Kelly Services A Inc (KELYA)

Working capital turnover

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Revenue	US$ in thousands	4,834,000	4,948,800	4,905,600	4,506,800	5,355,600
Total current assets	US$ in thousands	1,626,600	1,715,200	1,588,700	1,549,600	1,405,700
Total current liabilities	US$ in thousands	1,019,900	1,128,800	1,095,200	925,600	884,100
Working capital turnover		7.97	8.44	9.94	7.22	10.27

December 31, 2023 calculation

Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $4,834,000K ÷ ($1,626,600K – $1,019,900K)
= 7.97

Kelly Services, Inc. has shown a fluctuating trend in its working capital turnover ratio over the past five years. The ratio decreased from 10.27 in 2019 to 7.24 in 2021, indicating a decrease in how efficiently the company is utilizing its working capital to generate revenue. However, there was an improvement in 2022 with a ratio of 9.95, suggesting better utilization of working capital. The ratio further decreased to 8.47 in 2023 and 7.97 in 2024. Overall, the company may need to focus on optimizing its working capital management to ensure efficient use of resources for generating revenue.