ArcBest Corp (ARCB)
Working capital turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 4,183,830 | 4,422,890 | 5,336,500 | 3,996,140 | 2,942,940 |
| Total current assets | US$ in thousands | 675,642 | 884,783 | 989,783 | 776,053 | 758,168 |
| Total current liabilities | US$ in thousands | 665,985 | 701,563 | 768,470 | 702,694 | 506,547 |
| Working capital turnover | 433.24 | 24.14 | 24.11 | 54.47 | 11.70 |
December 31, 2024 calculation
Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $4,183,830K ÷ ($675,642K – $665,985K)
= 433.24
The working capital turnover of ArcBest Corp has shown significant fluctuation over the years based on the provided data. In December 31, 2020, the working capital turnover was 11.70, indicating that the company generated $11.70 in revenue for every dollar of working capital invested.
Subsequently, the working capital turnover increased substantially to 54.47 as of December 31, 2021, suggesting a significant improvement in efficiency in utilizing working capital to generate revenue. However, in the following years, the working capital turnover decreased to 24.11, 24.14, and then soared to 433.24 as of December 31, 2024.
The sharp increase in the working capital turnover in 2024 could indicate either a major increase in revenue generated by the company relative to its working capital, or a significant decrease in the working capital itself. Further trend analysis and comparison with industry benchmarks would be needed to fully understand the implications of these fluctuations in ArcBest Corp's working capital turnover.
Peer comparison
Dec 31, 2024