Kaiser Aluminum Corporation (KALU)
Working capital turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 3,053,900 | 3,385,100 | 2,537,100 | 1,133,600 | 1,473,600 |
| Total current assets | US$ in thousands | 990,200 | 1,042,600 | 1,205,400 | 1,121,400 | 779,800 |
| Total current liabilities | US$ in thousands | 370,000 | 418,700 | 456,700 | 158,300 | 170,400 |
| Working capital turnover | 4.92 | 5.43 | 3.39 | 1.18 | 2.42 |
December 31, 2023 calculation
Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $3,053,900K ÷ ($990,200K – $370,000K)
= 4.92
Kaiser Aluminum Corp's working capital turnover has shown fluctuations over the past five years. In 2023, the working capital turnover ratio was 4.98, indicating that the company generated $4.98 in revenue for every dollar of working capital invested. This was a decrease from the previous year's ratio of 5.49.
The significant improvement from 2020 to 2021, where the ratio jumped from 1.22 to 3.50, suggests more efficient management of working capital during the period. However, the ratio decreased in 2022 and 2023, indicating a potential inefficiency in working capital utilization compared to the previous year.
Overall, it is important for Kaiser Aluminum Corp to closely monitor its working capital turnover ratio to ensure optimal management of its working capital resources to generate revenue efficiently.
Peer comparison
Dec 31, 2023