Koppers Holdings Inc (KOP)
Working capital turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 2,083,200 | 1,935,700 | 1,638,100 | 1,620,200 | 1,710,300 |
| Total current assets | US$ in thousands | 699,000 | 636,800 | 628,100 | 564,500 | 519,500 |
| Total current liabilities | US$ in thousands | 325,900 | 324,000 | 285,700 | 292,100 | 296,200 |
| Working capital turnover | 5.58 | 6.19 | 4.78 | 5.95 | 7.66 |
December 31, 2023 calculation
Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $2,083,200K ÷ ($699,000K – $325,900K)
= 5.58
The working capital turnover ratio for Koppers Holdings Inc has fluctuated over the past five years. In 2023, the ratio was 5.77, which indicates that the company generated $5.77 in revenue for every $1 of working capital invested. This was a decrease from 2022 when the ratio was 6.33.
The downward trend in the working capital turnover from 2022 to 2023 may suggest that the company's efficiency in utilizing its working capital to generate revenue declined during this period. However, it is important to note that the ratio in 2023 was still higher than in 2021 (4.90) and 2020 (6.13).
Comparing the current ratio with the one in 2019 (7.94), we see a significant decline over the five-year period. This could imply a potential decline in operational efficiency or changes in the company's working capital management strategies.
Overall, the working capital turnover ratio for Koppers Holdings Inc has shown variability over the years, and further analysis of the company's financial performance and operational efficiency may be needed to fully understand the factors driving these fluctuations.
Peer comparison
Dec 31, 2023