Appfolio Inc (APPF)

Working capital turnover

Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Revenue US$ in thousands 794,202 627,476 477,223 360,251 495,865
Total current assets US$ in thousands 335,402 272,357 201,468 158,595 199,353
Total current liabilities US$ in thousands 63,280 69,766 61,343 52,642 49,805
Working capital turnover 2.92 3.10 3.41 3.40 3.32

December 31, 2024 calculation

Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $794,202K ÷ ($335,402K – $63,280K)
= 2.92

Appfolio Inc's working capital turnover has been relatively stable over the past five years, ranging from a low of 2.92 in December 31, 2024, to a high of 3.41 in December 31, 2022. This ratio indicates that, on average, the company is able to generate revenue approximately 3.32 times to 3.41 times, using its working capital. However, there was a slight decrease in this ratio in December 31, 2023, dropping to 3.10. This may suggest that the company's efficiency in utilizing its working capital to generate revenue decreased slightly that year. Overall, the trend shows that Appfolio Inc has been effective in managing its working capital to drive revenue generation, albeit with some fluctuations in recent years.