Kirby Corporation (KEX)

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	3,047,864	2,978,815	2,959,644	2,883,549	2,748,750	2,612,051	2,466,984	2,328,190	2,210,984	2,118,857	2,025,957	2,015,773	2,171,408	2,337,579	2,507,821	2,737,704	2,838,399	2,903,965	2,942,001	2,973,630
Total current assets	US$ in thousands	1,135,160	1,195,570	1,168,660	1,200,370	1,211,760	1,126,380	1,052,260	1,015,330	1,003,860	978,591	963,143	958,517	1,047,970	1,060,720	1,078,310	1,368,010	917,579	958,533	1,054,260	1,118,250
Total current liabilities	US$ in thousands	675,795	635,852	656,297	614,788	642,197	570,561	541,372	513,835	543,772	512,197	498,222	453,443	466,032	450,065	478,696	496,332	514,115	516,991	526,033	582,724
Working capital turnover		6.63	5.32	5.78	4.92	4.83	4.70	4.83	4.64	4.81	4.54	4.36	3.99	3.73	3.83	4.18	3.14	7.04	6.58	5.57	5.55

December 31, 2023 calculation

Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $3,047,864K ÷ ($1,135,160K – $675,795K)
= 6.63

The working capital turnover of Kirby Corp. has shown a fluctuating trend over the past eight quarters, with values ranging from 4.71 to 6.73. This ratio measures the company's efficiency in utilizing its working capital to generate sales revenue. A higher working capital turnover indicates that Kirby Corp. is effectively managing its working capital to support its sales activities.

The most recent value of 6.73 in Q4 2023 is the highest among the reported quarters, suggesting an improvement in the company's ability to generate revenue relative to its working capital. This could be a positive sign of efficient working capital management and potentially increasing sales volume or turnover.

On the other hand, there are fluctuations in the working capital turnover ratios between quarters, indicating varying levels of efficiency in utilizing working capital. Kirby Corp. should continue to monitor and potentially optimize its working capital management practices to ensure sustained efficiency in generating sales revenue.

Overall, the upward trend in the working capital turnover ratio over the quarters signifies an improvement in Kirby Corp.'s working capital management and its ability to convert working capital into revenue, which is a positive indicator for the company's operational efficiency.