Blackline Inc (BL)

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	653,336	639,606	624,405	608,473	589,996	574,223	557,783	541,686	522,938	498,307	473,441	447,086	425,706	406,090	387,217	368,367	352,109	336,657	321,053	307,445
Total current assets	US$ in thousands	1,092,400	1,013,230	1,210,210	1,403,660	1,407,320	1,319,140	1,283,750	1,243,200	1,249,570	1,177,080	1,171,520	1,171,480	1,347,690	1,301,430	1,287,360	1,267,490	674,115	754,114	739,913	720,596
Total current liabilities	US$ in thousands	422,243	377,337	619,655	609,862	642,565	605,857	355,036	363,548	367,821	314,581	328,256	340,816	322,577	256,249	259,769	248,238	242,330	203,469	202,995	199,587
Working capital turnover		0.97	1.01	1.06	0.77	0.77	0.81	0.60	0.62	0.59	0.58	0.56	0.54	0.42	0.39	0.38	0.36	0.82	0.61	0.60	0.59

December 31, 2024 calculation

Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $653,336K ÷ ($1,092,400K – $422,243K)
= 0.97

Working capital turnover is a financial ratio that measures how efficiently a company is using its working capital to generate sales revenue. For Blackline Inc, the working capital turnover has shown fluctuations over the quarters, ranging from 0.36 to 1.06. A higher working capital turnover ratio indicates that the company is effectively utilizing its working capital to generate revenue.

The trend for Blackline Inc's working capital turnover shows improvement from March 31, 2020, where it was at 0.59, reaching its peak at 1.06 on June 30, 2024. This indicates that the company has been able to improve its efficiency in generating sales revenue using its working capital during this period. However, there were fluctuations in the ratio over the quarters, with some periods showing a decline in efficiency.

It is important for Blackline Inc to monitor and manage its working capital effectively to ensure that it is being optimally utilized to drive sales growth. By improving its working capital turnover ratio, the company can enhance its overall operational efficiency and profitability.