QuinStreet Inc (QNST)

Working capital turnover

Jun 30, 2025 Mar 31, 2025 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
Revenue (ttm) US$ in thousands 1,093,711 1,029,978 928,723 768,810 613,514 545,505 549,589 560,954 580,624 596,814 574,801 566,084 582,099 586,795 589,189 598,826 578,487 544,250 519,861 502,994
Total current assets US$ in thousands 245,526 228,384 219,269 206,456 169,087 146,766 128,079 132,679 151,204 177,297 155,730 169,081 182,792 193,573 185,010 202,815 206,178 194,071 181,379 184,842
Total current liabilities US$ in thousands 163,044 156,674 159,691 157,888 126,398 109,114 85,035 83,257 89,820 112,793 96,174 104,377 109,579 104,270 96,656 110,456 115,611 111,712 97,785 104,598
Working capital turnover 13.26 14.36 15.59 15.83 14.37 14.49 12.77 11.35 9.46 9.25 9.65 8.75 7.95 6.57 6.67 6.48 6.39 6.61 6.22 6.27

June 30, 2025 calculation

Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $1,093,711K ÷ ($245,526K – $163,044K)
= 13.26

The working capital turnover ratio of QuinStreet Inc. exhibits a consistent upward trend over the analyzed period, indicating an enhancement in the company's efficiency in utilizing its working capital to generate revenue. Starting from a ratio of approximately 6.27 as of September 30, 2020, it experienced negligible fluctuations, maintaining around 6.22 to 6.67 during the subsequent year until December 31, 2021.

From early 2022 onward, a notable increase is observed, with the ratio escalating steadily from approximately 6.57 at the end of the first quarter of 2022 to reach 8.75 as of September 30, 2022. The upward trajectory continued into 2023 and beyond, reaching 9.65 by year-end 2022, further increasing to 9.25 in the first quarter of 2023, and then to 9.46 in the second quarter.

A more pronounced rise is evident from the third quarter of 2023, with the ratio reaching 11.35, and subsequently climbing to 12.77 by year-end 2023. The momentum persisted with ratios of 14.49 in March 2024 and 15.83 as of September 30, 2024. Although there is a slight decline in the December 2024 measurement to 15.59, the ratio remained elevated, standing at 14.36 in March 2025 and 13.26 in June 2025.

Overall, the data indicates that QuinStreet Inc. has substantially improved its efficiency in working capital management, as evidenced by the rising working capital turnover ratios. This trend suggests an increasingly effective use of its short-term assets and liabilities to support revenue generation over the period, pointing towards enhanced operational efficiency and potentially better management of its working capital resources.