Marathon Digital Holdings Inc (MARA)
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 | 656,378 | 598,752 | 564,954 | 501,574 | 387,508 | 259,157 | 202,180 | 199,776 | 197,548 | 227,846 | 238,681 | 188,647 | 148,895 | 92,824 | 41,952 | 12,910 | 4,337 | 2,126 | 1,600 | 1,664 |
| Total current assets | US$ in thousands | 470,373 | 239,372 | 371,946 | 1,640,760 | 1,029,800 | 432,646 | 422,437 | 386,308 | 277,548 | 240,107 | 362,192 | 593,932 | 684,236 | 554,560 | 491,651 | 635,886 | 286,409 | 31,601 | 5,820 | 1,504 |
| Total current liabilities | US$ in thousands | 95,197 | 59,789 | 99,211 | 71,131 | 33,758 | 38,173 | 28,337 | 23,819 | 26,115 | 45,542 | 90,145 | 15,331 | 11,250 | 3,924 | 3,345 | 2,900 | 1,444 | 1,135 | 929 | 1,404 |
| Working capital turnover | 1.75 | 3.33 | 2.07 | 0.32 | 0.39 | 0.66 | 0.51 | 0.55 | 0.79 | 1.17 | 0.88 | 0.33 | 0.22 | 0.17 | 0.09 | 0.02 | 0.02 | 0.07 | 0.33 | 16.64 |
December 31, 2024 calculation
Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $656,378K ÷ ($470,373K – $95,197K)
= 1.75
The working capital turnover ratio for Marathon Digital Holdings Inc has shown significant fluctuations over the past few years. The ratio was relatively high at 16.64 as of March 31, 2020, indicating that the company was efficiently utilizing its working capital to generate revenue. However, the ratio then dropped sharply to 0.33 by June 30, 2020, suggesting a significant decrease in the efficiency of working capital utilization.
The trend continued as the ratio further decreased to 0.02 by December 31, 2020, remaining at a very low level for the subsequent quarters. This may imply inefficiencies in managing the company's working capital during this period.
From June 30, 2021, there was a gradual improvement in the working capital turnover ratio, reaching 2.07 by June 30, 2024. This substantial increase indicates that Marathon Digital Holdings Inc was able to enhance its efficiency in utilizing working capital to generate revenue during this period.
Overall, the company experienced a roller-coaster ride in terms of working capital turnover, with periods of low efficiency followed by significant improvements. It is essential for Marathon Digital Holdings Inc to maintain a healthy working capital turnover ratio to ensure optimal utilization of resources and sustainable growth in the long run.
Peer comparison
Dec 31, 2024