JB Hunt Transport Services Inc (JBHT)

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 12,747,130 13,119,770 13,793,300 14,499,970 14,784,890 14,626,330 13,934,470 13,006,090 12,117,390 11,371,780 10,700,040 9,936,910 9,599,420 9,312,090 9,202,630 9,316,330 9,123,180 8,990,700 8,838,860 8,721,150
Total current assets US$ in thousands 2,084,910 1,970,170 2,137,580 1,988,930 2,211,780 2,152,420 2,281,920 2,269,800 2,313,370 2,265,150 2,209,300 2,132,000 1,842,120 1,728,600 1,544,700 1,397,970 1,481,300 1,383,460 1,384,360 1,438,160
Total current liabilities US$ in thousands 1,779,420 1,779,080 1,768,520 1,703,580 1,568,230 1,500,720 1,870,060 1,784,730 1,729,600 1,644,630 1,228,360 1,166,400 1,084,800 1,095,420 970,682 909,376 1,035,770 1,075,020 1,061,520 998,239
Working capital turnover 41.73 68.66 37.37 50.81 22.97 22.44 33.83 26.81 20.76 18.33 10.91 10.29 12.68 14.71 16.03 19.07 20.48 29.15 27.38 19.82

December 31, 2023 calculation

Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $12,747,130K ÷ ($2,084,910K – $1,779,420K)
= 41.73

The working capital turnover for J.B. Hunt Transport Services, Inc. has shown fluctuations over the past eight quarters. In Q3 2023, the company achieved a significantly high working capital turnover of 68.95, indicating that it generated $68.95 in revenue for each dollar of working capital invested. This was a substantial improvement from the previous quarter and the highest value in the dataset.

However, this strong performance was followed by a dip in Q4 2023, where the working capital turnover decreased to 42.00. Although lower than the previous quarter, this value is still relatively high and indicates efficient utilization of working capital.

Looking at the trend over the eight quarters, it is evident that the company has been able to maintain working capital turnover above 30 in most quarters, showing a consistent ability to generate revenue relative to its working capital investment. This indicates a strong operational efficiency in utilizing its working capital resources to drive revenue generation.

Overall, the analysis of the working capital turnover suggests that J.B. Hunt Transport Services, Inc. has been effectively managing its working capital to generate revenue, with fluctuations in performance observed over the quarters but with a generally positive trend.