Exelixis Inc (EXEL)

Working capital turnover

Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Revenue US$ in thousands 1,830,210 1,611,060 1,434,970 987,538 967,775
Total current assets US$ in thousands 1,317,960 1,618,760 1,834,750 1,445,400 1,011,190
Total current liabilities US$ in thousands 394,277 324,359 337,590 204,658 142,746
Working capital turnover 1.98 1.24 0.96 0.80 1.11

December 31, 2023 calculation

Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $1,830,210K ÷ ($1,317,960K – $394,277K)
= 1.98

Exelixis Inc's working capital turnover has demonstrated variability over the past five years. The ratio measures how efficiently the company utilizes its working capital to generate sales revenue. A higher working capital turnover typically indicates a more efficient use of resources.

In 2023, the working capital turnover improved to 1.98, reflecting a significant increase from the previous year. This suggests that Exelixis Inc was able to generate a higher level of sales revenue relative to its working capital investment.

In 2022, the ratio decreased to 1.24, indicating a decline in efficiency compared to the prior year. This could suggest that the company's management of working capital was less effective in that period.

The working capital turnover was 0.96 in 2021 and 0.80 in 2020, both of which were lower than in the preceding years. These lower ratios may indicate that Exelixis Inc faced challenges in efficiently utilizing its working capital during those periods.

In 2019, the working capital turnover was 1.11, showing a moderate level of efficiency compared to the subsequent years. Overall, fluctuations in the working capital turnover of Exelixis Inc highlight the importance of closely monitoring how effectively the company manages its working capital to support its operations and growth.


Peer comparison

Dec 31, 2023