GameStop Corp (GME)
Working capital turnover
| Feb 3, 2024 | Jan 28, 2023 | Jan 29, 2022 | Jan 30, 2021 | Feb 1, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 5,272,800 | 5,927,200 | 6,010,700 | 5,089,800 | 6,466,000 |
| Total current assets | US$ in thousands | 1,974,200 | 2,323,700 | 2,598,800 | 1,551,200 | 1,633,700 |
| Total current liabilities | US$ in thousands | 934,500 | 1,339,100 | 1,354,700 | 1,342,700 | 1,237,700 |
| Working capital turnover | 5.07 | 6.02 | 4.83 | 24.41 | 16.33 |
February 3, 2024 calculation
Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $5,272,800K ÷ ($1,974,200K – $934,500K)
= 5.07
The working capital turnover of GameStop Corp has varied over the past five years. The ratio was 5.07 in 2024, indicating that the company generated $5.07 in net sales for every $1 of working capital. This suggests a decrease compared to the previous year, where the ratio was 6.02.
In 2022, the working capital turnover was 4.83, showing a slight decrease from the previous year. However, in 2021, the ratio substantially increased to 24.41, indicating that the company generated significantly more sales relative to its working capital.
The lowest ratio during the period was in 2020 at 16.33, still significantly higher compared to the 2022 and 2023 figures. Overall, the working capital turnover ratio of GameStop Corp has fluctuated, with 2021 showing exceptional efficiency in generating sales relative to working capital.