Fair Isaac Corporation (FICO)

Working capital turnover

		Sep 30, 2024	Sep 30, 2023	Sep 30, 2022	Sep 30, 2021	Sep 30, 2020
Revenue	US$ in thousands	1,717,560	1,417,230	1,310,010	1,376,250	1,294,560
Total current assets	US$ in thousands	617,413	556,448	484,715	550,974	534,078
Total current liabilities	US$ in thousands	380,285	367,688	331,459	559,207	414,511
Working capital turnover		7.24	7.51	8.55	—	10.83

September 30, 2024 calculation

Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $1,717,560K ÷ ($617,413K – $380,285K)
= 7.24

Fair Isaac Corporation's working capital turnover ratio has shown a decreasing trend over the past few years. In 2024, the working capital turnover was 7.24, slightly lower than the previous year's ratio of 7.51 in 2023, and significantly lower than the ratio of 8.55 in 2022.

The working capital turnover ratio measures how efficiently the company is utilizing its working capital to generate sales. A higher ratio indicates that the company is generating more revenue per dollar of working capital.

The decrease in the working capital turnover ratio might suggest that the company is becoming less efficient in utilizing its working capital to generate sales. It is important to further investigate the reasons behind this trend, such as changes in inventory management, accounts receivable collection, or overall operational efficiency.

It is notable that there is missing data for 2021, which limits the ability to fully analyze the trend over the years. Additional information and a deeper analysis of the company's financial performance and operational efficiency are necessary to provide a more comprehensive assessment of Fair Isaac Corporation's working capital turnover.