LCI Industries (LCII)
Working capital turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 3,784,810 | 5,207,140 | 4,472,700 | 2,796,170 | 2,371,480 |
| Total current assets | US$ in thousands | 1,116,870 | 1,390,780 | 1,566,880 | 869,801 | 670,791 |
| Total current liabilities | US$ in thousands | 394,992 | 421,300 | 627,216 | 416,394 | 271,258 |
| Working capital turnover | 5.24 | 5.37 | 4.76 | 6.17 | 5.94 |
December 31, 2023 calculation
Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $3,784,810K ÷ ($1,116,870K – $394,992K)
= 5.24
The working capital turnover ratio for LCI Industries has exhibited fluctuations over the past five years. In 2023, the ratio stood at 5.24, a slight decrease from 5.37 in 2022. It was lower than the ratio recorded in 2020 but higher than those of 2021 and 2019. This indicates that, on average, LCI Industries generated $5.24 in revenue for every dollar of working capital invested in the business in 2023. The trend suggests that the company has been effectively utilizing its working capital to generate sales revenue, although there have been variations in efficiency over the years. It would be beneficial for LCI Industries to continue monitoring and managing its working capital turnover to ensure optimal efficiency in its operations.
Peer comparison
Dec 31, 2023