Sally Beauty Holdings Inc (SBH)
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 | 3,628,215 | 3,653,284 | 3,698,523 | 3,711,659 | 3,701,123 | 3,722,075 | 3,746,879 | 3,820,324 | 3,831,278 | 3,779,726 | 3,767,647 | 3,446,701 | 3,393,635 | 3,444,070 | 3,452,195 | 3,723,594 | 3,796,746 | 3,802,820 | 3,802,880 | 3,825,274 |
| Total current assets | US$ in thousands | 1,262,860 | 1,228,000 | 1,199,400 | 1,209,010 | 1,219,200 | 1,132,400 | 1,243,120 | 1,301,680 | 1,415,530 | 1,383,580 | 1,329,110 | 1,466,450 | 1,545,880 | 1,433,100 | 1,763,340 | 1,449,040 | 1,189,040 | 1,163,550 | 1,160,450 | 1,174,140 |
| Total current liabilities | US$ in thousands | 573,069 | 579,257 | 565,637 | 630,641 | 677,266 | 667,914 | 774,961 | 574,269 | 681,752 | 664,881 | 650,205 | 875,051 | 590,336 | 563,362 | 937,732 | 915,836 | 594,605 | 456,079 | 441,054 | 420,743 |
| Working capital turnover | 5.26 | 5.63 | 5.84 | 6.42 | 6.83 | 8.01 | 8.00 | 5.25 | 5.22 | 5.26 | 5.55 | 5.83 | 3.55 | 3.96 | 4.18 | 6.98 | 6.39 | 5.38 | 5.29 | 5.08 |
December 31, 2023 calculation
Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $3,628,215K ÷ ($1,262,860K – $573,069K)
= 5.26
The working capital turnover of Sally Beauty Holdings Inc has shown a decreasing trend over the past few quarters. In Q1 2024, the working capital turnover decreased to 5.37 from 5.75 in Q4 2023 and 5.95 in Q3 2023. This indicates that the company's ability to efficiently utilize its working capital to generate revenue has weakened.
The highest working capital turnover was recorded in Q1 2023 at 7.00, followed by 6.57 in Q2 2023. These figures suggest that the company was more effective in using its working capital to support its operations and generate sales during that period.
The most recent data point in Q1 2024 shows a considerable decrease in the working capital turnover to 5.37, which may raise concerns about the company's operational efficiency and its ability to convert working capital into sales. Further analysis and comparison with industry benchmarks may be necessary to understand the implications of this trend on Sally Beauty Holdings Inc's financial performance.
Peer comparison
Dec 31, 2023