Urban Outfitters Inc (URBN)

Working capital turnover

		Jan 31, 2024	Jan 31, 2023	Jan 31, 2022	Jan 31, 2021	Jan 31, 2020
Revenue	US$ in thousands	5,141,360	4,788,830	4,548,760	3,434,250	3,969,180
Total current assets	US$ in thousands	1,282,500	1,237,720	1,285,750	1,223,330	1,053,400
Total current liabilities	US$ in thousands	994,205	890,374	981,473	906,132	638,770
Working capital turnover		17.83	13.79	14.95	10.83	9.57

January 31, 2024 calculation

Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $5,141,360K ÷ ($1,282,500K – $994,205K)
= 17.83

Urban Outfitters Inc's working capital turnover has shown a positive trend over the past five years, with the ratio increasing steadily from 9.57 in 2020 to 17.83 in 2024. This indicates that the company has become more efficient in generating revenue relative to its working capital. A higher working capital turnover ratio generally suggests effective management of working capital and efficient operations. Urban Outfitters Inc's consistent improvement in this ratio reflects strong performance in utilizing its working capital to support sales growth.