US Foods Holding Corp (USFD)
Working capital turnover
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 35,258,000 | 33,807,000 | 29,252,000 | 22,664,000 | 25,756,000 |
| Total current assets | US$ in thousands | 4,031,000 | 3,820,000 | 3,594,000 | 3,465,000 | 3,262,000 |
| Total current liabilities | US$ in thousands | 3,112,000 | 2,796,000 | 2,550,000 | 1,982,000 | 2,362,000 |
| Working capital turnover | 38.37 | 33.01 | 28.02 | 15.28 | 28.62 |
December 31, 2023 calculation
Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $35,258,000K ÷ ($4,031,000K – $3,112,000K)
= 38.37
The working capital turnover of US Foods Holding Corp has exhibited a fluctuating trend over the past five years. The ratio has shown an increasing pattern from 2019 to 2021, with a significant jump in 2021 compared to the previous years. This suggests that the company has been able to efficiently manage its working capital to generate sales during these years.
However, there was a substantial decrease in the working capital turnover in 2022, followed by a notable increase in 2023. The drop in 2022 may indicate potential challenges in effectively converting working capital into sales during that period. The subsequent recovery in 2023 suggests that the company may have implemented measures to improve its working capital management and boost sales efficiency.
Overall, while the working capital turnover of US Foods Holding Corp has experienced fluctuations, the general trend indicates varying levels of efficiency in utilizing working capital to generate sales over the past five years. Further analysis of the company's financial performance and operational strategies could provide insights into the factors driving these fluctuations.
Peer comparison
Dec 31, 2023