Monster Beverage Corp (MNST)

Working capital turnover

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Revenue	US$ in thousands	7,079,410	6,273,310	5,542,050	4,587,750	4,196,920
Total current assets	US$ in thousands	5,589,000	4,764,900	4,682,110	3,140,960	2,316,310
Total current liabilities	US$ in thousands	1,161,690	1,001,980	965,076	749,988	661,097
Working capital turnover		1.60	1.67	1.49	1.92	2.54

December 31, 2023 calculation

Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $7,079,410K ÷ ($5,589,000K – $1,161,690K)
= 1.60

The working capital turnover of Monster Beverage Corp. has shown a decreasing trend over the past five years, with values of 1.61 in 2023, 1.68 in 2022, 1.49 in 2021, 1.92 in 2020, and 2.54 in 2019. This indicates that the company is becoming less efficient in generating sales revenue from its working capital. A lower working capital turnover ratio may suggest that Monster Beverage Corp. is taking longer to convert its working capital into sales, which could be a sign of potential inefficiency in its operations or inventory management. It is important for the company to monitor and improve its working capital turnover to enhance its overall operational efficiency and financial performance.