Oshkosh Corporation (OSK)

Working capital turnover

		Dec 31, 2023	Dec 31, 2022	Sep 30, 2021	Sep 30, 2020	Sep 30, 2019
Revenue	US$ in thousands	9,608,800	8,231,100	7,695,300	6,803,800	8,333,600
Total current assets	US$ in thousands	4,480,800	4,532,100	4,562,000	3,535,800	3,408,300
Total current liabilities	US$ in thousands	3,089,600	2,428,600	2,151,700	1,585,100	1,741,900
Working capital turnover		6.91	3.91	3.19	3.49	5.00

December 31, 2023 calculation

Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $9,608,800K ÷ ($4,480,800K – $3,089,600K)
= 6.91

The working capital turnover of Oshkosh Corp has exhibited fluctuations over the past five years. The ratio indicates how efficiently the company is using its working capital to generate sales revenue. A higher working capital turnover signifies better efficiency in utilizing current assets to support its operations.

From the data provided:
- In 2023, the working capital turnover ratio increased to 6.94 from 3.94 in 2022, indicating a significant improvement in the company's ability to generate sales from its working capital.
- In 2022, there was a decrease in the ratio compared to the previous year 2021, showing a decline in the company's efficiency in utilizing its working capital.
- The ratio was relatively stable from 2020 to 2021, indicating consistent performance in working capital management during those years.
- In 2019, Oshkosh Corp had the highest working capital turnover ratio of 5.03 among the provided years, indicating a high level of efficiency in utilizing working capital to drive sales revenue.

Overall, Oshkosh Corp's working capital turnover has shown fluctuations over the years, with a notable improvement in 2023 compared to the previous year. Monitoring this ratio can provide insights into the company's operational efficiency and effectiveness in managing its working capital resources.