Alphabet Inc Class C (GOOG)

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	348,853,000	338,527,000	326,485,000	316,133,000	305,445,000	294,667,000	287,780,000	283,140,000	281,513,000	282,362,000	277,870,000	270,007,000	257,262,000	238,240,000	219,442,000	195,859,000	181,704,000	171,155,000	165,528,000	166,276,000
Total current assets	US$ in thousands	163,711,000	157,541,000	161,995,000	165,471,000	171,530,000	176,310,000	168,788,000	161,985,000	164,795,000	166,109,000	172,371,000	177,853,000	188,143,000	184,110,000	175,697,000	172,137,000	174,296,000	164,369,000	149,069,000	147,018,000
Total current liabilities	US$ in thousands	89,122,000	80,803,000	77,913,000	76,997,000	81,814,000	86,295,000	77,709,000	68,854,000	69,300,000	65,979,000	61,354,000	61,948,000	64,254,000	61,782,000	55,741,000	55,453,000	56,834,000	48,200,000	43,658,000	40,189,000
Working capital turnover		4.68	4.41	3.88	3.57	3.40	3.27	3.16	3.04	2.95	2.82	2.50	2.33	2.08	1.95	1.83	1.68	1.55	1.47	1.57	1.56

December 31, 2024 calculation

Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $348,853,000K ÷ ($163,711,000K – $89,122,000K)
= 4.68

The working capital turnover ratio of Alphabet Inc Class C has shown a generally increasing trend over the period from March 31, 2020, to December 31, 2024. This ratio measures how efficiently the company is utilizing its working capital to generate revenues.

Initially, the working capital turnover ratio was around 1.56 in March 2020, indicating that the company was generating $1.56 in revenues for every dollar of working capital invested.

The ratio gradually increased over the subsequent quarters, reaching 4.68 by the end of December 31, 2024. This significant increase suggests that Alphabet Inc Class C has improved its efficiency in using its working capital to generate revenue.

The rising trend in the working capital turnover ratio signals the company's ability to manage its current assets and liabilities effectively to support its operations and revenue generation. Overall, the increasing trend in the working capital turnover ratio reflects positively on Alphabet Inc Class C's operational efficiency and financial management.