Quanta Services Inc (PWR)
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 | 23,672,800 | 22,903,330 | 22,030,980 | 21,485,200 | 20,882,210 | 19,514,880 | 18,353,820 | 17,537,210 | 17,073,900 | 16,580,820 | 15,474,340 | 14,242,160 | 12,980,220 | 11,968,860 | 11,635,740 | 11,142,150 | 11,202,670 | 11,403,290 | 11,736,030 | 12,069,000 |
| Total current assets | US$ in thousands | 7,851,030 | 8,046,050 | 6,887,550 | 6,583,470 | 7,676,900 | 6,735,370 | 6,322,390 | 5,570,590 | 5,536,070 | 5,347,820 | 5,020,860 | 4,865,620 | 4,732,580 | 5,704,130 | 3,733,940 | 3,605,570 | 3,588,390 | 3,677,010 | 3,644,760 | 3,758,600 |
| Total current liabilities | US$ in thousands | 6,028,510 | 6,525,340 | 5,315,990 | 4,831,180 | 5,213,120 | 4,192,240 | 3,763,670 | 3,427,320 | 3,406,190 | 3,346,220 | 3,219,550 | 3,217,820 | 3,164,960 | 2,364,550 | 2,131,130 | 2,100,060 | 2,138,560 | 2,178,270 | 2,093,360 | 2,115,910 |
| Working capital turnover | 12.99 | 15.06 | 14.02 | 12.26 | 8.48 | 7.67 | 7.17 | 8.18 | 8.02 | 8.28 | 8.59 | 8.64 | 8.28 | 3.58 | 7.26 | 7.40 | 7.73 | 7.61 | 7.56 | 7.35 |
December 31, 2024 calculation
Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $23,672,800K ÷ ($7,851,030K – $6,028,510K)
= 12.99
Quanta Services Inc's working capital turnover has shown fluctuations over the analyzed periods. The company experienced a general upward trend from March 31, 2020, to September 30, 2022, with turnover ratios ranging from 7.35 to 8.64, indicating efficiency in utilizing its working capital to generate revenue.
However, there was a significant decline in efficiency by September 30, 2022, with a sharp drop to 3.58, which could raise concerns about the company's management of working capital during that period.
Subsequently, from December 31, 2022, to December 31, 2024, Quanta Services Inc improved its performance, achieving turnover ratios in the range of 8.02 to 15.06. The peaks reached at June 30, 2024, and September 30, 2024, could indicate a more effective management of working capital to generate revenue.
The sharp increase in working capital turnover observed from September 30, 2024, to December 31, 2024, might suggest increased efficiency in the company's operations, leading to a higher turnover rate. This improvement could be a positive sign of Quanta Services Inc's ability to optimize its working capital to drive business activities and generate revenue.
Peer comparison
Dec 31, 2024