Adient PLC (ADNT)
Working capital turnover
| Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 14,688,000 | 14,855,000 | 15,194,000 | 15,356,000 | 15,395,000 | 15,316,000 | 14,746,000 | 14,340,000 | 14,121,000 | 13,242,000 | 12,999,000 | 13,312,000 | 13,680,000 | 14,506,000 | 12,890,000 | 12,582,000 | 12,670,000 | 12,994,000 | 15,587,000 | 16,304,000 |
| Total current assets | US$ in thousands | 4,086,000 | 3,999,000 | 4,125,000 | 4,074,000 | 4,316,000 | 4,406,000 | 4,269,000 | 4,087,000 | 4,163,000 | 4,062,000 | 4,317,000 | 5,091,000 | 5,086,000 | 4,114,000 | 4,090,000 | 4,496,000 | 4,482,000 | 3,459,000 | 4,276,000 | 3,799,000 |
| Total current liabilities | US$ in thousands | 3,678,000 | 3,686,000 | 3,658,000 | 3,548,000 | 3,738,000 | 3,720,000 | 3,671,000 | 3,418,000 | 3,501,000 | 3,387,000 | 3,658,000 | 3,742,000 | 3,511,000 | 3,631,000 | 3,661,000 | 3,584,000 | 3,819,000 | 3,083,000 | 4,223,000 | 3,683,000 |
| Working capital turnover | 36.00 | 47.46 | 32.54 | 29.19 | 26.63 | 22.33 | 24.66 | 21.43 | 21.33 | 19.62 | 19.73 | 9.87 | 8.69 | 30.03 | 30.05 | 13.80 | 19.11 | 34.56 | 294.09 | 140.55 |
September 30, 2024 calculation
Working capital turnover = Revenue (ttm) ÷ (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 fluctuating trends over the past few reporting periods. The ratio has ranged from a low of 8.69 to a high of 294.09, indicating significant variability in how efficiently the company is utilizing its working capital to generate sales.
In recent periods, there has been an improvement in the working capital turnover ratio, with the most recent figure standing at 36.00. This suggests that Adient PLC has been able to efficiently manage its working capital to support its sales activities.
It is important to note that the working capital turnover ratio of 294.09 in March 2020 stands out as an anomaly, possibly due to exceptional circumstances or data irregularities that should be investigated further.
Overall, a higher working capital turnover ratio generally indicates better efficiency in managing working capital, while a lower ratio may signal inefficiencies or excess working capital being tied up in operations. Adient PLC should continue to monitor and analyze this ratio to ensure optimal utilization of its working capital resources.
Peer comparison
Sep 30, 2024