CAVA Group, Inc. (CAVA)

Working capital turnover

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Revenue	US$ in thousands	963,713	728,700	564,119	500,072	931,800
Total current assets	US$ in thousands	394,154	354,912	58,150	154,394	416,200
Total current liabilities	US$ in thousands	132,636	109,036	84,318	51,725	108,300
Working capital turnover		3.69	2.96	—	4.87	3.03

December 31, 2024 calculation

Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $963,713K ÷ ($394,154K – $132,636K)
= 3.69

The working capital turnover ratio of CAVA Group, Inc. over the period from December 31, 2020, to December 31, 2024, reveals notable fluctuations. At the end of 2020, the ratio was 3.03, indicating that the company's sales generated approximately 3.03 dollars of revenue for every dollar of working capital employed. This ratio increased significantly by December 31, 2021, reaching 4.87, which suggests enhanced efficiency in utilizing working capital to generate sales during that year.

However, the data for December 31, 2022, is unavailable or not reported, leaving a gap in the trend analysis for that period. The ratio then declined to 2.96 by December 31, 2023, implying a decrease in sales efficiency relative to working capital. Subsequently, the ratio increased again to 3.69 by December 31, 2024, indicating a partial recovery in working capital utilization efficiency, but still below the peak observed in 2021.

Overall, the working capital turnover ratio demonstrates variability, with a peak in 2021 and a subsequent decline, followed by a modest rebound. This pattern may reflect shifts in operational efficiency, sales volume, or working capital management strategies over the analyzed period.