ANSYS Inc (ANSS)

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 2,544,809 2,467,743 2,324,646 2,227,107 2,269,949 2,158,956 2,172,672 2,149,923 2,065,553 2,027,105 1,995,762 1,968,566 1,906,715 1,874,734 1,800,531 1,739,538 1,681,297 1,543,839 1,520,773 1,503,747
Total current assets US$ in thousands 2,831,490 2,348,080 2,091,820 1,981,170 2,049,570 1,542,500 1,414,240 1,384,080 1,664,120 1,449,880 1,327,220 1,449,880 1,638,570 1,756,680 1,622,360 1,660,950 1,719,240 1,458,720 1,294,260 1,290,700
Total current liabilities US$ in thousands 941,184 754,490 708,742 706,574 889,294 634,431 643,837 650,915 794,836 609,690 624,699 634,620 778,492 600,431 595,385 624,047 728,825 561,847 543,806 537,142
Working capital turnover 1.35 1.55 1.68 1.75 1.96 2.38 2.82 2.93 2.38 2.41 2.84 2.41 2.22 1.62 1.75 1.68 1.70 1.72 2.03 2.00

December 31, 2024 calculation

Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $2,544,809K ÷ ($2,831,490K – $941,184K)
= 1.35

The working capital turnover ratio for ANSYS Inc has shown fluctuations over the examined period. The ratio indicates how efficiently the company is utilizing its working capital to generate revenue. A higher ratio is generally favorable as it suggests that the company is efficiently using its working capital to support operations and sales.

From March 31, 2020, to June 30, 2021, the working capital turnover ratio remained relatively stable, ranging from 1.68 to 2.03. However, from September 30, 2021, to December 31, 2022, there was an increasing trend observed, reaching a peak of 2.84 on June 30, 2022. This uptrend indicates improved efficiency in utilizing working capital to generate revenue.

Following this peak, there was a slight decline in the ratio, fluctuating between 1.75 to 2.93 from March 31, 2023, to March 31, 2024. The ratio then experienced a notable decrease, reaching 1.35 on December 31, 2024, suggesting a potential decline in the efficiency of working capital utilization during that period.

Overall, ANSYS Inc's working capital turnover ratio has demonstrated variability throughout the analysed period, reflecting changes in the company's ability to generate revenue using its working capital efficiently. Further analysis and evaluation of the company's financial and operational strategies would be required to fully understand the reasons behind these fluctuations.