GMS Inc (GMS)
Working capital turnover
| Apr 30, 2024 | Apr 30, 2023 | Apr 30, 2022 | Apr 30, 2021 | Apr 30, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 5,503,660 | 5,330,540 | 4,635,040 | 3,298,910 | 3,241,400 |
| Total current assets | US$ in thousands | 1,639,320 | 1,549,520 | 1,423,130 | 1,102,250 | 966,622 |
| Total current liabilities | US$ in thousands | 757,050 | 706,281 | 689,198 | 562,501 | 475,059 |
| Working capital turnover | 6.24 | 6.32 | 6.32 | 6.11 | 6.59 |
April 30, 2024 calculation
Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $5,503,660K ÷ ($1,639,320K – $757,050K)
= 6.24
The working capital turnover for GMS Inc has remained relatively stable over the past five years, ranging between 6.11 and 6.59. This ratio indicates how efficiently the company is utilizing its working capital to generate sales. A higher turnover ratio suggests that GMS Inc is efficiently managing its liquidity and able to quickly convert its working capital into sales revenue. The consistency in the working capital turnover ratio over the years reflects GMS Inc's effective management of its current assets and liabilities to support its sales operations. Overall, the trend suggests that GMS Inc has maintained a steady level of efficiency in utilizing its working capital to drive its business operations.
Peer comparison
Apr 30, 2024