Fluor Corporation (FLR)
Working capital turnover
| 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 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 15,474,000 | 15,364,000 | 15,013,000 | 14,373,000 | 13,743,000 | 13,190,000 | 13,081,000 | 13,466,000 | 13,691,000 | 13,802,000 | 13,756,000 | 13,807,000 | 14,158,000 | 15,298,700 | 16,470,300 | 16,881,700 | 17,317,300 | 16,855,070 | 16,067,670 | 15,860,570 |
| Total current assets | US$ in thousands | 5,063,000 | 5,060,000 | 4,878,000 | 4,837,000 | 5,044,000 | 4,991,000 | 4,642,000 | 4,557,000 | 5,181,000 | 5,281,380 | 5,926,160 | 5,169,540 | 5,034,010 | 5,010,400 | 5,027,390 | 5,129,490 | 5,366,760 | 5,334,370 | 5,169,340 | 5,188,250 |
| Total current liabilities | US$ in thousands | 3,163,000 | 3,140,000 | 3,190,000 | 3,166,000 | 3,216,000 | 3,211,000 | 3,126,000 | 3,195,000 | 3,614,000 | 3,624,900 | 3,735,030 | 3,441,340 | 3,572,040 | 3,544,610 | 3,605,080 | 3,710,550 | 3,905,120 | 3,855,840 | 4,061,620 | 3,647,580 |
| Working capital turnover | 8.14 | 8.00 | 8.89 | 8.60 | 7.52 | 7.41 | 8.63 | 9.89 | 8.74 | 8.33 | 6.28 | 7.99 | 9.68 | 10.44 | 11.58 | 11.90 | 11.85 | 11.40 | 14.51 | 10.29 |
December 31, 2023 calculation
Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $15,474,000K ÷ ($5,063,000K – $3,163,000K)
= 8.14
The working capital turnover ratio for Fluor Corporation has been relatively stable over the past eight quarters, ranging from a low of 7.41 in Q3 2022 to a high of 9.26 in Q1 2022. This ratio measures how efficiently the company is using its working capital to generate revenue. A higher ratio indicates that the company is generating more revenue for each dollar of working capital invested.
Fluor Corporation's working capital turnover has generally been healthy, consistently above 1, which suggests that the company is effectively managing its working capital to support its operations. The slight fluctuations in the ratio over the quarters may be attributed to seasonal variations in business activity or changes in the company's operating cycle.
Overall, a working capital turnover ratio above 1 indicates that Fluor Corporation is effectively utilizing its working capital to generate sales, which is a positive sign for investors and creditors. The company's ability to efficiently convert its working capital into revenue is essential for sustaining its operations and long-term profitability.
Peer comparison
Dec 31, 2023