Strategic Education Inc (STRA)

Working capital turnover

		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	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Revenue (ttm)	US$ in thousands	1,133,551	1,103,905	1,081,092	1,066,976	1,069,225	1,071,595	1,078,450	1,094,322	1,114,981	1,106,284	1,064,163	1,018,617	1,004,460	1,000,738	1,014,628	1,015,848	997,137	975,468	894,666	764,224
Total current assets	US$ in thousands	329,069	350,635	350,914	357,013	329,061	402,748	395,824	417,848	367,786	406,481	393,635	352,928	286,122	806,375	553,496	532,783	524,094	505,613	490,321	456,589
Total current liabilities	US$ in thousands	209,619	265,491	242,087	241,709	209,944	259,917	235,633	254,836	195,755	255,648	252,189	249,757	200,052	195,295	148,884	160,888	156,748	157,830	153,819	153,517
Working capital turnover		9.49	12.97	9.93	9.25	8.98	7.50	6.73	6.71	6.48	7.33	7.52	9.87	11.67	1.64	2.51	2.73	2.71	2.80	2.66	2.52

December 31, 2023 calculation

Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $1,133,551K ÷ ($329,069K – $209,619K)
= 9.49

The working capital turnover of Strategic Education Inc has shown fluctuations over the past eight quarters, ranging from 6.71 to 12.92. The working capital turnover indicates how efficiently the company is utilizing its working capital to generate revenue. A higher ratio suggests that the company is effectively managing its working capital to support its operations and sales.

In this case, we see an increasing trend in the working capital turnover from Q2 2022 to Q3 2023, with occasional fluctuations. The ratio peaked at 12.92 in Q3 2023, indicating a significant improvement in efficiency in that quarter. However, it is important to note that the ratio dipped in Q4 2023 compared to the previous quarter.

Overall, Strategic Education Inc's working capital turnover has displayed variable performance over the past eight quarters, but the recent trend shows improvement, suggesting enhanced efficiency in utilizing its working capital to support its business activities.