HF Sinclair Corp (DINO)
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 | ||
|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 31,780,330 | 32,993,160 | 34,745,460 | 38,104,440 | 38,041,410 | |||
| Total current assets | US$ in thousands | 6,146,450 | 7,402,390 | 6,692,820 | 6,558,530 | 6,748,320 | 6,827,470 | 7,702,740 | 6,239,300 |
| Total current liabilities | US$ in thousands | 2,774,550 | 3,477,220 | 2,887,910 | 3,117,730 | 3,245,530 | 3,242,290 | 4,066,120 | 3,611,600 |
| Working capital turnover | 9.43 | 8.41 | 9.13 | 11.07 | 10.86 |
December 31, 2023 calculation
Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $31,780,330K ÷ ($6,146,450K – $2,774,550K)
= 9.43
The working capital turnover of HF Sinclair Corp. has been fluctuating over the past eight quarters, ranging from a low of 7.95 to a high of 11.13. In general, the company has demonstrated efficiency in managing its working capital, with an average turnover ratio of approximately 9.32 over the period.
A higher working capital turnover ratio indicates that the company is efficiently utilizing its working capital to generate sales. The increase in the turnover ratio from Q1 2023 to Q4 2023 suggests an improvement in the company's ability to generate revenue from its working capital.
Overall, HF Sinclair Corp. has shown a relatively stable trend in its working capital turnover, reflecting effective management of its short-term assets and liabilities to support its operating activities. It is important for the company to maintain this efficiency in utilizing its working capital to sustain its operations and drive future growth.