CEVA Inc (CEVA)

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	106,939	101,878	98,744	96,479	100,669	109,909	119,496	126,519	134,648	135,303	134,433	131,695	122,706	116,794	108,964	102,113	100,326	100,493	99,004	93,798
Total current assets	US$ in thousands	216,341	210,712	207,267	205,767	205,306	171,262	175,272	180,562	177,648	171,169	173,572	197,304	188,980	180,185	161,248	178,673	167,559	177,598	182,476	181,199
Total current liabilities	US$ in thousands	30,529	27,719	24,982	26,755	27,622	25,686	26,127	35,037	33,278	28,062	31,589	40,787	35,440	30,638	29,281	36,919	28,180	25,891	25,078	27,613
Working capital turnover		0.58	0.56	0.54	0.54	0.57	0.75	0.80	0.87	0.93	0.95	0.95	0.84	0.80	0.78	0.83	0.72	0.72	0.66	0.63	0.61

December 31, 2024 calculation

Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $106,939K ÷ ($216,341K – $30,529K)
= 0.58

CEVA Inc's working capital turnover has shown fluctuations over the analyzed period from March 31, 2020, to December 31, 2024. The ratio started at 0.61 and gradually increased over time, reaching a peak of 0.95 on June 30, 2022. This indicates that the company was able to generate 0.95 times its working capital in revenue during that period. However, the ratio declined slightly in the subsequent quarters.

The fluctuations in working capital turnover suggest changes in the efficiency of CEVA Inc's working capital management. A higher ratio typically indicates that the company is utilizing its working capital more effectively to generate sales. On the other hand, a declining ratio may signal inefficiencies in working capital utilization.

Overall, it is important for CEVA Inc to closely monitor its working capital turnover to ensure optimal utilization of resources and to maintain efficient operations. Any significant deviations from the historical trend should be carefully analyzed to identify potential areas for improvement in working capital management.