Kraft Heinz Co (KHC)
Working capital turnover
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 25,793,000 | 25,128,000 | 25,349,000 | 25,547,000 | 25,670,000 | 26,151,000 | 26,178,000 | 26,150,000 | 25,729,000 | 23,928,000 | 23,469,000 | 23,040,000 | 23,202,000 | 24,866,000 | 25,001,000 | 25,170,000 | 25,036,000 | 24,643,000 | 24,255,000 | 24,180,000 |
| Total current assets | US$ in thousands | 7,655,000 | 8,202,000 | 7,530,000 | 8,233,000 | 7,929,000 | 7,838,000 | 7,994,000 | 8,216,000 | 7,897,000 | 7,860,000 | 8,138,000 | 9,275,000 | 8,994,000 | 9,557,000 | 11,385,000 | 13,136,000 | 10,822,000 | 10,065,000 | 8,776,000 | 11,708,000 |
| Total current liabilities | US$ in thousands | 7,253,000 | 7,728,000 | 7,486,000 | 7,571,000 | 8,037,000 | 7,804,000 | 8,385,000 | 8,954,000 | 9,028,000 | 8,686,000 | 9,119,000 | 9,064,000 | 9,064,000 | 8,455,000 | 9,879,000 | 7,570,000 | 8,061,000 | 7,694,000 | 8,050,000 | 7,934,000 |
| Working capital turnover | 64.16 | 53.01 | 576.11 | 38.59 | — | 769.15 | — | — | — | — | — | 109.19 | — | 22.56 | 16.60 | 4.52 | 9.07 | 10.39 | 33.41 | 6.41 |
December 31, 2024 calculation
Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $25,793,000K ÷ ($7,655,000K – $7,253,000K)
= 64.16
The working capital turnover ratio for Kraft Heinz Co has shown significant fluctuations over the periods provided.
From March 2020 to June 2021, the company experienced a steady increase in its working capital turnover ratio, indicating an improvement in its efficiency in utilizing working capital to generate sales. However, the ratio dropped sharply in March 2021 and continued to fluctuate throughout the following periods.
The working capital turnover ratio spiked to 109.19 in March 2022, suggesting a substantial increase in efficiency in utilizing working capital to generate revenue. This spike was followed by a lack of data for the next few quarters, indicating possible reporting gaps or changes in accounting practices.
In September 2023, a remarkable surge in the working capital turnover ratio to 769.15 was observed, which may imply a significant increase in sales relative to the working capital invested. Subsequently, the ratio decreased in March 2024 but remained relatively high compared to the earlier periods, showing a positive trend in working capital efficiency.
Overall, the working capital turnover ratio for Kraft Heinz Co has displayed fluctuations, with periods of both improvement and decline. It is essential for the company to maintain a balance in efficiently utilizing its working capital to support its operations and generate optimal sales.
Peer comparison
Dec 31, 2024