Patrick Industries Inc (PATK)
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 | 3,715,679 | 3,650,743 | 3,597,372 | 3,501,437 | 3,468,045 | 3,638,773 | 3,884,790 | 4,439,795 | 4,881,875 | 5,077,440 | 5,025,530 | 4,569,790 | 4,078,093 | 3,703,226 | 3,343,753 | 2,747,848 | 2,486,597 | 2,263,444 | 2,128,923 | 2,318,096 |
| Total current assets | US$ in thousands | 822,617 | 912,959 | 853,894 | 859,374 | 734,631 | 811,253 | 833,863 | 954,478 | 909,904 | 1,107,420 | 1,223,370 | 1,174,400 | 974,075 | 862,785 | 763,624 | 591,835 | 528,063 | 531,834 | 537,453 | 548,914 |
| Total current liabilities | US$ in thousands | 353,615 | 379,189 | 373,667 | 360,542 | 308,496 | 335,814 | 307,130 | 332,680 | 367,240 | 435,904 | 473,411 | 496,315 | 432,777 | 409,473 | 328,792 | 299,849 | 227,389 | 252,949 | 218,537 | 236,203 |
| Working capital turnover | 7.92 | 6.84 | 7.49 | 7.02 | 8.14 | 7.65 | 7.38 | 7.14 | 9.00 | 7.56 | 6.70 | 6.74 | 7.53 | 8.17 | 7.69 | 9.41 | 8.27 | 8.12 | 6.68 | 7.41 |
December 31, 2024 calculation
Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $3,715,679K ÷ ($822,617K – $353,615K)
= 7.92
Working capital turnover is a financial ratio that measures a company's ability to efficiently utilize its working capital to generate sales revenue. It indicates how effectively a company is managing its current assets and liabilities to support its operations.
Analyzing the working capital turnover of Patrick Industries Inc over the specified periods shows fluctuations in the efficiency of its working capital management. The ratio ranged from a low of 6.68 in June 2020 to a high of 9.41 in March 2021, indicating varying levels of efficiency in the utilization of its working capital during these periods.
Overall, the working capital turnover for Patrick Industries Inc has shown some volatility over the years, with the ratio fluctuating between 6.68 and 9.41. A higher turnover ratio is generally preferred as it suggests that the company is able to generate more sales revenue per unit of working capital invested.
In conclusion, a detailed analysis of the working capital turnover of Patrick Industries Inc reveals fluctuations in its efficiency in utilizing its working capital to generate sales revenue. Monitoring this ratio can provide insights into the company's operational efficiency and financial health.
Peer comparison
Dec 31, 2024