Steven Madden Ltd (SHOO)
Working capital turnover
| 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 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 2,282,927 | 2,220,323 | 2,148,380 | 2,070,129 | 1,981,582 | 1,932,511 | 1,936,422 | 2,026,109 | 2,122,009 | 2,229,847 | 2,201,946 | 2,064,851 | 1,866,142 | 1,640,628 | 1,458,753 | 1,203,671 | 1,201,814 | 1,268,472 | 1,423,719 | 1,730,536 |
| Total current assets | US$ in thousands | 894,695 | 944,843 | 860,108 | 807,294 | 854,832 | 853,583 | 827,899 | 768,033 | 843,557 | 817,249 | 906,410 | 868,103 | 944,660 | 881,101 | 743,780 | 734,531 | 698,241 | 647,834 | 635,921 | 640,792 |
| Total current liabilities | US$ in thousands | 413,721 | 452,963 | 405,930 | 332,512 | 377,624 | 331,760 | 317,642 | 257,242 | 320,908 | 280,081 | 379,643 | 345,260 | 435,190 | 388,574 | 279,158 | 256,493 | 235,916 | 218,072 | 237,892 | 232,712 |
| Working capital turnover | 4.75 | 4.51 | 4.73 | 4.36 | 4.15 | 3.70 | 3.79 | 3.97 | 4.06 | 4.15 | 4.18 | 3.95 | 3.66 | 3.33 | 3.14 | 2.52 | 2.60 | 2.95 | 3.58 | 4.24 |
December 31, 2024 calculation
Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $2,282,927K ÷ ($894,695K – $413,721K)
= 4.75
Steven Madden Ltd's working capital turnover ratio has shown fluctuations over the past few years, ranging from a low of 2.52 in March 2021 to a high of 4.75 in December 2024. The ratio indicates how efficiently the company is utilizing its working capital to generate sales revenue.
The trend in working capital turnover has generally been increasing since March 2021, with the ratio consistently improving through December 2024. This suggests that Steven Madden Ltd has been able to enhance its efficiency in utilizing its working capital to support its sales activities.
A higher working capital turnover ratio implies that the company is able to generate more sales revenue with a lower level of investment in working capital. This can be a positive sign of effective management of current assets and liabilities.
Overall, the increasing trend in Steven Madden Ltd's working capital turnover ratio indicates improving efficiency in managing working capital and generating revenue. However, it is essential to continue monitoring this ratio to ensure sustainable and efficient operations in the future.
Peer comparison
Dec 31, 2024