CoreCivic Inc (CXW)
Working capital turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 1,961,650 | 1,896,640 | 1,845,330 | 1,862,620 | 1,905,480 |
| Total current assets | US$ in thousands | 449,818 | 474,914 | 513,670 | 627,384 | 717,122 |
| Total current liabilities | US$ in thousands | 285,797 | 297,454 | 450,751 | 340,968 | 313,405 |
| Working capital turnover | 11.96 | 10.69 | 29.33 | 6.50 | 4.72 |
December 31, 2024 calculation
Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $1,961,650K ÷ ($449,818K – $285,797K)
= 11.96
Working capital turnover ratio is an efficiency ratio that measures how effectively a company is able to generate revenue from its working capital. A higher working capital turnover ratio indicates that the company is efficiently using its working capital to generate sales.
Based on the data provided for CoreCivic Inc:
- The working capital turnover ratio has shown a notable increase over the years, from 4.72 in December 2020 to 11.96 in December 2024.
- This improvement suggests that CoreCivic Inc has been able to effectively utilize its working capital to generate revenue, indicating a more efficient operational performance.
- The peak working capital turnover ratio of 29.33 in December 2022 reflects a particularly strong period of revenue generation relative to working capital.
Overall, the trend in CoreCivic Inc's working capital turnover ratio indicates an improvement in the company's efficiency in converting working capital into sales, which is a positive signal for its financial performance and operational management.
Peer comparison
Dec 31, 2024