-31), 10-K (reporting date: 2016-12-31), 10-Q (reporting date: 2016-09-30), 10-Q (reporting date: 2016-06-30), 10-Q (reporting date: 2016-03-31).

1 Q3 2021 Calculation
Average payables payment period = 365 ÷ Payables turnover
= 365 ÷ 9.08 = 40

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

International Business Machines Corp., cash conversion cycle calculation (quarterly data)

No. days

Microsoft Excel LibreOffice Calc
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 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
Selected Financial Data
Average inventory processing period 18 17 18 18 18 17 16 15 15 15 15 14 16 15 15 13 15 14 14 14
Average receivable collection period 32 33 32 35 30 32 33 37 32 35 32 34 32 34 35 41 38 39 39 42
Average payables payment period 40 40 40 47 37 44 38 44 36 42 50 56 45 46 48 55 47 45 46 54
Short-term Activity Ratio
Cash conversion cycle1 10 10 10 6 11 5 11 8 11 8 -3 -8 3 3 2 -1 6 8 7 2
Benchmarks
Cash Conversion Cycle, Competitors2
Microsoft Corp. -21 -17 -20 -2 -2 5 4 24 10 11 10 31 7 8 19 24 8 10 13 26

Based on: 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31), 10-K (reporting date: 2017-12-31), 10-Q (reporting date: 2017-09-30), 10-Q (reporting date: 2017-06-30), 10-Q (reporting date: 2017-03-31), 10-K (reporting date: 2016-12-31), 10-Q (reporting date: 2016-09-30), 10-Q (reporting date: 2016-06-30), 10-Q (reporting date: 2016-03-31).

1 Q3 2021 Calculation
Cash conversion cycle = Average inventory processing period + Average receivable collection period – Average payables payment period
= 18 + 3240 = 10

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.