DR Horton Inc (DHI)

Working capital turnover

		Sep 30, 2024	Jun 30, 2024	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
Revenue (ttm)	US$ in thousands	36,801,500	37,302,900	37,062,800	35,928,500	35,460,300	34,595,700	33,658,200	33,684,300	33,479,900	31,949,800	30,446,300	28,894,200	27,774,200	26,065,300	24,170,700	22,223,800	20,311,100	18,949,600	18,465,900	18,094,600
Total current assets	US$ in thousands	7,016,400	5,592,300	5,735,500	5,323,400	6,373,600	5,789,100	5,175,100	4,371,100	4,930,500	3,738,200	3,903,900	4,272,100	5,240,400	3,582,700	3,965,200	3,893,800	4,548,500	3,853,500	2,902,200	2,608,400
Total current liabilities	US$ in thousands	77,600	56,200	46,600	49,500	69,200	48,300	34,900	38,000	60,100	42,600	30,900	32,200	51,000	37,800	27,000	32,600	44,100	30,200	23,800	28,100
Working capital turnover		5.30	6.74	6.51	6.81	5.62	6.03	6.55	7.77	6.87	8.65	7.86	6.81	5.35	7.35	6.14	5.76	4.51	4.96	6.42	7.01

September 30, 2024 calculation

Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $36,801,500K ÷ ($7,016,400K – $77,600K)
= 5.30

DR Horton Inc's working capital turnover has shown fluctuations over the last 20 quarters, ranging from a low of 4.51 to a high of 8.65. The working capital turnover ratio measures how efficiently the company is using its working capital to generate sales revenues. A higher ratio indicates a more efficient use of working capital in generating sales.

Looking at the trend, we can see that the ratio has generally been on the higher side, indicating that DR Horton Inc has been effective in utilizing its working capital to generate sales. However, there are some quarters where the ratio dips, suggesting a potential inefficiency in managing working capital during those periods.

Overall, a consistent and relatively high working capital turnover ratio is a positive sign for the company, as it indicates effective management of working capital and a strong ability to generate sales with the resources at hand.