NV5 Global Inc (NVEE)
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 | 1,259,381 | 1,179,473 | 1,145,347 | 1,121,586 | 1,126,509 | 1,091,459 | 1,072,465 | 1,048,555 | 1,010,092 | 967,430 | 949,570 | 930,193 | 941,447 | 619,405 | 583,798 | 552,757 | 507,709 | 490,455 | 463,578 | 439,429 |
| Total current assets | US$ in thousands | 329,064 | 349,586 | 305,630 | 301,685 | 290,676 | 314,456 | 291,026 | 308,323 | 303,970 | 348,106 | 316,744 | 282,898 | 288,876 | 279,728 | 285,171 | 258,451 | 251,200 | 194,833 | 204,052 | 183,316 |
| Total current liabilities | US$ in thousands | 159,419 | 193,610 | 166,529 | 168,727 | 160,894 | 163,874 | 156,228 | 152,862 | 163,951 | 135,805 | 134,198 | 136,331 | 136,186 | 113,334 | 119,236 | 109,389 | 114,358 | 80,182 | 76,618 | 72,968 |
| Working capital turnover | 7.42 | 7.56 | 8.23 | 8.44 | 8.68 | 7.25 | 7.96 | 6.74 | 7.21 | 4.56 | 5.20 | 6.35 | 6.17 | 3.72 | 3.52 | 3.71 | 3.71 | 4.28 | 3.64 | 3.98 |
December 31, 2023 calculation
Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $1,259,381K ÷ ($329,064K – $159,419K)
= 7.42
The working capital turnover for NV5 Global Inc has shown fluctuating trends over the past few quarters, indicating changes in the efficiency of the company in utilizing its working capital to generate sales.
In the most recent quarter, ending on December 31, 2023, the working capital turnover ratio was 7.42, slightly lower than the preceding quarter. This suggests that the company generated $7.42 in revenue for every dollar of working capital invested during that period.
Looking back over the past year, the working capital turnover ratio has ranged from a low of 3.52 in March 2020 to a high of 8.68 in December 2022, with generally increasing trends until recent quarters. This improvement can imply better management of working capital or increased sales efficiency.
It is important to note the significant increase in working capital turnover from Q1 2021 to Q2 2021, indicating a substantial improvement in efficiency during that period. However, the ratio declined in Q3 2021 before showing a general upward trend until the most recent quarter.
Overall, NV5 Global Inc has demonstrated varying levels of efficiency in utilizing its working capital to generate sales, with some quarters showing stronger performance than others. The company should continue to monitor and potentially optimize its working capital management to sustain or improve its working capital turnover ratio in the future.
Peer comparison
Dec 31, 2023