TTM Technologies Inc (TTMI)

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	4,433,921	4,804,671	4,902,331	4,983,727	5,009,189	4,674,869	4,560,365	4,501,830	4,431,757	4,205,847	4,153,582	4,149,004	4,127,043	4,910,233	5,113,110	5,067,708	5,105,153	5,257,103	5,294,466	5,484,576
Total current assets	US$ in thousands	1,429,690	1,353,240	1,336,050	1,378,100	1,493,060	1,439,230	1,380,880	1,434,180	1,407,410	1,423,350	1,404,520	1,332,640	1,248,760	1,486,180	1,871,910	1,751,790	1,342,680	1,277,840	1,189,690	1,169,550
Total current liabilities	US$ in thousands	703,984	688,286	602,384	627,751	761,325	742,890	722,309	586,566	558,148	567,442	554,750	509,154	518,046	787,322	1,197,460	904,363	946,666	666,673	623,955	607,732
Working capital turnover		6.11	7.23	6.68	6.64	6.85	6.71	6.92	5.31	5.22	4.91	4.89	5.04	5.65	7.03	7.58	5.98	12.89	8.60	9.36	9.76

December 31, 2023 calculation

Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $4,433,921K ÷ ($1,429,690K – $703,984K)
= 6.11

The working capital turnover ratio for TTM Technologies Inc fluctuated over the stated periods, reflecting the efficiency with which the company utilized its working capital to generate sales revenue.

The working capital turnover ratio ranged between 4.89 to 12.89 over the past five years. Generally, a higher working capital turnover implies that the company is efficiently using its working capital to support its operations and generate sales.

TTM Technologies Inc demonstrated a relatively stable working capital turnover within the range of 5.22 to 7.58 from 2019 to mid-2021, indicating consistent efficiency in converting working capital into sales during this period. Subsequently, the ratio spiked to 12.89 in December 2019, indicating an exceptional ability to generate sales revenue relative to the working capital held at that time.

However, the ratio fell below 6 in March 2020 and remained relatively subdued until March 2023, hovering between 4.89 and 6.92. This could suggest a declining efficiency in utilizing working capital to generate sales revenue during these periods.

The most recent data point of 6.11 as of December 2023 shows a slight improvement, indicating a moderate increase in the efficiency of working capital utilization compared to the preceding quarters.

In conclusion, while there have been fluctuations, TTM Technologies Inc has shown varying levels of working capital turnover efficiency over the analyzed periods, with some periods indicating improved efficiency compared to others.