Air Products and Chemicals Inc (APD)
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 | 12,100,600 | 12,104,400 | 12,152,800 | 12,422,700 | 12,600,000 | 12,978,700 | 13,134,100 | 12,879,100 | 12,698,600 | 11,969,700 | 11,385,100 | 10,942,000 | 10,323,000 | 9,802,000 | 9,262,500 | 8,976,800 | 8,856,300 | 8,819,400 | 8,978,200 | 8,949,600 |
| Total current assets | US$ in thousands | 6,363,000 | 5,677,400 | 6,057,300 | 5,649,500 | 5,200,500 | 5,354,000 | 5,721,600 | 6,321,100 | 6,282,900 | 6,367,300 | 6,249,400 | 6,483,500 | 8,376,300 | 8,376,800 | 8,766,600 | 8,809,800 | 8,684,900 | 9,006,500 | 4,688,500 | 4,719,700 |
| Total current liabilities | US$ in thousands | 4,179,600 | 4,474,500 | 4,061,000 | 3,119,200 | 3,895,800 | 3,947,700 | 2,797,900 | 3,276,900 | 3,465,800 | 3,406,900 | 3,205,100 | 2,630,100 | 2,799,100 | 2,697,100 | 3,017,400 | 2,985,900 | 2,416,700 | 2,591,000 | 1,806,900 | 1,819,000 |
| Working capital turnover | 5.54 | 10.06 | 6.09 | 4.91 | 9.66 | 9.23 | 4.49 | 4.23 | 4.51 | 4.04 | 3.74 | 2.84 | 1.85 | 1.73 | 1.61 | 1.54 | 1.41 | 1.37 | 3.12 | 3.09 |
September 30, 2024 calculation
Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $12,100,600K ÷ ($6,363,000K – $4,179,600K)
= 5.54
The working capital turnover ratio for Air Products and Chemicals Inc has shown significant fluctuations over the past several quarters. The ratio indicates how efficiently the company is utilizing its working capital to generate sales revenue.
Looking at the trend, we see that the working capital turnover ratio was highest in Jun 30, 2024, at 10.06, which indicates that the company was able to generate sales revenue more than 10 times the value of its working capital during that period. This suggests a highly efficient utilization of working capital.
In contrast, the ratio experienced a significant decline in Mar 31, 2022, at 2.84, indicating a decrease in the efficiency of working capital utilization during that quarter.
Overall, the trend shows fluctuation in the working capital turnover ratio over the quarters, with some periods reflecting higher efficiency in converting working capital into sales revenue compared to others. Further analysis would be required to understand the underlying factors driving these fluctuations and to assess the company's overall working capital management strategy.
Peer comparison
Sep 30, 2024
See also:
Air Products and Chemicals Inc Working Capital Turnover (Quarterly Data)