Artivion Inc (AORT)

Working capital turnover

Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Revenue US$ in thousands 331,083 292,771 298,836 253,227 276,222
Total current assets US$ in thousands 280,668 247,334 247,697 234,589 187,390
Total current liabilities US$ in thousands 57,862 49,675 44,953 60,468 45,195
Working capital turnover 1.49 1.48 1.47 1.45 1.94

December 31, 2023 calculation

Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $331,083K ÷ ($280,668K – $57,862K)
= 1.49

Artivion Inc's working capital turnover has been relatively stable over the past five years, ranging from 1.45 to 1.94. The working capital turnover ratio measures how effectively a company is utilizing its working capital to generate sales revenue. A higher ratio indicates that the company is efficient in utilizing its working capital to generate sales.

Based on the data provided, Artivion Inc's working capital turnover ratio was highest in 2019 at 1.94, indicating that the company efficiently utilized its working capital to generate sales revenue in that year. However, the ratio decreased in the following years and was at its lowest in 2021 at 1.47. This decrease suggests that the company may have faced challenges in efficiently managing its working capital to generate sales revenue during that period.

Overall, while the working capital turnover ratio for Artivion Inc has fluctuated over the years, it has remained above 1. This indicates that the company has been effective in using its working capital to support its operations and generate sales revenue. Further analysis and comparison with industry benchmarks may provide additional insights into the company's working capital management efficiency.