McKesson Corporation (MCK)
Working capital turnover
| Mar 31, 2025 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 359,051,000 | 344,583,000 | 330,187,000 | 313,751,000 | 308,951,000 | 301,506,000 | 291,098,000 | 284,040,000 | 276,711,000 | 273,903,000 | 272,027,000 | 268,446,000 | 263,966,000 | 257,006,000 | 250,991,000 | 245,223,000 | 238,228,000 | 237,621,000 | 234,194,000 | 231,002,000 |
| Total current assets | US$ in thousands | 55,398,000 | 51,741,000 | 53,341,000 | 52,252,000 | 47,970,000 | 47,640,000 | 47,531,000 | 45,539,000 | 44,292,000 | 44,657,000 | 46,448,000 | 45,383,000 | 46,231,000 | 46,498,000 | 45,580,000 | 43,350,000 | 45,382,000 | 42,368,000 | 42,345,000 | 38,682,000 |
| Total current liabilities | US$ in thousands | 61,604,000 | 58,562,000 | 58,771,000 | 56,434,000 | 52,357,000 | 51,661,000 | 51,147,000 | 48,422,000 | 47,957,000 | 48,006,000 | 48,357,000 | 47,201,000 | 48,466,000 | 47,452,000 | 46,075,000 | 43,835,000 | 44,103,000 | 41,930,000 | 42,724,000 | 38,600,000 |
| Working capital turnover | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | 186.26 | 542.51 | — | 2,817.10 |
March 31, 2025 calculation
Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $359,051,000K ÷ ($55,398,000K – $61,604,000K)
= —
The working capital turnover ratio is a measure of how efficiently a company is utilizing its working capital to generate sales. It indicates the number of times a company's working capital is turned over in a given period.
Based on the provided data for McKesson Corporation, we observe the following values for the working capital turnover ratio over the specified periods:
- June 30, 2020: 2,817.10
- September 30, 2020: Not available
- December 31, 2020: 542.51
- March 31, 2021: 186.26
From the available data, it is evident that there was a significant decrease in the working capital turnover ratio from June 30, 2020, to March 31, 2021. This decline could be indicative of a decrease in sales relative to the level of working capital during this period.
However, the lack of data for the subsequent periods (from June 30, 2021 to March 31, 2025) restricts a more comprehensive analysis of the trend in the working capital turnover ratio over time. Additional data points would be necessary to assess any potential improvements or deteriorations in McKesson Corporation's efficiency in converting working capital into sales in those periods.
Overall, the working capital turnover ratio provides valuable insight into the operational efficiency of a company, and a consistent monitoring of this ratio can help management assess and optimize the utilization of working capital resources.
Peer comparison
Mar 31, 2025
See also:
McKesson Corporation Working Capital Turnover (Quarterly Data)