IPG Photonics Corporation (IPGP)

Working capital turnover

		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	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Revenue (ttm)	US$ in thousands	1,287,439	1,322,085	1,369,690	1,406,742	1,429,547	1,460,475	1,490,619	1,485,254	1,460,860	1,433,023	1,372,314	1,297,067	1,200,724	1,170,721	1,181,418	1,248,776	1,314,581	1,338,004	1,365,212	1,415,056
Total current assets	US$ in thousands	1,914,650	1,920,460	1,924,070	1,915,590	1,986,270	2,119,090	2,170,850	2,282,830	2,347,680	2,325,180	2,290,590	2,202,260	2,148,080	2,031,650	1,950,530	1,874,530	1,896,630	1,865,520	1,863,080	1,792,090
Total current liabilities	US$ in thousands	214,861	219,709	228,187	249,522	274,646	295,788	315,902	279,836	313,433	292,840	255,905	214,753	214,578	201,445	195,286	195,432	191,904	205,563	222,228	209,816
Working capital turnover		0.76	0.78	0.81	0.84	0.84	0.80	0.80	0.74	0.72	0.71	0.67	0.65	0.62	0.64	0.67	0.74	0.77	0.81	0.83	0.89

December 31, 2023 calculation

Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $1,287,439K ÷ ($1,914,650K – $214,861K)
= 0.76

The working capital turnover ratio for IPG Photonics Corp has shown some fluctuations over the past eight quarters. The ratio indicates how efficiently the company is utilizing its working capital to generate revenue.

In Q4 2023, the working capital turnover was 0.76, which decreased compared to the previous quarter. This suggests that the company generated less revenue relative to its working capital in the current quarter.

Looking at the trend over the past eight quarters, the working capital turnover ratio has ranged from 0.74 to 0.84. While there have been some fluctuations, the ratio has generally been in a relatively stable range.

It is important for IPG Photonics Corp to continually monitor and manage its working capital efficiently to ensure that it is being used effectively in generating revenue. Further analysis of the company's financial performance and operating efficiency would provide more insights into the reasons behind the fluctuations in the working capital turnover ratio.