Balchem Corporation (BCPC)
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 | 953,684 | 942,379 | 932,387 | 929,558 | 922,439 | 926,271 | 940,590 | 946,031 | 942,358 | 922,960 | 876,562 | 842,234 | 799,023 | 766,603 | 743,874 | 714,864 | 703,644 | 689,458 | 672,913 | 661,112 |
| Total current assets | US$ in thousands | 313,770 | 325,988 | 320,156 | 324,859 | 314,242 | 341,222 | 336,534 | 335,603 | 335,803 | 368,111 | 377,141 | 319,804 | 322,232 | 300,275 | 287,263 | 281,204 | 266,888 | 270,122 | 263,862 | 270,681 |
| Total current liabilities | US$ in thousands | 157,685 | 109,439 | 113,322 | 124,425 | 148,491 | 108,038 | 114,386 | 116,523 | 140,042 | 142,085 | 144,143 | 123,529 | 143,802 | 104,926 | 100,759 | 88,763 | 94,428 | 68,413 | 67,960 | 71,720 |
| Working capital turnover | 6.11 | 4.35 | 4.51 | 4.64 | 5.57 | 3.97 | 4.23 | 4.32 | 4.81 | 4.08 | 3.76 | 4.29 | 4.48 | 3.92 | 3.99 | 3.71 | 4.08 | 3.42 | 3.43 | 3.32 |
December 31, 2024 calculation
Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $953,684K ÷ ($313,770K – $157,685K)
= 6.11
Balchem Corporation's working capital turnover has displayed fluctuations over the period from March 31, 2020, to December 31, 2024. The ratio started at 3.32 on March 31, 2020, and generally trended upwards reaching a peak of 6.11 on December 31, 2024.
A higher working capital turnover ratio indicates that the company is effectively utilizing its working capital to generate sales revenue. This could be indicative of efficient cash management practices and a streamlined operational cycle.
However, the ratio experienced some variability over the period, which may indicate changes in the company's working capital management efficiency. It would be important for stakeholders to investigate the reasons behind these fluctuations to understand the impact on the company's overall financial performance and liquidity position.
Overall, a rising trend in the working capital turnover ratio can be a positive signal for the company's financial health, but further analysis is necessary to fully assess the implications of these fluctuations.
Peer comparison
Dec 31, 2024