Azenta Inc (AZTA)
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 | 645,780 | 669,996 | 633,011 | 598,573 | 594,894 | 554,493 | 549,230 | 729,759 | 867,038 | 977,448 | 948,755 | 854,265 | 795,637 | 753,076 | 1,246,466 | 1,227,754 | 1,182,711 | 1,154,490 | 562,470 | 564,435 |
| Total current assets | US$ in thousands | 1,382,800 | 1,418,960 | 1,510,840 | 1,585,730 | 1,619,980 | 2,459,350 | 2,575,300 | 3,043,090 | 796,729 | 777,366 | 717,217 | 724,490 | 675,156 | 649,453 | 602,011 | 572,528 | 663,469 | 647,145 | 526,884 | 509,490 |
| Total current liabilities | US$ in thousands | 235,620 | 210,928 | 203,627 | 212,644 | 249,026 | 230,546 | 194,927 | 617,963 | 341,800 | 345,088 | 311,060 | 265,646 | 225,770 | 211,118 | 205,805 | 197,035 | 282,952 | 272,270 | 174,992 | 178,330 |
| Working capital turnover | 0.56 | 0.55 | 0.48 | 0.44 | 0.43 | 0.25 | 0.23 | 0.30 | 1.91 | 2.26 | 2.34 | 1.86 | 1.77 | 1.72 | 3.15 | 3.27 | 3.11 | 3.08 | 1.60 | 1.70 |
December 31, 2023 calculation
Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $645,780K ÷ ($1,382,800K – $235,620K)
= 0.56
Working capital turnover measures how efficiently a company utilizes its working capital to generate sales revenue. A higher working capital turnover ratio indicates better efficiency in managing working capital.
Based on the data provided for Azenta Inc, we observe fluctuations in the working capital turnover ratio over the past eight quarters. The ratio has ranged from a low of 0.03 in Q3 2022 to a high of 0.56 in Q1 2024.
The upward trend in the ratio from Q2 2022 to Q1 2024 suggests an improvement in the company's efficiency in utilizing its working capital to generate sales. This indicates that Azenta Inc has been able to convert its working capital into sales revenue more effectively in recent quarters.
However, the ratio experienced significant volatility in the previous quarters, notably dropping to 0.03 in Q3 2022. This could indicate potential issues in managing working capital efficiently during that period.
Overall, the trend suggests that Azenta Inc has been making strides in optimizing its working capital management, which bodes well for the company's operational efficiency and financial performance. Monitoring this ratio going forward will be crucial to assess the company's ongoing effectiveness in utilizing its working capital resources.
Peer comparison
Dec 31, 2023