Haverty Furniture Companies Inc (HVT)
Working capital turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 867,570 | 1,048,700 | 1,013,110 | 783,124 | 803,578 |
| Total current assets | US$ in thousands | 251,593 | 276,253 | 309,057 | 316,244 | 204,523 |
| Total current liabilities | US$ in thousands | 138,264 | 154,432 | 210,377 | 204,041 | 127,016 |
| Working capital turnover | 7.66 | 8.61 | 10.27 | 6.98 | 10.37 |
December 31, 2023 calculation
Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $867,570K ÷ ($251,593K – $138,264K)
= 7.66
The working capital turnover for Haverty Furniture Companies Inc has shown fluctuations over the past five years. In 2023, the working capital turnover was 7.66, which represents a decrease from the previous year's ratio of 8.61. This indicates that the company generated $7.66 in net sales revenue for every dollar of working capital invested in the business during 2023.
Comparing to the ratio in 2021, which was 10.27, the working capital turnover has declined significantly. This suggests that the company may have been less efficient in utilizing its working capital to generate sales revenue in 2023.
In 2020, the working capital turnover was 6.98, lower than the 2019 ratio of 10.37. This indicates a decrease in efficiency in utilizing working capital from 2019 to 2020.
Overall, the working capital turnover ratio for Haverty Furniture Companies Inc has shown variability over the past five years, with the highest ratio in 2021 and the lowest in 2020. It is important for the company to closely monitor and manage its working capital to ensure efficient utilization and optimal performance.
Peer comparison
Dec 31, 2023