AAON Inc (AAON)
Working capital turnover
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 1,164,845 | 1,115,007 | 1,046,379 | 974,572 | 891,972 | 773,593 | 671,628 | 605,145 | 538,153 | 517,306 | 512,603 | 495,316 | 517,101 | 522,975 | 501,374 | 494,292 | 469,759 | 459,553 | 458,954 | 449,244 |
| Total current assets | US$ in thousands | 408,954 | 425,292 | 424,211 | 384,179 | 349,116 | 336,064 | 327,412 | 283,696 | 218,080 | 270,615 | 259,140 | 245,407 | 220,251 | 225,531 | 219,775 | 196,966 | 187,549 | 170,284 | 168,360 | 146,511 |
| Total current liabilities | US$ in thousands | 126,749 | 140,479 | 153,673 | 137,871 | 145,567 | 142,184 | 136,169 | 114,226 | 86,768 | 74,206 | 78,511 | 66,679 | 59,033 | 61,506 | 76,620 | 64,185 | 56,028 | 53,103 | 58,102 | 43,082 |
| Working capital turnover | 4.13 | 3.91 | 3.87 | 3.96 | 4.38 | 3.99 | 3.51 | 3.57 | 4.10 | 2.63 | 2.84 | 2.77 | 3.21 | 3.19 | 3.50 | 3.72 | 3.57 | 3.92 | 4.16 | 4.34 |
December 31, 2023 calculation
Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $1,164,845K ÷ ($408,954K – $126,749K)
= 4.13
Based on the data provided for AAON Inc.'s working capital turnover ratios over the past eight quarters, the company has shown fluctuations in its efficiency in utilizing its working capital. The working capital turnover ratio indicates how effectively a company is able to generate sales revenue from its working capital investments.
In Q4 2023, AAON Inc. achieved a working capital turnover ratio of 4.14, which represents an increase compared to the previous quarter. This indicates that the company was able to generate sales revenue more efficiently from its working capital during this period.
Looking at the trend over the past quarters, AAON Inc. has generally maintained a moderate to high working capital turnover ratio, with some fluctuations observed. The highest ratio of 4.37 was recorded in Q4 2022, suggesting a peak in efficiency in utilizing working capital to generate sales revenue.
Despite some fluctuations, the company's working capital turnover ratios have generally been above 3.5, indicating that AAON Inc. has been relatively efficient in managing its working capital to drive sales over the analyzed periods.
Overall, AAON Inc.'s working capital turnover ratio performance reflects a generally positive trend, with occasional fluctuations that may be influenced by seasonal factors or changes in the company's operating environment. The consistent ability of the company to generate sales revenue efficiently from its working capital is a positive indicator of its operational efficiency and financial performance.
Peer comparison
Dec 31, 2023