Regal Beloit Corporation (RRX)
Working capital turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 6,033,800 | 6,250,700 | 5,217,900 | 3,810,300 | 2,907,000 |
| Total current assets | US$ in thousands | 2,751,300 | 3,384,000 | 3,000,500 | 2,722,800 | 1,851,300 |
| Total current liabilities | US$ in thousands | 1,215,700 | 1,326,400 | 1,002,200 | 1,095,300 | 822,000 |
| Working capital turnover | 3.93 | 3.04 | 2.61 | 2.34 | 2.82 |
December 31, 2024 calculation
Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $6,033,800K ÷ ($2,751,300K – $1,215,700K)
= 3.93
The working capital turnover of Regal Beloit Corporation has shown fluctuations over the years, starting at 2.82 in 2020 and dropping to 2.34 in 2021. However, the trend reversed and improved in the following years, reaching 2.61 in 2022, 3.04 in 2023, and finally peaking at 3.93 in 2024. This indicates that the company has been more efficient in generating sales revenue relative to its working capital investment, reflecting potentially better management of working capital resources during the period under review. The upward trend from 2021 to 2024 suggests that Regal Beloit has been able to optimize its working capital utilization to drive sales growth efficiently.
Peer comparison
Dec 31, 2024