Graham Holdings Co (GHC)
Working capital turnover
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 4,790,900 | 4,711,910 | 4,616,270 | 4,535,990 | 4,414,880 | 4,312,100 | 4,213,020 | 4,041,322 | 3,924,493 | 3,723,394 | 3,520,390 | 3,388,240 | 3,185,974 | 3,110,054 | 3,017,600 | 2,869,319 | 2,889,121 | 2,865,588 | 2,887,426 | 2,972,157 |
| Total current assets | US$ in thousands | 2,098,620 | 2,084,630 | 1,939,270 | 1,950,870 | 1,849,300 | 1,798,100 | 1,665,930 | 1,642,590 | 1,708,090 | 1,639,370 | 1,601,430 | 1,767,010 | 1,847,170 | 1,701,580 | 1,640,610 | 1,837,440 | 1,774,190 | 1,519,020 | 1,408,400 | 1,449,020 |
| Total current liabilities | US$ in thousands | 1,199,800 | 1,331,860 | 1,208,040 | 1,241,750 | 1,229,680 | 1,151,850 | 1,108,390 | 1,128,290 | 1,174,010 | 1,141,060 | 1,020,420 | 1,042,890 | 1,166,340 | 1,020,610 | 902,602 | 927,734 | 949,646 | 915,459 | 818,104 | 937,379 |
| Working capital turnover | 5.33 | 6.26 | 6.31 | 6.40 | 7.13 | 6.67 | 7.56 | 7.86 | 7.35 | 7.47 | 6.06 | 4.68 | 4.68 | 4.57 | 4.09 | 3.15 | 3.50 | 4.75 | 4.89 | 5.81 |
December 31, 2024 calculation
Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $4,790,900K ÷ ($2,098,620K – $1,199,800K)
= 5.33
The working capital turnover of Graham Holdings Co has shown fluctuations over the observed period. It stood at 5.81 for March 31, 2020, indicating that the company generated $5.81 in net sales for every $1 of working capital invested.
Subsequently, there was a gradual decline in the working capital turnover ratio, dropping to 3.15 by March 31, 2021. This decline suggests that the company's efficiency in generating sales revenue from its working capital decreased during this time.
However, there was an improvement in the ratio from June 30, 2021, reaching a peak of 7.56 by June 30, 2023. This indicates that the company was able to effectively utilize its working capital to generate sales during this period.
The ratio slightly decreased to 6.31 by June 30, 2024. Overall, the trend suggests that Graham Holdings Co has generally displayed improvements in its working capital turnover efficiency, with periodic fluctuations reflecting varying degrees of effectiveness in utilizing working capital to drive sales.
Peer comparison
Dec 31, 2024