Dayforce Inc. (DAY)
Working capital turnover
| 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 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 1,513,700 | 1,450,100 | 1,388,200 | 1,323,500 | 1,246,200 | 1,192,200 | 1,133,800 | 1,083,000 | 1,024,200 | 964,900 | 912,100 | 854,300 | 842,500 | 841,500 | 839,400 | 843,100 | 824,100 | 802,600 | 779,900 | 762,900 |
| Total current assets | US$ in thousands | 5,955,200 | 5,914,600 | 5,067,200 | 7,041,700 | 5,440,300 | 5,007,200 | 6,037,500 | 7,978,000 | 4,144,100 | 5,963,600 | 3,755,700 | 4,832,200 | 4,122,600 | 3,371,300 | 3,350,000 | 4,056,500 | 3,623,700 | 3,004,300 | 4,351,800 | 4,890,100 |
| Total current liabilities | US$ in thousands | 5,334,900 | 5,411,500 | 4,604,200 | 6,591,400 | 5,079,800 | 4,675,700 | 5,699,200 | 7,628,900 | 3,741,900 | 5,554,800 | 3,374,000 | 4,420,500 | 3,863,900 | 2,741,400 | 2,744,500 | 3,752,700 | 3,371,700 | 2,743,200 | 4,093,300 | 4,683,700 |
| Working capital turnover | 2.44 | 2.88 | 3.00 | 2.94 | 3.46 | 3.60 | 3.35 | 3.10 | 2.55 | 2.36 | 2.39 | 2.08 | 3.26 | 1.34 | 1.39 | 2.78 | 3.27 | 3.07 | 3.02 | 3.70 |
December 31, 2023 calculation
Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $1,513,700K ÷ ($5,955,200K – $5,334,900K)
= 2.44
Dayforce Inc.'s working capital turnover has shown some variability over the past few years based on the provided data. The working capital turnover measures how efficiently a company is using its working capital to generate sales. A higher working capital turnover ratio indicates that the company is effectively managing its working capital to support its operations.
From the data provided, we can see that the working capital turnover for Dayforce Inc. has fluctuated between 1.34 and 3.70 over the past 20 quarters. The ratio seems to have peaked at 3.70 in the fourth quarter of 2019 and hit a low of 1.34 in the third quarter of 2020. This variability suggests that the company's efficiency in managing its working capital has not been consistent.
Overall, the average working capital turnover ratio for Dayforce Inc. appears to be around 2.80 based on the data provided. A comprehensive analysis would involve further investigation into the company's working capital management practices and strategies to understand the reasons behind the fluctuations in the working capital turnover ratio.
Peer comparison
Dec 31, 2023