IDEXX Laboratories Inc (IDXX)

Working capital turnover

Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Revenue US$ in thousands 3,897,500 3,660,950 3,367,320 3,215,360 2,706,660
Total current assets US$ in thousands 1,399,900 1,495,250 1,101,480 955,655 1,062,740
Total current liabilities US$ in thousands 1,067,920 951,547 1,235,800 763,579 582,761
Working capital turnover 11.74 6.73 16.74 5.64

December 31, 2024 calculation

Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $3,897,500K ÷ ($1,399,900K – $1,067,920K)
= 11.74

IDEXX Laboratories Inc's working capital turnover has exhibited fluctuations over the analyzed period. The ratio increased significantly from 5.64 in December 31, 2020 to 16.74 in December 31, 2021, reflecting a notable improvement in the company's efficiency in utilizing its working capital to generate revenue.

However, the ratio was not reported for December 31, 2022, which implies a potential data gap or reporting issue for that period. Subsequently, by December 31, 2023, the working capital turnover decreased to 6.73 before experiencing a slight recovery to 11.74 by December 31, 2024.

Overall, while the ratio demonstrates some volatility, IDEXX Laboratories Inc's working capital turnover indicates variations in the efficiency of the company's management of its working capital to support its operations and financial performance. This metric is crucial for assessing how effectively the company is utilizing its current assets to generate sales revenue. Further analysis and comparison with industry benchmarks may provide deeper insights into the company's working capital management practices.


Peer comparison

Dec 31, 2024