Hanesbrands Inc (HBI)
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 | 5,636,530 | 5,812,990 | 5,972,420 | 6,046,910 | 6,233,660 | 6,512,720 | 6,631,530 | 6,869,370 | 6,796,660 | 6,733,450 | 6,752,170 | 6,739,640 | 6,550,530 | 6,612,390 | 6,671,090 | 6,693,240 | 6,966,920 | 6,984,220 | 6,965,960 | 6,920,470 |
| Total current assets | US$ in thousands | 2,276,220 | 2,595,760 | 2,891,700 | 3,028,970 | 3,131,750 | 3,554,760 | 3,505,800 | 3,297,580 | 3,528,100 | 3,907,910 | 3,620,610 | 3,284,110 | 3,429,380 | 4,106,080 | 4,042,150 | 3,975,720 | 3,224,560 | 3,620,170 | 3,669,250 | 3,641,690 |
| Total current liabilities | US$ in thousands | 1,390,570 | 1,655,280 | 1,728,090 | 1,764,470 | 1,790,630 | 2,082,040 | 2,059,960 | 2,066,030 | 2,327,050 | 2,418,050 | 2,255,960 | 2,003,740 | 2,124,360 | 2,031,600 | 2,012,590 | 1,813,910 | 1,771,440 | 2,094,840 | 2,083,680 | 2,198,870 |
| Working capital turnover | 6.36 | 6.18 | 5.13 | 4.78 | 4.65 | 4.42 | 4.59 | 5.58 | 5.66 | 4.52 | 4.95 | 5.26 | 5.02 | 3.19 | 3.29 | 3.10 | 4.79 | 4.58 | 4.39 | 4.80 |
December 31, 2023 calculation
Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $5,636,530K ÷ ($2,276,220K – $1,390,570K)
= 6.36
Hanesbrands Inc's working capital turnover has shown fluctuations over the recent quarters, ranging from a low of 3.19 to a high of 6.36. The working capital turnover measures how efficiently a company utilizes its working capital to generate sales revenue. A higher turnover ratio indicates that the company is effectively managing its working capital to support its operations and sales.
The trend in Hanesbrands Inc's working capital turnover ratio indicates some variability in the management of its working capital over time. In the most recent quarter, the ratio was 6.36, suggesting a strong performance in efficiently utilizing its working capital. However, in the quarters prior to that, the ratio ranged from 4.39 to 5.66, showing fluctuations in the efficiency of working capital management.
Overall, Hanesbrands Inc's working capital turnover has generally been at a healthy level, reflecting the company's ability to efficiently use its current assets to drive sales. It is important for the company to continue monitoring and managing its working capital effectively to sustain its operations and support future growth.