Ligand Pharmaceuticals Incorporated (LGND)
Working capital turnover
Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
---|---|---|---|---|---|---|
Revenue | US$ in thousands | 167,133 | 131,314 | 196,245 | 277,133 | 186,419 |
Total current assets | US$ in thousands | 331,559 | 237,429 | 263,601 | 464,751 | 500,559 |
Total current liabilities | US$ in thousands | 37,112 | 16,782 | 98,810 | 41,665 | 100,111 |
Working capital turnover | 0.57 | 0.60 | 1.19 | 0.66 | 0.47 |
December 31, 2024 calculation
Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $167,133K ÷ ($331,559K – $37,112K)
= 0.57
The working capital turnover ratio for Ligand Pharmaceuticals Incorporated has shown fluctuations over the past five years. The ratio increased from 0.47 in 2020 to 1.19 in 2022, indicating an improvement in the company's efficiency in utilizing its working capital to generate sales. However, there was a significant decline in 2023, where the ratio dropped to 0.60 and remained relatively stable at 0.57 in 2024.
Overall, the company has demonstrated varying effectiveness in managing its working capital over the years. It is crucial for Ligand Pharmaceuticals to closely monitor its working capital turnover ratio to ensure optimal utilization of resources and efficient operations.
Peer comparison
Dec 31, 2024