Adient PLC (ADNT)
Working capital turnover
| Sep 30, 2024 | Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 14,688,000 | 15,395,000 | 14,121,000 | 13,680,000 | 12,670,000 |
| Total current assets | US$ in thousands | 4,086,000 | 4,316,000 | 4,163,000 | 5,086,000 | 4,482,000 |
| Total current liabilities | US$ in thousands | 3,678,000 | 3,738,000 | 3,501,000 | 3,511,000 | 3,819,000 |
| Working capital turnover | 36.00 | 26.63 | 21.33 | 8.69 | 19.11 |
September 30, 2024 calculation
Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $14,688,000K ÷ ($4,086,000K – $3,678,000K)
= 36.00
The working capital turnover ratio for Adient PLC has shown an increasing trend over the past five years, indicating a more efficient utilization of working capital to generate sales. In particular, the ratio has improved significantly from 8.69 in 2021 to 36.00 in 2024, reflecting a substantial enhancement in the company's ability to convert its working capital into revenue. This suggests that Adient PLC has become more effective in managing its current assets and liabilities to support its operational activities and sales growth. The upward trend in working capital turnover is a positive sign of operational efficiency and financial management within the company.
Peer comparison
Sep 30, 2024