Adtalem Global Education Inc (ATGE)

Working capital turnover

		Jun 30, 2024	Jun 30, 2023	Jun 30, 2022	Jun 30, 2021	Jun 30, 2020
Revenue	US$ in thousands	1,584,650	1,450,830	1,381,840	899,248	866,427
Total current assets	US$ in thousands	418,085	480,297	557,104	1,514,950	692,766
Total current liabilities	US$ in thousands	487,657	431,203	423,647	408,807	345,983
Working capital turnover		—	29.55	10.35	0.81	2.50

June 30, 2024 calculation

Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $1,584,650K ÷ ($418,085K – $487,657K)
= —

The working capital turnover ratio for Adtalem Global Education Inc has shown significant fluctuations over the past five years. The ratio was not provided for Jun 30, 2024. In Jun 30, 2023, the working capital turnover was 29.55, reflecting a substantial increase from the previous year. This indicates that the company generated $29.55 in net revenue for every dollar of working capital invested.

In Jun 30, 2022, the working capital turnover ratio was 10.35, showing a decrease from the prior year. Despite the drop, the company continued to efficiently utilize its working capital to generate revenue. However, the ratio in Jun 30, 2021, was significantly lower at 0.81, suggesting a drastic decrease in efficiency in utilizing working capital to generate revenue.

The working capital turnover improved in Jun 30, 2020, with a ratio of 2.50, indicating a better utilization of working capital compared to the previous year. Overall, the trend in the working capital turnover ratio for Adtalem Global Education Inc has been mixed, with notable fluctuations in efficiency in terms of generating revenue from the working capital invested.