Insulet Corporation (PODD)

Working capital turnover

Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Revenue US$ in thousands 2,071,600 1,697,100 1,305,300 1,098,800 904,400
Total current assets US$ in thousands 1,891,300 1,582,900 1,314,000 1,329,800 1,248,700
Total current liabilities US$ in thousands 528,400 451,200 364,700 228,800 207,800
Working capital turnover 1.52 1.50 1.38 1.00 0.87

December 31, 2024 calculation

Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $2,071,600K ÷ ($1,891,300K – $528,400K)
= 1.52

Insulet Corporation's working capital turnover has shown a positive trend over the years, increasing from 0.87 in December 31, 2020, to 1.52 in December 31, 2024. This indicates that the company has been able to efficiently utilize its working capital to generate sales revenue. A higher working capital turnover ratio signifies that the company is managing its working capital effectively and is generating more sales relative to its level of working capital. This could suggest improved liquidity and operational efficiency within the company. Overall, the increasing trend in Insulet Corporation's working capital turnover ratio is a positive indicator of its operational efficiency and financial performance.