Gilead Sciences Inc (GILD)
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 | 28,749,000 | 28,295,000 | 27,800,000 | 27,450,000 | 27,116,000 | 27,390,000 | 27,382,000 | 27,043,000 | 27,281,000 | 27,136,000 | 27,515,000 | 27,472,000 | 27,305,000 | 27,482,000 | 26,638,000 | 25,564,000 | 24,689,000 | 23,147,000 | 22,174,000 | 22,716,000 |
| Total current assets | US$ in thousands | 18,000,000 | 14,779,000 | 12,317,000 | 14,041,000 | 16,454,000 | 16,013,000 | 15,411,000 | 14,372,000 | 15,227,000 | 13,898,000 | 13,175,000 | 13,214,000 | 15,056,000 | 14,200,000 | 14,498,000 | 13,166,000 | 15,816,000 | 31,915,000 | 26,351,000 | 30,242,000 |
| Total current liabilities | US$ in thousands | 12,004,000 | 11,725,000 | 10,781,000 | 13,015,000 | 11,280,000 | 11,945,000 | 13,964,000 | 10,528,000 | 11,237,000 | 10,423,000 | 9,220,000 | 8,558,000 | 11,610,000 | 10,245,000 | 10,214,000 | 9,705,000 | 11,397,000 | 9,509,000 | 10,564,000 | 8,879,000 |
| Working capital turnover | 4.79 | 9.26 | 18.10 | 26.75 | 5.24 | 6.73 | 18.92 | 7.04 | 6.84 | 7.81 | 6.96 | 5.90 | 7.92 | 6.95 | 6.22 | 7.39 | 5.59 | 1.03 | 1.40 | 1.06 |
December 31, 2024 calculation
Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $28,749,000K ÷ ($18,000,000K – $12,004,000K)
= 4.79
Working capital turnover measures how efficiently a company is using its working capital to generate revenue. It is calculated by dividing net sales by average working capital. A higher working capital turnover ratio indicates more effective use of working capital.
Based on the data provided for Gilead Sciences Inc:
- The working capital turnover ratio fluctuated over the years, starting at 1.06 in March 2020 and reaching a peak of 26.75 in March 2024.
- The ratio experienced significant variations quarter by quarter, reflecting changes in the company's operational efficiency and sales performance.
- Gilead Sciences Inc improved its working capital turnover significantly from 2020 to 2024, with higher ratios indicating better utilization of working capital to drive sales.
- The highest ratios were recorded in March 2024 and June 2023, indicating exceptional efficiency in generating revenue from the company's working capital.
- In December 2024, the working capital turnover ratio dropped to 4.79, suggesting a potential decrease in operational efficiency or slower sales growth.
- Overall, Gilead Sciences Inc showed a pattern of improving efficiency in utilizing its working capital to drive revenue, with some fluctuations in certain quarters.
Peer comparison
Dec 31, 2024
See also:
Gilead Sciences Inc Working Capital Turnover (Quarterly Data)