Edgewell Personal Care Co (EPC)
Working capital turnover
| Sep 30, 2024 | Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 2,253,700 | 2,251,600 | 2,171,700 | 2,087,300 | 1,949,700 |
| Total current assets | US$ in thousands | 936,000 | 962,400 | 942,200 | 1,135,700 | 983,600 |
| Total current liabilities | US$ in thousands | 563,600 | 523,400 | 539,500 | 536,800 | 510,500 |
| Working capital turnover | 6.05 | 5.13 | 5.39 | 3.49 | 4.12 |
September 30, 2024 calculation
Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $2,253,700K ÷ ($936,000K – $563,600K)
= 6.05
The working capital turnover of Edgewell Personal Care Co has been improving over the past five years, indicating a more efficient management of its working capital.
In Sep 30, 2024, the working capital turnover ratio reached 6.05, which means that the company generated revenue 6.05 times for every dollar of working capital invested. This is a significant improvement compared to the previous years, showcasing better utilization of working capital resources.
The trend reveals a consistent improvement from 2019 to 2024, with a slight dip in 2021 followed by a significant increase in 2022. This suggests that the company has been managing its working capital more effectively, potentially through better inventory management, accounts receivable collections, and accounts payable control.
Overall, the increasing trend in working capital turnover ratios indicates that Edgewell Personal Care Co is making efficient use of its working capital to generate sales, which is a positive indicator of financial health and operational efficiency.
Peer comparison
Sep 30, 2024