Macy’s Inc (M)
Working capital turnover
| Jan 31, 2025 | Oct 31, 2024 | Jul 31, 2024 | Apr 30, 2024 | Feb 3, 2024 | Jan 31, 2024 | Oct 31, 2023 | Oct 28, 2023 | Jul 31, 2023 | Jul 29, 2023 | Apr 30, 2023 | Apr 29, 2023 | Jan 31, 2023 | Jan 28, 2023 | Oct 31, 2022 | Oct 29, 2022 | Jul 31, 2022 | Jul 30, 2022 | Apr 30, 2022 | Jan 31, 2022 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 23,006,000 | 23,374,000 | 26,846,000 | 26,788,000 | 26,826,000 | 23,731,000 | 20,636,000 | 20,771,000 | 20,906,000 | 24,152,000 | 27,455,000 | 27,749,000 | 28,043,000 | 25,321,000 | 22,572,000 | 22,644,000 | 26,106,000 | 28,955,000 | 28,774,000 | 28,487,000 |
| Total current assets | US$ in thousands | 6,479,000 | 7,246,000 | 5,707,000 | 6,262,000 | 6,089,000 | 6,089,000 | 7,070,000 | 7,070,000 | 5,271,000 | 5,271,000 | 5,855,000 | 5,855,000 | 5,853,000 | 5,853,000 | 7,348,000 | 7,348,000 | 5,516,000 | 5,516,000 | 6,233,000 | 6,758,000 |
| Total current liabilities | US$ in thousands | 4,524,000 | 5,773,000 | 3,867,000 | 4,550,000 | 4,430,000 | 4,430,000 | 6,014,000 | 6,014,000 | 4,184,000 | 4,184,000 | 4,782,000 | 4,782,000 | 4,861,000 | 4,861,000 | 6,743,000 | 6,743,000 | 4,708,000 | 4,708,000 | 5,543,000 | 5,416,000 |
| Working capital turnover | 11.77 | 15.87 | 14.59 | 15.65 | 16.17 | 14.30 | 19.54 | 19.67 | 19.23 | 22.22 | 25.59 | 25.86 | 28.27 | 25.53 | 37.31 | 37.43 | 32.31 | 35.84 | 41.70 | 21.23 |
January 31, 2025 calculation
Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $23,006,000K ÷ ($6,479,000K – $4,524,000K)
= 11.77
Working capital turnover is a financial ratio that measures how efficiently a company utilizes its working capital to generate sales revenue. A higher working capital turnover ratio indicates that the company is effectively managing its working capital to support its operations.
Analyzing Macy's Inc working capital turnover data from January 31, 2022, to January 31, 2025, reveals fluctuations in the efficiency of working capital utilization over the period. The ratio started at 21.23 on January 31, 2022, peaked at 41.70 on April 30, 2022, and then fluctuated between 19 and 37 until October 31, 2023.
From January 31, 2024, to October 31, 2024, Macy's Inc experienced a downward trend in working capital turnover, indicating a potential inefficiency in utilizing its working capital to generate sales revenue efficiently. The ratio decreased from 14.30 on January 31, 2024, to 11.77 on January 31, 2025. This decline may signal challenges in managing working capital or slower sales growth relative to working capital.
Overall, Macy's Inc should monitor its working capital turnover closely to ensure optimal efficiency in utilizing its working capital to support sustainable revenue generation. Efforts to improve working capital management can lead to increased operational effectiveness and profitability.
Peer comparison
Jan 31, 2025