Micron Technology Inc (MU)

Working capital turnover

		Aug 29, 2024	May 30, 2024	Feb 29, 2024	Nov 30, 2023	Aug 31, 2023	Jun 1, 2023	Mar 2, 2023	Dec 1, 2022	Sep 1, 2022	Jun 2, 2022	Mar 3, 2022	Dec 2, 2021	Sep 2, 2021	Jun 3, 2021	Mar 4, 2021	Dec 3, 2020	Sep 3, 2020	May 28, 2020	Feb 27, 2020	Nov 28, 2019
Revenue (ttm)	US$ in thousands	25,154,000	20,871,000	22,897,000	20,821,000	20,261,000	22,995,000	22,873,000	26,991,000	30,516,000	32,144,000	30,916,000	29,379,000	27,545,000	25,310,000	23,319,000	21,874,000	21,286,000	20,140,000	19,514,000	20,570,000
Total current assets	US$ in thousands	24,372,000	23,319,000	23,435,000	21,058,000	21,244,000	21,734,000	21,898,000	22,921,000	21,781,000	22,708,000	21,502,000	20,191,000	19,907,000	18,561,000	17,279,000	16,529,000	17,965,000	17,899,000	15,976,000	16,167,000
Total current liabilities	US$ in thousands	9,248,000	6,840,000	6,259,000	5,962,000	4,765,000	5,104,000	5,255,000	6,525,000	7,539,000	7,009,000	6,918,000	6,512,000	6,424,000	5,462,000	5,433,000	5,688,000	6,635,000	6,185,000	5,822,000	6,317,000
Working capital turnover		1.66	1.27	1.33	1.38	1.23	1.38	1.37	1.65	2.14	2.05	2.12	2.15	2.04	1.93	1.97	2.02	1.88	1.72	1.92	2.09

August 29, 2024 calculation

Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $25,154,000K ÷ ($24,372,000K – $9,248,000K)
= 1.66

The working capital turnover ratio for Micron Technology Inc has shown fluctuations over the past few quarters, ranging from 1.23 to 2.14. This ratio measures how efficiently the company is using its working capital to generate sales revenue. With a working capital turnover ratio below 1, it indicates that the company may be inefficient in utilizing its current assets to support sales and operations.

In the recent quarters, the working capital turnover ratio has been relatively stable, hovering around 1.5 to 2.1. A higher ratio suggests that the company is effectively managing its working capital to generate sales. An increasing trend in the ratio indicates that Micron Technology Inc is improving its efficiency in using its current assets to drive sales growth.

Overall, Micron Technology Inc's working capital turnover ratio reflects a moderate level of efficiency in utilizing its working capital to generate revenue. The company should continue monitoring and optimizing its working capital management to sustain and improve its operational performance.