The Ensign Group Inc (ENSG)
Working capital turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 3,721,290 | 3,025,470 | 2,627,460 | 2,402,600 | 2,029,210 |
| Total current assets | US$ in thousands | 1,046,930 | 781,125 | 639,709 | 582,956 | 411,081 |
| Total current liabilities | US$ in thousands | 734,747 | 582,072 | 523,068 | 562,399 | 343,173 |
| Working capital turnover | 11.92 | 15.20 | 22.53 | 116.88 | 29.88 |
December 31, 2023 calculation
Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $3,721,290K ÷ ($1,046,930K – $734,747K)
= 11.92
The working capital turnover ratio for Ensign Group Inc has exhibited fluctuations over the past five years. The ratio was 11.95 in 2023, showing a decrease from 15.20 in 2022 and a significant decline from 22.53 in 2021. This trend indicates that the company's ability to efficiently utilize its working capital to generate sales revenue decreased in 2023 compared to the two previous years. Notably, the ratio in 2023 was substantially lower than the exceptionally high figure of 116.88 in 2020, suggesting a stark drop in working capital efficiency. The working capital turnover ratio in 2019 was 29.99, indicating a considerable improvement in efficiency compared to 2023. Overall, the fluctuation in the working capital turnover ratio for Ensign Group Inc reflects varying levels of efficiency in managing working capital to drive sales over the past five years.
Peer comparison
Dec 31, 2023