Roivant Sciences Ltd (ROIV)

Working capital turnover

		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
Revenue (ttm)	US$ in thousands	76,195	97,555	125,677	158,303	124,795	123,241	103,153	78,585	61,280	43,127	50,416	51,870	55,286	61,209	42,618	29,954	23,795	8,649
Total current assets	US$ in thousands	5,000,060	5,363,970	5,801,120	6,001,500	6,731,830	6,806,730	1,551,630	1,561,160	1,798,590	1,646,230	1,714,860	2,039,440	2,146,520	2,287,530	2,555,750	2,057,610	2,187,000	—
Total current liabilities	US$ in thousands	149,411	141,484	556,249	215,045	266,758	244,899	265,546	245,004	272,448	244,255	230,744	328,915	184,367	160,713	303,444	209,158	218,961	—
Working capital turnover		0.02	0.02	0.02	0.03	0.02	0.02	0.08	0.06	0.04	0.03	0.03	0.03	0.03	0.03	0.02	0.02	0.01	—

March 31, 2025 calculation

Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $76,195K ÷ ($5,000,060K – $149,411K)
= 0.02

The working capital turnover of Roivant Sciences Ltd has shown a fluctuating trend over the period from December 31, 2020, to March 31, 2025. The ratio, which indicates how efficiently the company generates revenue from its working capital, started at an unspecified value in December 2020 and gradually increased to 0.06 in June 2023. This suggests an improvement in the company's ability to utilize its working capital to generate sales.

However, the ratio dropped to 0.02 in December 2023 and remained relatively stable between 0.02 and 0.03 from December 2023 to March 31, 2025. While the working capital turnover ratio may have fluctuated, it is important for Roivant Sciences Ltd to closely monitor and manage its working capital efficiency to ensure optimal utilization of resources and maximize profitability.