Nucor Corp (NUE)
Working capital turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 30,734,000 | 34,713,500 | 41,512,500 | 36,483,900 | 20,139,700 |
| Total current assets | US$ in thousands | 12,475,000 | 16,385,900 | 14,691,700 | 12,799,600 | 9,488,660 |
| Total current liabilities | US$ in thousands | 4,977,000 | 4,594,510 | 4,329,740 | 5,157,410 | 2,627,860 |
| Working capital turnover | 4.10 | 2.94 | 4.01 | 4.77 | 2.94 |
December 31, 2024 calculation
Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $30,734,000K ÷ ($12,475,000K – $4,977,000K)
= 4.10
The working capital turnover ratio for Nucor Corp has shown fluctuations over the past five years.
- In December 31, 2020, the working capital turnover was 2.94, indicating that the company generated $2.94 in revenue for every dollar of working capital invested.
- This ratio increased significantly to 4.77 by December 31, 2021, reflecting a more efficient utilization of working capital.
- By December 31, 2022, the ratio decreased slightly to 4.01, suggesting a slight decline in the efficiency of working capital management compared to the previous year.
- The ratio then dropped back to 2.94 by December 31, 2023, returning to the same level as in 2020.
- In December 31, 2024, there was a slight improvement in the ratio to 4.10, indicating a better utilization of working capital compared to the previous year.
Overall, the working capital turnover for Nucor Corp has shown variability over the years, with some fluctuations in efficiency in managing working capital. It is important for the company to assess the reasons behind these changes and strive for consistent improvement in working capital management to enhance overall financial performance.
Peer comparison
Dec 31, 2024