Doximity Inc (DOCS)

Working capital turnover

		Mar 31, 2025	Mar 31, 2024	Mar 31, 2023	Mar 31, 2022	Mar 31, 2021
Revenue	US$ in thousands	570,399	475,422	419,052	343,548	206,897
Total current assets	US$ in thousands	—	912,941	975,453	904,137	209,401
Total current liabilities	US$ in thousands	—	147,250	139,507	111,282	102,042
Working capital turnover		—	0.62	0.50	0.43	1.93

March 31, 2025 calculation

Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $570,399K ÷ ($—K – $—K)
= —

The working capital turnover ratio measures how efficiently a company is using its working capital to generate revenue. In the case of Doximity Inc, the trend in the working capital turnover ratio has shown a decline over the years.

In March 31, 2021, the working capital turnover was 1.93, indicating that Doximity was able to generate $1.93 in revenue for every dollar of working capital invested. However, this ratio dropped significantly to 0.43 in March 31, 2022, suggesting a decrease in efficiency in utilizing its working capital to generate revenue.

Although there was a slight improvement in subsequent years with ratios of 0.50 in 2023 and 0.62 in 2024, the company's efficiency in using its working capital remained relatively low compared to the initial period.

It is noted that the data for March 31, 2025 is not available (indicated by "—"), and therefore, the analysis for that period is not possible. Overall, the decreasing trend in working capital turnover indicates a potential inefficiency in utilizing working capital resources to generate revenue for Doximity Inc.