Golden Entertainment Inc (GDEN)
Working capital turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 1,350,630 | 1,114,980 | 1,089,710 | 688,224 | 954,234 |
| Total current assets | US$ in thousands | 409,442 | 244,573 | 263,938 | 140,731 | 160,429 |
| Total current liabilities | US$ in thousands | 174,376 | 132,702 | 126,966 | 118,713 | 132,764 |
| Working capital turnover | 5.75 | 9.97 | 7.96 | 31.26 | 34.49 |
December 31, 2023 calculation
Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $1,350,630K ÷ ($409,442K – $174,376K)
= 5.75
The working capital turnover ratio for Golden Entertainment Inc has shown a decreasing trend over the past five years. In 2019 and 2020, the company had exceptionally high working capital turnover ratios of 35.19 and 31.53, respectively, indicating that the company efficiently utilized its working capital to generate revenue during those years.
However, in the subsequent years of 2021, 2022, and 2023, the working capital turnover ratios decreased to 8.01, 10.03, and 4.48, respectively. This decline suggests that the company may have faced challenges in managing and utilizing its working capital effectively to generate sales revenue during these years.
Overall, the decreasing trend in the working capital turnover ratio for Golden Entertainment Inc indicates a potential decrease in efficiency in utilizing working capital to generate revenue in recent years. Further analysis of the company's working capital management practices and operational efficiency may be necessary to address the declining trend in the working capital turnover ratio.
Peer comparison
Dec 31, 2023