Vail Resorts Inc (MTN)
Working capital turnover
| Jul 31, 2024 | Jul 31, 2023 | Jul 31, 2022 | Jul 31, 2021 | Jul 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 2,885,190 | 2,889,360 | 2,525,910 | 1,909,710 | 1,963,700 |
| Total current assets | US$ in thousands | 911,361 | 1,208,110 | 1,791,530 | 1,745,590 | 665,088 |
| Total current liabilities | US$ in thousands | 1,113,310 | 1,130,700 | 1,110,850 | 978,401 | 603,465 |
| Working capital turnover | — | 37.33 | 3.71 | 2.49 | 31.87 |
July 31, 2024 calculation
Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $2,885,190K ÷ ($911,361K – $1,113,310K)
= —
The trend of Vail Resorts Inc's working capital turnover over the past five years indicates a significant increase in efficiency in managing its working capital. The working capital turnover ratio has improved from 2.49 in July 2021 to 37.33 in July 2023, signifying a substantial enhancement in utilizing its current assets to generate revenue.
This improvement suggests that the company has been more successful in efficiently managing its working capital resources in recent years compared to the previous period. A higher working capital turnover ratio indicates that the company is generating more revenue for each dollar of working capital invested, reflecting better liquidity management and operational efficiency.
The significant rise in the working capital turnover ratio from 2.49 in July 2021 to 37.33 in July 2023 could suggest that Vail Resorts Inc has implemented more effective inventory and accounts receivable management strategies, leading to a faster turnover of its current assets. This enhanced efficiency can contribute to improved cash flow and profitability for the company.
Overall, the trend in Vail Resorts Inc's working capital turnover ratio is positive, reflecting the company's efforts to optimize its working capital utilization and operational performance, ultimately enhancing its financial health and sustainable growth prospects.
Peer comparison
Jul 31, 2024