Coherent Inc (COHR)
Working capital turnover
| 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 | Dec 31, 2019 | Sep 30, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 4,423,018 | 4,299,508 | 4,340,458 | 4,597,078 | 4,934,810 | 4,651,274 | 4,272,489 | 3,735,009 | 3,202,059 | 3,158,235 | 3,142,576 | 3,124,028 | 3,042,393 | 2,969,222 | 2,797,167 | 2,663,756 | 2,289,531 | 1,925,884 | 1,664,222 | 1,363,540 |
| Total current assets | US$ in thousands | 3,660,100 | 3,550,230 | 3,421,600 | 3,243,730 | 3,252,000 | 3,406,640 | 3,416,400 | 3,394,630 | 4,305,190 | 4,233,800 | 4,165,800 | 3,050,950 | 3,027,390 | 2,888,770 | 2,137,720 | 1,991,740 | 1,788,970 | 1,591,090 | 1,589,190 | 1,756,200 |
| Total current liabilities | US$ in thousands | 1,343,770 | 1,310,630 | 1,187,770 | 1,083,140 | 1,078,750 | 1,107,460 | 1,132,920 | 1,183,080 | 1,266,960 | 2,123,880 | 2,083,240 | 1,028,660 | 729,589 | 678,837 | 664,474 | 644,893 | 672,893 | 569,171 | 571,599 | 545,777 |
| Working capital turnover | 1.91 | 1.92 | 1.94 | 2.13 | 2.27 | 2.02 | 1.87 | 1.69 | 1.05 | 1.50 | 1.51 | 1.54 | 1.32 | 1.34 | 1.90 | 1.98 | 2.05 | 1.88 | 1.64 | 1.13 |
June 30, 2024 calculation
Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $4,423,018K ÷ ($3,660,100K – $1,343,770K)
= 1.91
The working capital turnover ratio for Coherent Inc has shown some fluctuations over the past few quarters. From December 2019 to March 2020, the ratio was relatively stable around 1.90-2.05, indicating that the company was effectively utilizing its working capital to generate revenue.
However, there was a significant drop in the ratio in June 2020 to 1.64, which continued to decrease until March 2021 at 1.13. This suggests a possible inefficiency in utilizing working capital during this period.
Subsequently, there was an improvement in the ratio from June 2021 to September 2023, reaching a peak of 2.27 in June 2023. This increase indicates that the company was able to generate more revenue from its working capital during this period.
However, there was a slight decline in the ratio from September 2023 to June 2024, reaching 1.91 in June 2024. Despite the decrease, the ratio remains relatively healthy, indicating that Coherent Inc is still effectively using its working capital to generate revenue, albeit at a slightly lower rate compared to the peak.
Overall, it is important for Coherent Inc to closely monitor its working capital turnover ratio and ensure that it remains at optimal levels to support the company's operational efficiency and financial performance.
Peer comparison
Jun 30, 2024