LCI Industries (LCII)
Working capital turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 3,741,210 | 3,784,810 | 5,207,140 | 4,472,700 | 2,796,170 |
| Total current assets | US$ in thousands | 1,160,240 | 1,116,870 | 1,390,780 | 1,566,880 | 869,801 |
| Total current liabilities | US$ in thousands | 412,053 | 394,992 | 421,300 | 627,216 | 416,394 |
| Working capital turnover | 5.00 | 5.24 | 5.37 | 4.76 | 6.17 |
December 31, 2024 calculation
Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $3,741,210K ÷ ($1,160,240K – $412,053K)
= 5.00
The working capital turnover of LCI Industries has shown a fluctuating trend over the past five years. Starting at 6.17 in December 31, 2020, it decreased to 4.76 by December 31, 2021, indicating a decline in the efficiency of utilizing working capital to generate sales. However, there was a subsequent improvement, with the ratio increasing to 5.37 by December 31, 2022, before declining again to 5.24 by December 31, 2023, and further to 5.00 by December 31, 2024.
Overall, the working capital turnover ratio for LCI Industries has remained relatively healthy, showing that the company is efficiently managing its working capital to generate sales. However, management should continue monitoring this ratio to ensure optimal utilization of working capital resources in the future.
Peer comparison
Dec 31, 2024