Cal-Maine Foods Inc (CALM)
Working capital turnover
| May 31, 2025 | Jun 1, 2024 | May 31, 2024 | Jun 3, 2023 | May 31, 2023 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 4,261,880 | 2,325,870 | 2,326,440 | 3,145,760 | 3,146,220 |
| Total current assets | US$ in thousands | 1,968,110 | 1,241,840 | 1,241,840 | 1,124,920 | 1,124,920 |
| Total current liabilities | US$ in thousands | 308,371 | 227,743 | 227,743 | 182,731 | 182,731 |
| Working capital turnover | 2.57 | 2.29 | 2.29 | 3.34 | 3.34 |
May 31, 2025 calculation
Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $4,261,880K ÷ ($1,968,110K – $308,371K)
= 2.57
The working capital turnover ratio for Cal-Maine Foods Inc. indicates fluctuations over the specified periods. As of May 31, 2023, the ratio was 3.34, reflecting the company's efficiency in utilizing its working capital to generate sales during that fiscal year. This ratio remained stable at 3.34 through June 3, 2023. Moving into the subsequent fiscal year ending on May 31, 2024, the ratio declined notably to 2.29, signifying a decrease in efficiency or a change in operational dynamics affecting the utilization of working capital relative to sales. Specifically, the ratio persisted at 2.29 through June 1, 2024, suggesting stability in that lower efficiency level during that period. By the fiscal year ending May 31, 2025, the ratio increased modestly to 2.57, indicating some improvement in working capital efficiency compared to the prior year but still remaining below the levels observed in 2023. This trend suggests a potential decrease in the company's working capital utilization effectiveness over time, with slight recovery noted in the most recent period.