NeoGenomics Inc (NEO)
Working capital turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 601,638 | 508,222 | 479,247 | 436,029 | 404,099 |
| Total current assets | US$ in thousands | 596,812 | 605,291 | 681,508 | 448,730 | 290,738 |
| Total current liabilities | US$ in thousands | 96,304 | 89,932 | 87,232 | 73,183 | 63,904 |
| Working capital turnover | 1.20 | 0.99 | 0.81 | 1.16 | 1.78 |
December 31, 2023 calculation
Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $601,638K ÷ ($596,812K – $96,304K)
= 1.20
Neogenomics Inc.'s working capital turnover has varied over the past five years. In 2023, the company managed to generate $1.18 in revenue for every dollar of working capital, indicating a moderate efficiency in utilizing its working capital resources. This was an improvement compared to 2022 when the working capital turnover stood at 0.99.
The trend over the years shows fluctuation in the company's efficiency in utilizing its working capital. In 2021, the working capital turnover was relatively lower at 0.81, suggesting a potential inefficiency in managing working capital during that period. The company then improved in 2020 with a working capital turnover of 1.18, similar to the figure in 2023.
However, the most efficient utilization of working capital was seen in 2019 with a working capital turnover of 1.80, indicating that the company was generating more revenue per dollar of working capital that year.
Overall, the working capital turnover ratio for Neogenomics Inc. has shown volatility over the past five years, with fluctuations in efficiency in converting working capital into revenue. The company may need to focus on maintaining a consistent level of efficiency in managing working capital to support its operational activities effectively.