Columbia Sportswear Company (COLM)

Working capital turnover

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Revenue	US$ in thousands	3,368,580	3,487,200	3,464,150	3,126,400	2,501,550
Total current assets	US$ in thousands	2,008,580	2,014,680	2,136,940	2,114,040	1,855,620
Total current liabilities	US$ in thousands	766,545	596,627	738,718	680,390	552,622
Working capital turnover		2.71	2.46	2.48	2.18	1.92

December 31, 2024 calculation

Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $3,368,580K ÷ ($2,008,580K – $766,545K)
= 2.71

The working capital turnover ratio of Columbia Sportswear Company has shown a positive trend over the past five years. It increased from 1.92 in December 31, 2020 to 2.71 in December 31, 2024, indicating a more efficient management of working capital during this period. The increasing trend suggests that the company has been able to generate more revenue from its working capital, which could be a result of effective inventory management, accounts receivable collection, and accounts payable utilization. This improvement in working capital turnover reflects the company's ability to optimize its liquidity and operational efficiency over time.