Salesforce.com Inc (CRM)

Working capital turnover

		Jan 31, 2025	Jan 31, 2024	Jan 31, 2023	Jan 31, 2022	Jan 31, 2021
Revenue	US$ in thousands	38,014,000	34,869,000	31,213,000	28,164,000	22,027,000
Total current assets	US$ in thousands	29,727,000	29,074,000	26,395,000	22,850,000	21,889,000
Total current liabilities	US$ in thousands	27,980,000	26,631,000	25,891,000	21,788,000	17,728,000
Working capital turnover		21.76	14.27	61.93	26.52	5.29

January 31, 2025 calculation

Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $38,014,000K ÷ ($29,727,000K – $27,980,000K)
= 21.76

The working capital turnover ratio for Salesforce.com Inc has shown significant fluctuations over the past five years. In January 2021, the ratio stood at 5.29, indicating that the company turned over its working capital 5.29 times during that year. This ratio increased substantially to 26.52 by January 2022, suggesting a more efficient utilization of working capital.

By January 2023, the working capital turnover ratio surged to 61.93, reflecting a remarkable improvement in managing working capital. However, there was a notable decline in performance by January 2024, with the ratio dropping to 14.27. This could indicate challenges in maintaining the same level of efficiency in working capital management as the previous year.

In the latest available data for January 2025, the working capital turnover ratio increased again to 21.76. This suggests that Salesforce.com Inc improved its efficiency in utilizing working capital compared to the previous year but has not reached the peak level seen in January 2023.

Overall, the trend in working capital turnover for Salesforce.com Inc indicates a mix of fluctuations in efficiency in managing its working capital over the past five years.