Atmos Energy Corporation (ATO)

Working capital turnover

		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	Dec 31, 2019
Revenue (ttm)	US$ in thousands	4,165,193	4,094,891	4,056,075	3,949,815	4,275,355	4,410,341	4,564,037	4,672,887	4,201,667	4,047,423	3,836,547	3,505,797	3,407,487	3,314,017	3,201,459	2,860,054	2,821,137	2,789,906	2,782,649	2,899,624
Total current assets	US$ in thousands	1,132,310	1,708,560	1,432,440	1,679,720	885,768	888,926	1,073,110	3,627,760	3,047,690	3,281,850	3,529,000	3,274,200	2,838,720	1,115,370	1,620,430	1,192,290	471,258	602,159	829,561	812,129
Total current liabilities	US$ in thousands	1,205,880	984,926	1,055,180	1,170,480	1,352,590	1,034,320	1,113,000	3,531,890	3,602,600	3,259,120	3,208,420	3,426,490	3,510,360	1,062,520	871,299	797,839	782,401	702,686	933,390	845,172
Working capital turnover		—	5.66	10.75	7.76	—	—	—	48.74	—	178.07	11.97	—	—	62.71	4.27	7.25	—	—	—	—

September 30, 2024 calculation

Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $4,165,193K ÷ ($1,132,310K – $1,205,880K)
= —

The working capital turnover ratio for Atmos Energy Corporation has shown fluctuations over the periods provided. In general, working capital turnover measures how efficiently a company is able to generate revenue using its working capital.

There are significant variations in the working capital turnover ratio, with some periods showing high ratios like 178.07 in Jun 2022 and 48.74 in Dec 2022, indicating that the company was able to generate a high level of revenue relative to its working capital during those periods.

However, there are also periods with lower ratios such as 4.27 in Mar 2021 and 5.66 in Jun 2024, suggesting that the company's efficiency in utilizing working capital to generate revenue was comparatively lower during those times.

Overall, analysis of the working capital turnover ratio provides insights into how effectively Atmos Energy Corporation is utilizing its working capital to generate sales revenue. The company should aim to maintain a balance between efficiency in working capital usage and revenue generation to ensure sustained operational performance.