Haynes International Inc (HAYN)
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 | 595,589 | 581,609 | 566,513 | 554,183 | 519,804 | 487,796 | 440,365 | 398,795 | 364,018 | 336,761 | 321,421 | 313,735 | 343,237 | 379,566 | 429,268 | 474,910 | 490,833 | 489,454 | 482,127 | 469,212 |
| Total current assets | US$ in thousands | 533,255 | 539,166 | 519,055 | 519,879 | 498,529 | 464,422 | 437,695 | 386,827 | 349,057 | 361,606 | 362,589 | 350,464 | 346,123 | 351,535 | 390,523 | 403,530 | 385,797 | 371,873 | 374,976 | 369,974 |
| Total current liabilities | US$ in thousands | 70,008 | 76,789 | 79,695 | 75,861 | 88,919 | 80,879 | 138,613 | 95,884 | 64,024 | 74,213 | 56,543 | 46,450 | 38,377 | 38,215 | 74,725 | 82,940 | 65,043 | 60,080 | 67,472 | 66,380 |
| Working capital turnover | 1.29 | 1.26 | 1.29 | 1.25 | 1.27 | 1.27 | 1.47 | 1.37 | 1.28 | 1.17 | 1.05 | 1.03 | 1.12 | 1.21 | 1.36 | 1.48 | 1.53 | 1.57 | 1.57 | 1.55 |
December 31, 2023 calculation
Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $595,589K ÷ ($533,255K – $70,008K)
= 1.29
The working capital turnover of Haynes International Inc. has shown a fluctuating trend over the past eight quarters, ranging from 1.26 to 1.48. The ratio indicates the efficiency of the company in utilizing its working capital to generate sales revenue. A higher working capital turnover ratio signifies efficient management of working capital in generating sales, while a lower ratio indicates inefficiencies in the utilization of working capital.
Haynes International Inc. has maintained a relatively stable working capital turnover ratio around 1.28 to 1.37 in the latest quarters, suggesting consistent performance in utilizing its working capital to generate sales. However, there was a noticeable decrease in Q2 2022, followed by an increase in Q3 2022 to 1.48, indicating temporary improvements in working capital management efficiency.
Overall, the company's working capital turnover has shown some variability, but the recent quarters indicate a reasonably efficient use of working capital to drive sales revenue. It would be beneficial for the company to continue monitoring and managing its working capital effectively to sustain or improve its operational efficiency.
Peer comparison
Dec 31, 2023