Arcus Biosciences Inc (RCUS)

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	117,000	119,355	121,236	118,995	112,000	433,144	408,724	399,137	398,304	53,292	108,361	92,939	77,517	77,780	15,000	15,000	15,000	6,812	9,353	8,853
Total current assets	US$ in thousands	831,000	882,000	986,000	1,015,000	1,067,000	1,101,120	1,227,480	1,264,230	1,262,000	545,288	745,954	841,870	735,815	797,199	471,599	166,217	192,705	200,488	227,733	245,015
Total current liabilities	US$ in thousands	184,000	200,000	180,000	179,000	193,000	177,176	164,024	161,254	166,000	142,866	130,370	132,055	121,669	162,871	40,025	21,004	22,706	21,057	26,513	19,003
Working capital turnover		0.18	0.18	0.15	0.14	0.13	0.47	0.38	0.36	0.36	0.13	0.18	0.13	0.13	0.12	0.03	0.10	0.09	0.04	0.05	0.04

December 31, 2023 calculation

Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $117,000K ÷ ($831,000K – $184,000K)
= 0.18

The working capital turnover ratio measures how efficiently a company is utilizing its working capital to generate sales revenue. A higher ratio indicates better efficiency in managing working capital.

Looking at the data provided for Arcus Biosciences Inc:
- In Q4 2023 and Q3 2023, the working capital turnover ratio remained constant at 0.18.
- In Q2 2023, the ratio slightly decreased to 0.15, and further dropped to 0.14 in Q1 2023.
- Comparing the ratios to the same periods in the previous year, there was a significant decrease in Q4 2022 (0.13) compared to Q4 2023, indicating better efficiency in utilizing working capital over time.
- Notably, the working capital turnover ratio was exceptionally high in Q3 2022 (0.47), which might have resulted from seasonal factors or specific business activities during that period.

Overall, despite variations between quarters, Arcus Biosciences Inc generally maintained a relatively stable working capital turnover ratio, suggesting consistent efficiency in converting working capital into sales across the analyzed periods.