ACI Worldwide Inc (ACIW)
Working capital turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 1,594,290 | 1,452,580 | 1,421,900 | 1,370,600 | 1,294,320 |
| Total current assets | US$ in thousands | 990,822 | 1,406,640 | 1,114,800 | 937,434 | 1,154,910 |
| Total current liabilities | US$ in thousands | 602,628 | 1,037,250 | 858,842 | 754,155 | 905,605 |
| Working capital turnover | 4.11 | 3.93 | 5.56 | 7.48 | 5.19 |
December 31, 2024 calculation
Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $1,594,290K ÷ ($990,822K – $602,628K)
= 4.11
Based on the data provided, the working capital turnover for ACI Worldwide Inc has shown fluctuations over the past five years. In 2020, the working capital turnover was 5.19, indicating that the company generated $5.19 in net sales for every dollar of working capital invested.
The ratio then improved significantly to 7.48 in 2021, suggesting that the efficiency of ACI Worldwide in utilizing its working capital to generate sales increased during that year. However, this improvement was not sustained as the ratio dropped to 5.56 in 2022.
In 2023, the working capital turnover decreased further to 3.93, indicating a lower level of efficiency in turning working capital into sales compared to the previous years. The ratio slightly increased to 4.11 in 2024, but it still remained below the levels seen in 2021 and 2022.
Overall, the working capital turnover for ACI Worldwide Inc has exhibited variability in performance over the years, with a notable improvement in 2021 followed by fluctuations in subsequent years. It is important for the company to closely monitor and manage its working capital efficiency to ensure optimal utilization of resources in driving sales growth.
Peer comparison
Dec 31, 2024