Silgan Holdings Inc (SLGN)
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 | 5,854,720 | 5,783,620 | 5,841,600 | 5,886,940 | 5,988,200 | 6,103,500 | 6,270,800 | 6,387,900 | 6,411,500 | 6,395,400 | 6,076,100 | 5,881,000 | 5,677,200 | 5,464,500 | 5,301,900 | 5,129,700 | 4,922,000 | 4,743,700 | 4,576,500 | 4,493,200 |
| Total current assets | US$ in thousands | 2,522,680 | 2,519,490 | 2,538,630 | 2,376,370 | 2,348,980 | 2,661,800 | 2,698,500 | 2,625,000 | 2,132,700 | 2,332,300 | 2,553,100 | 2,281,800 | 2,295,800 | 2,181,400 | 2,053,200 | 1,819,200 | 1,799,100 | 1,822,100 | 1,827,700 | 1,982,300 |
| Total current liabilities | US$ in thousands | 1,531,000 | 2,305,760 | 2,396,000 | 2,289,480 | 2,311,860 | 1,017,700 | 1,068,200 | 1,059,300 | 1,357,800 | 1,090,100 | 1,241,300 | 1,177,800 | 1,488,200 | 1,106,800 | 1,074,200 | 960,000 | 1,163,500 | 957,800 | 971,700 | 789,200 |
| Working capital turnover | 5.90 | 27.06 | 40.96 | 67.75 | 161.32 | 3.71 | 3.85 | 4.08 | 8.27 | 5.15 | 4.63 | 5.33 | 7.03 | 5.09 | 5.42 | 5.97 | 7.74 | 5.49 | 5.35 | 3.77 |
December 31, 2024 calculation
Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $5,854,720K ÷ ($2,522,680K – $1,531,000K)
= 5.90
Silgan Holdings Inc's working capital turnover ratio has fluctuated significantly over the years based on the provided data. The ratio indicates how efficiently the company is using its working capital to generate revenue.
From March 31, 2020, to December 31, 2021, there was a general upward trend in the working capital turnover ratio, indicating improved efficiency in utilizing working capital to support operations and generate sales. Notably, there was a sharp increase from December 31, 2021, to March 31, 2022, which peaked at 8.27, suggesting a significant improvement in working capital management.
However, starting from March 31, 2022, the ratio started to decline and continued to decrease until December 31, 2024. This downward trend may indicate potential inefficiencies in managing working capital during this period, which could be a concern for the company's liquidity and operational performance.
It is important for Silgan Holdings Inc to closely monitor and assess its working capital turnover ratio to ensure optimal utilization of resources and maintain financial stability. Further analysis and comparison with industry benchmarks can provide valuable insights into the company's financial health and operational efficiency.
Peer comparison
Dec 31, 2024