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)
PepsiCo Inc., short-term (operating) activity ratios
Based on: 10-K (reporting date: 2024-12-28), 10-K (reporting date: 2023-12-30), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-25), 10-K (reporting date: 2020-12-26).
| Short-term activity ratio | Description | The company |
|---|---|---|
| Inventory turnover | An activity ratio calculated as cost of goods sold divided by inventory. | PepsiCo Inc. inventory turnover ratio improved from 2022 to 2023 and from 2023 to 2024. |
| Receivables turnover | An activity ratio equal to revenue divided by receivables. | PepsiCo Inc. receivables turnover ratio deteriorated from 2022 to 2023 but then improved from 2023 to 2024 exceeding 2022 level. |
| Payables turnover | An activity ratio calculated as cost of goods sold divided by payables. | PepsiCo Inc. payables turnover ratio decreased from 2022 to 2023 but then increased from 2023 to 2024 exceeding 2022 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. | |
| 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. | PepsiCo Inc. operating cycle improved from 2022 to 2023 and from 2023 to 2024. |
| 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. | PepsiCo Inc. number of days of payables outstanding increased from 2022 to 2023 but then decreased significantly from 2023 to 2024. |
| 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. | PepsiCo Inc. cash conversion cycle improved from 2022 to 2023 but then slightly deteriorated from 2023 to 2024 not reaching 2022 level. |
Inventory Turnover
PepsiCo Inc., inventory turnover calculation, comparison to benchmarks
| Dec 28, 2024 | Dec 30, 2023 | Dec 31, 2022 | Dec 25, 2021 | Dec 26, 2020 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Cost of sales | 41,744) | 41,881) | 40,576) | 37,075) | 31,797) | |
| Inventories | 5,306) | 5,334) | 5,222) | 4,347) | 4,172) | |
| Short-term Activity Ratio | ||||||
| Inventory turnover1 | 7.87 | 7.85 | 7.77 | 8.53 | 7.62 | |
| Benchmarks | ||||||
| Inventory Turnover, Competitors2 | ||||||
| Coca-Cola Co. | — | 4.19 | 4.25 | 4.50 | 4.11 | |
| Mondelēz International Inc. | 5.80 | 6.16 | 5.97 | 6.45 | 6.10 | |
| Philip Morris International Inc. | 1.41 | 1.20 | 1.15 | 1.15 | 1.00 | |
| Inventory Turnover, Sector | ||||||
| Food, Beverage & Tobacco | — | 3.96 | 3.97 | 4.17 | 3.61 | |
| Inventory Turnover, Industry | ||||||
| Consumer Staples | — | 7.60 | 7.08 | 8.15 | 7.71 | |
Based on: 10-K (reporting date: 2024-12-28), 10-K (reporting date: 2023-12-30), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-25), 10-K (reporting date: 2020-12-26).
1 2024 Calculation
Inventory turnover = Cost of sales ÷ Inventories
= 41,744 ÷ 5,306 = 7.87
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. | PepsiCo Inc. inventory turnover ratio improved from 2022 to 2023 and from 2023 to 2024. |
Receivables Turnover
PepsiCo Inc., receivables turnover calculation, comparison to benchmarks
| Dec 28, 2024 | Dec 30, 2023 | Dec 31, 2022 | Dec 25, 2021 | Dec 26, 2020 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Net revenue | 91,854) | 91,471) | 86,392) | 79,474) | 70,372) | |
| Accounts and notes receivable, net | 10,333) | 10,815) | 10,163) | 8,680) | 8,404) | |
| Short-term Activity Ratio | ||||||
| Receivables turnover1 | 8.89 | 8.46 | 8.50 | 9.16 | 8.37 | |
| Benchmarks | ||||||
| Receivables Turnover, Competitors2 | ||||||
| Coca-Cola Co. | — | 13.42 | 12.33 | 11.01 | 10.50 | |
| Mondelēz International Inc. | 9.41 | 9.91 | 10.20 | 12.29 | 11.57 | |
| Philip Morris International Inc. | 10.00 | 10.16 | 8.25 | 10.06 | 9.88 | |
| Receivables Turnover, Sector | ||||||
| Food, Beverage & Tobacco | — | 9.78 | 9.36 | 10.10 | 9.47 | |
| Receivables Turnover, Industry | ||||||
| Consumer Staples | — | 32.52 | 31.49 | 34.92 | 33.83 | |
Based on: 10-K (reporting date: 2024-12-28), 10-K (reporting date: 2023-12-30), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-25), 10-K (reporting date: 2020-12-26).
1 2024 Calculation
Receivables turnover = Net revenue ÷ Accounts and notes receivable, net
= 91,854 ÷ 10,333 = 8.89
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. | PepsiCo Inc. receivables turnover ratio deteriorated from 2022 to 2023 but then improved from 2023 to 2024 exceeding 2022 level. |
Payables Turnover
PepsiCo Inc., payables turnover calculation, comparison to benchmarks
| Dec 28, 2024 | Dec 30, 2023 | Dec 31, 2022 | Dec 25, 2021 | Dec 26, 2020 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Cost of sales | 41,744) | 41,881) | 40,576) | 37,075) | 31,797) | |
| Accounts payable | 10,997) | 11,635) | 10,732) | 9,834) | 8,853) | |
| Short-term Activity Ratio | ||||||
| Payables turnover1 | 3.80 | 3.60 | 3.78 | 3.77 | 3.59 | |
| Benchmarks | ||||||
| Payables Turnover, Competitors2 | ||||||
| Coca-Cola Co. | — | 3.31 | 3.39 | 3.34 | 3.82 | |
| Mondelēz International Inc. | 2.35 | 2.67 | 2.67 | 2.60 | 2.60 | |
| Philip Morris International Inc. | 3.37 | 3.11 | 2.80 | 3.01 | 3.44 | |
| Payables Turnover, Sector | ||||||
| Food, Beverage & Tobacco | — | 3.22 | 3.26 | 3.26 | 3.32 | |
| Payables Turnover, Industry | ||||||
| Consumer Staples | — | 6.95 | 6.37 | 6.65 | 6.70 | |
Based on: 10-K (reporting date: 2024-12-28), 10-K (reporting date: 2023-12-30), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-25), 10-K (reporting date: 2020-12-26).
1 2024 Calculation
Payables turnover = Cost of sales ÷ Accounts payable
= 41,744 ÷ 10,997 = 3.80
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. | PepsiCo Inc. payables turnover ratio decreased from 2022 to 2023 but then increased from 2023 to 2024 exceeding 2022 level. |
Working Capital Turnover
PepsiCo Inc., working capital turnover calculation, comparison to benchmarks
| Dec 28, 2024 | Dec 30, 2023 | Dec 31, 2022 | Dec 25, 2021 | Dec 26, 2020 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Current assets | 25,826) | 26,950) | 21,539) | 21,783) | 23,001) | |
| Less: Current liabilities | 31,536) | 31,647) | 26,785) | 26,220) | 23,372) | |
| Working capital | (5,710) | (4,697) | (5,246) | (4,437) | (371) | |
| Net revenue | 91,854) | 91,471) | 86,392) | 79,474) | 70,372) | |
| Short-term Activity Ratio | ||||||
| Working capital turnover1 | — | — | — | — | — | |
| Benchmarks | ||||||
| Working Capital Turnover, Competitors2 | ||||||
| Coca-Cola Co. | — | 14.47 | 15.00 | 14.90 | 7.12 | |
| Mondelēz International Inc. | — | — | — | — | — | |
| Philip Morris International Inc. | — | — | — | — | 15.29 | |
| Working Capital Turnover, Sector | ||||||
| Food, Beverage & Tobacco | — | — | — | — | 164.42 | |
| Working Capital Turnover, Industry | ||||||
| Consumer Staples | — | — | — | — | — | |
Based on: 10-K (reporting date: 2024-12-28), 10-K (reporting date: 2023-12-30), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-25), 10-K (reporting date: 2020-12-26).
1 2024 Calculation
Working capital turnover = Net revenue ÷ Working capital
= 91,854 ÷ -5,710 = —
2 Click competitor name to see calculations.
Average Inventory Processing Period
PepsiCo Inc., average inventory processing period calculation, comparison to benchmarks
| Dec 28, 2024 | Dec 30, 2023 | Dec 31, 2022 | Dec 25, 2021 | Dec 26, 2020 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data | ||||||
| Inventory turnover | 7.87 | 7.85 | 7.77 | 8.53 | 7.62 | |
| Short-term Activity Ratio (no. days) | ||||||
| Average inventory processing period1 | 46 | 46 | 47 | 43 | 48 | |
| Benchmarks (no. days) | ||||||
| Average Inventory Processing Period, Competitors2 | ||||||
| Coca-Cola Co. | — | 87 | 86 | 81 | 89 | |
| Mondelēz International Inc. | 63 | 59 | 61 | 57 | 60 | |
| Philip Morris International Inc. | 259 | 305 | 316 | 317 | 366 | |
| Average Inventory Processing Period, Sector | ||||||
| Food, Beverage & Tobacco | — | 92 | 92 | 88 | 101 | |
| Average Inventory Processing Period, Industry | ||||||
| Consumer Staples | — | 48 | 52 | 45 | 47 | |
Based on: 10-K (reporting date: 2024-12-28), 10-K (reporting date: 2023-12-30), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-25), 10-K (reporting date: 2020-12-26).
1 2024 Calculation
Average inventory processing period = 365 ÷ Inventory turnover
= 365 ÷ 7.87 = 46
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
PepsiCo Inc., average receivable collection period calculation, comparison to benchmarks
| Dec 28, 2024 | Dec 30, 2023 | Dec 31, 2022 | Dec 25, 2021 | Dec 26, 2020 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data | ||||||
| Receivables turnover | 8.89 | 8.46 | 8.50 | 9.16 | 8.37 | |
| Short-term Activity Ratio (no. days) | ||||||
| Average receivable collection period1 | 41 | 43 | 43 | 40 | 44 | |
| Benchmarks (no. days) | ||||||
| Average Receivable Collection Period, Competitors2 | ||||||
| Coca-Cola Co. | — | 27 | 30 | 33 | 35 | |
| Mondelēz International Inc. | 39 | 37 | 36 | 30 | 32 | |
| Philip Morris International Inc. | 37 | 36 | 44 | 36 | 37 | |
| Average Receivable Collection Period, Sector | ||||||
| Food, Beverage & Tobacco | — | 37 | 39 | 36 | 39 | |
| Average Receivable Collection Period, Industry | ||||||
| Consumer Staples | — | 11 | 12 | 10 | 11 | |
Based on: 10-K (reporting date: 2024-12-28), 10-K (reporting date: 2023-12-30), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-25), 10-K (reporting date: 2020-12-26).
1 2024 Calculation
Average receivable collection period = 365 ÷ Receivables turnover
= 365 ÷ 8.89 = 41
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
PepsiCo Inc., operating cycle calculation, comparison to benchmarks
No. days
| Dec 28, 2024 | Dec 30, 2023 | Dec 31, 2022 | Dec 25, 2021 | Dec 26, 2020 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data | ||||||
| Average inventory processing period | 46 | 46 | 47 | 43 | 48 | |
| Average receivable collection period | 41 | 43 | 43 | 40 | 44 | |
| Short-term Activity Ratio | ||||||
| Operating cycle1 | 87 | 89 | 90 | 83 | 92 | |
| Benchmarks | ||||||
| Operating Cycle, Competitors2 | ||||||
| Coca-Cola Co. | — | 114 | 116 | 114 | 124 | |
| Mondelēz International Inc. | 102 | 96 | 97 | 87 | 92 | |
| Philip Morris International Inc. | 296 | 341 | 360 | 353 | 403 | |
| Operating Cycle, Sector | ||||||
| Food, Beverage & Tobacco | — | 129 | 131 | 124 | 140 | |
| Operating Cycle, Industry | ||||||
| Consumer Staples | — | 59 | 64 | 55 | 58 | |
Based on: 10-K (reporting date: 2024-12-28), 10-K (reporting date: 2023-12-30), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-25), 10-K (reporting date: 2020-12-26).
1 2024 Calculation
Operating cycle = Average inventory processing period + Average receivable collection period
= 46 + 41 = 87
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. | PepsiCo Inc. operating cycle improved from 2022 to 2023 and from 2023 to 2024. |
Average Payables Payment Period
PepsiCo Inc., average payables payment period calculation, comparison to benchmarks
| Dec 28, 2024 | Dec 30, 2023 | Dec 31, 2022 | Dec 25, 2021 | Dec 26, 2020 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data | ||||||
| Payables turnover | 3.80 | 3.60 | 3.78 | 3.77 | 3.59 | |
| Short-term Activity Ratio (no. days) | ||||||
| Average payables payment period1 | 96 | 101 | 97 | 97 | 102 | |
| Benchmarks (no. days) | ||||||
| Average Payables Payment Period, Competitors2 | ||||||
| Coca-Cola Co. | — | 110 | 108 | 109 | 96 | |
| Mondelēz International Inc. | 155 | 136 | 137 | 141 | 140 | |
| Philip Morris International Inc. | 108 | 117 | 130 | 121 | 106 | |
| Average Payables Payment Period, Sector | ||||||
| Food, Beverage & Tobacco | — | 113 | 112 | 112 | 110 | |
| Average Payables Payment Period, Industry | ||||||
| Consumer Staples | — | 53 | 57 | 55 | 54 | |
Based on: 10-K (reporting date: 2024-12-28), 10-K (reporting date: 2023-12-30), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-25), 10-K (reporting date: 2020-12-26).
1 2024 Calculation
Average payables payment period = 365 ÷ Payables turnover
= 365 ÷ 3.80 = 96
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. | PepsiCo Inc. number of days of payables outstanding increased from 2022 to 2023 but then decreased significantly from 2023 to 2024. |
Cash Conversion Cycle
PepsiCo Inc., cash conversion cycle calculation, comparison to benchmarks
No. days
| Dec 28, 2024 | Dec 30, 2023 | Dec 31, 2022 | Dec 25, 2021 | Dec 26, 2020 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data | ||||||
| Average inventory processing period | 46 | 46 | 47 | 43 | 48 | |
| Average receivable collection period | 41 | 43 | 43 | 40 | 44 | |
| Average payables payment period | 96 | 101 | 97 | 97 | 102 | |
| Short-term Activity Ratio | ||||||
| Cash conversion cycle1 | -9 | -12 | -7 | -14 | -10 | |
| Benchmarks | ||||||
| Cash Conversion Cycle, Competitors2 | ||||||
| Coca-Cola Co. | — | 4 | 8 | 5 | 28 | |
| Mondelēz International Inc. | -53 | -40 | -40 | -54 | -48 | |
| Philip Morris International Inc. | 188 | 224 | 230 | 232 | 297 | |
| Cash Conversion Cycle, Sector | ||||||
| Food, Beverage & Tobacco | — | 16 | 19 | 12 | 30 | |
| Cash Conversion Cycle, Industry | ||||||
| Consumer Staples | — | 6 | 7 | 0 | 4 | |
Based on: 10-K (reporting date: 2024-12-28), 10-K (reporting date: 2023-12-30), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-25), 10-K (reporting date: 2020-12-26).
1 2024 Calculation
Cash conversion cycle = Average inventory processing period + Average receivable collection period – Average payables payment period
= 46 + 41 – 96 = -9
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. | PepsiCo Inc. cash conversion cycle improved from 2022 to 2023 but then slightly deteriorated from 2023 to 2024 not reaching 2022 level. |