EMCOR Group Inc (EME)
Working capital turnover
| Dec 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 14,566,120 | 14,235,320 | 13,746,000 | 13,124,720 | 12,582,870 | 12,093,470 | 11,712,230 | 11,374,000 | 11,076,120 | 10,766,490 | 10,461,800 | 10,192,080 | 9,903,580 | 9,544,880 | 9,224,920 | 8,801,270 | 8,797,050 | 8,919,500 | 9,005,530 | 9,315,710 |
| Total current assets | US$ in thousands | 5,389,190 | 5,006,420 | 4,740,790 | 4,508,130 | 4,446,970 | 4,068,900 | 3,809,620 | 3,562,420 | 3,461,970 | 3,379,260 | 3,125,540 | 3,216,400 | 3,390,990 | 3,226,570 | 3,113,350 | 3,105,630 | 3,120,940 | 2,897,090 | 2,679,080 | 2,685,390 |
| Total current liabilities | US$ in thousands | 4,153,860 | 3,925,230 | 3,673,230 | 3,431,480 | 3,518,360 | 3,232,800 | 2,949,460 | 2,661,390 | 2,753,520 | 2,638,800 | 2,402,940 | 2,296,570 | 2,361,730 | 2,250,120 | 2,143,110 | 2,093,410 | 2,163,230 | 1,978,850 | 1,808,210 | 1,786,380 |
| Working capital turnover | 11.79 | 13.17 | 12.88 | 12.19 | 13.55 | 14.46 | 13.62 | 12.62 | 15.63 | 14.54 | 14.48 | 11.08 | 9.62 | 9.78 | 9.51 | 8.70 | 9.19 | 9.71 | 10.34 | 10.36 |
December 31, 2024 calculation
Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $14,566,120K ÷ ($5,389,190K – $4,153,860K)
= 11.79
EMCOR Group Inc's working capital turnover has shown some fluctuations over the periods analyzed. The working capital turnover ratio measures how efficiently a company utilizes its working capital to generate sales revenue. A higher ratio indicates better efficiency in managing working capital.
From March 31, 2020, to June 30, 2021, the working capital turnover remained relatively stable, ranging from 8.70 to 10.36. This suggests consistent efficiency in converting working capital into sales during this period.
However, there was a notable increase in the working capital turnover from the second half of 2021 onwards, reaching a peak of 15.63 on December 31, 2022. This significant improvement indicates a more efficient use of working capital to generate sales revenue.
From March 31, 2023, to December 31, 2024, the working capital turnover ratio gradually decreased but remained at relatively higher levels compared to the initial period. Despite the slight decline in the ratio, EMCOR Group Inc continued to demonstrate efficient utilization of working capital to generate sales.
Overall, the trend in EMCOR Group Inc's working capital turnover reflects varying levels of efficiency in managing working capital to drive sales revenue, with notable improvements in recent periods.
Peer comparison
Dec 31, 2024