Franklin Electric Co Inc (FELE)
Working capital turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 2,021,340 | 2,065,130 | 2,043,710 | 1,661,860 | 1,247,330 |
| Total current assets | US$ in thousands | 964,191,000 | 853,795 | 858,090 | 724,647 | 619,254 |
| Total current liabilities | US$ in thousands | 433,727,000 | 287,039 | 405,769 | 396,014 | 203,704 |
| Working capital turnover | 0.00 | 3.64 | 4.52 | 5.06 | 3.00 |
December 31, 2024 calculation
Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $2,021,340K ÷ ($964,191,000K – $433,727,000K)
= 0.00
The working capital turnover of Franklin Electric Co Inc has shown variations over the years. In 2020, the ratio was 3.00, indicating that the company generated $3 in revenue for every dollar of working capital. This ratio improved significantly in 2021 to 5.06, suggesting better efficiency in utilizing its working capital to generate revenue.
However, in 2022 and 2023, the working capital turnover decreased to 4.52 and 3.64 respectively, indicating a slight decline in the efficiency of working capital utilization for revenue generation. Notably, in 2024, the working capital turnover ratio dropped to 0.00, which may indicate either a significant issue with the working capital management or a unique event affecting the financials.
Overall, monitoring the working capital turnover is crucial for assessing the company's operational efficiency and financial management. A consistent or increasing ratio suggests effective utilization of working capital, while a declining ratio may require further investigation into the company's liquidity and operational performance.
Peer comparison
Dec 31, 2024