Signet Jewelers Ltd (SIG)
Working capital turnover
| Feb 3, 2024 | Oct 28, 2023 | Jul 29, 2023 | Apr 29, 2023 | Jan 28, 2023 | Oct 29, 2022 | Jul 30, 2022 | Apr 30, 2022 | Jan 29, 2022 | Oct 30, 2021 | Jul 31, 2021 | May 1, 2021 | Jan 30, 2021 | Oct 31, 2020 | Aug 1, 2020 | May 2, 2020 | Feb 1, 2020 | Nov 2, 2019 | Aug 3, 2019 | May 4, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 7,202,700 | 7,348,300 | 7,533,100 | 7,669,400 | 7,830,100 | 7,967,900 | 7,923,300 | 7,954,800 | 7,807,100 | 7,169,500 | 6,926,400 | 6,014,800 | 5,173,500 | 5,165,200 | 5,061,200 | 5,553,800 | 6,140,000 | 6,138,500 | 6,142,500 | 6,198,200 |
| Total current assets | US$ in thousands | 3,536,600 | 3,018,300 | 2,987,400 | 3,083,100 | 3,507,100 | 3,188,200 | 3,396,000 | 3,515,500 | 3,730,400 | 3,994,800 | 3,822,300 | 3,641,800 | 3,582,000 | 3,904,600 | 3,862,800 | 4,015,500 | 3,154,800 | 2,938,700 | 2,758,600 | 2,822,700 |
| Total current liabilities | US$ in thousands | 1,976,000 | 1,871,100 | 1,852,300 | 1,775,500 | 2,248,100 | 2,047,500 | 1,920,100 | 2,139,800 | 2,070,700 | 1,971,800 | 1,840,500 | 1,897,500 | 1,998,700 | 1,731,500 | 1,499,400 | 1,676,700 | 1,652,600 | 1,383,100 | 1,311,600 | 1,362,200 |
| Working capital turnover | 4.62 | 6.41 | 6.64 | 5.87 | 6.22 | 6.99 | 5.37 | 5.78 | 4.70 | 3.54 | 3.50 | 3.45 | 3.27 | 2.38 | 2.14 | 2.37 | 4.09 | 3.95 | 4.24 | 4.24 |
February 3, 2024 calculation
Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $7,202,700K ÷ ($3,536,600K – $1,976,000K)
= 4.62
The working capital turnover of Signet Jewelers Ltd has fluctuated over the past several quarters, ranging from a low of 2.14 to a high of 6.99. The working capital turnover represents how efficiently the company is using its working capital to generate sales revenue. A higher turnover ratio indicates that the company is effectively utilizing its working capital to generate sales.
In the most recent quarter, the working capital turnover was 4.62, suggesting that the company's working capital was turned over 4.62 times during the period. This indicates a moderate level of efficiency in utilizing working capital to generate sales revenue.
It is important for Signet Jewelers Ltd to monitor its working capital turnover ratio regularly to ensure efficient use of its working capital. By analyzing trends in the turnover ratio, the company can identify any inefficiencies in working capital management and take corrective actions to improve operational efficiency and profitability.