Coca-Cola Consolidated Inc. (COKE)
Working capital turnover
| 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 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 6,651,060 | 6,579,910 | 6,488,480 | 6,339,070 | 6,170,570 | 5,996,950 | 5,823,780 | 5,660,430 | 5,522,980 | 5,411,440 | 5,281,550 | 5,074,860 | 4,975,920 | 4,876,230 | 4,816,840 | 4,860,470 | 4,788,840 | 4,746,460 | 4,685,230 | 4,643,570 |
| Total current assets | US$ in thousands | 1,705,130 | 1,676,480 | 1,548,010 | 1,353,630 | 1,245,800 | 1,230,270 | 1,213,200 | 1,051,220 | 1,076,660 | 1,071,620 | 926,869 | 926,848 | 851,237 | 976,898 | 900,111 | 903,485 | 830,276 | 851,894 | 863,920 | 808,431 |
| Total current liabilities | US$ in thousands | 1,091,330 | 907,833 | 891,982 | 812,575 | 905,156 | 876,695 | 977,433 | 894,071 | 834,856 | 768,296 | 743,952 | 683,907 | 647,060 | 683,990 | 634,230 | 607,990 | 622,195 | 613,173 | 601,952 | 559,141 |
| Working capital turnover | 10.84 | 8.56 | 9.89 | 11.72 | 18.11 | 16.96 | 24.70 | 36.02 | 22.84 | 17.84 | 28.87 | 20.89 | 24.37 | 16.65 | 18.12 | 16.45 | 23.01 | 19.88 | 17.88 | 18.63 |
December 31, 2023 calculation
Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $6,651,060K ÷ ($1,705,130K – $1,091,330K)
= 10.84
The working capital turnover of Coca-Cola Consolidated Inc has fluctuated over the past eight quarters. The ratio measures how efficiently the company is utilizing its working capital to generate sales revenue.
In Q1 2022, the working capital turnover was at its highest at 36.25, indicating that the company generated $36.25 in revenue for every dollar of working capital employed. This suggests a high level of efficiency in managing its working capital during that period.
Subsequently, the ratio declined in Q2 and Q3 2022, but remained relatively stable at around 17-18 in Q4 2022 and Q1 2023. However, there was a noticeable decrease in Q2 and Q3 2023 to 9.93 and 8.58, respectively.
The significant drop in the working capital turnover in Q3 2023 could be a cause for concern as it may indicate that the company is not efficiently utilizing its working capital to support sales. Further analysis is needed to understand the reasons behind this decline and whether it is a temporary fluctuation or a trend that requires management attention.
Peer comparison
Dec 31, 2023