Sensata Technologies Holding NV (ST)
Working capital turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 3,876,360 | 3,985,560 | 3,641,520 | 3,045,580 | 3,450,630 |
| Total current assets | US$ in thousands | 2,102,400 | 2,775,040 | 3,076,990 | 2,979,970 | 1,965,650 |
| Total current liabilities | US$ in thousands | 823,718 | 1,178,970 | 836,259 | 1,495,160 | 634,746 |
| Working capital turnover | 3.03 | 2.50 | 1.63 | 2.05 | 2.59 |
December 31, 2023 calculation
Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $3,876,360K ÷ ($2,102,400K – $823,718K)
= 3.03
The working capital turnover for Sensata Technologies Holding Plc has shown fluctuating trends over the past five years. The ratio was highest in 2023 at 3.17 and lowest in 2021 at 1.71. This indicates that in 2023, the company generated $3.17 in revenue for each dollar of working capital, reflecting an efficient utilization of its working capital. However, the ratio was less favorable in 2021, suggesting a lower efficiency in utilizing its working capital to generate revenue.
Overall, the company's working capital turnover has varied over the years, and it would be important to further investigate the factors contributing to these fluctuations to assess the company's working capital management and operational efficiency.
Peer comparison
Dec 31, 2023