Sarepta Therapeutics Inc (SRPT)

Working capital turnover

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Revenue	US$ in thousands	1,243,340	933,013	701,887	540,099	380,833
Total current assets	US$ in thousands	2,579,330	2,557,860	2,604,100	2,485,200	1,468,910
Total current liabilities	US$ in thousands	653,659	619,604	452,733	416,026	264,767
Working capital turnover		0.65	0.48	0.33	0.26	0.32

December 31, 2023 calculation

Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $1,243,340K ÷ ($2,579,330K – $653,659K)
= 0.65

The working capital turnover ratio is a measure of how efficiently a company utilizes its working capital to generate sales revenue. A higher ratio indicates better management of working capital.

Looking at the trend in Sarepta Therapeutics Inc's working capital turnover ratio from 2019 to 2023, we observe fluctuations over the years. The ratio increased from 0.32 in 2019 to 0.65 in 2023, suggesting an improvement in the company's ability to generate revenue using its working capital during this period.

The working capital turnover ratio of 0.65 in 2023 indicates that Sarepta Therapeutics Inc generated $0.65 in revenue for every $1 of working capital employed. This implies that the company is effectively utilizing its working capital to drive sales growth, which can be a positive sign for investors and stakeholders.

Overall, the increasing trend in the working capital turnover ratio over the years reflects the company's enhanced efficiency in managing its working capital to support its operations and drive revenue generation.