KBR Inc (KBR)
Working capital turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 6,834,000 | 6,496,000 | 7,249,000 | 5,767,000 | 5,639,000 |
| Total current assets | US$ in thousands | 1,651,000 | 1,747,000 | 2,152,000 | 1,634,000 | 2,011,000 |
| Total current liabilities | US$ in thousands | 1,572,000 | 1,821,000 | 1,875,000 | 1,455,000 | 1,501,000 |
| Working capital turnover | 86.51 | — | 26.17 | 32.22 | 11.06 |
December 31, 2023 calculation
Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $6,834,000K ÷ ($1,651,000K – $1,572,000K)
= 86.51
The working capital turnover for KBR Inc has shown varying trends over the past five years. In 2019, the working capital turnover was at 11.06, indicating that the company generated $11.06 in revenue for every dollar of working capital invested during that period.
Over the next two years, there was a significant increase in the working capital turnover ratio, reaching 32.22 in 2020 and further increasing to 26.17 in 2021. These improvements suggest that KBR Inc became more efficient in utilizing its working capital to generate revenue during this period.
In 2022, the working capital turnover ratio data is missing, but in 2023, it surged to 86.51, which is significantly higher than the ratios in the preceding years. This spike could indicate a potential increase in sales relative to the working capital employed, reflecting better efficiency in managing working capital.
Overall, the trend in the working capital turnover ratio for KBR Inc shows fluctuations but generally indicates an improvement in the company's ability to generate revenue from its working capital over the past five years. However, further analysis and comparison with industry averages may provide a more comprehensive understanding of the company's financial efficiency.
Peer comparison
Dec 31, 2023