Boston Beer Company Inc (SAM)
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 | 2,008,625 | 2,062,428 | 2,057,282 | 2,070,221 | 2,090,334 | 1,990,903 | 1,956,093 | 1,942,655 | 2,057,622 | 2,170,465 | 2,101,614 | 1,950,947 | 1,736,432 | 1,576,795 | 1,462,469 | 1,328,738 | 1,249,824 | 1,173,746 | 1,102,150 | 1,056,843 |
| Total current assets | US$ in thousands | 503,510 | 579,399 | 517,070 | 403,822 | 423,269 | 528,771 | 449,584 | 356,533 | 345,341 | 431,126 | 515,097 | 450,547 | 413,173 | 400,025 | 320,687 | 336,003 | 218,648 | 209,392 | 178,756 | 260,860 |
| Total current liabilities | US$ in thousands | 223,288 | 264,754 | 262,807 | 207,639 | 204,267 | 313,597 | 290,929 | 245,534 | 255,106 | 285,487 | 317,351 | 271,629 | 259,423 | 231,939 | 219,808 | 186,784 | 180,649 | 166,484 | 188,266 | 132,002 |
| Working capital turnover | 7.17 | 6.55 | 8.09 | 10.55 | 9.54 | 9.25 | 12.33 | 17.50 | 22.80 | 14.90 | 10.63 | 10.90 | 11.29 | 9.38 | 14.50 | 8.90 | 32.89 | 27.35 | — | 8.20 |
December 31, 2023 calculation
Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $2,008,625K ÷ ($503,510K – $223,288K)
= 7.17
The working capital turnover of Boston Beer Company Inc has shown fluctuations over the past few quarters, ranging from a low of 6.55 to a high of 32.89. The working capital turnover indicates how efficiently the company is utilizing its working capital to generate sales revenue. A higher turnover suggests that the company is effectively managing its working capital to support its operations and generate sales.
The significant variation in the working capital turnover could be due to changes in the company's operating cycle, sales volume, inventory management, and accounts receivable and accounts payable policies. The upward trend seen in the working capital turnover from 2020 to 2021 indicates an improvement in the efficiency of working capital utilization. However, the sharp decline in the working capital turnover in 2023 raises concerns about the company's ability to efficiently convert its working capital into sales.
Further analysis of the underlying factors contributing to the fluctuations in working capital turnover would be needed to understand the specific drivers behind these changes and assess the overall effectiveness of Boston Beer Company Inc's working capital management.
Peer comparison
Dec 31, 2023