NeoGenomics Inc (NEO)

Working capital turnover

		Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020
Revenue (ttm)	US$ in thousands	660,566	644,118	628,248	610,663	591,643	574,796	551,624	529,779	509,728	496,755	489,313	485,965	484,329	484,594	488,698	453,951	444,448	425,319	404,547	419,283
Total current assets	US$ in thousands	596,019	590,241	584,203	573,896	596,812	586,950	584,720	584,996	605,291	603,360	622,260	651,100	681,508	709,930	721,795	942,732	448,730	422,375	419,000	215,442
Total current liabilities	US$ in thousands	301,241	296,406	289,959	76,710	96,304	92,926	94,848	86,606	89,932	85,003	82,670	82,070	87,232	92,737	99,131	67,750	73,183	64,612	61,700	67,649
Working capital turnover		2.24	2.19	2.14	1.23	1.18	1.16	1.13	1.06	0.99	0.96	0.91	0.85	0.81	0.79	0.78	0.52	1.18	1.19	1.13	2.84

December 31, 2024 calculation

Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $660,566K ÷ ($596,019K – $301,241K)
= 2.24

NeoGenomics Inc's working capital turnover has witnessed fluctuations over the past few years.

The working capital turnover ratio measures how efficiently a company is utilizing its working capital to generate sales revenue. A higher ratio indicates better efficiency in managing working capital.

According to the data provided, NeoGenomics Inc's working capital turnover ratio declined significantly from 2.84 on March 31, 2020, to 0.52 on March 31, 2021. This sharp decrease suggests a potential issue with managing working capital during that period.

However, the company made some improvements as the ratio gradually increased over the subsequent quarters, reaching 2.24 by December 31, 2024. This upward trend indicates that NeoGenomics Inc was able to enhance its working capital efficiency and generate more revenue using its working capital during this period.

Overall, the fluctuations in NeoGenomics Inc's working capital turnover ratio suggest varying levels of efficiency in managing working capital, but the upward trend in recent quarters is a positive sign for the company's operational efficiency.