Lockheed Martin Corporation (LMT)
Working capital turnover
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 71,043,000 | 71,295,000 | 71,069,000 | 69,640,000 | 67,571,000 | 67,688,000 | 67,393,000 | 66,146,000 | 65,984,000 | 64,722,000 | 64,167,000 | 65,750,000 | 67,044,000 | 66,347,000 | 66,814,000 | 66,005,000 | 65,398,000 | 64,244,000 | 62,920,000 | 61,127,000 |
| Total current assets | US$ in thousands | 21,849,000 | 23,211,000 | 22,967,000 | 22,958,000 | 20,521,000 | 23,322,000 | 24,087,000 | 22,144,000 | 20,991,000 | 20,960,000 | 20,973,000 | 20,390,000 | 19,815,000 | 21,357,000 | 20,674,000 | 20,252,000 | 19,378,000 | 20,290,000 | 19,570,000 | 19,222,000 |
| Total current liabilities | US$ in thousands | 19,420,000 | 17,810,000 | 18,493,000 | 17,699,000 | 16,937,000 | 17,193,000 | 17,704,000 | 16,982,000 | 15,887,000 | 16,347,000 | 16,479,000 | 16,047,000 | 13,997,000 | 15,026,000 | 15,242,000 | 14,717,000 | 13,933,000 | 15,201,000 | 14,888,000 | 15,652,000 |
| Working capital turnover | 29.25 | 13.20 | 15.88 | 13.24 | 18.85 | 11.04 | 10.56 | 12.81 | 12.93 | 14.03 | 14.28 | 15.14 | 11.52 | 10.48 | 12.30 | 11.93 | 12.01 | 12.62 | 13.44 | 17.12 |
December 31, 2024 calculation
Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $71,043,000K ÷ ($21,849,000K – $19,420,000K)
= 29.25
The working capital turnover ratio of Lockheed Martin Corporation has shown fluctuations over the periods provided. The ratio indicates the company's efficiency in utilizing its working capital to generate sales revenue.
From March 31, 2020, to September 30, 2021, the working capital turnover declined steadily from 17.12 to 10.48, suggesting a decrease in the company's ability to convert its working capital into sales. There was a slight rebound in the ratio in the subsequent periods.
The ratio saw a significant increase from 10.56 on June 30, 2023, to 18.85 on December 31, 2023, indicating improved efficiency in utilizing working capital to generate sales. This substantial jump may be a sign of better operational management or a strategic shift in business practices during that period.
However, the ratio dropped again in the following quarters, ending at 29.25 on December 31, 2024. This sharp increase may be due to a significant increase in sales relative to working capital investment during that period.
Overall, the fluctuations in the working capital turnover ratio suggest varying levels of efficiency in managing working capital to generate sales revenue for Lockheed Martin Corporation over the specified quarters.
See also:
Lockheed Martin Corporation Working Capital Turnover (Quarterly Data)