Exponent Inc (EXPO)
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 | 558,514 | 544,648 | 541,705 | 541,390 | 536,766 | 541,221 | 535,064 | 525,124 | 513,293 | 499,444 | 488,670 | 478,266 | 466,269 | 456,002 | 438,260 | 410,428 | 399,900 | 406,775 | 409,660 | 424,121 |
| Total current assets | US$ in thousands | 446,881 | 412,581 | 391,327 | 352,323 | 379,532 | 343,316 | 344,628 | 318,301 | 349,157 | 332,512 | 342,534 | 376,691 | 452,762 | 417,560 | 397,809 | 353,555 | 366,832 | 328,649 | 314,270 | 293,396 |
| Total current liabilities | US$ in thousands | 163,183 | 137,738 | 131,824 | 114,131 | 161,909 | 129,657 | 124,540 | 109,179 | 159,029 | 137,917 | 127,534 | 109,110 | 152,982 | 126,418 | 122,966 | 87,942 | 117,308 | 96,371 | 89,783 | 77,099 |
| Working capital turnover | 1.97 | 1.98 | 2.09 | 2.27 | 2.47 | 2.53 | 2.43 | 2.51 | 2.70 | 2.57 | 2.27 | 1.79 | 1.56 | 1.57 | 1.59 | 1.55 | 1.60 | 1.75 | 1.82 | 1.96 |
December 31, 2024 calculation
Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $558,514K ÷ ($446,881K – $163,183K)
= 1.97
Working Capital Turnover is a financial ratio that measures a company's ability to efficiently utilize its working capital to generate sales revenue. It indicates how many times a company can convert its working capital into revenue over a specific period.
Analyzing the Working Capital Turnover for Exponent Inc over the past few quarters, we observe fluctuations in the efficiency of working capital management. The trend shows a gradual decrease from 1.96 as of March 31, 2020, to 1.97 as of December 31, 2024, with some fluctuations along the way.
An increase in the Working Capital Turnover ratio suggests that the company is becoming more efficient in generating sales revenue from its working capital. Conversely, a decrease may indicate inefficiencies in managing working capital or slower sales generation relative to the investment in working capital.
In the most recent period, the Working Capital Turnover ratio for Exponent Inc improved to 1.97 as of December 31, 2024, after reaching a low of 1.55 on March 31, 2021. This improvement could indicate better management of working capital or increased sales efficiency during the period.
Overall, a steady or improving trend in the Working Capital Turnover ratio suggests that the company is effectively utilizing its working capital to drive sales, contributing to its overall financial performance and operational efficiency.
Peer comparison
Dec 31, 2024