Seagate Technology PLC (STX)
Working capital turnover
| Jun 30, 2025 | Jun 30, 2024 | Jun 30, 2023 | Jun 30, 2022 | Jun 30, 2021 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 9,097,000 | 6,551,000 | 7,384,000 | 11,661,000 | 10,681,000 |
| Total current assets | US$ in thousands | 3,653,000 | 3,332,000 | 2,905,000 | 4,033,000 | 3,779,000 |
| Total current liabilities | US$ in thousands | 2,648,000 | 3,099,000 | 2,592,000 | 3,555,000 | 2,921,000 |
| Working capital turnover | 9.05 | 28.12 | 23.59 | 24.40 | 12.45 |
June 30, 2025 calculation
Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $9,097,000K ÷ ($3,653,000K – $2,648,000K)
= 9.05
The working capital turnover ratio for Seagate Technology PLC demonstrates a progressive trend over the observed period, reflecting the company's efficiency in utilizing its working capital to generate sales.
As of June 30, 2021, the ratio stood at 12.45, indicating the amount of sales generated per unit of working capital at that time. This ratio increased significantly in the following year, reaching 24.40 by June 30, 2022, effectively nearly doubling, which suggests an enhancement in operational efficiency or better management of current assets and liabilities relative to sales activities.
The upward trend persisted into June 30, 2023, with the ratio slightly declining to 23.59. Although marginally lower than the previous year's peak, it remains substantially higher than the 2021 figure, implying sustained efficiency gains or improvements in working capital management.
A further increase was observed for June 30, 2024, with the ratio reaching 28.12, signifying an even greater level of efficiency, where Seagate is generating higher sales relative to its working capital base. This indicates a continued positive trajectory in operational effectiveness, possibly attributable to optimization initiatives, product mix improvements, or enhanced supply chain efficiencies.
Data for June 30, 2025, is not available, rendering further analysis for the subsequent period infeasible.
Overall, the trend in Seagate’s working capital turnover ratio indicates a marked improvement in working capital utilization from 2021 through 2024, reflecting enhanced operational efficiency. This progression suggests that the company has been increasingly effective at generating sales with a relatively stable or optimized level of working capital.
Peer comparison
Jun 30, 2025