Par Pacific Holdings Inc (PARR)

Working capital turnover

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Revenue	US$ in thousands	8,174,410	7,264,530	4,643,600	3,054,650	5,326,680
Total current assets	US$ in thousands	1,989,500	1,881,840	1,130,170	636,469	1,032,170
Total current liabilities	US$ in thousands	1,524,600	1,794,090	1,355,790	878,680	1,034,320
Working capital turnover		17.58	82.79	—	—	—

December 31, 2023 calculation

Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $8,174,410K ÷ ($1,989,500K – $1,524,600K)
= 17.58

Based on the provided data, the working capital turnover for Par Pacific Holdings Inc has seen significant fluctuations over the years.

In 2023, the working capital turnover ratio was 17.71, indicating that the company generated $17.71 in net sales revenue for every $1 of working capital invested. This suggests that the company efficiently utilized its working capital to generate sales during the year.

However, in 2022, the working capital turnover ratio significantly increased to 83.44, reflecting a substantial improvement in the efficiency of working capital utilization compared to the previous year. This could indicate better management of current assets and liabilities to drive revenue growth.

Unfortunately, data for 2021, 2020, and 2019 is not available, making it challenging to assess the trend in working capital turnover over a longer period. It would be beneficial to have data for these years to understand the historical performance and identify any consistent patterns or trends.

Overall, the fluctuating working capital turnover ratios suggest varying levels of efficiency in utilizing working capital resources to generate sales revenue over the years, highlighting the importance of effective working capital management in optimizing operational performance.