Lockheed Martin Corporation (LMT)
Working capital turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 71,043,000 | 67,571,000 | 65,984,000 | 67,044,000 | 65,398,000 |
| Total current assets | US$ in thousands | 21,849,000 | 20,521,000 | 20,991,000 | 19,815,000 | 19,378,000 |
| Total current liabilities | US$ in thousands | 19,420,000 | 16,937,000 | 15,887,000 | 13,997,000 | 13,933,000 |
| Working capital turnover | 29.25 | 18.85 | 12.93 | 11.52 | 12.01 |
December 31, 2024 calculation
Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $71,043,000K ÷ ($21,849,000K – $19,420,000K)
= 29.25
Lockheed Martin Corporation's working capital turnover has shown a positive trend over the years, indicating efficient management of its working capital. The ratio increased from 12.01 in 2020 to 29.25 in 2024. This implies that the company generated $29.25 in revenue for every dollar of working capital invested in its operations by the end of 2024. The significant increase in working capital turnover suggests that Lockheed Martin has been able to effectively leverage its working capital to drive sales and operational activities, leading to improved financial performance and efficiency in utilizing its resources.