Axcelis Technologies Inc (ACLS)
Working capital turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 1,017,860 | 1,130,600 | 919,998 | 662,428 | 474,560 |
| Total current assets | US$ in thousands | 1,123,610 | 1,079,990 | 877,645 | 619,246 | 470,791 |
| Total current liabilities | US$ in thousands | 207,522 | 285,129 | 248,132 | 150,140 | 84,431 |
| Working capital turnover | 1.11 | 1.42 | 1.46 | 1.41 | 1.23 |
December 31, 2024 calculation
Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $1,017,860K ÷ ($1,123,610K – $207,522K)
= 1.11
Axcelis Technologies Inc's working capital turnover has shown a fluctuating trend over the years. The ratio increased from 1.23 in December 31, 2020, to 1.41 in December 31, 2021, indicating an improvement in the efficiency of utilizing working capital to generate revenue. This improvement continued through 2022, reaching 1.46, suggesting a more effective management of working capital in generating sales.
However, in December 31, 2023, the working capital turnover slightly decreased to 1.42, which may indicate a moderation in the company's efficiency in utilizing working capital to drive revenue growth. Subsequently, a more significant decrease was observed in December 31, 2024, with the ratio dropping to 1.11. This decline could be a cause for concern as it indicates a potential decrease in the efficiency of utilizing working capital to generate revenue.
In conclusion, while Axcelis Technologies Inc showed improved working capital turnover initially, the subsequent decline in the ratio in the later years suggests a need for the company to focus on optimizing its working capital management to enhance operational efficiency and revenue generation.
Peer comparison
Dec 31, 2024