CSW Industrials Inc (CSWI)
Working capital turnover
| Mar 31, 2024 | Mar 31, 2023 | Mar 31, 2022 | Mar 31, 2021 | Mar 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 795,517 | 757,800 | 626,520 | 419,228 | 386,704 |
| Total current assets | US$ in thousands | 331,410 | 323,056 | 300,147 | 219,118 | 150,045 |
| Total current liabilities | US$ in thousands | 115,836 | 108,039 | 117,402 | 82,748 | 59,146 |
| Working capital turnover | 3.69 | 3.52 | 3.43 | 3.07 | 4.25 |
March 31, 2024 calculation
Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $795,517K ÷ ($331,410K – $115,836K)
= 3.69
The working capital turnover for CSW Industrials Inc has shown a relatively stable trend over the past five years, ranging from 3.07 to 4.25. The working capital turnover ratio measures how efficiently a company utilizes its working capital to generate sales revenue. A higher working capital turnover ratio indicates that the company is efficiently managing its working capital to support sales growth.
From the trend observed, it can be noted that the working capital turnover ratio has generally improved over the years, reaching its peak at 4.25 in March 2020 before slightly decreasing in the subsequent years. This improvement could suggest that CSW Industrials Inc has been more effective in utilizing its working capital to drive sales during that period.
Overall, the working capital turnover ratio for CSW Industrials Inc indicates that the company has been able to efficiently convert its working capital into sales revenue, reflecting a sound operational efficiency in managing its current assets and liabilities. Tracking this ratio over time can provide insights into the company's liquidity management and operational efficiency.
Peer comparison
Mar 31, 2024