Match Group Inc (MTCH)
Working capital turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 3,479,370 | 3,364,500 | 3,188,840 | 2,983,280 | 2,391,270 |
| Total current assets | US$ in thousands | 1,397,760 | 1,271,310 | 882,385 | 1,218,250 | 1,020,210 |
| Total current liabilities | US$ in thousands | 549,461 | 531,768 | 556,354 | 1,168,300 | 500,036 |
| Working capital turnover | 4.10 | 4.55 | 9.78 | 59.73 | 4.60 |
December 31, 2024 calculation
Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $3,479,370K ÷ ($1,397,760K – $549,461K)
= 4.10
Based on the provided data, Match Group Inc's working capital turnover has varied significantly over the years. In 2020, the working capital turnover was 4.60, indicating that the company generated $4.60 in revenue for each dollar of working capital invested.
The ratio saw a substantial increase to 59.73 in 2021, suggesting a much more efficient utilization of working capital to generate revenue. However, this sharp increase could also indicate potential liquidity or efficiency issues, potentially worth investigating further.
In 2022, the working capital turnover decreased to 9.78, still significantly higher than the 2020 level but lower than the peak in 2021. The ratio decreased further in 2023 to 4.55 and then slightly to 4.10 in 2024.
Overall, the working capital turnover ratio for Match Group Inc has shown some volatility over the years, indicating fluctuations in the company's efficiency in utilizing working capital to generate revenue. It would be beneficial for stakeholders to monitor this ratio closely to assess the company's financial performance and management of working capital.
Peer comparison
Dec 31, 2024