Allegheny Technologies Incorporated (ATI)
Working capital turnover
| Dec 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 4,362,100 | 5,111,700 | 5,917,100 | 5,867,800 | 5,863,000 | 4,951,100 | 4,126,500 | 4,040,000 | 3,836,000 | 3,591,000 | 3,284,700 | 2,941,400 | 2,799,800 | 2,692,700 | 2,565,000 | 2,719,100 | 2,982,100 | 3,342,400 | 3,763,100 | 4,073,200 |
| Total current assets | US$ in thousands | 2,945,000 | 2,778,400 | 2,652,900 | 2,517,900 | 2,737,700 | 2,599,700 | 2,458,600 | 2,316,300 | 2,476,400 | 2,369,400 | 2,311,700 | 2,285,700 | 2,306,700 | 2,689,100 | 1,996,500 | 2,093,400 | 2,066,000 | 2,086,300 | 2,201,600 | 2,508,000 |
| Total current liabilities | US$ in thousands | 1,208,500 | 945,300 | 1,245,600 | 897,100 | 977,100 | 829,300 | 897,500 | 824,000 | 963,900 | 822,800 | 799,900 | 877,200 | 856,400 | 1,207,300 | 599,100 | 689,200 | 653,300 | 563,700 | 614,400 | 1,059,200 |
| Working capital turnover | 2.51 | 2.79 | 4.20 | 3.62 | 3.33 | 2.80 | 2.64 | 2.71 | 2.54 | 2.32 | 2.17 | 2.09 | 1.93 | 1.82 | 1.84 | 1.94 | 2.11 | 2.20 | 2.37 | 2.81 |
December 31, 2024 calculation
Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $4,362,100K ÷ ($2,945,000K – $1,208,500K)
= 2.51
The working capital turnover ratio of Allegheny Technologies Incorporated has shown fluctuations over the analyzed periods. It was 2.81 as of March 31, 2020, indicating that the company generated $2.81 of revenue for every dollar of working capital invested. The ratio declined to 1.82 by September 30, 2021, before starting to increase steadily again.
The ratio reached its lowest point on March 31, 2023, at 1.94, suggesting a temporary inefficiency in managing working capital during that period. However, by December 31, 2023, the ratio improved significantly to 3.33, indicating that Allegheny Technologies efficiently utilized its working capital to generate revenue.
The trend continued, with the ratio increasing further to 4.20 by June 30, 2024, reflecting a substantial improvement in working capital management efficiency. However, there was a significant decline by September 30, 2024, where the ratio dropped to 2.79, suggesting a possible change in the company's working capital management strategies during that quarter.
Overall, the working capital turnover ratio of Allegheny Technologies Incorporated has shown variability over the analyzed periods, with fluctuations that may be attributed to changes in the company's operational efficiency and management of working capital. Investors and stakeholders may want to closely monitor this ratio to assess the company's ability to effectively utilize its working capital resources.