Costco Wholesale Corp (COST)

Working capital turnover

		Feb 18, 2024	Nov 26, 2023	Sep 3, 2023	May 7, 2023	Feb 12, 2023	Nov 20, 2022	Aug 28, 2022	May 8, 2022	Feb 13, 2022	Nov 21, 2021	Aug 29, 2021	May 9, 2021	Feb 14, 2021	Nov 22, 2020	Aug 30, 2020	May 10, 2020	Feb 16, 2020	Nov 24, 2019	Sep 1, 2019	May 12, 2019
Revenue (ttm)	US$ in thousands	248,828,000	245,652,000	242,290,000	235,442,000	234,390,000	231,028,000	226,954,000	217,538,000	210,219,000	203,084,000	195,929,000	186,637,000	178,626,000	172,929,000	166,761,000	160,876,000	158,350,000	154,674,000	152,703,000	149,616,000
Total current assets	US$ in thousands	32,146,000	40,080,000	35,879,000	34,289,000	34,330,000	34,150,000	32,696,000	33,008,000	32,565,000	33,850,000	29,505,000	27,916,000	26,308,000	32,096,000	28,120,000	25,254,000	23,703,000	26,643,000	23,485,000	22,285,000
Total current liabilities	US$ in thousands	34,688,000	36,768,000	33,583,000	31,708,000	32,516,000	33,067,000	31,998,000	31,845,000	31,545,000	33,342,000	29,441,000	27,982,000	26,564,000	32,667,000	24,844,000	22,779,000	22,695,000	26,265,000	23,237,000	22,832,000
Working capital turnover		—	74.17	105.53	91.22	129.21	213.32	325.15	187.05	206.10	399.77	3,061.39	—	—	—	50.90	65.00	157.09	409.19	615.74	—

February 18, 2024 calculation

Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $248,828,000K ÷ ($32,146,000K – $34,688,000K)
= —

The working capital turnover for Costco Wholesale Corp displays fluctuations over the periods provided. In general, the working capital turnover ratio reflects the efficiency of the company in managing its working capital to generate revenues. A higher ratio typically indicates more efficient utilization of working capital.

From the data, we observe significant variations in the working capital turnover ratio, ranging from a low of 50.90 to a high of 3,061.39. The ratio was notably volatile over the observed periods, with a few outliers indicating exceptionally high turnover ratios.

The highest recorded working capital turnover of 3,061.39 might be an anomaly or resulted from specific operational or strategic decisions impacting the company's working capital efficiency. Conversely, the lower ratios could indicate potential inefficiencies in managing working capital relative to generating sales.

It is important to consider the context and specific factors influencing these ratios, such as changes in inventory levels, accounts receivable management, or payment terms. Further analysis and comparison with industry benchmarks may provide additional insights into Costco Wholesale Corp's working capital efficiency and financial performance trends.