Home Depot Inc (HD)
Working capital turnover
| Jan 31, 2025 | Jan 31, 2024 | Jan 28, 2024 | Jan 31, 2023 | Jan 29, 2023 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 159,514,000 | 152,669,000 | 152,669,000 | 157,403,000 | 157,403,000 |
| Total current assets | US$ in thousands | 31,683,000 | 29,775,000 | 29,775,000 | 32,471,000 | 32,471,000 |
| Total current liabilities | US$ in thousands | 28,661,000 | 22,015,000 | 22,015,000 | 23,110,000 | 23,110,000 |
| Working capital turnover | 52.78 | 19.67 | 19.67 | 16.81 | 16.81 |
January 31, 2025 calculation
Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $159,514,000K ÷ ($31,683,000K – $28,661,000K)
= 52.78
The working capital turnover for Home Depot Inc has shown a consistent improvement over the years, increasing from 16.81 in January 2023 and 2024 to 19.67 in January 2025. This indicates that the company is effectively utilizing its working capital to generate revenue. The significant jump to 52.78 in January 2025 suggests a notable enhancement in efficiency in turning working capital into sales. Home Depot Inc's ability to efficiently manage its working capital reflects positively on its operational efficiency and could potentially lead to higher profitability and liquidity. It is essential for the company to sustain this positive trend to support its long-term financial health and growth prospects.
Peer comparison
Jan 31, 2025