Hub Group Inc (HUBG)
Working capital turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 3,948,950 | 4,197,040 | 5,358,280 | 4,244,580 | 3,485,460 |
| Total current assets | US$ in thousands | 768,329 | 849,245 | 1,056,700 | 894,288 | 672,835 |
| Total current liabilities | US$ in thousands | 579,481 | 658,210 | 691,770 | 687,069 | 529,105 |
| Working capital turnover | 20.91 | 21.97 | 14.68 | 20.48 | 24.25 |
December 31, 2024 calculation
Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $3,948,950K ÷ ($768,329K – $579,481K)
= 20.91
The working capital turnover of Hub Group Inc has shown fluctuations over the period from December 31, 2020, to December 31, 2024. The ratio decreased from 24.25 in 2020 to 14.68 in 2022 but then rebounded to 21.97 in 2023, indicating a volatile trend. In 2021 and 2024, the ratio stood at 20.48 and 20.91, respectively, hovering around a similar level.
A high working capital turnover ratio suggests that the company is efficiently utilizing its working capital to generate sales. Conversely, a lower ratio may indicate inefficiencies in managing working capital or slower sales turnover.
Overall, while there have been fluctuations in Hub Group Inc's working capital turnover ratio, it is essential to further investigate the underlying reasons driving these changes to assess the company's financial performance and efficiency in utilizing its working capital effectively.
Peer comparison
Dec 31, 2024