AptarGroup Inc (ATR)

Working capital turnover

		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	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Revenue (ttm)	US$ in thousands	3,487,450	3,444,884	3,388,747	3,337,384	3,322,249	3,340,328	3,328,910	3,295,399	3,227,221	3,162,557	3,096,268	2,984,541	2,929,340	2,851,344	2,793,469	2,836,825	2,859,732	2,873,427	2,837,924	2,805,871
Total current assets	US$ in thousands	1,549,280	1,502,760	1,516,020	1,481,510	1,430,290	1,399,730	1,558,640	1,642,090	1,358,210	1,344,060	1,492,450	1,406,980	1,369,000	1,327,200	1,343,570	1,514,650	1,291,240	1,324,730	1,418,540	1,329,440
Total current liabilities	US$ in thousands	1,251,310	1,231,640	1,029,780	1,041,160	917,176	896,652	822,032	861,493	982,492	908,368	782,566	755,929	780,329	787,121	829,767	891,298	683,275	648,837	670,934	623,916
Working capital turnover		11.70	12.71	6.97	7.58	6.47	6.64	4.52	4.22	8.59	7.26	4.36	4.58	4.98	5.28	5.44	4.55	4.70	4.25	3.80	3.98

December 31, 2023 calculation

Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $3,487,450K ÷ ($1,549,280K – $1,251,310K)
= 11.70

Aptargroup Inc.'s working capital turnover has shown fluctuations over the past eight quarters. In Q4 2023, the working capital turnover was 11.70, indicating that the company generated sales revenue 11.70 times over its average working capital during the quarter. This represents a decrease from the previous quarter where the turnover was 12.71.

The trend over the past year shows that the working capital turnover has generally been increasing from Q1 2022 to Q3 2023, reaching its peak in Q3 2023. However, in Q4 2023, there was a notable drop in the working capital turnover.

While a higher working capital turnover ratio is generally preferred as it indicates efficient utilization of working capital, a significant fluctuation in this ratio may signal potential issues in managing the working capital effectively. Further analysis would be required to understand the reasons behind the fluctuations and their implications for Aptargroup Inc.'s operational efficiency and financial health.