B&G Foods Inc (BGS)

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	2,052,603	2,101,161	2,126,816	2,136,150	2,163,842	2,112,055	2,098,643	2,084,061	2,049,689	1,989,304	1,970,098	2,018,262	1,962,498	1,927,840	1,838,392	1,697,050	1,660,414	1,648,297	1,636,656	1,625,684
Total current assets	US$ in thousands	802,824	1,280,710	914,556	936,846	1,018,820	1,149,420	916,760	859,872	834,456	932,778	750,191	729,396	737,301	752,621	717,849	771,722	661,793	1,003,260	597,437	572,102
Total current liabilities	US$ in thousands	262,418	842,928	231,181	230,684	271,534	351,049	280,064	248,344	244,287	299,461	218,414	207,573	245,652	294,265	229,886	209,299	216,908	289,494	198,154	266,538
Working capital turnover		3.80	4.80	3.11	3.03	2.90	2.65	3.30	3.41	3.47	3.14	3.70	3.87	3.99	4.21	3.77	3.02	3.73	2.31	4.10	5.32

December 31, 2023 calculation

Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $2,052,603K ÷ ($802,824K – $262,418K)
= 3.80

The working capital turnover ratio for B&G Foods Inc has shown fluctuations over the past few quarters, ranging from a low of 2.31 in March 2019 to a high of 5.32 in September 2019. The ratio measures the efficiency of a company in generating sales revenue relative to its working capital. A higher ratio indicates that the company is generating more sales with less investment in working capital.

In general, an increasing trend in the working capital turnover ratio is favorable as it suggests that the company is efficiently utilizing its working capital to generate sales. Conversely, a declining trend may indicate inefficiencies in managing working capital.

B&G Foods Inc's working capital turnover has shown some variability, with peaks and troughs observed in different quarters. It is essential for the company to monitor this ratio consistently to ensure that working capital is effectively utilized to support sales activities and overall business operations. Further analysis and monitoring are necessary to understand the factors contributing to the fluctuations and to make informed decisions for improving working capital management efficiency.