LyondellBasell Industries NV (LYB)

Working capital turnover

		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	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Revenue (ttm)	US$ in thousands	41,107,000	41,384,000	43,009,000	47,541,000	50,451,000	53,075,000	53,525,000	50,248,000	46,173,000	41,280,000	35,356,000	29,341,000	27,753,000	27,995,000	29,941,000	33,443,000	34,727,000	35,424,000	36,857,000	38,015,000
Total current assets	US$ in thousands	13,152,000	13,228,000	12,693,000	12,024,000	11,845,000	12,328,000	12,845,000	13,291,000	12,217,000	13,986,000	12,897,000	11,964,000	11,634,000	10,759,000	10,477,000	9,692,000	9,510,000	9,630,000	11,088,000	10,286,000
Total current liabilities	US$ in thousands	7,150,000	7,000,000	7,017,000	6,513,000	6,760,000	7,634,000	7,653,000	7,539,000	7,230,000	7,408,000	6,595,000	6,875,000	5,502,000	4,782,000	4,435,000	5,521,000	5,198,000	7,388,000	7,538,000	7,012,000
Working capital turnover		6.85	6.64	7.58	8.63	9.92	11.31	10.31	8.74	9.26	6.28	5.61	5.77	4.53	4.68	4.96	8.02	8.05	15.80	10.38	11.61

December 31, 2023 calculation

Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $41,107,000K ÷ ($13,152,000K – $7,150,000K)
= 6.85

The working capital turnover of LyondellBasell Industries NV has shown fluctuations over the past eight quarters. The company's working capital turnover ratio peaked at 11.31 in Q3 2022 and has been gradually decreasing since then. In Q4 2023, the working capital turnover ratio was at 6.85, indicating that the company generated $6.85 in revenue for every dollar of working capital invested during that period.

The decreasing trend in the working capital turnover ratio could suggest that the company is becoming less efficient in managing its working capital to support its revenue generation. A lower ratio may indicate that the company is tying up more capital in its operations than necessary or is facing challenges in converting its working capital into revenue.

It is important for LyondellBasell Industries NV to closely monitor its working capital turnover and take steps to improve efficiency in managing its working capital to better support its revenue generation activities in the future.