Rogers Corporation (ROG)

Working capital turnover

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Revenue	US$ in thousands	902,700	959,464	934,230	796,307	890,491
Total current assets	US$ in thousands	526,900	659,900	584,065	474,175	464,102
Total current liabilities	US$ in thousands	116,400	142,500	163,949	111,509	100,225
Working capital turnover		2.20	1.85	2.22	2.20	2.45

December 31, 2023 calculation

Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $902,700K ÷ ($526,900K – $116,400K)
= 2.20

The working capital turnover ratio for Rogers Corp. has fluctuated over the past five years. In 2023, the ratio stood at 2.21, indicating that the company generated $2.21 in net sales revenue for every dollar of working capital invested. This represents an improvement from 2022 when the ratio was 1.88.

The working capital turnover peaked in 2019 at 2.47 before declining slightly in the following years. The ratio demonstrates how effectively Rogers Corp. is utilizing its working capital to generate sales revenue, with higher values generally suggesting a more efficient utilization of resources.

Overall, the trend in the working capital turnover ratio for Rogers Corp. appears to show moderate fluctuations, with the company maintaining a relatively consistent level of efficiency in turning working capital into sales revenue over the past five years. It is important for the company to continue monitoring and managing its working capital effectively to sustain its operational efficiency and financial performance.