Floor & Decor Holdings Inc (FND)
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 | 4,406,920 | 4,406,870 | 4,395,090 | 4,350,260 | 4,260,640 | 4,126,905 | 3,907,461 | 3,678,719 | 3,433,006 | 3,242,323 | 3,049,717 | 2,651,270 | 2,422,460 | 2,225,810 | 2,062,093 | 2,119,126 | 2,039,528 | 1,949,265 | 1,863,273 | 1,776,713 |
| Total current assets | US$ in thousands | 1,316,640 | 1,336,100 | 1,335,530 | 1,328,470 | 1,457,480 | 1,497,090 | 1,511,270 | 1,322,480 | 1,273,340 | 1,294,210 | 1,165,440 | 1,061,880 | 1,040,460 | 973,969 | 829,981 | 950,995 | 701,486 | 643,709 | 564,014 | 527,398 |
| Total current liabilities | US$ in thousands | 1,152,010 | 1,174,380 | 1,116,180 | 1,006,530 | 1,006,760 | 1,061,430 | 1,197,280 | 1,093,320 | 1,032,020 | 1,011,990 | 860,214 | 672,978 | 698,836 | 618,918 | 533,690 | 506,497 | 552,541 | 492,432 | 424,638 | 398,349 |
| Working capital turnover | 26.77 | 27.25 | 20.04 | 13.51 | 9.45 | 9.47 | 12.44 | 16.05 | 14.23 | 11.49 | 9.99 | 6.82 | 7.09 | 6.27 | 6.96 | 4.77 | 13.69 | 12.89 | 13.37 | 13.77 |
December 31, 2023 calculation
Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $4,406,920K ÷ ($1,316,640K – $1,152,010K)
= 26.77
Floor & Decor Holdings Inc's working capital turnover ratio has shown fluctuating trends over the past five years. The ratio was highest at the end of 2023, standing at 26.77, indicating that the company generated $26.77 in net sales revenue for every dollar of working capital invested during that time.
This improvement in efficiency compared to the previous quarters reflects the company's ability to efficiently manage its working capital to support its operations and generate revenue. However, it is essential to note that the ratio has been variable throughout the years.
Overall, a higher working capital turnover ratio is generally seen as a positive sign, as it suggests that the company is efficient in its use of working capital to generate sales. Investing in strategies to maintain this efficiency can help Floor & Decor Holdings Inc optimize its operations and drive profitability in the future.
Peer comparison
Dec 31, 2023