Owens & Minor Inc (OMI)
Working capital turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 10,334,000 | 9,955,480 | 9,785,320 | 8,480,180 | 9,210,940 |
| Total current assets | US$ in thousands | 2,102,790 | 2,295,180 | 2,321,810 | 2,135,860 | 2,407,280 |
| Total current liabilities | US$ in thousands | 1,891,880 | 1,566,470 | 1,344,020 | 1,345,730 | 1,416,160 |
| Working capital turnover | 49.00 | 13.66 | 10.01 | 10.73 | 9.29 |
December 31, 2023 calculation
Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $10,334,000K ÷ ($2,102,790K – $1,891,880K)
= 49.00
The working capital turnover ratio for Owens & Minor, Inc. has shown a positive trend over the five-year period from 2019 to 2023. The ratio has increased from 9.29 in 2019 to 49.00 in 2023, indicating that the company's efficiency in generating revenue from its working capital has improved significantly.
A higher working capital turnover ratio suggests that Owens & Minor, Inc. is able to efficiently manage its working capital to support its operations and sales. This may result from effective inventory management, accounts receivable collection, and accounts payable management.
The notable improvement in the working capital turnover ratio over the years reflects positively on the company's liquidity management and operational efficiency. It indicates that Owens & Minor, Inc. has been able to leverage its working capital more effectively to generate sales and revenue, which is a key indicator of financial health and operational performance.
Peer comparison
Dec 31, 2023