Grand Canyon Education Inc (LOPE)

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	1,033,000	1,018,705	1,002,326	985,433	960,866	941,291	928,099	917,277	911,304	657,601	654,907	655,883	647,885	880,309	871,749	855,720	839,694	812,574	805,522	792,740
Total current assets	US$ in thousands	419,976	393,375	389,825	444,453	337,522	274,738	279,549	315,886	273,273	223,233	249,852	380,355	681,045	173,397	147,070	374,320	333,742	291,757	222,619	248,324
Total current liabilities	US$ in thousands	110,966	106,551	107,467	160,126	97,033	99,515	100,445	119,650	99,706	95,587	103,716	132,709	97,944	203,842	169,007	152,811	118,718	122,663	150,586	133,084
Working capital turnover		3.34	3.55	3.55	3.47	4.00	5.37	5.18	4.67	5.25	5.15	4.48	2.65	1.11	—	—	3.86	3.91	4.81	11.18	6.88

December 31, 2024 calculation

Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $1,033,000K ÷ ($419,976K – $110,966K)
= 3.34

Grand Canyon Education Inc's working capital turnover has shown fluctuations over the period covered in the data. The working capital turnover ratio indicates how efficiently a company is utilizing its short-term assets and liabilities to support its operations. A higher turnover ratio generally suggests better efficiency in managing working capital.

The trend of the working capital turnover for Grand Canyon Education Inc reveals some variations. From March 31, 2020, to June 30, 2020, there is a notable increase from 6.88 to 11.18, indicating a significant improvement in working capital efficiency. However, the ratio dropped to 3.91 by December 31, 2020, and continued to decline through March 31, 2021, and June 30, 2021, where data is not available.

Subsequently, there was a sharp decline to 1.11 by December 31, 2021, suggesting a potential inefficiency in utilizing working capital. The ratio gradually improved in the following quarters, reaching 5.25 by December 31, 2022. The ratio continued to show some stability between 2023 and 2024, fluctuating around the 4.00 to 5.37 range.

Overall, the working capital turnover ratio for Grand Canyon Education Inc has exhibited mixed performance, with periods of improvement and decline. Further analysis would be needed to understand the factors impacting these fluctuations and to assess the company's overall working capital management efficiency.