Sprinklr Inc (CXM)

Working capital turnover

		Jan 31, 2024	Oct 31, 2023	Jul 31, 2023	Apr 30, 2023	Jan 31, 2023	Oct 31, 2022	Jul 31, 2022	Apr 30, 2022	Jan 31, 2022	Oct 31, 2021	Jul 31, 2021
Revenue (ttm)	US$ in thousands	732,360	703,484	674,410	646,575	618,190	588,525	558,330	525,140
Total current assets	US$ in thousands	1,000,980	887,319	877,889	851,449	862,529	757,603	778,638	772,384	805,257	741,883	747,864
Total current liabilities	US$ in thousands	508,160	398,592	423,403	428,581	458,899	368,497	392,190	379,567	395,050	311,207	301,555
Working capital turnover		1.49	1.44	1.48	1.53	1.53	1.51	1.44	1.34

January 31, 2024 calculation

Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $732,360K ÷ ($1,000,980K – $508,160K)
= 1.49

Sprinklr Inc's working capital turnover has shown some fluctuations over the past several quarters. The working capital turnover ratio measures how efficiently a company is using its working capital to generate sales revenue. A higher turnover ratio indicates that the company is effectively managing its working capital.

In the most recent quarter, ending January 31, 2024, the working capital turnover was 1.49, which suggests that for every $1 of working capital, Sprinklr generated $1.49 in sales revenue. This indicates a moderate efficiency in utilizing its working capital to drive sales.

Looking at the trend over the past year, the working capital turnover ratio has ranged from 1.34 to 1.53, with some fluctuations occurring. While the ratio has generally remained above 1, showing that Sprinklr is effectively leveraging its working capital, the variations may indicate changes in the company's efficiency in utilizing its working capital resources.

It would be beneficial for Sprinklr Inc to further analyze the factors contributing to these fluctuations in the working capital turnover ratio to ensure optimal management of its working capital for sustained operational efficiency.