Carrier Global Corp (CARR)
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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 24,003,000 | 23,595,000 | 23,342,000 | 22,645,000 | 21,752,000 | 21,786,000 | 21,506,000 | 20,725,000 | 21,238,000 | 21,272,000 | 21,162,000 | 21,391,000 | 20,288,000 | 20,074,000 | 19,645,000 | 18,092,000 | 17,250,000 |
| Total current assets | US$ in thousands | 9,891,000 | 11,194,000 | 11,573,000 | 11,715,000 | 19,576,000 | 10,511,000 | 10,141,000 | 10,158,000 | 9,879,000 | 9,740,000 | 9,276,000 | 9,602,000 | 11,407,000 | 11,300,000 | 8,754,000 | 8,328,000 | 8,524,000 |
| Total current liabilities | US$ in thousands | 7,892,000 | 10,378,000 | 10,675,000 | 8,637,000 | 6,981,000 | 6,349,000 | 6,234,000 | 5,958,000 | 6,032,000 | 6,013,000 | 5,546,000 | 5,531,000 | 6,627,000 | 6,068,000 | 5,604,000 | 5,138,000 | 5,110,000 |
| Working capital turnover | 12.01 | 28.92 | 25.99 | 7.36 | 1.73 | 5.23 | 5.50 | 4.93 | 5.52 | 5.71 | 5.67 | 5.25 | 4.24 | 3.84 | 6.24 | 5.67 | 5.05 |
December 31, 2024 calculation
Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $24,003,000K ÷ ($9,891,000K – $7,892,000K)
= 12.01
Carrier Global Corp's working capital turnover has fluctuated over the periods provided. It increased steadily from December 31, 2020, to June 30, 2022, indicating a positive trend in efficiency in utilizing working capital to generate sales. However, there was a noticeable dip from September 30, 2022, to March 31, 2023, possibly suggesting challenges in managing working capital efficiently during that period.
The ratio sharply decreased to a low of 1.73 on December 31, 2023, which could indicate potential issues in managing working capital effectively or a significant change in operating conditions. The significant increase in the working capital turnover from this low point in the subsequent periods is quite remarkable, reaching peaks of 28.92 on September 30, 2024, and then decreasing slightly to 12.01 by December 31, 2024.
Such drastic fluctuations in the working capital turnover ratio, especially the substantial increases seen in later periods, may require further investigation to understand the underlying factors driving these changes. Overall, the trend in the working capital turnover for Carrier Global Corp showcases periods of both efficiency and potential management challenges in utilizing working capital effectively to support the company's operations and generate sales.
Peer comparison
Dec 31, 2024
See also:
Carrier Global Corp Working Capital Turnover (Quarterly Data)