Dupont De Nemours Inc (DD)

Working capital turnover

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Revenue	US$ in thousands	12,081,000	13,171,000	16,791,000	20,397,000	21,512,000
Total current assets	US$ in thousands	7,514,000	11,270,000	14,303,000	29,008,000	9,999,000
Total current liabilities	US$ in thousands	3,098,000	3,733,000	4,931,000	12,226,000	8,346,000
Working capital turnover		2.74	1.75	1.79	1.22	13.01

December 31, 2023 calculation

Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $12,081,000K ÷ ($7,514,000K – $3,098,000K)
= 2.74

The working capital turnover ratio for DuPont de Nemours Inc has fluctuated over the past five years. In 2019, the company had a high working capital turnover of 13.01, indicating that it generated $13.01 in revenue for every dollar of working capital invested. This high ratio suggests that the company efficiently managed its working capital to support revenue generation.

In 2020, the working capital turnover decreased to 3.30, indicating a decline in efficiency in utilizing working capital to generate revenue. However, the ratio was still relatively healthy, suggesting effective management of working capital.

The ratio further decreased in 2021 to 4.38, before dropping significantly in 2022 to 1.73. These declines indicate potential challenges in efficiently utilizing working capital to support revenue generation during these years.

In 2023, the working capital turnover increased to 2.73, showing a slight improvement from the previous year but still below the levels seen in 2019 and 2020.

Overall, the fluctuation in the working capital turnover ratio for DuPont de Nemours Inc over the five-year period suggests some variability in the company's ability to efficiently convert working capital into revenue. Further analysis would be required to understand the factors driving these changes and their implications for the company's financial performance.