Alphabet Inc Class A (GOOGL)
Working capital turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 348,963,000 | 305,559,000 | 281,279,000 | 257,637,000 | 182,527,000 |
| Total current assets | US$ in thousands | 163,711,000 | 171,530,000 | 164,795,000 | 188,143,000 | 174,296,000 |
| Total current liabilities | US$ in thousands | 89,122,000 | 81,814,000 | 69,300,000 | 64,254,000 | 56,834,000 |
| Working capital turnover | 4.68 | 3.41 | 2.95 | 2.08 | 1.55 |
December 31, 2024 calculation
Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $348,963,000K ÷ ($163,711,000K – $89,122,000K)
= 4.68
The working capital turnover ratio for Alphabet Inc Class A has shown an increasing trend over the past five years. Starting at 1.55 in December 31, 2020, the ratio has steadily improved to reach 4.68 by December 31, 2024. This indicates that Alphabet Inc has been able to efficiently utilize its working capital to generate sales revenue. A higher working capital turnover ratio signifies that the company is effectively managing its current assets and liabilities to support its operational activities. Overall, the increasing trend in the working capital turnover ratio reflects Alphabet Inc's improved efficiency in utilizing its working capital resources over the specified time period.
Peer comparison
Dec 31, 2024