GMS Inc (GMS)
Working capital turnover
| Apr 30, 2025 | Jan 31, 2025 | Oct 31, 2024 | Jul 31, 2024 | Apr 30, 2024 | Jan 31, 2024 | Oct 31, 2023 | Jul 31, 2023 | Apr 30, 2023 | Jan 31, 2023 | Oct 31, 2022 | Jul 31, 2022 | Apr 30, 2022 | Jan 31, 2022 | Oct 31, 2021 | Jul 31, 2021 | Apr 30, 2021 | Jan 31, 2021 | Oct 31, 2020 | Jul 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 5,513,750 | 5,592,980 | 5,590,620 | 5,540,770 | 5,501,910 | 5,392,980 | 5,369,250 | 5,379,300 | 5,329,250 | 5,313,800 | 5,232,780 | 4,952,350 | 4,634,880 | 4,278,433 | 3,876,024 | 3,538,330 | 3,298,823 | 3,137,470 | 3,147,631 | 3,196,704 |
| Total current assets | US$ in thousands | 1,520,120 | 1,491,530 | 1,670,350 | 1,633,270 | 1,639,320 | 1,500,910 | 1,547,430 | 1,535,100 | 1,549,520 | 1,567,650 | 1,596,660 | 1,530,000 | 1,423,130 | 1,391,640 | 1,365,090 | 1,192,530 | 1,102,250 | 906,107 | 874,403 | 878,863 |
| Total current liabilities | US$ in thousands | 797,558 | 648,207 | 748,697 | 708,200 | 757,050 | 624,362 | 666,312 | 648,172 | 706,281 | 619,550 | 680,767 | 666,627 | 689,198 | 587,480 | 636,575 | 578,272 | 562,501 | 380,199 | 376,936 | 367,775 |
| Working capital turnover | 7.63 | 6.63 | 6.07 | 5.99 | 6.24 | 6.15 | 6.09 | 6.07 | 6.32 | 5.60 | 5.71 | 5.74 | 6.32 | 5.32 | 5.32 | 5.76 | 6.11 | 5.97 | 6.33 | 6.25 |
April 30, 2025 calculation
Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $5,513,750K ÷ ($1,520,120K – $797,558K)
= 7.63
The analysis of GMS Inc's working capital turnover ratios over the period from July 31, 2020, to April 30, 2025, reveals a generally stable yet somewhat fluctuating trend. The ratio started at 6.25 in July 2020 and experienced incremental increases and minor dips throughout the subsequent periods.
Initially, the ratio showed modest growth, reaching a peak of 6.33 in October 2020, indicating efficient utilization of working capital relative to sales. The ratio then experienced a slight decline to 5.97 by January 2021 but recovered to 6.11 by April 2021, suggesting improved operational efficiency.
Between mid-2021 and early 2022, the ratio experienced some volatility, with declines to as low as 5.32 in October 2021 and January 2022, reflecting potential periods of increased working capital or decreased sales efficiency. However, from April 2022 onward, the ratio rose again, reaching 6.32, signaling a period of enhanced working capital utilization.
The subsequent periods maintained ratios generally in the range of approximately 5.74 to 6.32, indicating relative stability but with ongoing minor fluctuations. Notably, towards the end of the observed timeline, the ratio increased significantly to 7.63 as of April 2025, which could suggest a notable shift in working capital management or sales efficiency relative to current assets and liabilities.
Overall, GMS Inc's working capital turnover has demonstrated periods of stability interspersed with fluctuations that may correlate to operational or strategic adjustments. The recent upward trend in the ratio signals improved efficiency in managing working capital relative to sales, potentially reflecting better operational control or strategic initiatives aimed at optimizing short-term assets and liabilities.
Peer comparison
Apr 30, 2025