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)