ANGI Homeservices Inc (ANGI)
Working capital turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 1,185,110 | 1,358,750 | 1,891,520 | 1,685,440 | 1,467,920 |
| Total current assets | US$ in thousands | 495,085 | 487,219 | 484,202 | 583,071 | 977,806 |
| Total current liabilities | US$ in thousands | 231,678 | 258,655 | 281,784 | 276,509 | 233,678 |
| Working capital turnover | 4.50 | 5.94 | 9.34 | 5.50 | 1.97 |
December 31, 2024 calculation
Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $1,185,110K ÷ ($495,085K – $231,678K)
= 4.50
The working capital turnover ratio of ANGI Homeservices Inc has exhibited notable fluctuations over the specified period from December 31, 2020, through December 31, 2024. At the end of 2020, the ratio stood at 1.97, indicating relatively low efficiency in utilizing working capital to generate revenue. By the end of 2021, the ratio experienced a significant increase to 5.50, reflecting a marked improvement in operational efficiency and the company's ability to leverage its working capital more effectively to generate sales.
This upward trend continued into 2022, with the working capital turnover reaching 9.34, nearly doubling from the previous year and reaching a peak that suggests optimal utilization of working capital within this period. However, the ratio declined during subsequent years, dropping to 5.94 at the end of 2023. This decrease indicates a reduction in the efficiency of working capital utilization, potentially due to increased working capital requirements or changes in sales dynamics.
In 2024, the ratio further declined to 4.50, suggesting a continued decrease in efficiency relative to the previous year, though it remains significantly higher than the levels observed at the start of the period. Overall, the trend demonstrates a substantial initial improvement in working capital efficiency, followed by a partial reversal, which may warrant further analysis into the company's operational changes, sales strategies, or working capital management practices during this timeframe.
Peer comparison
Dec 31, 2024