Catalyst Pharmaceuticals Inc (CPRX)

Working capital turnover

Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Revenue US$ in thousands 491,734 398,204 214,203 140,833 119,073
Total current assets US$ in thousands 623,609 219,329 320,797 210,106 159,244
Total current liabilities US$ in thousands 120,678 76,063 57,588 27,063 22,756
Working capital turnover 0.98 2.78 0.81 0.77 0.87

December 31, 2024 calculation

Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $491,734K ÷ ($623,609K – $120,678K)
= 0.98

The working capital turnover ratio for Catalyst Pharmaceuticals Inc has fluctuated over the years. It was 0.87 in December 31, 2020, decreased to 0.77 in December 31, 2021, and then slightly improved to 0.81 in December 31, 2022. A significant increase was observed in December 31, 2023, where the ratio surged to 2.78, indicating a more efficient use of working capital during that period. However, this improvement was not sustained as the ratio fell back to 0.98 in December 31, 2024. Overall, the company's ability to generate sales from its working capital has been variable, reflecting changes in operational efficiency and liquidity management over the years.