Tetra Tech Inc (TTEK)
Working capital turnover
| Sep 30, 2024 | Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 5,199,270 | 4,470,860 | 3,490,830 | 3,200,980 | 2,991,130 |
| Total current assets | US$ in thousands | 1,527,380 | 1,356,020 | 1,158,220 | 1,065,950 | 999,785 |
| Total current liabilities | US$ in thousands | 1,219,530 | 1,208,140 | 916,017 | 848,483 | 793,456 |
| Working capital turnover | 16.89 | 30.23 | 14.41 | 14.72 | 14.50 |
September 30, 2024 calculation
Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $5,199,270K ÷ ($1,527,380K – $1,219,530K)
= 16.89
Tetra Tech Inc's working capital turnover has shown fluctuating trends over the past five years. In 2024, the working capital turnover was 16.89, representing a decrease compared to the previous year. This decline may indicate a less efficient utilization of working capital to generate revenue during the year.
In 2023, the working capital turnover experienced a significant increase to 30.23, suggesting a more efficient management of working capital to support revenue generation. However, this peak was followed by a decrease in the subsequent years, with ratios of 14.41 in 2022, 14.72 in 2021, and 14.50 in 2020.
Overall, Tetra Tech Inc's working capital turnover ratio has exhibited inconsistency in its performance, indicating potential fluctuations in the company's working capital management efficiency over the years. Further analysis of the company's financial and operational activities may be necessary to understand the underlying reasons for these changes and to improve working capital management strategies.
Peer comparison
Sep 30, 2024