Marathon Digital Holdings Inc (MARA)
Working capital turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 656,378 | 387,508 | 117,753 | 148,894 | 4,336 |
| Total current assets | US$ in thousands | 470,373 | 1,029,800 | 277,548 | 684,236 | 286,409 |
| Total current liabilities | US$ in thousands | 95,197 | 33,758 | 26,115 | 11,250 | 1,444 |
| Working capital turnover | 1.75 | 0.39 | 0.47 | 0.22 | 0.02 |
December 31, 2024 calculation
Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $656,378K ÷ ($470,373K – $95,197K)
= 1.75
The working capital turnover ratio of Marathon Digital Holdings Inc has shown a notable improvement over the years, indicating enhanced efficiency in managing its working capital. The ratio has progressed from 0.02 in December 31, 2020, to 0.22 in December 31, 2021, and further increased to 0.47 in December 31, 2022, demonstrating a significant enhancement in how efficiently the company is utilizing its working capital.
However, there was a slight decline in the ratio to 0.39 on December 31, 2023, which may suggest a temporary dip in the efficiency of working capital management. Nonetheless, the company rebounded strongly, achieving a substantial increase in the working capital turnover ratio to 1.75 by December 31, 2024, reflecting an exceptional improvement in working capital management efficiency that year.
Overall, the trend indicates that Marathon Digital Holdings Inc has demonstrated a commendable ability to optimize its working capital, with the significant rise in the ratio highlighting the company's effectiveness in generating revenue from the resources tied up in its working capital.
Peer comparison
Dec 31, 2024