Analysis of Short-term (Operating) Activity Ratios
Quarterly Data
Activity ratios measure how efficiently a company performs day-to-day tasks, such us the collection of receivables and management of inventory.
Short-term Activity Ratios (Summary)
Parker-Hannifin Corp., short-term (operating) activity ratios (quarterly data)
Based on: 10-Q (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-K (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-Q (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-K (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-Q (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-K (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-Q (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-K (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-Q (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-K (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31), 10-Q (reporting date: 2017-12-31), 10-Q (reporting date: 2017-09-30), 10-K (reporting date: 2017-06-30), 10-Q (reporting date: 2017-03-31), 10-Q (reporting date: 2016-12-31), 10-Q (reporting date: 2016-09-30).
| Short-term activity ratio | Description | The company |
|---|---|---|
| Inventory turnover | An activity ratio calculated as cost of goods sold divided by inventory. | Parker-Hannifin Corp. inventory turnover ratio deteriorated from Q4 2022 to Q1 2023 but then slightly improved from Q1 2023 to Q2 2023. |
| Receivables turnover | An activity ratio equal to revenue divided by receivables. | Parker-Hannifin Corp. receivables turnover ratio deteriorated from Q4 2022 to Q1 2023 but then improved from Q1 2023 to Q2 2023 not reaching Q4 2022 level. |
| Payables turnover | An activity ratio calculated as cost of goods sold divided by payables. | Parker-Hannifin Corp. payables turnover ratio decreased from Q4 2022 to Q1 2023 but then slightly increased from Q1 2023 to Q2 2023. |
| Working capital turnover | An activity ratio calculated as revenue divided by working capital. | Parker-Hannifin Corp. working capital turnover ratio improved from Q4 2022 to Q1 2023 and from Q1 2023 to Q2 2023. |
| 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. | Parker-Hannifin Corp. number of days of inventory outstanding deteriorated from Q4 2022 to Q1 2023 but then slightly improved from Q1 2023 to Q2 2023. |
| Average receivable collection period | An activity ratio equal to the number of days in the period divided by receivables turnover. | Parker-Hannifin Corp. number of days of receivables outstanding deteriorated from Q4 2022 to Q1 2023 but then improved from Q1 2023 to Q2 2023 not reaching Q4 2022 level. |
| Operating cycle | Equal to average inventory processing period plus average receivables collection period. | Parker-Hannifin Corp. operating cycle deteriorated from Q4 2022 to Q1 2023 but then slightly improved from Q1 2023 to Q2 2023. |
| 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. | Parker-Hannifin Corp. cash conversion cycle deteriorated from Q4 2022 to Q1 2023 but then slightly improved from Q1 2023 to Q2 2023. |
Inventory Turnover
Parker-Hannifin Corp., inventory turnover calculation (quarterly data)
| Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | Dec 31, 2018 | Sep 30, 2018 | Jun 30, 2018 | Mar 31, 2018 | Dec 31, 2017 | Sep 30, 2017 | Jun 30, 2017 | Mar 31, 2017 | Dec 31, 2016 | Sep 30, 2016 | |||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||||||||||||||||||||||||||||||
| Cost of sales | 3,236,812) | 2,795,456) | 2,980,654) | 2,927,991) | 2,764,725) | 2,713,897) | 2,831,034) | 2,714,773) | 2,519,545) | 2,384,328) | 2,357,319) | 2,766,693) | 2,682,765) | 2,479,741) | 2,739,578) | 2,766,744) | 2,602,339) | 2,594,823) | 2,835,885) | 2,825,008) | 2,569,070) | 2,532,878) | 2,654,682) | 2,383,790) | 2,044,484) | 2,106,006) | ||||||||
| Inventories | 3,095,722) | 3,130,182) | 2,214,553) | 2,330,242) | 2,307,306) | 2,264,725) | 2,090,642) | 1,898,159) | 1,870,948) | 1,795,779) | 1,814,631) | 2,011,367) | 2,014,260) | 1,790,044) | 1,678,132) | 1,755,991) | 1,804,564) | 1,762,640) | 1,621,304) | 1,732,759) | 1,780,262) | 1,707,001) | 1,549,494) | 1,538,644) | 1,241,593) | 1,247,972) | ||||||||
| Short-term Activity Ratio | ||||||||||||||||||||||||||||||||||
| Inventory turnover1 | 3.86 | 3.66 | 5.14 | 4.82 | 4.78 | 4.76 | 5.00 | 5.26 | 5.36 | 5.68 | 5.67 | 5.30 | 5.30 | 5.92 | 6.38 | 6.15 | 6.02 | 6.14 | 6.64 | 6.11 | 5.70 | 5.63 | 5.93 | — | — | — | ||||||||
| Benchmarks | ||||||||||||||||||||||||||||||||||
| Inventory Turnover, Competitors2 | ||||||||||||||||||||||||||||||||||
| Boeing Co. | 0.88 | 0.83 | 0.81 | 0.78 | 0.74 | 0.74 | 0.75 | 0.77 | 0.76 | 0.74 | 0.78 | 0.71 | 0.78 | 0.88 | 0.94 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
| Caterpillar Inc. | 2.42 | 2.38 | 2.54 | 2.36 | 2.40 | 2.46 | 2.53 | 2.44 | 2.49 | 2.46 | 2.55 | 2.66 | 2.82 | 2.97 | 3.25 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
| Eaton Corp. plc | 3.93 | 3.94 | 4.04 | 3.95 | 3.87 | 4.03 | 4.48 | 4.73 | 4.86 | 5.12 | 5.88 | 6.10 | 6.20 | 6.00 | 5.11 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
| GE Aerospace | 3.15 | 3.32 | 3.19 | 3.10 | 3.04 | 3.25 | 3.40 | 3.21 | 3.28 | 3.46 | 3.80 | 4.36 | 4.41 | 4.50 | 4.97 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
| Honeywell International Inc. | 3.82 | 3.90 | 4.04 | 4.09 | 4.06 | 4.20 | 4.55 | 4.72 | 4.88 | 4.85 | 4.94 | 4.79 | 4.88 | 5.23 | 5.51 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
| Lockheed Martin Corp. | 16.82 | 16.63 | 18.68 | 18.09 | 16.20 | 18.12 | 19.45 | 19.81 | 18.64 | 17.58 | 16.01 | 16.91 | 15.46 | 14.94 | 14.22 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
| RTX Corp. | 4.68 | 4.81 | 5.03 | 5.03 | 5.14 | 5.33 | 5.65 | 5.57 | 5.49 | 5.48 | 5.11 | 4.93 | 4.85 | 4.51 | 5.21 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
Based on: 10-Q (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-K (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-Q (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-K (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-Q (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-K (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-Q (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-K (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-Q (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-K (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31), 10-Q (reporting date: 2017-12-31), 10-Q (reporting date: 2017-09-30), 10-K (reporting date: 2017-06-30), 10-Q (reporting date: 2017-03-31), 10-Q (reporting date: 2016-12-31), 10-Q (reporting date: 2016-09-30).
1 Q2 2023 Calculation
Inventory turnover
= (Cost of salesQ2 2023
+ Cost of salesQ1 2023
+ Cost of salesQ4 2022
+ Cost of salesQ3 2022)
÷ Inventories
= (3,236,812 + 2,795,456 + 2,980,654 + 2,927,991)
÷ 3,095,722 = 3.86
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. | Parker-Hannifin Corp. inventory turnover ratio deteriorated from Q4 2022 to Q1 2023 but then slightly improved from Q1 2023 to Q2 2023. |
Receivables Turnover
Parker-Hannifin Corp., receivables turnover calculation (quarterly data)
| Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | Dec 31, 2018 | Sep 30, 2018 | Jun 30, 2018 | Mar 31, 2018 | Dec 31, 2017 | Sep 30, 2017 | Jun 30, 2017 | Mar 31, 2017 | Dec 31, 2016 | Sep 30, 2016 | |||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||||||||||||||||||||||||||||||
| Net sales | 4,674,811) | 4,232,775) | 4,187,832) | 4,086,387) | 3,824,580) | 3,762,809) | 3,958,869) | 3,746,326) | 3,411,905) | 3,230,540) | 3,160,603) | 3,702,432) | 3,497,974) | 3,334,511) | 3,681,467) | 3,687,518) | 3,472,045) | 3,479,294) | 3,817,477) | 3,749,591) | 3,370,673) | 3,364,651) | 3,496,238) | 3,119,139) | 2,670,804) | 2,743,131) | ||||||||
| Trade accounts receivable, net | 2,578,045) | 2,649,166) | 2,341,504) | 2,357,244) | 2,041,953) | 2,109,648) | 2,183,594) | 2,118,437) | 1,816,731) | 1,860,324) | 1,854,398) | 2,174,425) | 1,973,187) | 1,983,242) | 2,131,054) | 2,117,103) | 1,938,709) | 2,065,158) | 2,145,517) | 2,146,408) | 1,857,282) | 1,922,288) | 1,930,751) | 1,869,303) | 1,411,074) | 1,498,384) | ||||||||
| Short-term Activity Ratio | ||||||||||||||||||||||||||||||||||
| Receivables turnover1 | 6.66 | 6.16 | 6.77 | 6.63 | 7.49 | 7.05 | 6.57 | 6.40 | 7.43 | 7.31 | 7.39 | 6.54 | 7.20 | 7.15 | 6.72 | 6.83 | 7.49 | 6.98 | 6.67 | 6.51 | 7.19 | 6.58 | 6.23 | — | — | — | ||||||||
| Benchmarks | ||||||||||||||||||||||||||||||||||
| Receivables Turnover, Competitors2 | ||||||||||||||||||||||||||||||||||
| Boeing Co. | 24.99 | 24.65 | 26.46 | 22.98 | 20.27 | 25.37 | 23.58 | 27.95 | 24.76 | 23.97 | 29.75 | 22.00 | 23.85 | 21.97 | 23.44 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
| Caterpillar Inc. | 6.56 | 6.37 | 6.39 | 6.59 | 6.10 | 5.46 | 5.68 | 5.97 | 5.51 | 5.07 | 5.33 | 5.86 | 6.11 | 6.12 | 5.92 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
| Eaton Corp. plc | 5.01 | 5.05 | 5.09 | 5.28 | 5.15 | 5.39 | 5.95 | 5.75 | 5.72 | 5.79 | 6.15 | 6.40 | 7.25 | 7.07 | 6.22 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
| GE Aerospace | 4.67 | 5.00 | 4.09 | 4.19 | 4.39 | 4.43 | 4.55 | 4.83 | 4.74 | 4.59 | 4.37 | 4.46 | 5.03 | 5.08 | 5.22 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
| Honeywell International Inc. | 4.52 | 4.57 | 4.77 | 4.74 | 4.45 | 4.82 | 5.04 | 4.78 | 4.89 | 4.89 | 4.78 | 4.83 | 5.14 | 4.87 | 4.90 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
| Lockheed Martin Corp. | 19.67 | 25.61 | 26.34 | 26.06 | 18.87 | 26.02 | 34.15 | 29.27 | 25.59 | 29.81 | 33.06 | 25.90 | 22.19 | 21.14 | 25.59 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
| RTX Corp. | 7.13 | 6.81 | 7.36 | 7.15 | 6.28 | 7.15 | 6.66 | 6.69 | 6.99 | 6.03 | 6.11 | 5.90 | 6.79 | 5.35 | 5.70 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
Based on: 10-Q (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-K (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-Q (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-K (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-Q (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-K (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-Q (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-K (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-Q (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-K (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31), 10-Q (reporting date: 2017-12-31), 10-Q (reporting date: 2017-09-30), 10-K (reporting date: 2017-06-30), 10-Q (reporting date: 2017-03-31), 10-Q (reporting date: 2016-12-31), 10-Q (reporting date: 2016-09-30).
1 Q2 2023 Calculation
Receivables turnover
= (Net salesQ2 2023
+ Net salesQ1 2023
+ Net salesQ4 2022
+ Net salesQ3 2022)
÷ Trade accounts receivable, net
= (4,674,811 + 4,232,775 + 4,187,832 + 4,086,387)
÷ 2,578,045 = 6.66
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. | Parker-Hannifin Corp. receivables turnover ratio deteriorated from Q4 2022 to Q1 2023 but then improved from Q1 2023 to Q2 2023 not reaching Q4 2022 level. |
Payables Turnover
Parker-Hannifin Corp., payables turnover calculation (quarterly data)
| Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | Dec 31, 2018 | Sep 30, 2018 | Jun 30, 2018 | Mar 31, 2018 | Dec 31, 2017 | Sep 30, 2017 | Jun 30, 2017 | Mar 31, 2017 | Dec 31, 2016 | Sep 30, 2016 | |||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||||||||||||||||||||||||||||||
| Cost of sales | 3,236,812) | 2,795,456) | 2,980,654) | 2,927,991) | 2,764,725) | 2,713,897) | 2,831,034) | 2,714,773) | 2,519,545) | 2,384,328) | 2,357,319) | 2,766,693) | 2,682,765) | 2,479,741) | 2,739,578) | 2,766,744) | 2,602,339) | 2,594,823) | 2,835,885) | 2,825,008) | 2,569,070) | 2,532,878) | 2,654,682) | 2,383,790) | 2,044,484) | 2,106,006) | ||||||||
| Accounts payable, trade | 1,966,757) | 2,018,209) | 1,731,925) | 1,732,421) | 1,597,025) | 1,636,272) | 1,667,878) | 1,551,460) | 1,343,011) | 1,264,991) | 1,111,759) | 1,422,011) | 1,311,733) | 1,287,420) | 1,413,155) | 1,423,659) | 1,307,178) | 1,404,716) | 1,430,306) | 1,376,457) | 1,229,336) | 1,304,260) | 1,300,496) | 1,209,351) | 997,189) | 1,017,905) | ||||||||
| Short-term Activity Ratio | ||||||||||||||||||||||||||||||||||
| Payables turnover1 | 6.07 | 5.68 | 6.57 | 6.49 | 6.90 | 6.59 | 6.27 | 6.43 | 7.47 | 8.06 | 9.25 | 7.50 | 8.13 | 8.22 | 7.57 | 7.59 | 8.31 | 7.71 | 7.52 | 7.69 | 8.25 | 7.37 | 7.07 | — | — | — | ||||||||
| Benchmarks | ||||||||||||||||||||||||||||||||||
| Payables Turnover, Competitors2 | ||||||||||||||||||||||||||||||||||
| Boeing Co. | 6.28 | 6.37 | 6.18 | 6.36 | 6.17 | 6.73 | 6.40 | 6.20 | 5.45 | 4.90 | 4.94 | 4.25 | 4.77 | 4.69 | 4.63 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
| Caterpillar Inc. | 5.09 | 4.68 | 4.76 | 4.81 | 4.72 | 4.43 | 4.36 | 4.61 | 4.57 | 4.46 | 4.75 | 5.86 | 6.31 | 6.05 | 6.15 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
| Eaton Corp. plc | 4.52 | 4.55 | 4.51 | 4.61 | 4.43 | 4.67 | 4.75 | 5.11 | 5.22 | 5.66 | 6.24 | 7.15 | 8.18 | 7.88 | 6.78 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
| GE Aerospace | 3.41 | 3.57 | 2.98 | 3.14 | 3.14 | 3.32 | 3.32 | 3.33 | 3.35 | 3.56 | 3.67 | 4.67 | 4.99 | 4.57 | 4.40 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
| Honeywell International Inc. | 3.49 | 3.50 | 3.53 | 3.68 | 3.63 | 3.66 | 3.61 | 3.83 | 3.76 | 3.86 | 3.86 | 4.27 | 4.32 | 4.23 | 4.25 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
| Lockheed Martin Corp. | 16.97 | 17.65 | 27.25 | 21.48 | 24.07 | 21.92 | 74.34 | 37.83 | 36.15 | 30.31 | 64.48 | 37.34 | 37.46 | 16.70 | 40.16 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
| RTX Corp. | 5.54 | 5.42 | 5.40 | 5.82 | 5.36 | 6.28 | 5.93 | 6.06 | 6.52 | 5.67 | 5.56 | 5.96 | 6.92 | 4.73 | 5.28 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
Based on: 10-Q (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-K (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-Q (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-K (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-Q (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-K (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-Q (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-K (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-Q (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-K (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31), 10-Q (reporting date: 2017-12-31), 10-Q (reporting date: 2017-09-30), 10-K (reporting date: 2017-06-30), 10-Q (reporting date: 2017-03-31), 10-Q (reporting date: 2016-12-31), 10-Q (reporting date: 2016-09-30).
1 Q2 2023 Calculation
Payables turnover
= (Cost of salesQ2 2023
+ Cost of salesQ1 2023
+ Cost of salesQ4 2022
+ Cost of salesQ3 2022)
÷ Accounts payable, trade
= (3,236,812 + 2,795,456 + 2,980,654 + 2,927,991)
÷ 1,966,757 = 6.07
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. | Parker-Hannifin Corp. payables turnover ratio decreased from Q4 2022 to Q1 2023 but then slightly increased from Q1 2023 to Q2 2023. |
Working Capital Turnover
Parker-Hannifin Corp., working capital turnover calculation (quarterly data)
| Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | Dec 31, 2018 | Sep 30, 2018 | Jun 30, 2018 | Mar 31, 2018 | Dec 31, 2017 | Sep 30, 2017 | Jun 30, 2017 | Mar 31, 2017 | Dec 31, 2016 | Sep 30, 2016 | |||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||||||||||||||||||||||||||||||
| Current assets | 7,285,000) | 7,167,827) | 12,046,644) | 8,229,694) | 7,907,649) | 5,631,274) | 5,616,750) | 5,049,053) | 4,799,679) | 4,869,484) | 4,885,204) | 5,481,426) | 5,661,151) | 8,138,079) | 7,673,086) | 5,537,791) | 5,334,736) | 5,298,082) | 5,085,238) | 5,563,096) | 5,286,359) | 5,004,618) | 4,779,718) | 4,619,154) | 5,247,839) | 5,281,878) | ||||||||
| Less: Current liabilities | 5,703,403) | 5,498,708) | 5,859,318) | 5,406,664) | 5,257,491) | 3,283,243) | 3,096,503) | 3,036,647) | 3,207,083) | 3,328,223) | 3,148,373) | 3,673,609) | 4,091,122) | 4,157,328) | 3,151,773) | 3,548,950) | 3,508,934) | 3,308,521) | 3,197,483) | 3,508,517) | 3,537,703) | 3,467,124) | 3,395,860) | 3,048,441) | 2,425,474) | 2,494,238) | ||||||||
| Working capital | 1,581,597) | 1,669,119) | 6,187,326) | 2,823,030) | 2,650,158) | 2,348,031) | 2,520,247) | 2,012,406) | 1,592,596) | 1,541,261) | 1,736,831) | 1,807,817) | 1,570,029) | 3,980,751) | 4,521,313) | 1,988,841) | 1,825,802) | 1,989,561) | 1,887,755) | 2,054,579) | 1,748,656) | 1,537,494) | 1,383,858) | 1,570,713) | 2,822,365) | 2,787,640) | ||||||||
| Net sales | 4,674,811) | 4,232,775) | 4,187,832) | 4,086,387) | 3,824,580) | 3,762,809) | 3,958,869) | 3,746,326) | 3,411,905) | 3,230,540) | 3,160,603) | 3,702,432) | 3,497,974) | 3,334,511) | 3,681,467) | 3,687,518) | 3,472,045) | 3,479,294) | 3,817,477) | 3,749,591) | 3,370,673) | 3,364,651) | 3,496,238) | 3,119,139) | 2,670,804) | 2,743,131) | ||||||||
| Short-term Activity Ratio | ||||||||||||||||||||||||||||||||||
| Working capital turnover1 | 10.86 | 9.78 | 2.56 | 5.54 | 5.77 | 6.34 | 5.69 | 6.73 | 8.48 | 8.82 | 7.89 | 7.86 | 9.05 | 3.56 | 3.17 | 7.27 | 7.95 | 7.25 | 7.58 | 6.80 | 7.63 | 8.23 | 8.69 | — | — | — | ||||||||
| Benchmarks | ||||||||||||||||||||||||||||||||||
| Working Capital Turnover, Competitors2 | ||||||||||||||||||||||||||||||||||
| Boeing Co. | 4.80 | 4.61 | 3.42 | 3.13 | 2.87 | 2.51 | 2.34 | 2.02 | 2.00 | 1.88 | 1.69 | 1.57 | 1.76 | 4.27 | 15.57 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
| Caterpillar Inc. | 5.29 | 4.25 | 4.62 | 4.35 | 3.93 | 3.83 | 3.54 | 2.87 | 2.80 | 2.52 | 2.84 | 3.01 | 3.45 | 4.33 | 4.04 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
| Eaton Corp. plc | 6.16 | 7.01 | 8.70 | 10.69 | — | — | 65.65 | 12.41 | 21.65 | 5.34 | 5.42 | 6.42 | 7.05 | 5.60 | 5.95 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
| GE Aerospace | 5.70 | 5.87 | 7.93 | 13.29 | 10.55 | 7.14 | 4.94 | 1.57 | 1.57 | 1.27 | 2.26 | 5.06 | 6.05 | 8.72 | — | — | — | — | — | — | — | — | — | — | — | — | ||||||||
| Honeywell International Inc. | 5.16 | 7.79 | 7.03 | 7.91 | 8.84 | 8.07 | 5.86 | 5.94 | 4.52 | 4.27 | 3.64 | 3.02 | 3.14 | 6.93 | 5.92 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
| Lockheed Martin Corp. | 10.56 | 12.81 | 12.93 | 14.03 | 14.28 | 15.14 | 11.52 | 10.48 | 12.30 | 11.93 | 12.01 | 12.62 | 13.44 | 17.12 | 19.15 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
| RTX Corp. | 16.99 | 12.76 | 20.15 | 19.15 | 17.77 | 11.41 | 9.75 | 8.11 | 10.24 | 9.77 | 7.52 | 7.51 | 9.23 | 9.50 | 26.47 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
Based on: 10-Q (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-K (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-Q (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-K (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-Q (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-K (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-Q (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-K (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-Q (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-K (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31), 10-Q (reporting date: 2017-12-31), 10-Q (reporting date: 2017-09-30), 10-K (reporting date: 2017-06-30), 10-Q (reporting date: 2017-03-31), 10-Q (reporting date: 2016-12-31), 10-Q (reporting date: 2016-09-30).
1 Q2 2023 Calculation
Working capital turnover
= (Net salesQ2 2023
+ Net salesQ1 2023
+ Net salesQ4 2022
+ Net salesQ3 2022)
÷ Working capital
= (4,674,811 + 4,232,775 + 4,187,832 + 4,086,387)
÷ 1,581,597 = 10.86
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. | Parker-Hannifin Corp. working capital turnover ratio improved from Q4 2022 to Q1 2023 and from Q1 2023 to Q2 2023. |
Average Inventory Processing Period
Parker-Hannifin Corp., average inventory processing period calculation (quarterly data)
| Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | Dec 31, 2018 | Sep 30, 2018 | Jun 30, 2018 | Mar 31, 2018 | Dec 31, 2017 | Sep 30, 2017 | Jun 30, 2017 | Mar 31, 2017 | Dec 31, 2016 | Sep 30, 2016 | |||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data | ||||||||||||||||||||||||||||||||||
| Inventory turnover | 3.86 | 3.66 | 5.14 | 4.82 | 4.78 | 4.76 | 5.00 | 5.26 | 5.36 | 5.68 | 5.67 | 5.30 | 5.30 | 5.92 | 6.38 | 6.15 | 6.02 | 6.14 | 6.64 | 6.11 | 5.70 | 5.63 | 5.93 | — | — | — | ||||||||
| Short-term Activity Ratio (no. days) | ||||||||||||||||||||||||||||||||||
| Average inventory processing period1 | 95 | 100 | 71 | 76 | 76 | 77 | 73 | 69 | 68 | 64 | 64 | 69 | 69 | 62 | 57 | 59 | 61 | 59 | 55 | 60 | 64 | 65 | 62 | — | — | — | ||||||||
| Benchmarks (no. days) | ||||||||||||||||||||||||||||||||||
| Average Inventory Processing Period, Competitors2 | ||||||||||||||||||||||||||||||||||
| Boeing Co. | 416 | 438 | 452 | 468 | 494 | 493 | 486 | 475 | 478 | 496 | 467 | 516 | 468 | 416 | 388 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
| Caterpillar Inc. | 151 | 154 | 144 | 155 | 152 | 148 | 144 | 150 | 146 | 149 | 143 | 137 | 129 | 123 | 112 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
| Eaton Corp. plc | 93 | 93 | 90 | 92 | 94 | 90 | 82 | 77 | 75 | 71 | 62 | 60 | 59 | 61 | 71 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
| GE Aerospace | 116 | 110 | 114 | 118 | 120 | 112 | 107 | 114 | 111 | 105 | 96 | 84 | 83 | 81 | 74 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
| Honeywell International Inc. | 96 | 94 | 90 | 89 | 90 | 87 | 80 | 77 | 75 | 75 | 74 | 76 | 75 | 70 | 66 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
| Lockheed Martin Corp. | 22 | 22 | 20 | 20 | 23 | 20 | 19 | 18 | 20 | 21 | 23 | 22 | 24 | 24 | 26 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
| RTX Corp. | 78 | 76 | 73 | 73 | 71 | 69 | 65 | 65 | 66 | 67 | 71 | 74 | 75 | 81 | 70 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
Based on: 10-Q (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-K (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-Q (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-K (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-Q (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-K (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-Q (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-K (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-Q (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-K (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31), 10-Q (reporting date: 2017-12-31), 10-Q (reporting date: 2017-09-30), 10-K (reporting date: 2017-06-30), 10-Q (reporting date: 2017-03-31), 10-Q (reporting date: 2016-12-31), 10-Q (reporting date: 2016-09-30).
1 Q2 2023 Calculation
Average inventory processing period = 365 ÷ Inventory turnover
= 365 ÷ 3.86 = 95
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. | Parker-Hannifin Corp. number of days of inventory outstanding deteriorated from Q4 2022 to Q1 2023 but then slightly improved from Q1 2023 to Q2 2023. |
Average Receivable Collection Period
Parker-Hannifin Corp., average receivable collection period calculation (quarterly data)
| Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | Dec 31, 2018 | Sep 30, 2018 | Jun 30, 2018 | Mar 31, 2018 | Dec 31, 2017 | Sep 30, 2017 | Jun 30, 2017 | Mar 31, 2017 | Dec 31, 2016 | Sep 30, 2016 | |||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data | ||||||||||||||||||||||||||||||||||
| Receivables turnover | 6.66 | 6.16 | 6.77 | 6.63 | 7.49 | 7.05 | 6.57 | 6.40 | 7.43 | 7.31 | 7.39 | 6.54 | 7.20 | 7.15 | 6.72 | 6.83 | 7.49 | 6.98 | 6.67 | 6.51 | 7.19 | 6.58 | 6.23 | — | — | — | ||||||||
| Short-term Activity Ratio (no. days) | ||||||||||||||||||||||||||||||||||
| Average receivable collection period1 | 55 | 59 | 54 | 55 | 49 | 52 | 56 | 57 | 49 | 50 | 49 | 56 | 51 | 51 | 54 | 53 | 49 | 52 | 55 | 56 | 51 | 55 | 59 | — | — | — | ||||||||
| Benchmarks (no. days) | ||||||||||||||||||||||||||||||||||
| Average Receivable Collection Period, Competitors2 | ||||||||||||||||||||||||||||||||||
| Boeing Co. | 15 | 15 | 14 | 16 | 18 | 14 | 15 | 13 | 15 | 15 | 12 | 17 | 15 | 17 | 16 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
| Caterpillar Inc. | 56 | 57 | 57 | 55 | 60 | 67 | 64 | 61 | 66 | 72 | 68 | 62 | 60 | 60 | 62 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
| Eaton Corp. plc | 73 | 72 | 72 | 69 | 71 | 68 | 61 | 63 | 64 | 63 | 59 | 57 | 50 | 52 | 59 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
| GE Aerospace | 78 | 73 | 89 | 87 | 83 | 82 | 80 | 76 | 77 | 80 | 83 | 82 | 73 | 72 | 70 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
| Honeywell International Inc. | 81 | 80 | 77 | 77 | 82 | 76 | 72 | 76 | 75 | 75 | 76 | 76 | 71 | 75 | 75 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
| Lockheed Martin Corp. | 19 | 14 | 14 | 14 | 19 | 14 | 11 | 12 | 14 | 12 | 11 | 14 | 16 | 17 | 14 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
| RTX Corp. | 51 | 54 | 50 | 51 | 58 | 51 | 55 | 55 | 52 | 61 | 60 | 62 | 54 | 68 | 64 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
Based on: 10-Q (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-K (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-Q (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-K (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-Q (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-K (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-Q (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-K (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-Q (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-K (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31), 10-Q (reporting date: 2017-12-31), 10-Q (reporting date: 2017-09-30), 10-K (reporting date: 2017-06-30), 10-Q (reporting date: 2017-03-31), 10-Q (reporting date: 2016-12-31), 10-Q (reporting date: 2016-09-30).
1 Q2 2023 Calculation
Average receivable collection period = 365 ÷ Receivables turnover
= 365 ÷ 6.66 = 55
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. | Parker-Hannifin Corp. number of days of receivables outstanding deteriorated from Q4 2022 to Q1 2023 but then improved from Q1 2023 to Q2 2023 not reaching Q4 2022 level. |
Operating Cycle
Parker-Hannifin Corp., operating cycle calculation (quarterly data)
No. days
| Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | Dec 31, 2018 | Sep 30, 2018 | Jun 30, 2018 | Mar 31, 2018 | Dec 31, 2017 | Sep 30, 2017 | Jun 30, 2017 | Mar 31, 2017 | Dec 31, 2016 | Sep 30, 2016 | |||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data | ||||||||||||||||||||||||||||||||||
| Average inventory processing period | 95 | 100 | 71 | 76 | 76 | 77 | 73 | 69 | 68 | 64 | 64 | 69 | 69 | 62 | 57 | 59 | 61 | 59 | 55 | 60 | 64 | 65 | 62 | — | — | — | ||||||||
| Average receivable collection period | 55 | 59 | 54 | 55 | 49 | 52 | 56 | 57 | 49 | 50 | 49 | 56 | 51 | 51 | 54 | 53 | 49 | 52 | 55 | 56 | 51 | 55 | 59 | — | — | — | ||||||||
| Short-term Activity Ratio | ||||||||||||||||||||||||||||||||||
| Operating cycle1 | 150 | 159 | 125 | 131 | 125 | 129 | 129 | 126 | 117 | 114 | 113 | 125 | 120 | 113 | 111 | 112 | 110 | 111 | 110 | 116 | 115 | 120 | 121 | — | — | — | ||||||||
| Benchmarks | ||||||||||||||||||||||||||||||||||
| Operating Cycle, Competitors2 | ||||||||||||||||||||||||||||||||||
| Boeing Co. | 431 | 453 | 466 | 484 | 512 | 507 | 501 | 488 | 493 | 511 | 479 | 533 | 483 | 433 | 404 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
| Caterpillar Inc. | 207 | 211 | 201 | 210 | 212 | 215 | 208 | 211 | 212 | 221 | 211 | 199 | 189 | 183 | 174 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
| Eaton Corp. plc | 166 | 165 | 162 | 161 | 165 | 158 | 143 | 140 | 139 | 134 | 121 | 117 | 109 | 113 | 130 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
| GE Aerospace | 194 | 183 | 203 | 205 | 203 | 194 | 187 | 190 | 188 | 185 | 179 | 166 | 156 | 153 | 144 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
| Honeywell International Inc. | 177 | 174 | 167 | 166 | 172 | 163 | 152 | 153 | 150 | 150 | 150 | 152 | 146 | 145 | 141 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
| Lockheed Martin Corp. | 41 | 36 | 34 | 34 | 42 | 34 | 30 | 30 | 34 | 33 | 34 | 36 | 40 | 41 | 40 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
| RTX Corp. | 129 | 130 | 123 | 124 | 129 | 120 | 120 | 120 | 118 | 128 | 131 | 136 | 129 | 149 | 134 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
Based on: 10-Q (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-K (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-Q (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-K (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-Q (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-K (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-Q (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-K (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-Q (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-K (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31), 10-Q (reporting date: 2017-12-31), 10-Q (reporting date: 2017-09-30), 10-K (reporting date: 2017-06-30), 10-Q (reporting date: 2017-03-31), 10-Q (reporting date: 2016-12-31), 10-Q (reporting date: 2016-09-30).
1 Q2 2023 Calculation
Operating cycle = Average inventory processing period + Average receivable collection period
= 95 + 55 = 150
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. | Parker-Hannifin Corp. operating cycle deteriorated from Q4 2022 to Q1 2023 but then slightly improved from Q1 2023 to Q2 2023. |
Average Payables Payment Period
Parker-Hannifin Corp., average payables payment period calculation (quarterly data)
| Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | Dec 31, 2018 | Sep 30, 2018 | Jun 30, 2018 | Mar 31, 2018 | Dec 31, 2017 | Sep 30, 2017 | Jun 30, 2017 | Mar 31, 2017 | Dec 31, 2016 | Sep 30, 2016 | |||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data | ||||||||||||||||||||||||||||||||||
| Payables turnover | 6.07 | 5.68 | 6.57 | 6.49 | 6.90 | 6.59 | 6.27 | 6.43 | 7.47 | 8.06 | 9.25 | 7.50 | 8.13 | 8.22 | 7.57 | 7.59 | 8.31 | 7.71 | 7.52 | 7.69 | 8.25 | 7.37 | 7.07 | — | — | — | ||||||||
| Short-term Activity Ratio (no. days) | ||||||||||||||||||||||||||||||||||
| Average payables payment period1 | 60 | 64 | 56 | 56 | 53 | 55 | 58 | 57 | 49 | 45 | 39 | 49 | 45 | 44 | 48 | 48 | 44 | 47 | 49 | 47 | 44 | 50 | 52 | — | — | — | ||||||||
| Benchmarks (no. days) | ||||||||||||||||||||||||||||||||||
| Average Payables Payment Period, Competitors2 | ||||||||||||||||||||||||||||||||||
| Boeing Co. | 58 | 57 | 59 | 57 | 59 | 54 | 57 | 59 | 67 | 74 | 74 | 86 | 77 | 78 | 79 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
| Caterpillar Inc. | 72 | 78 | 77 | 76 | 77 | 82 | 84 | 79 | 80 | 82 | 77 | 62 | 58 | 60 | 59 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
| Eaton Corp. plc | 81 | 80 | 81 | 79 | 82 | 78 | 77 | 71 | 70 | 65 | 58 | 51 | 45 | 46 | 54 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
| GE Aerospace | 107 | 102 | 123 | 116 | 116 | 110 | 110 | 109 | 109 | 103 | 100 | 78 | 73 | 80 | 83 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
| Honeywell International Inc. | 105 | 104 | 103 | 99 | 101 | 100 | 101 | 95 | 97 | 95 | 95 | 85 | 85 | 86 | 86 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
| Lockheed Martin Corp. | 22 | 21 | 13 | 17 | 15 | 17 | 5 | 10 | 10 | 12 | 6 | 10 | 10 | 22 | 9 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
| RTX Corp. | 66 | 67 | 68 | 63 | 68 | 58 | 62 | 60 | 56 | 64 | 66 | 61 | 53 | 77 | 69 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
Based on: 10-Q (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-K (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-Q (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-K (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-Q (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-K (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-Q (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-K (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-Q (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-K (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31), 10-Q (reporting date: 2017-12-31), 10-Q (reporting date: 2017-09-30), 10-K (reporting date: 2017-06-30), 10-Q (reporting date: 2017-03-31), 10-Q (reporting date: 2016-12-31), 10-Q (reporting date: 2016-09-30).
1 Q2 2023 Calculation
Average payables payment period = 365 ÷ Payables turnover
= 365 ÷ 6.07 = 60
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
Parker-Hannifin Corp., cash conversion cycle calculation (quarterly data)
No. days
| Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | Dec 31, 2018 | Sep 30, 2018 | Jun 30, 2018 | Mar 31, 2018 | Dec 31, 2017 | Sep 30, 2017 | Jun 30, 2017 | Mar 31, 2017 | Dec 31, 2016 | Sep 30, 2016 | |||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data | ||||||||||||||||||||||||||||||||||
| Average inventory processing period | 95 | 100 | 71 | 76 | 76 | 77 | 73 | 69 | 68 | 64 | 64 | 69 | 69 | 62 | 57 | 59 | 61 | 59 | 55 | 60 | 64 | 65 | 62 | — | — | — | ||||||||
| Average receivable collection period | 55 | 59 | 54 | 55 | 49 | 52 | 56 | 57 | 49 | 50 | 49 | 56 | 51 | 51 | 54 | 53 | 49 | 52 | 55 | 56 | 51 | 55 | 59 | — | — | — | ||||||||
| Average payables payment period | 60 | 64 | 56 | 56 | 53 | 55 | 58 | 57 | 49 | 45 | 39 | 49 | 45 | 44 | 48 | 48 | 44 | 47 | 49 | 47 | 44 | 50 | 52 | — | — | — | ||||||||
| Short-term Activity Ratio | ||||||||||||||||||||||||||||||||||
| Cash conversion cycle1 | 90 | 95 | 69 | 75 | 72 | 74 | 71 | 69 | 68 | 69 | 74 | 76 | 75 | 69 | 63 | 64 | 66 | 64 | 61 | 69 | 71 | 70 | 69 | — | — | — | ||||||||
| Benchmarks | ||||||||||||||||||||||||||||||||||
| Cash Conversion Cycle, Competitors2 | ||||||||||||||||||||||||||||||||||
| Boeing Co. | 373 | 396 | 407 | 427 | 453 | 453 | 444 | 429 | 426 | 437 | 405 | 447 | 406 | 355 | 325 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
| Caterpillar Inc. | 135 | 133 | 124 | 134 | 135 | 133 | 124 | 132 | 132 | 139 | 134 | 137 | 131 | 123 | 115 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
| Eaton Corp. plc | 85 | 85 | 81 | 82 | 83 | 80 | 66 | 69 | 69 | 69 | 63 | 66 | 64 | 67 | 76 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
| GE Aerospace | 87 | 81 | 80 | 89 | 87 | 84 | 77 | 81 | 79 | 82 | 79 | 88 | 83 | 73 | 61 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
| Honeywell International Inc. | 72 | 70 | 64 | 67 | 71 | 63 | 51 | 58 | 53 | 55 | 55 | 67 | 61 | 59 | 55 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
| Lockheed Martin Corp. | 19 | 15 | 21 | 17 | 27 | 17 | 25 | 20 | 24 | 21 | 28 | 26 | 30 | 19 | 31 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
| RTX Corp. | 63 | 63 | 55 | 61 | 61 | 62 | 58 | 60 | 62 | 64 | 65 | 75 | 76 | 72 | 65 | — | — | — | — | — | — | — | — | — | — | — | ||||||||
Based on: 10-Q (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-K (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-Q (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-K (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-Q (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-K (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-Q (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-K (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-Q (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-K (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31), 10-Q (reporting date: 2017-12-31), 10-Q (reporting date: 2017-09-30), 10-K (reporting date: 2017-06-30), 10-Q (reporting date: 2017-03-31), 10-Q (reporting date: 2016-12-31), 10-Q (reporting date: 2016-09-30).
1 Q2 2023 Calculation
Cash conversion cycle = Average inventory processing period + Average receivable collection period – Average payables payment period
= 95 + 55 – 60 = 90
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. | Parker-Hannifin Corp. cash conversion cycle deteriorated from Q4 2022 to Q1 2023 but then slightly improved from Q1 2023 to Q2 2023. |