Analysis of Short-term (Operating) Activity Ratios
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)
Thermo Fisher Scientific Inc., short-term (operating) activity ratios
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).
| Short-term activity ratio | Description | The company |
|---|---|---|
| Inventory turnover | An activity ratio calculated as cost of goods sold divided by inventory. | Thermo Fisher Scientific Inc. inventory turnover ratio deteriorated from 2019 to 2020 and from 2020 to 2021. |
| Receivables turnover | An activity ratio equal to revenue divided by receivables. | Thermo Fisher Scientific Inc. receivables turnover ratio deteriorated from 2019 to 2020 and from 2020 to 2021. |
| Payables turnover | An activity ratio calculated as cost of goods sold divided by payables. | Thermo Fisher Scientific Inc. payables turnover ratio increased from 2019 to 2020 but then decreased significantly from 2020 to 2021. |
| Working capital turnover | An activity ratio calculated as revenue divided by working capital. | Thermo Fisher Scientific Inc. working capital turnover ratio deteriorated from 2019 to 2020 but then improved from 2020 to 2021 exceeding 2019 level. |
| 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. | Thermo Fisher Scientific Inc. number of days of inventory outstanding deteriorated from 2019 to 2020 and from 2020 to 2021. |
| Average receivable collection period | An activity ratio equal to the number of days in the period divided by receivables turnover. | Thermo Fisher Scientific Inc. number of days of receivables outstanding deteriorated from 2019 to 2020 and from 2020 to 2021. |
| Operating cycle | Equal to average inventory processing period plus average receivables collection period. | Thermo Fisher Scientific Inc. operating cycle deteriorated from 2019 to 2020 and from 2020 to 2021. |
| 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. | Thermo Fisher Scientific Inc. cash conversion cycle deteriorated from 2019 to 2020 and from 2020 to 2021. |
Inventory Turnover
Thermo Fisher Scientific Inc., inventory turnover calculation, comparison to benchmarks
| Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Cost of revenues | 19,573) | 16,214) | 14,214) | 13,501) | 11,473) | |
| Inventories | 5,051) | 4,029) | 3,370) | 3,005) | 2,971) | |
| Short-term Activity Ratio | ||||||
| Inventory turnover1 | 3.88 | 4.02 | 4.22 | 4.49 | 3.86 | |
| Benchmarks | ||||||
| Inventory Turnover, Competitors2 | ||||||
| AbbVie Inc. | 5.58 | 4.65 | 4.10 | 4.81 | 4.39 | |
| Amgen Inc. | 1.58 | 1.58 | 1.22 | 1.39 | 1.44 | |
| Biogen Inc. | 1.56 | 1.69 | 2.43 | 1.95 | 1.81 | |
| Eli Lilly & Co. | 1.88 | 1.38 | 1.48 | 1.56 | 1.36 | |
| Gilead Sciences Inc. | 4.08 | 2.72 | 5.07 | 5.96 | 5.46 | |
| Johnson & Johnson | 2.87 | 3.04 | 3.05 | 3.15 | 2.89 | |
| Merck & Co. Inc. | 2.29 | 2.45 | 2.36 | 2.48 | 2.51 | |
| Moderna Inc. | 1.82 | 0.17 | — | — | — | |
| Pfizer Inc. | 3.40 | 1.08 | 1.23 | 1.50 | 1.48 | |
| Regeneron Pharmaceuticals Inc. | 1.25 | 0.58 | 0.55 | 0.38 | 0.55 | |
| Inventory Turnover, Sector | ||||||
| Pharmaceuticals, Biotechnology & Life Sciences | 2.90 | 2.37 | 2.35 | 2.51 | 2.36 | |
| Inventory Turnover, Industry | ||||||
| Health Care | 10.75 | 9.84 | 9.98 | 8.45 | 8.55 | |
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).
1 2021 Calculation
Inventory turnover = Cost of revenues ÷ Inventories
= 19,573 ÷ 5,051 = 3.88
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. | Thermo Fisher Scientific Inc. inventory turnover ratio deteriorated from 2019 to 2020 and from 2020 to 2021. |
Receivables Turnover
Thermo Fisher Scientific Inc., receivables turnover calculation, comparison to benchmarks
| Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Revenues | 39,211) | 32,218) | 25,542) | 24,358) | 20,918) | |
| Accounts receivable, less allowances | 7,977) | 5,741) | 4,349) | 4,136) | 3,879) | |
| Short-term Activity Ratio | ||||||
| Receivables turnover1 | 4.92 | 5.61 | 5.87 | 5.89 | 5.39 | |
| Benchmarks | ||||||
| Receivables Turnover, Competitors2 | ||||||
| AbbVie Inc. | 5.63 | 5.19 | 6.13 | 6.08 | 5.55 | |
| Amgen Inc. | 4.96 | 5.36 | 5.47 | 6.29 | 6.73 | |
| Biogen Inc. | 5.71 | 5.59 | 6.05 | 5.56 | 5.79 | |
| Eli Lilly & Co. | 4.24 | 4.18 | 4.91 | 4.68 | 5.03 | |
| Gilead Sciences Inc. | 6.01 | 4.98 | 6.18 | 6.52 | 6.66 | |
| Johnson & Johnson | 6.14 | 6.08 | 5.67 | 5.79 | 5.67 | |
| Merck & Co. Inc. | 5.28 | 6.11 | 6.91 | 5.98 | 5.84 | |
| Moderna Inc. | 5.57 | 0.14 | 0.00 | 0.00 | — | |
| Pfizer Inc. | 7.08 | 5.28 | 5.93 | 6.68 | 6.39 | |
| Regeneron Pharmaceuticals Inc. | 2.66 | 2.07 | 2.94 | 2.99 | 2.97 | |
| Receivables Turnover, Sector | ||||||
| Pharmaceuticals, Biotechnology & Life Sciences | 5.46 | 5.15 | 5.76 | 5.83 | 5.76 | |
| Receivables Turnover, Industry | ||||||
| Health Care | 9.42 | 9.44 | 9.84 | 8.67 | 9.29 | |
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).
1 2021 Calculation
Receivables turnover = Revenues ÷ Accounts receivable, less allowances
= 39,211 ÷ 7,977 = 4.92
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. | Thermo Fisher Scientific Inc. receivables turnover ratio deteriorated from 2019 to 2020 and from 2020 to 2021. |
Payables Turnover
Thermo Fisher Scientific Inc., payables turnover calculation, comparison to benchmarks
| Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Cost of revenues | 19,573) | 16,214) | 14,214) | 13,501) | 11,473) | |
| Accounts payable | 2,867) | 2,175) | 1,920) | 1,615) | 1,428) | |
| Short-term Activity Ratio | ||||||
| Payables turnover1 | 6.83 | 7.45 | 7.40 | 8.36 | 8.03 | |
| Benchmarks | ||||||
| Payables Turnover, Competitors2 | ||||||
| AbbVie Inc. | 6.05 | 6.76 | 5.12 | 4.99 | 4.78 | |
| Amgen Inc. | 4.72 | 4.33 | 3.18 | 3.40 | 3.01 | |
| Biogen Inc. | 3.58 | 3.97 | 3.68 | 4.90 | 4.12 | |
| Eli Lilly & Co. | 4.38 | 3.41 | 3.36 | 4.55 | 4.30 | |
| Gilead Sciences Inc. | 9.36 | 5.42 | 6.56 | 6.14 | 5.37 | |
| Johnson & Johnson | 2.70 | 2.99 | 3.23 | 3.59 | 3.47 | |
| Merck & Co. Inc. | 2.96 | 3.37 | 3.78 | 4.07 | 4.12 | |
| Moderna Inc. | 8.67 | 0.43 | 0.00 | 0.00 | — | |
| Pfizer Inc. | 5.53 | 2.02 | 2.42 | 2.41 | 2.41 | |
| Regeneron Pharmaceuticals Inc. | 4.32 | 2.36 | 1.87 | 1.99 | 2.23 | |
| Payables Turnover, Sector | ||||||
| Pharmaceuticals, Biotechnology & Life Sciences | 4.31 | 3.73 | 3.70 | 3.99 | 3.82 | |
| Payables Turnover, Industry | ||||||
| Health Care | 7.66 | 7.51 | 8.02 | 6.76 | 7.53 | |
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).
1 2021 Calculation
Payables turnover = Cost of revenues ÷ Accounts payable
= 19,573 ÷ 2,867 = 6.83
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. | Thermo Fisher Scientific Inc. payables turnover ratio increased from 2019 to 2020 but then decreased significantly from 2020 to 2021. |
Working Capital Turnover
Thermo Fisher Scientific Inc., working capital turnover calculation, comparison to benchmarks
| Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Current assets | 20,113) | 21,957) | 11,893) | 10,625) | 9,421) | |
| Less: Current liabilities | 13,436) | 10,304) | 6,197) | 6,147) | 7,048) | |
| Working capital | 6,677) | 11,653) | 5,696) | 4,478) | 2,373) | |
| Revenues | 39,211) | 32,218) | 25,542) | 24,358) | 20,918) | |
| Short-term Activity Ratio | ||||||
| Working capital turnover1 | 5.87 | 2.76 | 4.48 | 5.44 | 8.82 | |
| Benchmarks | ||||||
| Working Capital Turnover, Competitors2 | ||||||
| AbbVie Inc. | — | — | 0.98 | — | 6.16 | |
| Amgen Inc. | 3.37 | 2.55 | 3.96 | 0.93 | 0.54 | |
| Biogen Inc. | 2.49 | 3.40 | 3.23 | 2.51 | 2.30 | |
| Eli Lilly & Co. | 8.33 | 4.93 | 11.54 | 2.84 | 4.90 | |
| Gilead Sciences Inc. | 8.54 | 5.30 | 1.08 | 0.86 | 1.27 | |
| Johnson & Johnson | 5.95 | 9.44 | 8.81 | 5.51 | 6.09 | |
| Merck & Co. Inc. | 7.62 | 109.83 | 8.90 | 11.53 | 6.52 | |
| Moderna Inc. | 2.55 | 0.10 | 0.00 | 0.00 | — | |
| Pfizer Inc. | 4.78 | 4.58 | — | 2.97 | 4.90 | |
| Regeneron Pharmaceuticals Inc. | 1.59 | 1.20 | 1.41 | 1.34 | 1.84 | |
| Working Capital Turnover, Sector | ||||||
| Pharmaceuticals, Biotechnology & Life Sciences | 6.05 | 6.05 | 3.70 | 2.93 | 2.79 | |
| Working Capital Turnover, Industry | ||||||
| Health Care | 13.29 | 13.61 | 8.91 | 7.35 | 6.30 | |
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).
1 2021 Calculation
Working capital turnover = Revenues ÷ Working capital
= 39,211 ÷ 6,677 = 5.87
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. | Thermo Fisher Scientific Inc. working capital turnover ratio deteriorated from 2019 to 2020 but then improved from 2020 to 2021 exceeding 2019 level. |
Average Inventory Processing Period
Thermo Fisher Scientific Inc., average inventory processing period calculation, comparison to benchmarks
| Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data | ||||||
| Inventory turnover | 3.88 | 4.02 | 4.22 | 4.49 | 3.86 | |
| Short-term Activity Ratio (no. days) | ||||||
| Average inventory processing period1 | 94 | 91 | 87 | 81 | 95 | |
| Benchmarks (no. days) | ||||||
| Average Inventory Processing Period, Competitors2 | ||||||
| AbbVie Inc. | 65 | 79 | 89 | 76 | 83 | |
| Amgen Inc. | 231 | 231 | 300 | 262 | 254 | |
| Biogen Inc. | 234 | 216 | 150 | 187 | 202 | |
| Eli Lilly & Co. | 194 | 265 | 247 | 233 | 268 | |
| Gilead Sciences Inc. | 89 | 134 | 72 | 61 | 67 | |
| Johnson & Johnson | 127 | 120 | 119 | 116 | 126 | |
| Merck & Co. Inc. | 159 | 149 | 155 | 147 | 146 | |
| Moderna Inc. | 201 | 2,141 | — | — | — | |
| Pfizer Inc. | 107 | 338 | 296 | 244 | 246 | |
| Regeneron Pharmaceuticals Inc. | 292 | 625 | 661 | 968 | 668 | |
| Average Inventory Processing Period, Sector | ||||||
| Pharmaceuticals, Biotechnology & Life Sciences | 126 | 154 | 156 | 145 | 155 | |
| Average Inventory Processing Period, Industry | ||||||
| Health Care | 34 | 37 | 37 | 43 | 43 | |
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).
1 2021 Calculation
Average inventory processing period = 365 ÷ Inventory turnover
= 365 ÷ 3.88 = 94
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. | Thermo Fisher Scientific Inc. number of days of inventory outstanding deteriorated from 2019 to 2020 and from 2020 to 2021. |
Average Receivable Collection Period
Thermo Fisher Scientific Inc., average receivable collection period calculation, comparison to benchmarks
| Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data | ||||||
| Receivables turnover | 4.92 | 5.61 | 5.87 | 5.89 | 5.39 | |
| Short-term Activity Ratio (no. days) | ||||||
| Average receivable collection period1 | 74 | 65 | 62 | 62 | 68 | |
| Benchmarks (no. days) | ||||||
| Average Receivable Collection Period, Competitors2 | ||||||
| AbbVie Inc. | 65 | 70 | 60 | 60 | 66 | |
| Amgen Inc. | 74 | 68 | 67 | 58 | 54 | |
| Biogen Inc. | 64 | 65 | 60 | 66 | 63 | |
| Eli Lilly & Co. | 86 | 87 | 74 | 78 | 73 | |
| Gilead Sciences Inc. | 61 | 73 | 59 | 56 | 55 | |
| Johnson & Johnson | 59 | 60 | 64 | 63 | 64 | |
| Merck & Co. Inc. | 69 | 60 | 53 | 61 | 63 | |
| Moderna Inc. | 66 | 2,539 | — | — | — | |
| Pfizer Inc. | 52 | 69 | 62 | 55 | 57 | |
| Regeneron Pharmaceuticals Inc. | 137 | 177 | 124 | 122 | 123 | |
| Average Receivable Collection Period, Sector | ||||||
| Pharmaceuticals, Biotechnology & Life Sciences | 67 | 71 | 63 | 63 | 63 | |
| Average Receivable Collection Period, Industry | ||||||
| Health Care | 39 | 39 | 37 | 42 | 39 | |
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).
1 2021 Calculation
Average receivable collection period = 365 ÷ Receivables turnover
= 365 ÷ 4.92 = 74
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. | Thermo Fisher Scientific Inc. number of days of receivables outstanding deteriorated from 2019 to 2020 and from 2020 to 2021. |
Operating Cycle
Thermo Fisher Scientific Inc., operating cycle calculation, comparison to benchmarks
No. days
| Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data | ||||||
| Average inventory processing period | 94 | 91 | 87 | 81 | 95 | |
| Average receivable collection period | 74 | 65 | 62 | 62 | 68 | |
| Short-term Activity Ratio | ||||||
| Operating cycle1 | 168 | 156 | 149 | 143 | 163 | |
| Benchmarks | ||||||
| Operating Cycle, Competitors2 | ||||||
| AbbVie Inc. | 130 | 149 | 149 | 136 | 149 | |
| Amgen Inc. | 305 | 299 | 367 | 320 | 308 | |
| Biogen Inc. | 298 | 281 | 210 | 253 | 265 | |
| Eli Lilly & Co. | 280 | 352 | 321 | 311 | 341 | |
| Gilead Sciences Inc. | 150 | 207 | 131 | 117 | 122 | |
| Johnson & Johnson | 186 | 180 | 183 | 179 | 190 | |
| Merck & Co. Inc. | 228 | 209 | 208 | 208 | 209 | |
| Moderna Inc. | 267 | 4,680 | — | — | — | |
| Pfizer Inc. | 159 | 407 | 358 | 299 | 303 | |
| Regeneron Pharmaceuticals Inc. | 429 | 802 | 785 | 1,090 | 791 | |
| Operating Cycle, Sector | ||||||
| Pharmaceuticals, Biotechnology & Life Sciences | 193 | 225 | 219 | 208 | 218 | |
| Operating Cycle, Industry | ||||||
| Health Care | 73 | 76 | 74 | 85 | 82 | |
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).
1 2021 Calculation
Operating cycle = Average inventory processing period + Average receivable collection period
= 94 + 74 = 168
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. | Thermo Fisher Scientific Inc. operating cycle deteriorated from 2019 to 2020 and from 2020 to 2021. |
Average Payables Payment Period
Thermo Fisher Scientific Inc., average payables payment period calculation, comparison to benchmarks
| Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data | ||||||
| Payables turnover | 6.83 | 7.45 | 7.40 | 8.36 | 8.03 | |
| Short-term Activity Ratio (no. days) | ||||||
| Average payables payment period1 | 53 | 49 | 49 | 44 | 45 | |
| Benchmarks (no. days) | ||||||
| Average Payables Payment Period, Competitors2 | ||||||
| AbbVie Inc. | 60 | 54 | 71 | 73 | 76 | |
| Amgen Inc. | 77 | 84 | 115 | 107 | 121 | |
| Biogen Inc. | 102 | 92 | 99 | 74 | 89 | |
| Eli Lilly & Co. | 83 | 107 | 109 | 80 | 85 | |
| Gilead Sciences Inc. | 39 | 67 | 56 | 59 | 68 | |
| Johnson & Johnson | 135 | 122 | 113 | 102 | 105 | |
| Merck & Co. Inc. | 123 | 108 | 97 | 90 | 89 | |
| Moderna Inc. | 42 | 845 | — | — | — | |
| Pfizer Inc. | 66 | 181 | 151 | 152 | 151 | |
| Regeneron Pharmaceuticals Inc. | 84 | 155 | 195 | 183 | 164 | |
| Average Payables Payment Period, Sector | ||||||
| Pharmaceuticals, Biotechnology & Life Sciences | 85 | 98 | 99 | 91 | 96 | |
| Average Payables Payment Period, Industry | ||||||
| Health Care | 48 | 49 | 46 | 54 | 48 | |
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).
1 2021 Calculation
Average payables payment period = 365 ÷ Payables turnover
= 365 ÷ 6.83 = 53
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
Thermo Fisher Scientific Inc., cash conversion cycle calculation, comparison to benchmarks
No. days
| Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data | ||||||
| Average inventory processing period | 94 | 91 | 87 | 81 | 95 | |
| Average receivable collection period | 74 | 65 | 62 | 62 | 68 | |
| Average payables payment period | 53 | 49 | 49 | 44 | 45 | |
| Short-term Activity Ratio | ||||||
| Cash conversion cycle1 | 115 | 107 | 100 | 99 | 118 | |
| Benchmarks | ||||||
| Cash Conversion Cycle, Competitors2 | ||||||
| AbbVie Inc. | 70 | 95 | 78 | 63 | 73 | |
| Amgen Inc. | 228 | 215 | 252 | 213 | 187 | |
| Biogen Inc. | 196 | 189 | 111 | 179 | 176 | |
| Eli Lilly & Co. | 197 | 245 | 212 | 231 | 256 | |
| Gilead Sciences Inc. | 111 | 140 | 75 | 58 | 54 | |
| Johnson & Johnson | 51 | 58 | 70 | 77 | 85 | |
| Merck & Co. Inc. | 105 | 101 | 111 | 118 | 120 | |
| Moderna Inc. | 225 | 3,835 | — | — | — | |
| Pfizer Inc. | 93 | 226 | 207 | 147 | 152 | |
| Regeneron Pharmaceuticals Inc. | 345 | 647 | 590 | 907 | 627 | |
| Cash Conversion Cycle, Sector | ||||||
| Pharmaceuticals, Biotechnology & Life Sciences | 108 | 127 | 120 | 117 | 122 | |
| Cash Conversion Cycle, Industry | ||||||
| Health Care | 25 | 27 | 28 | 31 | 34 | |
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).
1 2021 Calculation
Cash conversion cycle = Average inventory processing period + Average receivable collection period – Average payables payment period
= 94 + 74 – 53 = 115
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. | Thermo Fisher Scientific Inc. cash conversion cycle deteriorated from 2019 to 2020 and from 2020 to 2021. |