Flowers Foods Inc (FLO)

Working capital turnover

Dec 31, 2024 Sep 30, 2024 Jun 30, 2024 Mar 31, 2024 Dec 31, 2023 Oct 7, 2023 Sep 30, 2023 Jul 15, 2023 Jun 30, 2023 Apr 22, 2023 Mar 31, 2023 Dec 31, 2022 Oct 8, 2022 Sep 30, 2022 Jun 30, 2022 Apr 23, 2022 Mar 31, 2022 Dec 31, 2021 Oct 9, 2021 Sep 30, 2021
Revenue (ttm) US$ in thousands 5,103,480 5,121,390 5,130,090 5,104,370 4,755,600 4,854,620 5,189,850 5,525,080 5,379,700 5,309,820 4,933,500 4,528,060 4,881,320 5,159,080 4,984,400 4,883,150 4,475,020 4,056,400 4,090,220 4,364,590
Total current assets US$ in thousands 656,364 707,724 702,767 688,404 687,713 714,579 714,579 748,940 748,940 715,853 715,853 804,940 835,416 977,251 971,775 818,866 818,866 900,428 849,333 849,333
Total current liabilities US$ in thousands 548,603 569,061 589,497 622,394 659,152 669,859 669,859 555,457 555,457 542,119 542,119 564,425 594,531 594,531 570,161 538,024 538,024 519,917 536,591 536,591
Working capital turnover 47.36 36.93 45.29 77.33 166.51 108.56 116.05 28.56 27.80 30.56 28.40 18.83 20.26 13.48 12.41 17.39 15.93 10.66 13.08 13.96

December 31, 2024 calculation

Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $5,103,480K ÷ ($656,364K – $548,603K)
= 47.36

The working capital turnover ratio for Flowers Foods Inc has shown varied trends over the past several quarters. The ratio indicates the efficiency with which the company is utilizing its working capital to generate sales revenue.

- In the period from September 30, 2021, to June 30, 2022, the working capital turnover ratio ranged between 10.66 and 17.39, showing relatively stable performance with moderate fluctuations.
- There was a notable increase in the ratio from March 31, 2023, reaching a peak of 166.51 on December 31, 2023, indicating a significant improvement in working capital efficiency during this period.
- The ratio declined significantly in the following quarters, dropping to 45.29 on June 30, 2024, and further decreasing to 47.36 by December 31, 2024.
- The substantial fluctuations in the working capital turnover ratio from September 30, 2023, to December 31, 2024, suggest a fluctuating efficiency in managing working capital to support sales activities.

Overall, the working capital turnover ratio for Flowers Foods Inc has displayed significant variability over the analyzed period, with notable peaks and declines. This indicates fluctuations in the company's ability to efficiently utilize its working capital in generating sales revenue. Further analysis of the underlying factors driving these fluctuations may be necessary to understand the company's working capital management performance effectively.