Urban Outfitters Inc (URBN)
Working capital turnover
| Jan 31, 2025 | Jan 31, 2024 | Jan 31, 2023 | Jan 31, 2022 | Jan 31, 2021 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 5,550,670 | 5,153,240 | 4,795,240 | 4,548,760 | 3,449,750 |
| Total current assets | US$ in thousands | 1,492,800 | 1,282,500 | 1,237,720 | 1,285,750 | 1,223,330 |
| Total current liabilities | US$ in thousands | 1,075,680 | 994,205 | 890,374 | 981,473 | 906,132 |
| Working capital turnover | 13.31 | 17.87 | 13.81 | 14.95 | 10.88 |
January 31, 2025 calculation
Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $5,550,670K ÷ ($1,492,800K – $1,075,680K)
= 13.31
The working capital turnover ratio for Urban Outfitters Inc has displayed a positive trend over the past five years, indicating an improvement in the efficiency of the company's working capital management.
From January 31, 2021, to January 31, 2025, the working capital turnover ratio increased from 10.88 to 13.31. This signifies that for each dollar of working capital invested, the company generated $13.31 in revenue by the end of the most recent fiscal year.
The consistent increase in the working capital turnover ratio reflects the company's ability to efficiently utilize its current assets to support sales and operations. This improved efficiency may suggest that Urban Outfitters Inc has optimized its working capital structure and effectively managed its inventory, accounts receivable, and accounts payable.
Overall, the upward trend in the working capital turnover ratio indicates that Urban Outfitters Inc has been successful in generating more sales from its working capital investment, which can lead to enhanced financial performance and profitability in the long run.
Peer comparison
Jan 31, 2025