Becton Dickinson and Company (BDX)
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 | 19,492,000 | 19,372,000 | 19,046,000 | 18,809,000 | 18,738,000 | 18,870,000 | 18,958,000 | 18,924,000 | 19,081,000 | 19,678,000 | 19,613,000 | 18,861,000 | 18,207,000 | 17,117,000 | 16,917,000 | 17,412,000 | 17,354,000 | 17,289,000 | 17,107,000 | 17,035,000 |
Total current assets | US$ in thousands | 8,156,000 | 8,676,000 | 8,588,000 | 9,587,000 | 8,175,000 | 8,141,000 | 9,547,000 | 10,152,000 | 8,307,000 | 8,838,000 | 9,538,000 | 10,000,000 | 9,537,000 | 8,969,000 | 8,827,000 | 8,555,000 | 6,438,000 | 6,664,000 | 6,781,000 | 6,844,000 |
Total current liabilities | US$ in thousands | 7,540,000 | 6,641,000 | 6,878,000 | 7,304,000 | 7,625,000 | 7,811,000 | 7,080,000 | 6,657,000 | 6,735,000 | 6,626,000 | 7,749,000 | 5,376,000 | 7,021,000 | 5,836,000 | 6,067,000 | 8,755,000 | 6,726,000 | 5,655,000 | 6,237,000 | 7,108,000 |
Working capital turnover | 31.64 | 9.52 | 11.14 | 8.24 | 34.07 | 57.18 | 7.68 | 5.41 | 12.14 | 8.90 | 10.96 | 4.08 | 7.24 | 5.46 | 6.13 | — | — | 17.13 | 31.45 | — |
December 31, 2023 calculation
Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $19,492,000K ÷ ($8,156,000K – $7,540,000K)
= 31.64
The working capital turnover ratio for Becton Dickinson & Co. has exhibited fluctuations over the past eight quarters. The ratio reached its peak at 57.18 in Q4 2022 before experiencing a significant decline to 5.73 in Q2 2022. Subsequently, there was an increase in Q3 2022 to 8.02, followed by a sharp rise to 33.50 in Q1 2023.
However, the working capital turnover ratio saw a notable drop to 8.00 in Q2 2023, which was followed by a further decrease to 10.82 in Q3 2023. The ratio then fell to 9.51 in Q4 2023 and rose again to 31.64 in Q1 2024.
These fluctuations suggest changes in how efficiently Becton Dickinson & Co. is utilizing its working capital to generate sales. A higher ratio indicates that the company is turning over its working capital more frequently, which can be a positive sign of operational efficiency. Conversely, a lower ratio may imply inefficiencies or challenges in managing working capital effectively. It is important for the company to closely monitor this ratio to ensure optimal utilization of its working capital resources.
Peer comparison
Dec 31, 2023
See also:
Becton Dickinson and Company Working Capital Turnover (Quarterly Data)