Halliburton Company (HAL)

Working capital turnover

		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	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Revenue (ttm)	US$ in thousands	23,020,000	22,864,000	22,417,000	21,693,000	20,258,000	18,954,000	17,457,000	16,090,000	15,299,000	14,259,000	13,374,000	12,863,000	14,281,000	16,232,000	18,808,000	21,542,000	22,410,000	23,154,000	23,775,000	23,992,000
Total current assets	US$ in thousands	11,543,000	11,600,000	11,443,000	11,245,000	10,952,000	10,411,000	10,262,000	9,717,000	9,943,000	9,431,000	9,927,000	9,520,000	9,475,000	9,023,000	9,099,000	10,655,000	11,212,000	11,220,000	11,220,000	11,188,000
Total current liabilities	US$ in thousands	5,608,000	5,419,000	5,346,000	5,266,000	5,345,000	4,968,000	4,766,000	4,444,000	4,306,000	3,946,000	4,334,000	4,225,000	4,421,000	3,923,000	4,094,000	5,053,000	4,878,000	4,692,000	4,955,000	5,047,000
Working capital turnover		3.88	3.70	3.68	3.63	3.61	3.48	3.18	3.05	2.71	2.60	2.39	2.43	2.83	3.18	3.76	3.85	3.54	3.55	3.79	3.91

December 31, 2023 calculation

Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $23,020,000K ÷ ($11,543,000K – $5,608,000K)
= 3.88

The working capital turnover ratio for Halliburton Co. has shown a consistent increasing trend over the quarters, indicating an improvement in the company's efficiency in managing its working capital.

The ratio increased from 3.06 in Q1 2022 to 3.88 in Q4 2023, reflecting that the company generates $3.88 in revenue for every dollar of working capital invested. This signifies that Halliburton Co. has been able to efficiently utilize its current assets to generate sales throughout the periods mentioned.

The general upward trend in working capital turnover suggests that the company is effectively managing its inventory, accounts receivable, and accounts payable, leading to quicker conversions of working capital into revenue. This efficiency can help Halliburton Co. maintain healthy cash flows and performance over time.

Overall, the increasing trend in working capital turnover indicates a positive development in the company's operational efficiency and financial performance.