Century Aluminum Company (CENX)
Working capital turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 2,222,300 | 2,123,600 | 5,722,400 | 4,157,500 | 1,605,100 |
| Total current assets | US$ in thousands | 802,800 | 767,100 | 677,800 | 618,200 | 456,000 |
| Total current liabilities | US$ in thousands | 463,700 | 763,000 | 410,700 | 547,400 | 240,300 |
| Working capital turnover | 6.55 | 517.95 | 21.42 | 58.72 | 7.44 |
December 31, 2024 calculation
Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $2,222,300K ÷ ($802,800K – $463,700K)
= 6.55
The working capital turnover for Century Aluminum Company has shown significant fluctuations over the years. In December 2020, the working capital turnover was 7.44, reflecting the company's efficiency in utilizing its working capital to generate revenue. This ratio increased substantially to 58.72 by December 2021, indicating a significant improvement in the company's working capital management.
However, by December 2022, the working capital turnover decreased to 21.42, suggesting a decline in efficiency in utilizing working capital to generate revenue compared to the previous year. The ratio then surged to 517.95 by December 2023, reaching an exceptionally high level, which may indicate either a very efficient use of working capital or a sudden change in the company's operations or financial structure.
Subsequently, by December 2024, the working capital turnover dropped to 6.55, showing a significant decrease from the previous year's exceptionally high level. This sharp decline could signal potential challenges in efficiently utilizing working capital to drive revenue generation.
Overall, the fluctuating trend in Century Aluminum Company's working capital turnover ratios indicates varying levels of efficiency in managing working capital to support business operations and revenue generation over the analyzed period.
Peer comparison
Dec 31, 2024