Ufp Industries Inc (UFPI)
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 | 7,218,390 | 7,607,740 | 8,102,960 | 8,959,910 | 9,626,740 | 9,729,840 | 9,500,760 | 9,300,430 | 8,636,120 | 8,013,030 | 7,405,480 | 5,946,940 | 5,154,000 | 4,758,330 | 4,435,130 | 4,432,950 | 4,416,010 | 4,406,151 | 4,455,821 | 4,510,441 |
| Total current assets | US$ in thousands | 2,502,090 | 2,505,120 | 2,415,060 | 2,267,010 | 2,262,110 | 2,436,360 | 2,376,440 | 2,472,420 | 2,073,480 | 1,922,750 | 2,122,500 | 1,737,060 | 1,538,360 | 1,512,110 | 1,236,600 | 1,060,910 | 1,093,070 | 1,092,100 | 1,097,110 | 1,103,470 |
| Total current liabilities | US$ in thousands | 567,976 | 601,835 | 556,004 | 530,359 | 611,835 | 802,861 | 823,993 | 903,202 | 776,042 | 665,670 | 731,317 | 611,031 | 463,749 | 493,604 | 435,212 | 329,255 | 354,042 | 385,448 | 379,606 | 320,569 |
| Working capital turnover | 3.73 | 4.00 | 4.36 | 5.16 | 5.83 | 5.96 | 6.12 | 5.93 | 6.66 | 6.37 | 5.32 | 5.28 | 4.80 | 4.67 | 5.53 | 6.06 | 5.98 | 6.24 | 6.21 | 5.76 |
December 31, 2023 calculation
Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $7,218,390K ÷ ($2,502,090K – $567,976K)
= 3.73
The working capital turnover ratio for Ufp Industries Inc has displayed fluctuations over the past few quarters. The ratio, which indicates how efficiently the company is using its working capital to generate sales, shows an upward trend in recent quarters, reaching a peak of 6.66 in Mar 31, 2022, before slightly decreasing to 6.37 in Sep 30, 2022.
Overall, Ufp Industries Inc has been effectively managing its working capital to drive sales, with the ratio consistently above 5 in the past few years. This suggests that the company is efficiently utilizing its current assets and liabilities to support sales growth and operational activities. Further analysis of the company's working capital management strategies and business performance may provide deeper insights into the factors driving these fluctuations in the working capital turnover ratio.