Bio-Rad Laboratories Inc (BIO)

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 2,566,525 2,580,209 2,562,604 2,605,238 2,671,262 2,720,366 2,769,042 2,779,031 2,802,249 2,804,730 2,870,979 2,895,811 2,922,545 2,979,615 2,879,829 2,700,778 2,545,626 2,380,215 2,293,585 2,329,324
Total current assets US$ in thousands 3,030,300 3,055,620 3,056,250 3,060,940 3,048,330 3,146,770 3,138,870 3,277,250 3,157,980 3,140,160 3,249,700 3,303,420 1,989,090 2,466,290 2,289,090 2,175,320 2,139,840 2,323,860 2,132,580 2,082,590
Total current liabilities US$ in thousands 467,800 497,943 486,961 466,154 522,799 558,176 581,982 589,623 568,708 570,677 613,714 648,331 680,938 649,916 587,052 609,892 631,536 986,657 926,895 869,254
Working capital turnover 1.00 1.01 1.00 1.00 1.06 1.05 1.08 1.03 1.08 1.09 1.09 1.09 2.23 1.64 1.69 1.73 1.69 1.78 1.90 1.92

December 31, 2024 calculation

Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $2,566,525K ÷ ($3,030,300K – $467,800K)
= 1.00

Bio-Rad Laboratories Inc's working capital turnover has shown fluctuations over the reported periods. Initially relatively stable around the 1.9 range in 2020, the ratio started to decline gradually, reaching a low of 1.00 by the end of 2024. A working capital turnover of 1.00 indicates that the company generated just enough revenue to cover its working capital in that period.

The decreasing trend in the working capital turnover ratio may suggest inefficiencies in managing the company's working capital, such as slow inventory turnover or difficulty collecting receivables. This could potentially impact the company's liquidity and overall financial health. Further analysis of the reasons behind the declining ratio and potential strategies for improving working capital management may be necessary for Bio-Rad Laboratories Inc to enhance its operational efficiency and financial performance.