nVent Electric PLC (NVT)
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 | 3,289,100 | 3,398,100 | 3,474,900 | 3,397,600 | 3,263,600 | 3,144,000 | 3,030,400 | 2,954,900 | 2,909,000 | 2,836,400 | 2,734,000 | 2,607,800 | 2,462,000 | 2,314,200 | 2,180,700 | 2,026,600 | 1,998,600 | 2,044,100 | 2,094,600 | 2,186,900 |
| Total current assets | US$ in thousands | 1,389,300 | 1,418,700 | 1,422,700 | 1,373,900 | 1,336,100 | 1,299,900 | 1,296,100 | 1,251,800 | 1,229,200 | 1,212,800 | 1,068,300 | 964,900 | 911,500 | 889,700 | 902,500 | 799,000 | 764,400 | 816,000 | 883,100 | 885,800 |
| Total current liabilities | US$ in thousands | 801,600 | 776,200 | 654,100 | 690,300 | 733,600 | 659,400 | 620,600 | 601,300 | 649,500 | 645,000 | 612,100 | 588,300 | 636,300 | 571,200 | 535,800 | 463,800 | 450,000 | 409,900 | 386,200 | 409,200 |
| Working capital turnover | 5.60 | 5.29 | 4.52 | 4.97 | 5.42 | 4.91 | 4.49 | 4.54 | 5.02 | 5.00 | 5.99 | 6.92 | 8.95 | 7.27 | 5.95 | 6.05 | 6.36 | 5.03 | 4.22 | 4.59 |
December 31, 2024 calculation
Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $3,289,100K ÷ ($1,389,300K – $801,600K)
= 5.60
nVent Electric PLC's working capital turnover has shown fluctuations over the analyzed periods. The ratio indicates how efficiently the company is using its working capital to generate sales revenue.
- nVent Electric PLC's working capital turnover ranged from a low of 4.22 in June 2020 to a high of 8.95 in December 2021.
- The ratio generally increased from 2020 to 2021, peaking in December 2021, which may indicate an improvement in the company's ability to convert working capital into sales.
- However, the ratio experienced a decline in the following periods, dropping to 4.49 in June 2023.
- Although there were fluctuations, the ratio generally remained above 4, indicating that nVent Electric PLC effectively utilized its working capital to support its operations and generate revenue.
- Investors and stakeholders should track this ratio over time to assess the effectiveness of the company's working capital management.
Peer comparison
Dec 31, 2024