John Bean Technologies Corporation (JBT)
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 | 1,838,500 | 1,950,600 | 2,102,600 | 2,220,900 | 2,166,100 | 2,064,200 | 1,983,800 | 1,905,300 | 1,853,500 | 1,838,100 | 1,765,500 | 1,701,500 | 1,727,800 | 1,833,900 | 1,904,100 | 1,985,900 | 1,945,700 | 1,937,500 | 1,930,000 | 1,928,000 |
| Total current assets | US$ in thousands | 1,100,200 | 1,091,600 | 886,800 | 866,200 | 926,500 | 874,400 | 806,900 | 777,100 | 718,700 | 664,400 | 778,100 | 597,400 | 616,100 | 634,500 | 640,200 | 703,000 | 708,200 | 725,100 | 715,400 | 626,800 |
| Total current liabilities | US$ in thousands | 484,400 | 584,300 | 610,000 | 618,300 | 624,000 | 619,200 | 606,700 | 595,900 | 549,900 | 502,800 | 478,900 | 469,400 | 457,500 | 434,600 | 412,300 | 412,100 | 474,500 | 472,800 | 484,000 | 453,500 |
| Working capital turnover | 2.99 | 3.85 | 7.60 | 8.96 | 7.16 | 8.09 | 9.91 | 10.51 | 10.98 | 11.37 | 5.90 | 13.29 | 10.89 | 9.17 | 8.35 | 6.83 | 8.33 | 7.68 | 8.34 | 11.13 |
December 31, 2023 calculation
Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $1,838,500K ÷ ($1,100,200K – $484,400K)
= 2.99
Working capital turnover measures the efficiency of a company in utilizing its working capital to generate sales revenue. A higher working capital turnover ratio indicates that a company is able to generate more sales revenue with less investment in working capital.
Analyzing John Bean Technologies Corp's working capital turnover over the past quarters, we observe fluctuating ratios. In Q4 2023, the working capital turnover was 2.70, which means that for every dollar invested in working capital, the company generated $2.70 in sales revenue. This ratio increased in Q3 and Q2 2023 to 3.86 and 7.63 respectively, indicating improved efficiency in utilizing working capital to drive sales.
However, a significant jump was seen in Q1 2023, with a working capital turnover of 8.98, which suggests a substantial increase in sales generated per unit of working capital invested. This trend continued in Q4 2022, Q3 2022, Q2 2022, and Q1 2022, with working capital turnover ratios of 8.72, 8.09, 9.92, and 10.59, respectively.
Overall, despite some fluctuations, John Bean Technologies Corp has shown a consistent ability to efficiently utilize its working capital to generate sales revenue, with a general trend of improving efficiency over the quarters analyzed. This indicates effective management of working capital resources to drive business operations and revenue generation.
Peer comparison
Dec 31, 2023