Newell Brands Inc (NWL)
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 | 7,582,000 | 7,709,000 | 7,810,000 | 7,981,000 | 8,133,000 | 8,342,000 | 8,546,000 | 8,876,000 | 9,459,000 | 9,979,000 | 10,514,000 | 10,689,000 | 10,589,000 | 10,473,000 | 10,385,000 | 9,787,000 | 9,385,000 | 9,319,900 | 9,071,500 | 9,077,000 |
| Total current assets | US$ in thousands | 2,775,000 | 3,362,000 | 3,425,000 | 3,401,000 | 3,354,000 | 3,748,000 | 3,839,000 | 4,055,000 | 4,052,000 | 5,148,000 | 4,757,000 | 4,411,000 | 4,262,000 | 4,616,000 | 4,655,000 | 4,385,000 | 4,628,000 | 4,704,000 | 4,286,000 | 3,917,000 |
| Total current liabilities | US$ in thousands | 2,437,000 | 3,402,000 | 3,502,000 | 2,956,000 | 2,897,000 | 3,019,000 | 3,060,000 | 3,291,000 | 3,078,000 | 4,108,000 | 4,630,000 | 3,183,000 | 3,317,000 | 3,709,000 | 3,776,000 | 3,363,000 | 3,621,000 | 3,108,000 | 2,917,000 | 2,951,000 |
| Working capital turnover | 22.43 | — | — | 17.93 | 17.80 | 11.44 | 10.97 | 11.62 | 9.71 | 9.60 | 82.79 | 8.70 | 11.21 | 11.55 | 11.81 | 9.58 | 9.32 | 5.84 | 6.63 | 9.40 |
December 31, 2024 calculation
Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $7,582,000K ÷ ($2,775,000K – $2,437,000K)
= 22.43
The working capital turnover ratio measures how efficiently a company is able to use its working capital to generate sales. A higher turnover ratio indicates that the company is effectively managing its working capital.
Based on the data provided for Newell Brands Inc:
- The working capital turnover ratio ranged from 5.84 to 82.79 over the period from March 31, 2020, to June 30, 2022.
- The ratio showed significant volatility with large fluctuations in values, reaching a peak of 82.79 on June 30, 2022.
- Following this peak, the ratio exhibited a downward trend, stabilizing around 9-11 range in the subsequent periods.
- The most recent data from December 31, 2024, shows a spike in the working capital turnover ratio to 22.43, indicating a notable improvement in the company's efficiency in utilizing its working capital to generate sales.
Overall, the working capital turnover ratio for Newell Brands Inc has displayed fluctuations and volatility, but there seems to be a positive trend towards improvement in recent periods, potentially reflecting better management of working capital in generating sales.
Peer comparison
Dec 31, 2024