Littelfuse Inc (LFUS)
Working capital turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 2,310,490 | 2,463,320 | 2,044,240 | 1,439,720 | 1,476,410 |
| Total current assets | US$ in thousands | 1,408,600 | 1,511,800 | 1,270,210 | 1,217,310 | 1,004,390 |
| Total current liabilities | US$ in thousands | 375,494 | 572,295 | 434,633 | 275,648 | 225,562 |
| Working capital turnover | 2.24 | 2.62 | 2.45 | 1.53 | 1.90 |
December 31, 2023 calculation
Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $2,310,490K ÷ ($1,408,600K – $375,494K)
= 2.24
Littelfuse Inc's working capital turnover has fluctuated over the past five years, indicating how efficiently the company is using its working capital to generate sales revenue. In 2023, the working capital turnover decreased to 2.24 from 2.62 in 2022. This suggests a reduction in the company's ability to efficiently utilize its working capital to generate sales during the year. However, it is important to note that the working capital turnover in 2023 is still higher compared to the levels in 2020 and 2019, indicating an improvement in liquidity management compared to those years. Overall, monitoring working capital turnover over time can provide insights into a company's operational efficiency and liquidity management.
Peer comparison
Dec 31, 2023