Crocs Inc (CROX)
Working capital turnover
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 4,063,771 | 4,001,482 | 3,944,352 | 3,864,032 | 3,799,361 | 3,774,430 | 3,720,249 | 3,622,738 | 3,424,385 | 3,112,307 | 2,781,762 | 2,484,734 | 2,300,270 | 2,125,150 | 1,864,815 | 1,557,826 | 1,377,267 | 1,228,740 | 1,178,749 | 1,205,848 |
| Total current assets | US$ in thousands | 872,269 | 990,420 | 1,026,900 | 1,106,400 | 910,704 | 979,182 | 1,101,220 | 1,114,660 | 1,025,980 | 1,123,170 | 1,168,310 | 1,038,540 | 666,569 | 920,052 | 678,515 | 727,182 | 492,841 | 472,309 | 493,930 | 514,001 |
| Total current liabilities | US$ in thousands | 740,208 | 692,526 | 686,416 | 628,561 | 698,296 | 647,877 | 665,940 | 634,366 | 641,274 | 571,160 | 602,144 | 530,785 | 388,243 | 350,215 | 380,922 | 325,748 | 291,584 | 278,610 | 232,979 | 236,031 |
| Working capital turnover | 30.77 | 13.43 | 11.58 | 8.09 | 17.89 | 11.39 | 8.55 | 7.54 | 8.90 | 5.64 | 4.91 | 4.89 | 8.26 | 3.73 | 6.27 | 3.88 | 6.84 | 6.34 | 4.52 | 4.34 |
December 31, 2024 calculation
Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $4,063,771K ÷ ($872,269K – $740,208K)
= 30.77
The working capital turnover ratio measures how effectively a company is utilizing its working capital to generate sales revenue. A higher turnover ratio indicates that the company is efficiently using its working capital to support sales activities.
Looking at the trend in Crocs Inc's working capital turnover ratio from March 31, 2020, to December 31, 2024, we observe fluctuations in the ratio over the period. The ratio increased from 4.34 on March 31, 2020, to a peak of 30.77 on December 31, 2024. This significant increase suggests that the company improved its efficiency in utilizing working capital to support sales during this period.
However, it's worth noting that the ratio experienced fluctuations throughout the period, indicating potential changes in the company's working capital management practices or sales performance. The ratio peaked at 30.77 on December 31, 2024, which could signal a sharp improvement in working capital efficiency. On the other hand, the ratio decreased to 3.73 on September 30, 2021, suggesting a temporary decline in working capital utilization efficiency.
Overall, the trend in Crocs Inc's working capital turnover ratio reflects variations in the company's ability to efficiently convert working capital into sales revenue. It is essential for the company to closely monitor and manage its working capital to maintain a healthy turnover ratio and support sustainable business operations.
Peer comparison
Dec 31, 2024