Arrow Electronics Inc (ARW)
Working capital turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 27,923,300 | 33,107,100 | 37,124,400 | 34,477,000 | 28,673,400 |
| Total current assets | US$ in thousands | 18,401,400 | 18,327,500 | 18,340,300 | 15,893,300 | 13,152,900 |
| Total current liabilities | US$ in thousands | 12,636,200 | 13,187,900 | 12,389,600 | 11,326,100 | 9,130,880 |
| Working capital turnover | 4.84 | 6.44 | 6.24 | 7.55 | 7.13 |
December 31, 2024 calculation
Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $27,923,300K ÷ ($18,401,400K – $12,636,200K)
= 4.84
The working capital turnover of Arrow Electronics Inc has displayed some fluctuations over the years. It was 7.13 in December 31, 2020, increased to 7.55 by December 31, 2021, but then slightly decreased to 6.24 by December 31, 2022. Subsequently, it rose to 6.44 by December 31, 2023 but saw a decline to 4.84 by December 31, 2024. Overall, the trend indicates that the company is efficiently managing its working capital to generate sales, although the recent decrease in the ratio may suggest potential challenges in the management of working capital. Further analysis of the company's operational efficiency and liquidity management may provide deeper insights into this trend.
Peer comparison
Dec 31, 2024