IQVIA Holdings Inc (IQV)
Working capital turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 14,308,000 | 14,004,000 | 13,470,000 | 10,935,000 | 10,616,000 |
| Total current assets | US$ in thousands | 5,596,000 | 4,981,000 | 4,763,000 | 5,090,000 | 4,126,000 |
| Total current liabilities | US$ in thousands | 6,491,000 | 5,578,000 | 5,241,000 | 4,558,000 | 3,945,000 |
| Working capital turnover | — | — | — | 20.55 | 58.65 |
December 31, 2023 calculation
Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $14,308,000K ÷ ($5,596,000K – $6,491,000K)
= —
Based on the provided data, it can be observed that IQVIA Holdings Inc's working capital turnover for the years ending December 31, 2019, and 2020 was 61.26 and 21.35, respectively. Working capital turnover indicates the efficiency with which a company utilizes its working capital to generate revenue.
The significant decrease in working capital turnover from 61.26 in 2019 to 21.35 in 2020 suggests a decline in the company's ability to convert its current assets and liabilities into revenue. This could indicate inefficiencies in managing working capital or a decrease in sales generated from working capital investments.
Unfortunately, without the data for 2021, 2022, and 2023, it is challenging to provide a detailed trend analysis. However, the downward trend from 2019 to 2020 raises concerns about the company's working capital management efficiency and its potential impact on revenue generation. Further analysis with additional data from the following years would be needed to assess whether this trend has continued or if there have been improvements in working capital turnover.
Peer comparison
Dec 31, 2023