Universal Health Services Inc (UHS)
Working capital turnover
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 15,827,930 | 15,417,760 | 15,017,500 | 14,658,040 | 14,281,980 | 14,025,410 | 13,798,670 | 13,573,940 | 13,399,380 | 13,227,650 | 13,047,620 | 12,922,090 | 12,642,120 | 12,453,810 | 12,210,350 | 11,742,220 | 11,558,900 | 11,368,210 | 11,278,120 | 11,403,540 |
| Total current assets | US$ in thousands | 2,816,290 | 2,801,960 | 2,740,690 | 2,870,930 | 2,811,350 | 2,753,000 | 2,624,710 | 2,559,100 | 2,537,340 | 2,456,560 | 2,436,220 | 2,301,900 | 2,263,560 | 2,343,300 | 2,365,300 | 2,784,160 | 3,281,870 | 2,995,160 | 2,296,790 | 1,834,350 |
| Total current liabilities | US$ in thousands | 2,210,410 | 2,011,190 | 2,149,210 | 2,075,340 | 2,013,350 | 1,989,820 | 2,035,350 | 1,863,380 | 1,914,420 | 1,939,200 | 1,991,700 | 2,146,220 | 1,984,110 | 1,968,820 | 1,968,810 | 2,239,380 | 2,481,040 | 2,668,230 | 2,259,170 | 1,689,950 |
| Working capital turnover | 26.12 | 19.50 | 25.39 | 18.42 | 17.90 | 18.38 | 23.41 | 19.51 | 21.51 | 25.57 | 29.35 | 83.00 | 45.24 | 33.26 | 30.80 | 21.55 | 14.43 | 34.77 | 299.79 | 78.97 |
December 31, 2024 calculation
Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $15,827,930K ÷ ($2,816,290K – $2,210,410K)
= 26.12
The working capital turnover ratio for Universal Health Services Inc has displayed fluctuations over the period from March 31, 2020, to December 31, 2024. The ratio indicates the efficiency of the company in generating revenue from its working capital.
Initially, in March 2020, the working capital turnover stood high at 78.97, reflecting strong revenue generation relative to the working capital employed. However, this figure more than tripled to 299.79 by June 2020, which may suggest a more efficient utilization of working capital during that period.
Subsequently, the ratio experienced a decline, dropping to 14.43 by December 2020, signifying a decrease in revenue generated from working capital. This trend continued into the first quarter of 2021, with a ratio of 21.55, before showing signs of improvement in the following quarters.
The working capital turnover ratio showed a gradual increase from September 2021 to March 2022, indicating improved efficiency in revenue generation compared to the working capital employed. The ratio peaked at 83.00 in March 2022, representing a significant improvement in operational efficiency during that period.
After this peak, the ratio fluctuated, with values ranging from 17.90 to 29.35 through December 2024. These fluctuations indicate variability in the company's ability to generate revenue from its working capital, possibly influenced by changes in sales, operational efficiency, or management of working capital components.
Overall, the working capital turnover ratio for Universal Health Services Inc demonstrates varying levels of efficiency in utilizing working capital to generate revenue over the analyzed period, reflecting fluctuations in operational performance and liquidity management.
Peer comparison
Dec 31, 2024