Nucor Corp (NUE)

Working capital turnover

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 Dec 31, 2019 Sep 30, 2019 Jun 30, 2019 Mar 31, 2019
Revenue (ttm) US$ in thousands 34,713,500 35,732,930 37,458,000 39,729,240 41,512,560 43,153,000 42,965,400 39,960,060 36,483,900 31,379,560 25,994,320 21,532,470 20,139,670 20,011,360 20,547,900 22,116,580 22,588,860 23,752,990 25,030,690 25,595,470
Total current assets US$ in thousands 16,385,900 15,948,900 15,290,500 14,316,400 14,691,700 14,356,500 14,033,800 14,781,400 12,799,600 12,123,800 12,055,900 10,409,100 9,488,660 8,965,850 8,634,960 7,847,250 8,226,370 8,684,290 8,467,200 8,650,340
Total current liabilities US$ in thousands 4,594,510 4,283,850 4,004,170 3,829,940 4,329,740 4,632,090 5,359,200 5,133,840 5,157,410 4,797,600 3,879,950 2,970,450 2,627,860 2,373,300 1,965,040 2,218,570 2,463,770 2,585,990 2,380,410 2,568,020
Working capital turnover 2.94 3.06 3.32 3.79 4.01 4.44 4.95 4.14 4.77 4.28 3.18 2.89 2.94 3.04 3.08 3.93 3.92 3.90 4.11 4.21

December 31, 2023 calculation

Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $34,713,500K ÷ ($16,385,900K – $4,594,510K)
= 2.94

The working capital turnover ratio for Nucor Corp. has shown a declining trend over the past eight quarters, starting at 4.14 in Q1 2022 and decreasing to 2.94 in Q4 2023. This ratio indicates how efficiently the company is utilizing its working capital to generate sales revenue. A higher ratio suggests that the company is effectively managing its working capital to support sales growth.

The decreasing trend in the working capital turnover ratio could signify inefficiencies in managing the company's working capital or a slowdown in sales relative to the working capital invested. It is important for Nucor Corp. to closely monitor and improve this ratio to ensure optimal utilization of its working capital resources.

Further analysis and comparison with industry benchmarks and competitors' ratios would provide more insights into Nucor Corp.'s working capital management performance and efficiency in generating sales from its working capital.


Peer comparison

Dec 31, 2023