3D Systems Corporation (DDD)

Working capital turnover

		Mar 31, 2024	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
Revenue (ttm)	US$ in thousands	518,086	512,115	494,096	504,761	517,903	530,889	553,131	577,728	600,986	653,777	677,032	655,987	605,384	554,394	546,312	566,368	611,477	628,898	645,040	654,360
Total current assets	US$ in thousands	505,865	627,822	739,713	784,913	810,209	834,245	865,265	895,842	987,728	1,031,740	707,966	370,914	375,755	357,515	335,572	325,444	367,473	373,170	391,600	427,897
Total current liabilities	US$ in thousands	145,919	147,188	137,928	153,910	154,012	151,808	152,373	162,368	150,238	178,012	168,188	158,890	154,392	175,730	160,428	170,648	166,306	162,964	171,083	181,000
Working capital turnover		1.44	1.07	0.82	0.80	0.79	0.78	0.78	0.79	0.72	0.77	1.25	3.09	2.73	3.05	3.12	3.66	3.04	2.99	2.93	2.65

March 31, 2024 calculation

Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $518,086K ÷ ($505,865K – $145,919K)
= 1.44

Based on the table provided, we can see that the working capital turnover ratio for 3D Systems Corporation has fluctuated over the past few quarters. The working capital turnover ratio measures how efficiently a company is using its working capital to generate sales revenue.

In this case, the working capital turnover ratio has ranged from a low of 0.72 to a high of 3.66 over the past few quarters. A higher ratio indicates that the company is able to generate more sales revenue per dollar of working capital invested, reflecting better efficiency in managing its working capital.

The ratio experienced a significant increase in the last three quarters of 2021, peaking at 3.66 in June 2021, which suggests that the company was able to generate a higher level of sales relative to its working capital during that period. However, the ratio declined in the following quarters, indicating a decrease in efficiency in utilizing working capital to generate sales.

The recent trend shows a decline in the working capital turnover ratio from March 2023 onwards, with the ratio remaining relatively stable but at lower levels. This trend may raise concerns about the company's efficiency in managing its working capital to support sales growth.

Overall, the working capital turnover ratio for 3D Systems Corporation has shown variability over the past few quarters, with a notable peak followed by a decline. Continued monitoring of this ratio will be essential to assess the company's ability to efficiently utilize its working capital in generating sales revenue.