Liveramp Holdings Inc (RAMP)

Working capital turnover

		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	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019
Revenue (ttm)	US$ in thousands	659,661	636,435	621,181	608,409	596,583	589,682	571,671	551,862	528,657	506,107	485,256	462,627	443,026	429,552	412,016	397,498	380,487	353,102	330,906	305,575
Total current assets	US$ in thousands	602,032	769,662	727,846	706,046	714,559	696,194	704,796	724,854	815,834	821,780	774,594	771,459	825,715	858,653	832,006	825,272	896,393	933,072	947,139	1,138,210
Total current liabilities	US$ in thousands	216,576	208,752	186,697	172,377	174,829	175,777	150,198	143,045	184,566	184,036	136,249	130,183	165,249	157,332	141,167	125,884	161,382	149,075	123,423	121,110
Working capital turnover		1.71	1.13	1.15	1.14	1.11	1.13	1.03	0.95	0.84	0.79	0.76	0.72	0.67	0.61	0.60	0.57	0.52	0.45	0.40	0.30

March 31, 2024 calculation

Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $659,661K ÷ ($602,032K – $216,576K)
= 1.71

The working capital turnover of Liveramp Holdings Inc has shown varying trends over the past few quarters. The ratio indicates how efficiently the company is utilizing its working capital to generate sales revenue. A higher ratio suggests that the company is efficient in managing its working capital.

From December 2019 to March 2020, the working capital turnover ratio increased steadily. However, from June 2020 to December 2020, there was a slight decline in the ratio, indicating a potential decrease in efficiency in utilizing working capital during that period.

Subsequently, from March 2021 to March 2022, the ratio showed a gradual increase, reaching its peak at 1.71 in March 2024, suggesting that Liveramp Holdings Inc improved its efficiency in utilizing working capital to generate sales revenue over these quarters.

Overall, the increasing trend in the working capital turnover ratio from 2020 to 2024 indicates that Liveramp Holdings Inc has been managing its working capital effectively and is generating more sales revenue per unit of working capital invested, reflecting positive operational efficiency and financial management.