American States Water Company (AWR)

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 595,459 577,541 567,455 569,527 595,699 595,886 579,174 544,381 491,528 482,785 484,556 490,363 498,853 506,429 503,362 496,226 488,243 477,036 477,844 481,213
Total current assets US$ in thousands 233,346 222,360 209,523 205,091 205,978 191,685 168,910 139,690 151,294 138,790 138,970 130,856 138,052 143,659 136,312 118,912 157,115 139,407 137,026 127,405
Total current liabilities US$ in thousands 285,525 321,432 299,118 178,577 166,623 195,007 140,930 307,690 396,522 373,179 348,736 160,154 155,574 151,120 111,351 113,010 118,572 113,456 158,687 132,520
Working capital turnover — — — 21.48 15.14 — 20.70 — — — — — — — 20.17 84.08 12.67 18.38 — —

December 31, 2024 calculation

Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $595,459K ÷ ($233,346K – $285,525K)
= —

The working capital turnover ratio measures how efficiently a company is utilizing its working capital to generate sales revenue. In the case of American States Water Company, the working capital turnover ratio fluctuated over the past few periods.

For the periods where data is available, the working capital turnover ratio was not calculable for March 31 and June 30, 2020. However, it improved significantly to 18.38 for September 30, 2020, indicating that the company was able to generate $18.38 in revenue for every dollar of working capital invested. Subsequently, the ratio decreased to 12.67 by December 31, 2020, suggesting a lower efficiency in utilizing working capital.

The ratio spiked to 84.08 on March 31, 2021, reflecting a substantial improvement in working capital efficiency, followed by a decrease to 20.17 by June 30, 2021. For the periods thereafter, the data for the working capital turnover ratio is missing, except for June 30, 2023 (20.70) and March 31, 2024 (21.48).

Overall, the company's working capital turnover has shown variability over the observed periods, indicating fluctuations in the efficiency of working capital utilization to generate sales. Further analysis would be necessary to understand the underlying reasons for these fluctuations and to assess the overall working capital management of American States Water Company.