Phibro Animal Health Corporation (PAHC)

Working capital turnover

Jun 30, 2025 Jun 30, 2024 Jun 30, 2023 Jun 30, 2022 Jun 30, 2021
Revenue US$ in thousands 1,296,220 1,017,680 977,889 942,300 833,350
Total current assets US$ in thousands 810,606 600,997 585,723 566,232 498,909
Total current liabilities US$ in thousands 293,473 204,148 176,000 190,832 164,116
Working capital turnover 2.51 2.56 2.39 2.51 2.49

June 30, 2025 calculation

Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $1,296,220K ÷ ($810,606K – $293,473K)
= 2.51

The working capital turnover ratios for Phibro Animal Health Corporation over the specified periods indicate a generally stable efficiency in utilizing working capital to generate sales. As of June 30, 2021, the ratio was 2.49, reflecting a solid level of sales generated per unit of working capital. This ratio experienced a slight increase in 2022 to 2.51, suggesting a marginal improvement in the company's efficiency in converting working capital into sales. However, in 2023, the ratio declined to 2.39, indicating a reduction in this efficiency metric, potentially due to increased working capital levels or a decrease in sales productivity relative to working capital. Subsequently, the ratio recovered slightly in 2024 to 2.56, surpassing previous levels, which may suggest improved operational efficiency or better management of working capital relative to sales. By June 2025, the ratio settled at 2.51, aligning closely with the 2022 level, implying consistency in the company's operational efficiency in terms of working capital utilization. Overall, while minor fluctuations are observed, the ratios reflect a relatively stable working capital management strategy with no significant upward or downward trend over the assessed period.