PPG Industries Inc (PPG)
Working capital turnover
| 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 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 18,119,000 | 17,888,000 | 17,733,000 | 17,607,000 | 17,552,000 | 17,655,000 | 17,643,000 | 17,356,000 | 16,913,000 | 16,477,000 | 15,717,000 | 14,289,000 | 13,791,000 | 13,706,000 | 13,844,000 | 14,888,000 | 15,131,000 | 15,104,000 | 15,103,000 | 15,207,000 |
| Total current assets | US$ in thousands | 7,431,000 | 7,552,000 | 8,068,000 | 8,193,000 | 7,173,000 | 7,490,000 | 7,756,000 | 7,627,000 | 6,774,000 | 7,300,000 | 7,446,000 | 7,339,000 | 6,798,000 | 7,002,000 | 7,077,000 | 7,066,000 | 6,170,000 | 6,817,000 | 6,707,000 | 6,409,000 |
| Total current liabilities | US$ in thousands | 5,054,000 | 5,100,000 | 5,416,000 | 4,868,000 | 4,721,000 | 4,926,000 | 5,165,000 | 5,172,000 | 4,766,000 | 5,463,000 | 5,488,000 | 5,120,000 | 4,831,000 | 4,613,000 | 5,234,000 | 5,195,000 | 4,375,000 | 4,578,000 | 4,706,000 | 4,588,000 |
| Working capital turnover | 7.62 | 7.30 | 6.69 | 5.30 | 7.16 | 6.89 | 6.81 | 7.07 | 8.42 | 8.97 | 8.03 | 6.44 | 7.01 | 5.74 | 7.51 | 7.96 | 8.43 | 6.75 | 7.55 | 8.35 |
December 31, 2023 calculation
Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $18,119,000K ÷ ($7,431,000K – $5,054,000K)
= 7.62
The working capital turnover ratio for PPG Industries, Inc. shows variations over the past eight quarters. The ratio indicates the company's ability to efficiently utilize its working capital to generate sales revenue.
In Q4 2023, the working capital turnover was 7.68, indicating that the company generated $7.68 in sales for every dollar of working capital invested during that period. This represents an increase from the previous quarter, where the ratio was 7.37.
The ratio has fluctuated within a relatively narrow range over the past two years, with a peak of 7.20 in Q4 2022 and a low of 5.33 in Q1 2023. This suggests that PPG Industries has generally been effective in managing its working capital to drive sales.
Overall, the trend in the working capital turnover ratio for PPG Industries shows some variability but indicates a consistent ability to efficiently convert working capital into sales across the quarters analyzed.
Peer comparison
Dec 31, 2023