Autoliv Inc (ALV)
Working capital turnover
| Dec 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 10,391,000 | 10,526,000 | 10,567,000 | 10,597,000 | 10,475,000 | 10,059,000 | 9,765,000 | 9,211,000 | 8,843,000 | 8,627,000 | 8,172,000 | 8,113,000 | 8,230,000 | 8,627,800 | 8,818,000 | 7,843,600 | 7,447,400 | 7,121,800 | 7,112,300 | 8,219,400 |
| Total current assets | US$ in thousands | 3,483,000 | 3,865,000 | 3,703,000 | 4,011,000 | 3,974,000 | 3,879,000 | 3,898,000 | 4,061,000 | 3,714,000 | 3,587,000 | 3,285,000 | 3,923,000 | 3,675,000 | 3,710,000 | 3,804,000 | 4,399,000 | 4,269,000 | 4,036,500 | 3,382,900 | 3,307,000 |
| Total current liabilities | US$ in thousands | 3,633,000 | 4,034,000 | 3,785,000 | 3,658,000 | 4,035,000 | 3,851,000 | 3,756,000 | 3,529,000 | 3,642,000 | 3,458,000 | 3,061,000 | 3,073,000 | 2,821,000 | 2,811,000 | 2,852,000 | 3,188,000 | 3,146,900 | 3,221,300 | 2,152,000 | 2,226,200 |
| Working capital turnover | — | — | — | 30.02 | — | 359.25 | 68.77 | 17.31 | 122.82 | 66.88 | 36.48 | 9.54 | 9.64 | 9.60 | 9.26 | 6.48 | 6.64 | 8.74 | 5.78 | 7.60 |
December 31, 2024 calculation
Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $10,391,000K ÷ ($3,483,000K – $3,633,000K)
= —
Autoliv Inc's working capital turnover has shown fluctuations over the periods provided. The working capital turnover ratio indicates how efficiently a company is utilizing its working capital to generate sales revenue.
From March 31, 2020, to March 31, 2022, Autoliv experienced relatively stable working capital turnover ratios ranging between 5.78 and 9.60, suggesting a consistent level of efficiency in utilizing its working capital to generate sales during this period.
However, a significant spike is observed in the working capital turnover ratio for the quarter ended June 30, 2022, reaching 36.48. This sudden increase could indicate a temporary increase in sales relative to the working capital available.
The ratio further skyrocketed to 66.88 for the quarter ended September 30, 2022, and then to an exceptionally high 122.82 for December 31, 2022. Such a substantial increase in the working capital turnover could indicate possible issues with the management of working capital or irregularities in the financial data.
Subsequently, the ratio decreased to 17.31 for March 31, 2023, showing a significant decline from the previous quarter. This decrease could suggest a normalization or a correction in the working capital management practices.
The working capital turnover increased again to 68.77 for June 30, 2023, and further rose substantially to 359.25 for September 30, 2023. Such a sharp increase indicates a rapid turnover of working capital, possibly due to increased sales relative to the working capital available.
For the following periods, the data is either missing or incomplete, making it challenging to analyze Autoliv's working capital turnover for those quarters accurately.
In conclusion, Autoliv's working capital turnover has displayed fluctuations over the analyzed periods, with some quarters showing exceptionally high turnover ratios. It is essential for the company to maintain an optimal working capital turnover ratio to ensure efficient utilization of its resources for generating sales revenue.
Peer comparison
Dec 31, 2024