IDEX Corporation (IEX)
Working capital turnover
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 3,268,800 | 3,194,800 | 3,190,000 | 3,229,000 | 3,273,900 | 3,295,700 | 3,326,300 | 3,276,200 | 3,181,900 | 3,086,000 | 2,974,019 | 2,863,866 | 2,764,802 | 2,664,824 | 2,533,918 | 2,409,220 | 2,351,646 | 2,342,821 | 2,385,954 | 2,466,804 |
| Total current assets | US$ in thousands | 1,592,700 | 1,677,800 | 1,629,500 | 1,554,500 | 1,446,300 | 1,518,200 | 1,487,900 | 1,524,500 | 1,399,300 | 1,635,000 | 1,551,300 | 1,681,300 | 1,678,000 | 1,583,360 | 1,493,690 | 1,651,140 | 1,657,230 | 1,520,750 | 1,397,250 | 1,289,070 |
| Total current liabilities | US$ in thousands | 629,700 | 564,600 | 477,400 | 460,600 | 500,300 | 487,500 | 486,600 | 491,900 | 543,600 | 506,500 | 513,800 | 468,300 | 480,000 | 469,108 | 450,359 | 377,513 | 399,058 | 409,699 | 401,307 | 366,890 |
| Working capital turnover | 3.39 | 2.87 | 2.77 | 2.95 | 3.46 | 3.20 | 3.32 | 3.17 | 3.72 | 2.73 | 2.87 | 2.36 | 2.31 | 2.39 | 2.43 | 1.89 | 1.87 | 2.11 | 2.40 | 2.67 |
December 31, 2024 calculation
Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $3,268,800K ÷ ($1,592,700K – $629,700K)
= 3.39
Working capital turnover is a financial ratio that measures how efficiently a company utilizes its working capital to generate sales revenue. Looking at the working capital turnover trend for IDEX Corporation from March 31, 2020, to December 31, 2024, we observe fluctuations in the ratio over the periods.
The working capital turnover ratio for IDEX Corporation ranged from a low of 1.87 on December 31, 2020, to a high of 3.72 on December 31, 2022, demonstrating variability in how effectively the company managed its working capital during different reporting periods.
Generally, a higher working capital turnover ratio indicates better efficiency in utilizing its working capital to generate sales. IDEX Corporation's ratio shows improvement from the low point in December 2020 to a peak in December 2022, suggesting that the company managed its working capital more efficiently during this period, likely resulting in increased sales relative to its working capital investment.
However, the ratio experienced some fluctuations in subsequent periods, indicating potential shifts in the company's working capital management practices. Overall, analyzing the working capital turnover ratio over time can provide insights into the company's operational efficiency and effectiveness in utilizing its working capital resources to drive revenue generation.
Peer comparison
Dec 31, 2024