Axon Enterprise Inc. (AXON)

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	1,569,959	1,468,095	1,366,248	1,277,256	1,187,386	1,070,477	990,712	923,894	862,707	871,660	806,113	728,577	680,248	626,197	590,674	561,872	530,795	473,735	447,652	434,421
Total current assets	US$ in thousands	2,396,650	2,257,840	2,112,650	2,052,700	1,805,280	1,205,700	1,169,790	1,146,120	1,109,490	1,123,820	1,080,930	986,229	981,952	875,853	885,724	618,741	609,475	576,022	575,055	566,922
Total current liabilities	US$ in thousands	799,969	717,827	625,239	616,127	602,646	431,523	432,971	470,679	418,521	379,890	272,871	239,775	256,331	258,555	242,830	195,015	195,566	183,834	163,673	163,794
Working capital turnover		0.98	0.95	0.92	0.89	0.99	1.38	1.34	1.37	1.25	1.17	1.00	0.98	0.94	1.01	0.92	1.33	1.28	1.21	1.09	1.08

December 31, 2023 calculation

Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $1,569,959K ÷ ($2,396,650K – $799,969K)
= 0.98

The working capital turnover of Axon Enterprise Inc has shown a declining trend over the past eight quarters, with ratios decreasing from 1.37 in Q1 2022 to 0.89 in Q1 2023. This indicates that the company is generating less revenue relative to its working capital in recent quarters. A lower working capital turnover may suggest inefficiencies in managing the company's assets or difficulties in turning working capital into sales.

It is important to closely monitor the working capital turnover ratio as it provides insight into the company's operational efficiency and liquidity. Axon Enterprise Inc may need to review its working capital management strategies to improve the utilization of its assets and optimize revenue generation.