Fastenal Company (FAST)
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 | 7,547,800 | 7,480,800 | 7,414,600 | 7,378,100 | 7,340,200 | 7,272,600 | 7,226,700 | 7,122,900 | 6,965,300 | 6,804,100 | 6,556,500 | 6,284,600 | 6,001,600 | 5,830,100 | 5,690,000 | 5,691,200 | 5,641,200 | 5,560,100 | 5,523,900 | 5,382,800 |
| Total current assets | US$ in thousands | 3,211,900 | 3,260,500 | 3,146,700 | 3,083,500 | 3,020,900 | 3,147,600 | 3,137,000 | 3,161,500 | 3,124,800 | 3,195,600 | 3,152,700 | 3,034,000 | 2,856,600 | 2,770,300 | 2,705,300 | 2,614,200 | 2,499,600 | 2,646,700 | 2,606,300 | 2,464,300 |
| Total current liabilities | US$ in thousands | 687,100 | 741,600 | 717,000 | 637,900 | 661,300 | 667,900 | 736,600 | 863,200 | 789,800 | 802,600 | 849,000 | 745,500 | 682,200 | 662,500 | 650,200 | 661,200 | 612,700 | 603,000 | 631,300 | 580,400 |
| Working capital turnover | 2.99 | 2.97 | 3.05 | 3.02 | 3.11 | 2.93 | 3.01 | 3.10 | 2.98 | 2.84 | 2.85 | 2.75 | 2.76 | 2.77 | 2.77 | 2.91 | 2.99 | 2.72 | 2.80 | 2.86 |
December 31, 2024 calculation
Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $7,547,800K ÷ ($3,211,900K – $687,100K)
= 2.99
Fastenal Company has shown a fluctuating trend in its working capital turnover over the past few years. The working capital turnover ratio measures a company's effectiveness in generating sales revenue relative to its working capital.
The working capital turnover ratio for Fastenal ranged between 2.72 and 3.11 over the period from March 31, 2020, to December 31, 2024. The company experienced a peak in March 31, 2024, with a ratio of 3.10, indicating that Fastenal generated $3.10 in sales for every dollar of working capital invested. Conversely, the lowest point was observed on September 30, 2020, with a ratio of 2.72.
Overall, the working capital turnover ratio for Fastenal has generally trended upward since 2022, suggesting improved efficiency in utilizing its working capital to generate sales revenue. However, there were some fluctuations in the ratio, indicating potential changes in working capital management efficiency over time. Investors and stakeholders should further investigate the reasons behind these fluctuations to assess the company's operational performance and financial health accurately.
Peer comparison
Dec 31, 2024