Gen Digital Inc. (GEN)
Working capital turnover
| Mar 31, 2024 | 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 | Jul 5, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 3,812,000 | 3,792,000 | 3,777,000 | 3,577,000 | 2,658,000 | 2,427,000 | 2,193,000 | 2,137,000 | 2,796,000 | 2,752,000 | 2,689,000 | 2,623,000 | 2,551,000 | 2,493,000 | 2,472,000 | 2,454,000 | 2,490,000 | 2,493,000 | 2,490,000 | 2,494,000 |
| Total current assets | US$ in thousands | 1,358,000 | 1,720,000 | 1,076,000 | 1,087,000 | 1,233,000 | 1,376,000 | 1,622,000 | 1,629,000 | 2,260,000 | 2,157,000 | 1,950,000 | 1,786,000 | 1,538,000 | 1,848,000 | 1,792,000 | 1,950,000 | 3,079,000 | 13,571,000 | 9,760,000 | 2,561,000 |
| Total current liabilities | US$ in thousands | 2,648,000 | 2,563,000 | 2,460,000 | 2,748,000 | 2,849,000 | 2,878,000 | 2,825,000 | 2,624,000 | 3,065,000 | 2,883,000 | 2,814,000 | 2,221,000 | 2,136,000 | 1,821,000 | 1,748,000 | 2,548,000 | 2,622,000 | 4,713,000 | 5,056,000 | 3,608,000 |
| Working capital turnover | — | — | — | — | — | — | — | — | — | — | — | — | — | 92.33 | 56.18 | — | 5.45 | 0.28 | 0.53 | — |
March 31, 2024 calculation
Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $3,812,000K ÷ ($1,358,000K – $2,648,000K)
= —
Based on the data provided, the working capital turnover for Gen Digital Inc. has shown significant variability over the periods reported.
The working capital turnover ratio measures how efficiently a company is using its working capital to generate sales. A higher ratio indicates that the company is effectively utilizing its working capital to generate revenue.
In this case:
- The working capital turnover was not available for some periods.
- The ratio was notably high at 92.33 for the quarter ending December 31, 2020, indicating that the company was able to generate a high level of sales relative to its working capital during that period.
- Subsequently, the ratio decreased to 56.18 for the quarter ending September 30, 2020, which could suggest a slight decrease in efficiency in utilizing working capital to generate sales.
- The ratio significantly dropped to 5.45 for the quarter ending March 31, 2020, signaling a substantial decrease in the efficiency of utilizing working capital to generate revenue.
Overall, it is important for Gen Digital Inc. to closely monitor its working capital turnover and strive to maintain a balance between efficient use of working capital and generating sales to ensure sustainable business operations.
Peer comparison
Mar 31, 2024