Halozyme Therapeutics Inc (HALO)
Working capital turnover
Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
---|---|---|---|---|---|---|
Revenue | US$ in thousands | 1,015,320 | 829,253 | 660,116 | 443,310 | 267,594 |
Total current assets | US$ in thousands | 1,085,340 | 746,424 | 739,013 | 926,287 | 554,764 |
Total current liabilities | US$ in thousands | 139,100 | 112,494 | 130,789 | 117,147 | 421,385 |
Working capital turnover | 1.07 | 1.31 | 1.09 | 0.55 | 2.01 |
December 31, 2024 calculation
Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $1,015,320K ÷ ($1,085,340K – $139,100K)
= 1.07
Halozyme Therapeutics Inc's working capital turnover has shown fluctuating trends over the past five years. The ratio was 2.01 as of December 31, 2020, indicating that the company effectively utilized its working capital to generate revenue. However, there was a significant drop in the ratio to 0.55 as of December 31, 2021, suggesting a decrease in the efficiency of working capital utilization.
Subsequently, there was an improvement in the ratio to 1.09 as of December 31, 2022, indicating better management of working capital. The trend continued to improve with ratios of 1.31 and 1.07 as of December 31, 2023, and December 31, 2024, respectively, showcasing a steady utilization of working capital to support the company's operations and generate sales.
Overall, the working capital turnover ratio has shown variability in the efficiency of utilizing working capital during the period under review. It is essential for Halozyme Therapeutics Inc to maintain a balance between managing its working capital effectively to support operational needs and ensuring optimal revenue generation.
Peer comparison
Dec 31, 2024