Plexus Corp (PLXS)

Working capital turnover

		Sep 30, 2024	Sep 30, 2023	Sep 30, 2022	Sep 30, 2021	Sep 30, 2020
Revenue	US$ in thousands	8,035,580	8,496,620	7,722,450	6,834,190	6,875,610
Total current assets	US$ in thousands	2,477,150	2,672,220	2,816,120	1,930,890	1,779,160
Total current liabilities	US$ in thousands	1,643,290	1,812,670	2,006,190	1,128,700	1,003,520
Working capital turnover		9.64	9.88	9.53	8.52	8.86

September 30, 2024 calculation

Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $8,035,580K ÷ ($2,477,150K – $1,643,290K)
= 9.64

The working capital turnover for Plexus Corp has exhibited relatively consistent performance over the past five years, ranging from 8.52 to 9.88. A higher working capital turnover ratio indicates that the company is generating sales more efficiently with the resources tied up in working capital. The decreasing trend from 2023 to 2024 is a potential signal of improved efficiency in utilizing working capital to generate sales revenue. However, it is important to conduct further analysis to understand the underlying reasons for these fluctuations and to assess the overall effectiveness of Plexus Corp in managing its working capital efficiently and effectively.