Consolidated Edison Inc (ED)
Working capital turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 14,663,000 | 15,670,000 | 13,676,000 | 12,246,000 | 12,574,000 |
| Total current assets | US$ in thousands | 6,537,000 | 12,972,000 | 5,551,000 | 5,301,000 | 4,272,000 |
| Total current liabilities | US$ in thousands | 6,462,000 | 11,336,000 | 5,427,000 | 7,354,000 | 6,287,000 |
| Working capital turnover | 195.51 | 9.58 | 110.29 | — | — |
December 31, 2023 calculation
Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $14,663,000K ÷ ($6,537,000K – $6,462,000K)
= 195.51
Consolidated Edison, Inc.'s working capital turnover has exhibited significant fluctuations over the past five years. The ratio stood at 195.51 for the year ending December 31, 2023, indicating a substantial improvement compared to the previous years. This surge suggests that the company efficiently utilized its working capital to generate sales during that period. In contrast, the working capital turnover was at a relatively low level of 9.58 for December 31, 2022, signifying a potential inefficiency in converting working capital into revenue. However, the ratio rebounded to 110.29 for December 31, 2021, showing a notable increase from the prior year.
It is important to note that there is missing data for the years ending December 31, 2020, and December 31, 2019, which limits the ability to conduct a comprehensive trend analysis for those years. Nevertheless, the substantial fluctuations in the working capital turnover ratio highlight the importance of closely monitoring the company's working capital management practices to ensure effective utilization of resources and maximize operational efficiency.
Peer comparison
Dec 31, 2023