Intuit Inc (INTU)

Working capital turnover

		Jul 31, 2025	Jul 31, 2024	Jul 31, 2023	Jul 31, 2022	Jul 31, 2021
Revenue	US$ in thousands	18,831,000	16,285,000	14,368,000	12,726,000	9,633,000
Total current assets	US$ in thousands	14,107,000	9,678,000	5,557,000	5,047,000	5,157,000
Total current liabilities	US$ in thousands	10,370,000	7,491,000	3,790,000	3,630,000	2,655,000
Working capital turnover		5.04	7.45	8.13	8.98	3.85

July 31, 2025 calculation

Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $18,831,000K ÷ ($14,107,000K – $10,370,000K)
= 5.04

The analysis of Intuit Inc.'s working capital turnover ratios over the period from July 31, 2021, to July 31, 2025, reveals notable fluctuations and a general trend towards stabilization, albeit with some declines toward the most recent years.

In the fiscal year ending July 31, 2021, the working capital turnover ratio was 3.85. This figure indicates that for each dollar of working capital, the company generated approximately 3.85 dollars in sales, reflecting its efficiency in utilizing working capital to support revenue.

The subsequent year, ending July 31, 2022, experienced a substantial increase, with the ratio rising to 8.98. This significant boost suggests an improvement in the company's efficiency, as it was able to generate nearly 9 dollars in sales per dollar of working capital, possibly attributable to operational improvements, increased sales efficiency, or better working capital management.

However, in the following year, the ratio declined slightly to 8.13, indicating a modest reduction in the efficiency of working capital utilization. Despite this decline, the ratio remained high compared to the 2021 level, maintaining robust operational efficiency.

Moving into the fiscal year ending July 31, 2023, a downward trend persisted, with the ratio further decreasing to 7.45. While lower than the peak in 2022, it still represented a relatively efficient use of working capital, suggesting some easing in efficiency or increased working capital reserves.

The most recent data, from July 31, 2024, shows a continued decline to 5.04. This downward trend indicates a decrease in efficiency, implying the company generated fewer sales per dollar of working capital compared to previous years. The decline could be due to various factors, such as investments in growth initiatives, increased working capital for strategic reasons, or changes in working capital management practices.

As of July 31, 2025, the working capital turnover ratio further decreased to 5.04, marking a slight improvement from the previous year but still significantly lower than the peak in 2022. This trend suggests a continued reduction in operational efficiency concerning working capital utilization or strategic shifts affecting working capital levels.

Overall, the data indicates that Intuit Inc. experienced a sharp increase in working capital efficiency from 2021 to 2022, followed by a phased decline in subsequent years, which reflects adjustments in operational strategies, working capital management, or economic conditions influencing the company’s working capital environment.