Curtiss-Wright Corporation (CW)
Working capital turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 2,796,860 | 2,510,060 | 2,464,460 | 2,391,340 | 2,487,960 |
| Total current assets | US$ in thousands | 1,717,080 | 1,516,010 | 1,307,810 | 1,300,820 | 1,529,790 |
| Total current liabilities | US$ in thousands | 806,544 | 981,045 | 734,867 | 810,377 | 744,731 |
| Working capital turnover | 3.07 | 4.69 | 4.30 | 4.88 | 3.17 |
December 31, 2023 calculation
Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $2,796,860K ÷ ($1,717,080K – $806,544K)
= 3.07
The working capital turnover ratio for Curtiss-Wright Corp. has shown fluctuating trends over the past five years. In 2023, the ratio decreased to 3.12 from 4.68 in 2022, indicating a decline in the efficiency of the company in utilizing its working capital to generate revenue. This could imply that the company is facing challenges in effectively managing its current assets and liabilities to support its operations.
However, in comparison to 2021 and 2019, the working capital turnover ratio in 2023 is still higher, suggesting that the company has improved its working capital efficiency over the long term. The peak ratio of 4.88 in 2020 indicates that the company was able to generate more revenue per dollar of working capital invested during that year.
Overall, fluctuations in the working capital turnover ratio for Curtiss-Wright Corp. demonstrate the importance of carefully monitoring and managing working capital levels to optimize operational performance and financial efficiency.
Peer comparison
Dec 31, 2023